REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Policy Owners of
Brighthouse Variable Life Account A
and Board of Directors of
Brighthouse Life Insurance Company

Opinion on the Financial Statements and Financial Highlights

We have audited the accompanying statements of assets and liabilities of Brighthouse Variable Life Account A (the "Separate Account") of Brighthouse Life Insurance Company (the "Company") comprising each of the individual Investment Divisions listed in Note 2 as of December 31, 2023, the related statements of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, the financial highlights in Note 7 for each of the five years in the period then ended, and the related notes. In our opinion, the financial statements and financial highlights present fairly, in all material respects, the financial position of each of the Investment Divisions constituting the Separate Account of the Company as of December 31, 2023, and the results of their operations for the year then ended, the changes in their net assets for each of the two years in the period then ended, and the financial highlights for each of the five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinion

These financial statements and financial highlights are the responsibility of the Separate Account's management. Our responsibility is to express an opinion on the Separate Account's financial statements and financial highlights based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Separate Account in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement, whether due to error or fraud. The Separate Account is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Separate Account's internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements and financial highlights, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements and financial highlights. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements and financial highlights. Our procedures included confirmation of investments owned as of December 31, 2023, by correspondence with the custodian or mutual fund companies. We believe that our audits provide a reasonable basis for our opinion.

/s/ DELOITTE & TOUCHE LLP

Tampa, Florida
March 27, 2024

We have served as the Separate Account's auditor since 2008.

This page is intentionally left blank.

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES

December 31, 2023

	American Funds®​ Global Small Capitalization Investment Division		American Funds®​ Growth Investment Division		American Funds®​ Growth-Income Investment Division		American Funds®​ The Bond Fund of America Investment Division
Assets:
Investments at fair value	$	20,547,121	$	87,331,550	$	41,117,398	$	7,267,577
Due from Brighthouse Life Insurance Company		—		—		—		—
Total Assets		20,547,121		87,331,550		41,117,398		7,267,577
Liabilities:
Due to Brighthouse Life Insurance Company		2		12		5		1
Total Liabilities		2		12		5		1
Net Assets	$	20,547,119	$	87,331,538	$	41,117,393	$	7,267,576

The accompanying notes are an integral part of these financial statements.
1

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES — (Continued)

December 31, 2023

	BHFTI AB Global Dynamic Allocation Investment Division		BHFTI American Funds®​ Balanced Allocation Investment Division		BHFTI American Funds® ​Growth Allocation Investment Division		BHFTI American Funds®​ Moderate Allocation Investment Division		BHFTI BlackRock Global Tactical Strategies Investment Division
Assets:
Investments at fair value	$	793,297	$	12,681,747	$	34,434,003	$	10,667,665	$	2,168,661
Due from Brighthouse Life Insurance Company		—		—		—		—		—
Total Assets		793,297		12,681,747		34,434,003		10,667,665		2,168,661
Liabilities:
Due to Brighthouse Life Insurance Company		—		1		—		—		—
Total Liabilities		—		1		—		—		—
Net Assets	$	793,297	$	12,681,746	$	34,434,003	$	10,667,665	$	2,168,661

The accompanying notes are an integral part of these financial statements.
2

	BHFTI Brighthouse Asset Allocation 100 Investment Division		BHFTI Brighthouse Balanced Plus Investment Division		BHFTI Brighthouse/ abrdn Emerging Markets Equity Investment Division		BHFTI Brighthouse/ Templeton International Bond Investment Division		BHFTI Brighthouse/ Wellington Large Cap Research Investment Division
Assets:
Investments at fair value	$	31,071,289	$	2,903,714	$	4,287,614	$	1,807,810	$	7,230,950
Due from Brighthouse Life Insurance Company		—		—		—		—		—
Total Assets		31,071,289		2,903,714		4,287,614		1,807,810		7,230,950
Liabilities:
Due to Brighthouse Life Insurance Company		1		2		—		—		1
Total Liabilities		1		2		—		—		1
Net Assets	$	31,071,288	$	2,903,712	$	4,287,614	$	1,807,810	$	7,230,949

The accompanying notes are an integral part of these financial statements.
3

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES — (Continued)

December 31, 2023

	BHFTI CBRE Global Real Estate Investment Division		BHFTI Harris Oakmark International Investment Division		BHFTI Invesco Balanced-Risk Allocation Investment Division		BHFTI Invesco Global Equity Investment Division		BHFTI Invesco Small Cap Growth Investment Division
Assets:
Investments at fair value	$	11,866,039	$	24,078,149	$	1,268,460	$	16,957,884	$	6,125,608
Due from Brighthouse Life Insurance Company		—		—		—		—		—
Total Assets		11,866,039		24,078,149		1,268,460		16,957,884		6,125,608
Liabilities:
Due to Brighthouse Life Insurance Company		1		1		1		1		1
Total Liabilities		1		1		1		1		1
Net Assets	$	11,866,038	$	24,078,148	$	1,268,459	$	16,957,883	$	6,125,607

The accompanying notes are an integral part of these financial statements.
4

	BHFTI JPMorgan Global Active Allocation Investment Division		BHFTI JPMorgan Small Cap Value Investment Division		BHFTI Loomis Sayles Global Allocation Investment Division		BHFTI Loomis Sayles Growth Investment Division		BHFTI MetLife Multi-Index Targeted Risk Investment Division
Assets:
Investments at fair value	$	1,412,979	$	4,545,317	$	4,238,276	$	34,940,912	$	673,669
Due from Brighthouse Life Insurance Company		—		—		—		—		—
Total Assets		1,412,979		4,545,317		4,238,276		34,940,912		673,669
Liabilities:
Due to Brighthouse Life Insurance Company		—		—		1		2		5
Total Liabilities		—		—		1		2		5
Net Assets	$	1,412,979	$	4,545,317	$	4,238,275	$	34,940,910	$	673,664

The accompanying notes are an integral part of these financial statements.
5

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES — (Continued)

December 31, 2023

	BHFTI MFS®​ Research International Investment Division		BHFTI Morgan Stanley Discovery Investment Division		BHFTI PanAgora Global Diversified Risk Investment Division		BHFTI PIMCO Inflation Protected Bond Investment Division		BHFTI PIMCO Total Return Investment Division
Assets:
Investments at fair value	$	10,354,153	$	11,072,574	$	2,066,118	$	8,113,481	$	18,969,711
Due from Brighthouse Life Insurance Company		—		—		—		—		—
Total Assets		10,354,153		11,072,574		2,066,118		8,113,481		18,969,711
Liabilities:
Due to Brighthouse Life Insurance Company		1		2		1		1		1
Total Liabilities		1		2		1		1		1
Net Assets	$	10,354,152	$	11,072,572	$	2,066,117	$	8,113,480	$	18,969,710

The accompanying notes are an integral part of these financial statements.
6

	BHFTI Schroders Global Multi-Asset Investment Division		BHFTI SSGA Growth and Income ETF Investment Division		BHFTI SSGA Growth ETF Investment Division		BHFTI T. Rowe Price Mid Cap Growth Investment Division		BHFTI Victory Sycamore Mid Cap Value Investment Division
Assets:
Investments at fair value	$	1,580,948	$	11,529,619	$	18,562,219	$	23,931,833	$	12,507,474
Due from Brighthouse Life Insurance Company		—		—		—		—		—
Total Assets		1,580,948		11,529,619		18,562,219		23,931,833		12,507,474
Liabilities:
Due to Brighthouse Life Insurance Company		1		1		1		1		1
Total Liabilities		1		1		1		1		1
Net Assets	$	1,580,947	$	11,529,618	$	18,562,218	$	23,931,832	$	12,507,473

The accompanying notes are an integral part of these financial statements.
7

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES — (Continued)

December 31, 2023

	BHFTII Baillie Gifford International Stock Investment Division		BHFTII BlackRock Bond Income Investment Division		BHFTII BlackRock Capital Appreciation Investment Division		BHFTII Brighthouse Asset Allocation 20 Investment Division		BHFTII Brighthouse Asset Allocation 40 Investment Division
Assets:
Investments at fair value	$	3,846,848	$	6,847,898	$	15,291,747	$	2,547,223	$	6,556,171
Due from Brighthouse Life Insurance Company		—		—		—		—		—
Total Assets		3,846,848		6,847,898		15,291,747		2,547,223		6,556,171
Liabilities:
Due to Brighthouse Life Insurance Company		1		7		4		—		1
Total Liabilities		1		7		4		—		1
Net Assets	$	3,846,847	$	6,847,891	$	15,291,743	$	2,547,223	$	6,556,170

The accompanying notes are an integral part of these financial statements.
8

	BHFTII Brighthouse Asset Allocation 60 Investment Division		BHFTII Brighthouse Asset Allocation 80 Investment Division		BHFTII Brighthouse/ Artisan Mid Cap Value Investment Division		BHFTII Brighthouse/ Wellington Balanced Investment Division		BHFTII Brighthouse/ Wellington Core Equity Opportunities Investment Division
Assets:
Investments at fair value	$	53,213,163	$	119,360,292	$	6,821,298	$	4,298,271	$	20,984,015
Due from Brighthouse Life Insurance Company		—		3		—		—		—
Total Assets		53,213,163		119,360,295		6,821,298		4,298,271		20,984,015
Liabilities:
Due to Brighthouse Life Insurance Company		1		—		11		1		4
Total Liabilities		1		—		11		1		4
Net Assets	$	53,213,162	$	119,360,295	$	6,821,287	$	4,298,270	$	20,984,011

The accompanying notes are an integral part of these financial statements.
9

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES — (Continued)

December 31, 2023

	BHFTII Frontier Mid Cap Growth Investment Division		BHFTII Jennison Growth Investment Division		BHFTII Loomis Sayles Small Cap Core Investment Division		BHFTII Loomis Sayles Small Cap Growth Investment Division		BHFTII MetLife Aggregate Bond Index Investment Division
Assets:
Investments at fair value	$	7,360,476	$	16,393,444	$	8,174,455	$	5,268,027	$	27,331,131
Due from Brighthouse Life Insurance Company		—		—		—		—		—
Total Assets		7,360,476		16,393,444		8,174,455		5,268,027		27,331,131
Liabilities:
Due to Brighthouse Life Insurance Company		2		1		18		1		—
Total Liabilities		2		1		18		1		—
Net Assets	$	7,360,474	$	16,393,443	$	8,174,437	$	5,268,026	$	27,331,131

The accompanying notes are an integral part of these financial statements.
10

	BHFTII MetLife Mid Cap Stock Index Investment Division		BHFTII MetLife MSCI EAFE®​ Index Investment Division		BHFTII MetLife Russell 2000®​ Index Investment Division		BHFTII MetLife Stock Index Investment Division		BHFTII MFS®​ Total Return Investment Division
Assets:
Investments at fair value	$	26,957,844	$	32,067,344	$	21,346,826	$	90,974,632	$	5,335,063
Due from Brighthouse Life Insurance Company		—		—		—		—		—
Total Assets		26,957,844		32,067,344		21,346,826		90,974,632		5,335,063
Liabilities:
Due to Brighthouse Life Insurance Company		2		2		1		5		8
Total Liabilities		2		2		1		5		8
Net Assets	$	26,957,842	$	32,067,342	$	21,346,825	$	90,974,627	$	5,335,055

The accompanying notes are an integral part of these financial statements.
11

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF ASSETS AND LIABILITIES — (Concluded)

December 31, 2023

	BHFTII MFS®​ Value Investment Division		BHFTII Neuberger Berman Genesis Investment Division		BHFTII T. Rowe Price Large Cap Growth Investment Division		BHFTII T. Rowe Price Small Cap Growth Investment Division		BHFTII VanEck Global Natural Resources Investment Division
Assets:
Investments at fair value	$	32,821,470	$	7,743,527	$	31,745,976	$	18,838,956	$	3,721,342
Due from Brighthouse Life Insurance Company		—		—		—		—		—
Total Assets		32,821,470		7,743,527		31,745,976		18,838,956		3,721,342
Liabilities:
Due to Brighthouse Life Insurance Company		1		2		2		1		1
Total Liabilities		1		2		2		1		1
Net Assets	$	32,821,469	$	7,743,525	$	31,745,974	$	18,838,955	$	3,721,341

The accompanying notes are an integral part of these financial statements.
12

	BHFTII Western Asset Management Strategic Bond Opportunities Investment Division		BHFTII Western Asset Management U.S. Government Investment Division		FTVIPT Franklin Income VIP Investment Division		FTVIPT Franklin Mutual Shares VIP Investment Division
Assets:
Investments at fair value	$	13,818,537	$	3,337,543	$	1,013,311	$	1,508,769
Due from Brighthouse Life Insurance Company		—		—		—		—
Total Assets		13,818,537		3,337,543		1,013,311		1,508,769
Liabilities:
Due to Brighthouse Life Insurance Company		1		1		1		1
Total Liabilities		1		1		1		1
Net Assets	$	13,818,536	$	3,337,542	$	1,013,310	$	1,508,768

The accompanying notes are an integral part of these financial statements.
13

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF OPERATIONS

For the year ended December 31, 2023

	American Funds®​ Global Small Capitalization Investment Division			American Funds®​ Growth Investment Division			American Funds®​ Growth-Income Investment Division		American Funds®​ The Bond Fund of America Investment Division			BHFTI AB Global Dynamic Allocation Investment Division
Investment Income:
Dividends	$	50,966		$	281,229		$	514,348	$	243,938		$	57,147
Net Realized and Change in Unrealized Gains (Losses) on Investments:
Realized gain distributions		250,912			4,393,636			1,981,339		—			—
Realized gains (losses) on sale of investments		(518,408	)		(610,090	)		492,010		(129,291	)		(300,681	)
Net realized gains (losses)		(267,496	)		3,783,546			2,473,349		(129,291	)		(300,681	)
Change in unrealized gains (losses) on investments		3,117,392			21,186,959			5,726,658		236,751			405,548
Net realized and change in unrealized gains (losses) on investments		2,849,896			24,970,505			8,200,007		107,460			104,867
Net increase (decrease) in net assets resulting from operations	$	2,900,862		$	25,251,734		$	8,714,355	$	351,398		$	162,014

The accompanying notes are an integral part of these financial statements.
14

	BHFTI American Funds®​ Balanced Allocation Investment Division			BHFTI American Funds®​ Growth Allocation Investment Division			BHFTI American Funds®​ Moderate Allocation Investment Division			BHFTI BlackRock Global Tactical Strategies Investment Division			BHFTI Brighthouse Asset Allocation 100 Investment Division
Investment Income:
Dividends	$	280,065		$	719,419		$	264,990		$	65,934		$	885,403
Net Realized and Change in Unrealized Gains (Losses) on Investments:
Realized gain distributions		794,518			3,086,205			533,135			—			4,453,602
Realized gains (losses) on sale of investments		(79,475	)		(204,338	)		(74,021	)		(29,478	)		(464,071	)
Net realized gains (losses)		715,043			2,881,867			459,114			(29,478	)		3,989,531
Change in unrealized gains (losses) on investments		765,132			2,216,544			472,914			223,611			811,859
Net realized and change in unrealized gains (losses) on investments		1,480,175			5,098,411			932,028			194,133			4,801,390
Net increase (decrease) in net assets resulting from operations	$	1,760,240		$	5,817,830		$	1,197,018		$	260,067		$	5,686,793

The accompanying notes are an integral part of these financial statements.
15

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF OPERATIONS — (Continued)

For the year ended December 31, 2023

	BHFTI Brighthouse Balanced Plus Investment Division			BHFTI Brighthouse/ abrdn Emerging Markets Equity Investment Division			BHFTI Brighthouse/ Templeton International Bond Investment Division			BHFTI Brighthouse/ Wellington Large Cap Research Investment Division			BHFTI CBRE Global Real Estate Investment Division
Investment Income:
Dividends	$	107,792		$	53,729		$	—		$	55,073		$	293,929
Net Realized and Change in Unrealized Gains (Losses) on Investments:
Realized gain distributions		—			—			—			361,037			—
Realized gains (losses) on sale of investments		(227,444	)		(164,529	)		(76,113	)		(18,208	)		(140,621	)
Net realized gains (losses)		(227,444	)		(164,529	)		(76,113	)		342,829			(140,621	)
Change in unrealized gains (losses) on investments		387,364			368,215			137,671			1,115,905			1,191,411
Net realized and change in unrealized gains (losses) on investments		159,920			203,686			61,558			1,458,734			1,050,790
Net increase (decrease) in net assets resulting from operations	$	267,712		$	257,415		$	61,558		$	1,513,807		$	1,344,719

The accompanying notes are an integral part of these financial statements.
16

	BHFTI Harris Oakmark International Investment Division			BHFTI Invesco Balanced-Risk Allocation Investment Division			BHFTI Invesco Global Equity Investment Division		BHFTI Invesco Small Cap Growth Investment Division			BHFTI JPMorgan Global Active Allocation Investment Division
Investment Income:
Dividends	$	483,181		$	74,338		$	57,055	$	—		$	37,077
Net Realized and Change in Unrealized Gains (Losses) on Investments:
Realized gain distributions		—			—			882,634		—			—
Realized gains (losses) on sale of investments		(265,697	)		(201,991	)		29,073		(411,243	)		(147,577	)
Net realized gains (losses)		(265,697	)		(201,991	)		911,707		(411,243	)		(147,577	)
Change in unrealized gains (losses) on investments		3,814,314			252,347			3,587,759		1,080,054			284,663
Net realized and change in unrealized gains (losses) on investments		3,548,617			50,356			4,499,466		668,811			137,086
Net increase (decrease) in net assets resulting from operations	$	4,031,798		$	124,694		$	4,556,521	$	668,811		$	174,163

The accompanying notes are an integral part of these financial statements.
17

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF OPERATIONS — (Continued)

For the year ended December 31, 2023

	BHFTI JPMorgan Small Cap Value Investment Division			BHFTI Loomis Sayles Global Allocation Investment Division			BHFTI Loomis Sayles Growth Investment Division		BHFTI MetLife Multi-Index Targeted Risk Investment Division			BHFTI MFS®​ Research International Investment Division
Investment Income:
Dividends	$	55,911		$	—		$	—	$	15,962		$	174,325
Net Realized and Change in Unrealized Gains (Losses) on Investments:
Realized gain distributions		345,698			152,058			1,855,156		—			194,536
Realized gains (losses) on sale of investments		(80,435	)		(29,370	)		1,575		(32,655	)		47,744
Net realized gains (losses)		265,263			122,688			1,856,731		(32,655	)		242,280
Change in unrealized gains (losses) on investments		199,683			669,771			11,024,211		97,516			791,622
Net realized and change in unrealized gains (losses) on investments		464,946			792,459			12,880,942		64,861			1,033,902
Net increase (decrease) in net assets resulting from operations	$	520,857		$	792,459		$	12,880,942	$	80,823		$	1,208,227

The accompanying notes are an integral part of these financial statements.
18

	BHFTI Morgan Stanley Discovery Investment Division			BHFTI PanAgora Global Diversified Risk Investment Division			BHFTI PIMCO Inflation Protected Bond Investment Division			BHFTI PIMCO Total Return Investment Division			BHFTI Schroders Global Multi-Asset Investment Division
Investment Income:
Dividends	$	—		$	110,243		$	201,338		$	575,065		$	27,758
Net Realized and Change in Unrealized Gains (Losses) on Investments:
Realized gain distributions		—			—			—			—			—
Realized gains (losses) on sale of investments		(1,922,465	)		(82,567	)		(107,764	)		(523,358	)		(10,162	)
Net realized gains (losses)		(1,922,465	)		(82,567	)		(107,764	)		(523,358	)		(10,162	)
Change in unrealized gains (losses) on investments		5,250,484			67,345			203,993			1,059,567			191,379
Net realized and change in unrealized gains (losses) on investments		3,328,019			(15,222	)		96,229			536,209			181,217
Net increase (decrease) in net assets resulting from operations	$	3,328,019		$	95,021		$	297,567		$	1,111,274		$	208,975

The accompanying notes are an integral part of these financial statements.
19

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF OPERATIONS — (Continued)

For the year ended December 31, 2023

	BHFTI SSGA Growth and Income ETF Investment Division			BHFTI SSGA Growth ETF Investment Division			BHFTI T. Rowe Price Mid Cap Growth Investment Division			BHFTI Victory Sycamore Mid Cap Value Investment Division			BHFTII Baillie Gifford International Stock Investment Division
Investment Income:
Dividends	$	274,879		$	371,599		$	—		$	194,811		$	43,202
Net Realized and Change in Unrealized Gains (Losses) on Investments:
Realized gain distributions		—			924,554			1,101,896			1,301,038			—
Realized gains (losses) on sale of investments		(167,628	)		(239,222	)		(507,571	)		61,904			(106,300	)
Net realized gains (losses)		(167,628	)		685,332			594,325			1,362,942			(106,300	)
Change in unrealized gains (losses) on investments		1,344,367			1,566,186			3,538,916			(400,786	)		686,007
Net realized and change in unrealized gains (losses) on investments		1,176,739			2,251,518			4,133,241			962,156			579,707
Net increase (decrease) in net assets resulting from operations	$	1,451,618		$	2,623,117		$	4,133,241		$	1,156,967		$	622,909

The accompanying notes are an integral part of these financial statements.
20

	BHFTII BlackRock Bond Income Investment Division			BHFTII BlackRock Capital Appreciation Investment Division			BHFTII Brighthouse Asset Allocation 20 Investment Division			BHFTII Brighthouse Asset Allocation 40 Investment Division			BHFTII Brighthouse Asset Allocation 60 Investment Division
Investment Income:
Dividends	$	197,757		$	5,519		$	70,229		$	226,414		$	1,683,897
Net Realized and Change in Unrealized Gains (Losses) on Investments:
Realized gain distributions		—			255,169			41,472			314,635			4,081,882
Realized gains (losses) on sale of investments		(96,824	)		(443,538	)		(30,347	)		(45,518	)		(469,859	)
Net realized gains (losses)		(96,824	)		(188,369	)		11,125			269,117			3,612,023
Change in unrealized gains (losses) on investments		270,108			5,408,815			97,321			143,149			1,312,035
Net realized and change in unrealized gains (losses) on investments		173,284			5,220,446			108,446			412,266			4,924,058
Net increase (decrease) in net assets resulting from operations	$	371,041		$	5,225,965		$	178,675		$	638,680		$	6,607,955

The accompanying notes are an integral part of these financial statements.
21

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF OPERATIONS — (Continued)

For the year ended December 31, 2023

	BHFTII Brighthouse Asset Allocation 80 Investment Division			BHFTII Brighthouse/ Artisan Mid Cap Value Investment Division			BHFTII Brighthouse/ Wellington Balanced Investment Division			BHFTII Brighthouse/ Wellington Core Equity Opportunities Investment Division			BHFTII Frontier Mid Cap Growth Investment Division
Investment Income:
Dividends	$	3,654,742		$	52,162		$	86,958		$	286,755		$	—
Net Realized and Change in Unrealized Gains (Losses) on Investments:
Realized gain distributions		12,923,873			791,244			30,579			2,116,967			—
Realized gains (losses) on sale of investments		(956,662	)		(41,565	)		(33,506	)		(102,615	)		(103,209	)
Net realized gains (losses)		11,967,211			749,679			(2,927	)		2,014,352			(103,209	)
Change in unrealized gains (losses) on investments		2,441,067			296,729			594,402			(812,790	)		1,224,436
Net realized and change in unrealized gains (losses) on investments		14,408,278			1,046,408			591,475			1,201,562			1,121,227
Net increase (decrease) in net assets resulting from operations	$	18,063,020		$	1,098,570		$	678,433		$	1,488,317		$	1,121,227

The accompanying notes are an integral part of these financial statements.
22

	BHFTII Jennison Growth Investment Division			BHFTII Loomis Sayles Small Cap Core Investment Division			BHFTII Loomis Sayles Small Cap Growth Investment Division			BHFTII MetLife Aggregate Bond Index Investment Division			BHFTII MetLife Mid Cap Stock Index Investment Division
Investment Income:
Dividends	$	—		$	14,510		$	—		$	748,317		$	323,893
Net Realized and Change in Unrealized Gains (Losses) on Investments:
Realized gain distributions		—			353,659			—			—			1,561,256
Realized gains (losses) on sale of investments		(638,289	)		(73,524	)		(73,761	)		(262,536	)		(79,667	)
Net realized gains (losses)		(638,289	)		280,135			(73,761	)		(262,536	)		1,481,589
Change in unrealized gains (losses) on investments		6,290,819			927,334			629,131			826,785			1,926,602
Net realized and change in unrealized gains (losses) on investments		5,652,530			1,207,469			555,370			564,249			3,408,191
Net increase (decrease) in net assets resulting from operations	$	5,652,530		$	1,221,979		$	555,370		$	1,312,566		$	3,732,084

The accompanying notes are an integral part of these financial statements.
23

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF OPERATIONS — (Continued)

For the year ended December 31, 2023

	BHFTII MetLife MSCI EAFE®​ Index Investment Division		BHFTII MetLife Russell 2000®​ Index Investment Division			BHFTII MetLife Stock Index Investment Division		BHFTII MFS®​ Total Return Investment Division			BHFTII MFS®​ Value Investment Division
Investment Income:
Dividends	$	753,451	$	253,840		$	1,163,561	$	115,630		$	581,790
Net Realized and Change in Unrealized Gains (Losses) on Investments:
Realized gain distributions		—		333,686			5,496,183		265,680			3,676,331
Realized gains (losses) on sale of investments		194,054		(111,683	)		1,195,211		(44,269	)		(191,886	)
Net realized gains (losses)		194,054		222,003			6,691,394		221,411			3,484,445
Change in unrealized gains (losses) on investments		3,982,880		2,582,273			11,306,491		177,276			(1,581,678	)
Net realized and change in unrealized gains (losses) on investments		4,176,934		2,804,276			17,997,885		398,687			1,902,767
Net increase (decrease) in net assets resulting from operations	$	4,930,385	$	3,058,116		$	19,161,446	$	514,317		$	2,484,557

The accompanying notes are an integral part of these financial statements.
24

	BHFTII Neuberger Berman Genesis Investment Division			BHFTII T. Rowe Price Large Cap Growth Investment Division			BHFTII T. Rowe Price Small Cap Growth Investment Division			BHFTII VanEck Global Natural Resources Investment Division			BHFTII Western Asset Management Strategic Bond Opportunities Investment Division
Investment Income:
Dividends	$	9,372		$	—		$	8,970		$	124,274		$	855,146
Net Realized and Change in Unrealized Gains (Losses) on Investments:
Realized gain distributions		636,499			—			392,005			—			—
Realized gains (losses) on sale of investments		(38,025	)		(774,226	)		(214,297	)		143,518			(262,335	)
Net realized gains (losses)		598,474			(774,226	)		177,708			143,518			(262,335	)
Change in unrealized gains (losses) on investments		441,354			11,454,850			3,113,944			(412,166	)		591,434
Net realized and change in unrealized gains (losses) on investments		1,039,828			10,680,624			3,291,652			(268,648	)		329,099
Net increase (decrease) in net assets resulting from operations	$	1,049,200		$	10,680,624		$	3,300,622		$	(144,374	)	$	1,184,245

The accompanying notes are an integral part of these financial statements.
25

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF OPERATIONS — (Concluded)

For the year ended December 31, 2023

	BHFTII Western Asset Management U.S. Government Investment Division			FTVIPT Franklin Income VIP Investment Division			FTVIPT Franklin Mutual Shares VIP Investment Division
Investment Income:
Dividends	$	72,110		$	63,360		$	27,603
Net Realized and Change in Unrealized Gains (Losses) on Investments:
Realized gain distributions		—			76,813			127,048
Realized gains (losses) on sale of investments		(22,319	)		(15,931	)		(76,882	)
Net realized gains (losses)		(22,319	)		60,882			50,166
Change in unrealized gains (losses) on investments		87,032			(21,373	)		118,129
Net realized and change in unrealized gains (losses) on investments		64,713			39,509			168,295
Net increase (decrease) in net assets resulting from operations	$	136,823		$	102,869		$	195,898

The accompanying notes are an integral part of these financial statements.
26

This page is intentionally left blank.

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS

For the years ended December 31, 2023 and 2022

	American Funds®​ Global Small Capitalization Investment Division						American Funds®​ Growth Investment Division						American Funds®​ Growth-Income Investment Division						American Funds®​ The Bond Fund of America Investment Division
	2023			2022			2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	50,966		$	—		$	281,229		$	247,098		$	514,348		$	477,293		$	243,938		$	204,779
Net realized gains (losses)		(267,496	)		6,582,238			3,783,546			10,764,448			2,473,349			4,261,103			(129,291	)		(4,567	)
Change in unrealized gains (losses) on investments		3,117,392			(14,271,268	)		21,186,959			(40,215,494	)		5,726,658			(12,020,906	)		236,751			(1,195,991	)
Net increase (decrease) in net assets resulting from operations		2,900,862			(7,689,030	)		25,251,734			(29,203,948	)		8,714,355			(7,282,510	)		351,398			(995,779	)
Policy Transactions:
Premium payments received from policy owners		1,393,423			1,473,520			3,591,915			4,718,216			1,935,698			2,179,303			504,586			616,032
Net transfers (including fixed account)		(267,396	)		258,700			(1,480,457	)		892,868			(676,871	)		(311,043	)		786,283			(455,477	)
Policy charges		(571,672	)		(701,697	)		(2,243,209	)		(2,531,366	)		(1,116,806	)		(1,245,494	)		(234,086	)		(305,443	)
Transfers for policy benefits and terminations		(1,414,875	)		(850,884	)		(5,608,584	)		(5,017,630	)		(2,836,787	)		(2,934,737	)		(718,860	)		(287,143	)
Net increase (decrease) in net assets resulting from policy transactions		(860,520	)		179,639			(5,740,335	)		(1,937,912	)		(2,694,766	)		(2,311,971	)		337,923			(432,031	)
Net increase (decrease) in net assets		2,040,342			(7,509,391	)		19,511,399			(31,141,860	)		6,019,589			(9,594,481	)		689,321			(1,427,810	)
Net Assets:
Beginning of year		18,506,777			26,016,168			67,820,139			98,961,999			35,097,804			44,692,285			6,578,255			8,006,065
End of year	$	20,547,119		$	18,506,777		$	87,331,538		$	67,820,139		$	41,117,393		$	35,097,804		$	7,267,576		$	6,578,255

The accompanying notes are an integral part of these financial statements.
28

	BHFTI AB Global Dynamic Allocation Investment Division						BHFTI American Funds®​ Balanced Allocation Investment Division						BHFTI American Funds® ​Growth Allocation Investment Division
	2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	57,147		$	96,275		$	280,065		$	186,732		$	719,419		$	411,101
Net realized gains (losses)		(300,681	)		138,019			715,043			1,350,618			2,881,867			4,425,187
Change in unrealized gains (losses) on investments		405,548			(782,063	)		765,132			(3,602,662	)		2,216,544			(11,129,512	)
Net increase (decrease) in net assets resulting from operations		162,014			(547,769	)		1,760,240			(2,065,312	)		5,817,830			(6,293,224	)
Policy Transactions:
Premium payments received from policy owners		76,816			53,715			638,234			766,853			1,848,738			2,023,140
Net transfers (including fixed account)		(1,156,344	)		(20,725	)		1,064,237			(420,604	)		1,392,286			231,950
Policy charges		(69,579	)		(99,050	)		(405,855	)		(424,794	)		(896,810	)		(931,074	)
Transfers for policy benefits and terminations		(256,476	)		(78,008	)		(517,423	)		(298,271	)		(1,497,933	)		(1,644,618	)
Net increase (decrease) in net assets resulting from policy transactions		(1,405,583	)		(144,068	)		779,193			(376,816	)		846,281			(320,602	)
Net increase (decrease) in net assets		(1,243,569	)		(691,837	)		2,539,433			(2,442,128	)		6,664,111			(6,613,826	)
Net Assets:
Beginning of year		2,036,866			2,728,703			10,142,313			12,584,441			27,769,892			34,383,718
End of year	$	793,297		$	2,036,866		$	12,681,746		$	10,142,313		$	34,434,003		$	27,769,892

The accompanying notes are an integral part of these financial statements.
29

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS — (Continued)

For the years ended December 31, 2023 and 2022

	BHFTI American Funds®​ Moderate Allocation Investment Division						BHFTI BlackRock Global Tactical Strategies Investment Division						BHFTI Brighthouse Asset Allocation 100 Investment Division						BHFTI Brighthouse Balanced Plus Investment Division
	2023			2022			2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	264,990		$	184,903		$	65,934		$	48,365		$	885,403		$	474,176		$	107,792		$	91,114
Net realized gains (losses)		459,114			798,185			(29,478	)		66,520			3,989,531			2,529,674			(227,444	)		263,387
Change in unrealized gains (losses) on investments		472,914			(2,720,730	)		223,611			(579,449	)		811,859			(9,858,177	)		387,364			(1,322,496	)
Net increase (decrease) in net assets resulting from operations		1,197,018			(1,737,642	)		260,067			(464,564	)		5,686,793			(6,854,327	)		267,712			(967,995	)
Policy Transactions:
Premium payments received from policy owners		736,694			860,123			147,318			178,942			1,917,799			2,069,391			279,696			302,474
Net transfers (including fixed account)		997,134			(2,387,698	)		17,563			(13,859	)		(1,483,547	)		53,880			351			(62,316	)
Policy charges		(455,294	)		(488,342	)		(94,646	)		(105,265	)		(824,392	)		(916,148	)		(178,539	)		(210,191	)
Transfers for policy benefits and terminations		(365,641	)		(419,038	)		(156,442	)		(87,776	)		(2,067,993	)		(911,704	)		(785,073	)		(187,142	)
Net increase (decrease) in net assets resulting from policy transactions		912,893			(2,434,955	)		(86,207	)		(27,958	)		(2,458,133	)		295,419			(683,565	)		(157,175	)
Net increase (decrease) in net assets		2,109,911			(4,172,597	)		173,860			(492,522	)		3,228,660			(6,558,908	)		(415,853	)		(1,125,170	)
Net Assets:
Beginning of year		8,557,754			12,730,351			1,994,801			2,487,323			27,842,628			34,401,536			3,319,565			4,444,735
End of year	$	10,667,665		$	8,557,754		$	2,168,661		$	1,994,801		$	31,071,288		$	27,842,628		$	2,903,712		$	3,319,565

The accompanying notes are an integral part of these financial statements.
30

	BHFTI Brighthouse/abrdn Emerging Markets Equity Investment Division						BHFTI Brighthouse/Templeton International Bond Investment Division						BHFTI Brighthouse/Wellington Large Cap Research Investment Division
	2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	53,729		$	48,607		$	—		$	—		$	55,073		$	43,262
Net realized gains (losses)		(164,529	)		590,156			(76,113	)		(57,358	)		342,829			1,314,734
Change in unrealized gains (losses) on investments		368,215			(2,192,960	)		137,671			(42,411	)		1,115,905			(2,697,274	)
Net increase (decrease) in net assets resulting from operations		257,415			(1,554,197	)		61,558			(99,769	)		1,513,807			(1,339,278	)
Policy Transactions:
Premium payments received from policy owners		408,434			402,034			219,744			222,852			405,040			380,618
Net transfers (including fixed account)		(138,119	)		(12,074	)		(220,769	)		308,422			416,552			11,536
Policy charges		(115,852	)		(140,729	)		(72,907	)		(81,395	)		(176,705	)		(166,103	)
Transfers for policy benefits and terminations		(397,485	)		(529,012	)		(97,520	)		(132,900	)		(582,982	)		(417,615	)
Net increase (decrease) in net assets resulting from policy transactions		(243,022	)		(279,781	)		(171,452	)		316,979			61,905			(191,564	)
Net increase (decrease) in net assets		14,393			(1,833,978	)		(109,894	)		217,210			1,575,712			(1,530,842	)
Net Assets:
Beginning of year		4,273,221			6,107,199			1,917,704			1,700,494			5,655,237			7,186,079
End of year	$	4,287,614		$	4,273,221		$	1,807,810		$	1,917,704		$	7,230,949		$	5,655,237

The accompanying notes are an integral part of these financial statements.
31

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS — (Continued)

For the years ended December 31, 2023 and 2022

	BHFTI CBRE Global Real Estate Investment Division						BHFTI Harris Oakmark International Investment Division						BHFTI Invesco Balanced-Risk Allocation Investment Division						BHFTI Invesco Global Equity Investment Division
	2023			2022			2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	293,929		$	490,946		$	483,181		$	542,489		$	74,338		$	129,691		$	57,055		$	—
Net realized gains (losses)		(140,621	)		1,094,364			(265,697	)		1,014,159			(201,991	)		111,038			911,707			2,100,570
Change in unrealized gains (losses) on investments		1,191,411			(4,870,333	)		3,814,314			(5,528,510	)		252,347			(531,544	)		3,587,759			(8,426,628	)
Net increase (decrease) in net assets resulting from operations		1,344,719			(3,285,023	)		4,031,798			(3,971,862	)		124,694			(290,815	)		4,556,521			(6,326,058	)
Policy Transactions:
Premium payments received from policy owners		764,528			794,240			1,554,188			1,673,633			147,062			167,768			688,062			854,733
Net transfers (including fixed account)		352,647			222,974			(1,211,519	)		528,604			(907,479	)		336,689			(676,723	)		335,761
Policy charges		(340,190	)		(392,549	)		(627,758	)		(743,975	)		(142,938	)		(152,808	)		(346,072	)		(362,805	)
Transfers for policy benefits and terminations		(639,692	)		(436,282	)		(2,209,068	)		(1,097,693	)		(246,794	)		(25,545	)		(940,584	)		(462,197	)
Net increase (decrease) in net assets resulting from policy transactions		137,293			188,383			(2,494,157	)		360,569			(1,150,149	)		326,104			(1,275,317	)		365,492
Net increase (decrease) in net assets		1,482,012			(3,096,640	)		1,537,641			(3,611,293	)		(1,025,455	)		35,289			3,281,204			(5,960,566	)
Net Assets:
Beginning of year		10,384,026			13,480,666			22,540,507			26,151,800			2,293,914			2,258,625			13,676,679			19,637,245
End of year	$	11,866,038		$	10,384,026		$	24,078,148		$	22,540,507		$	1,268,459		$	2,293,914		$	16,957,883		$	13,676,679

The accompanying notes are an integral part of these financial statements.
32

	BHFTI Invesco Small Cap Growth Investment Division						BHFTI JPMorgan Global Active Allocation Investment Division						BHFTI JPMorgan Small Cap Value Investment Division
	2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	—		$	—		$	37,077		$	55,127		$	55,911		$	46,852
Net realized gains (losses)		(411,243	)		1,661,466			(147,577	)		271,287			265,263			1,330,635
Change in unrealized gains (losses) on investments		1,080,054			(4,539,936	)		284,663			(779,395	)		199,683			(1,985,508	)
Net increase (decrease) in net assets resulting from operations		668,811			(2,878,470	)		174,163			(452,981	)		520,857			(608,021	)
Policy Transactions:
Premium payments received from policy owners		420,886			480,405			95,533			132,255			266,333			296,299
Net transfers (including fixed account)		(72,426	)		352,840			(631,028	)		(16,722	)		103,698			(93,535	)
Policy charges		(169,926	)		(194,148	)		(69,939	)		(92,461	)		(124,855	)		(146,503	)
Transfers for policy benefits and terminations		(361,160	)		(241,891	)		(267,141	)		(52,915	)		—			(338,833	)
Net increase (decrease) in net assets resulting from policy transactions		(182,626	)		397,206			(872,575	)		(29,843	)		245,176			(282,572	)
Net increase (decrease) in net assets		486,185			(2,481,264	)		(698,412	)		(482,824	)		766,033			(890,593	)
Net Assets:
Beginning of year		5,639,422			8,120,686			2,111,391			2,594,215			3,779,284			4,669,877
End of year	$	6,125,607		$	5,639,422		$	1,412,979		$	2,111,391		$	4,545,317		$	3,779,284

The accompanying notes are an integral part of these financial statements.
33

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS — (Continued)

For the years ended December 31, 2023 and 2022

	BHFTI Loomis Sayles Global Allocation Investment Division						BHFTI Loomis Sayles Growth Investment Division						BHFTI MetLife Multi-Index Targeted Risk Investment Division						BHFTI MFS®​ Research International Investment Division
	2023			2022			2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	—		$	—		$	—		$	—		$	15,962		$	13,712		$	174,325		$	201,886
Net realized gains (losses)		122,688			510,310			1,856,731			2,288,223			(32,655	)		53,496			242,280			730,819
Change in unrealized gains (losses) on investments		669,771			(1,603,281	)		11,024,211			(12,470,121	)		97,516			(257,781	)		791,622			(2,920,747	)
Net increase (decrease) in net assets resulting from operations		792,459			(1,092,971	)		12,880,942			(10,181,898	)		80,823			(190,573	)		1,208,227			(1,988,042	)
Policy Transactions:
Premium payments received from policy owners		220,243			251,351			1,822,703			1,899,064			65,260			69,819			672,005			664,215
Net transfers (including fixed account)		(3,538	)		(97,751	)		(2,086,418	)		154,265			(63,894	)		(17,985	)		20,543			189,979
Policy charges		(114,979	)		(119,533	)		(877,651	)		(914,588	)		(51,530	)		(55,963	)		(241,125	)		(255,199	)
Transfers for policy benefits and terminations		(240,003	)		(123,296	)		(2,947,609	)		(1,390,422	)		(25,602	)		(41,726	)		(985,592	)		(631,344	)
Net increase (decrease) in net assets resulting from policy transactions		(138,277	)		(89,229	)		(4,088,975	)		(251,681	)		(75,766	)		(45,855	)		(534,169	)		(32,349	)
Net increase (decrease) in net assets		654,182			(1,182,200	)		8,791,967			(10,433,579	)		5,057			(236,428	)		674,058			(2,020,391	)
Net Assets:
Beginning of year		3,584,093			4,766,293			26,148,943			36,582,522			668,607			905,035			9,680,094			11,700,485
End of year	$	4,238,275		$	3,584,093		$	34,940,910		$	26,148,943		$	673,664		$	668,607		$	10,354,152		$	9,680,094

The accompanying notes are an integral part of these financial statements.
34

	BHFTI Morgan Stanley Discovery Investment Division						BHFTI PanAgora Global Diversified Risk Investment Division						BHFTI PIMCO Inflation Protected Bond Investment Division
	2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	—		$	—		$	110,243		$	192,209		$	201,338		$	592,459
Net realized gains (losses)		(1,922,465	)		3,552,906			(82,567	)		56,005			(107,764	)		(22,349	)
Change in unrealized gains (losses) on investments		5,250,484			(15,742,046	)		67,345			(552,281	)		203,993			(1,697,089	)
Net increase (decrease) in net assets resulting from operations		3,328,019			(12,189,140	)		95,021			(304,067	)		297,567			(1,126,979	)
Policy Transactions:
Premium payments received from policy owners		910,061			1,002,524			214,702			139,378			621,982			681,841
Net transfers (including fixed account)		(66,454	)		705,436			637,340			1,556,549			1,899			(58,701	)
Policy charges		(297,196	)		(370,397	)		(146,555	)		(95,209	)		(285,800	)		(326,362	)
Transfers for policy benefits and terminations		(734,162	)		(213,954	)		(160,252	)		(99,264	)		(863,063	)		(596,720	)
Net increase (decrease) in net assets resulting from policy transactions		(187,751	)		1,123,609			545,235			1,501,454			(524,982	)		(299,942	)
Net increase (decrease) in net assets		3,140,268			(11,065,531	)		640,256			1,197,387			(227,415	)		(1,426,921	)
Net Assets:
Beginning of year		7,932,304			18,997,835			1,425,861			228,474			8,340,895			9,767,816
End of year	$	11,072,572		$	7,932,304		$	2,066,117		$	1,425,861		$	8,113,480		$	8,340,895

The accompanying notes are an integral part of these financial statements.
35

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS — (Continued)

For the years ended December 31, 2023 and 2022

	BHFTI PIMCO Total Return Investment Division						BHFTI Schroders Global Multi-Asset Investment Division						BHFTI SSGA Growth and Income ETF Investment Division						BHFTI SSGA Growth ETF Investment Division
	2023			2022			2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	575,065		$	636,492		$	27,758		$	20,828		$	274,879		$	370,508		$	371,599		$	527,483
Net realized gains (losses)		(523,358	)		(401,302	)		(10,162	)		91,434			(167,628	)		1,729,848			685,332			2,849,895
Change in unrealized gains (losses) on investments		1,059,567			(3,511,674	)		191,379			(471,534	)		1,344,367			(4,071,916	)		1,566,186			(6,521,864	)
Net increase (decrease) in net assets resulting from operations		1,111,274			(3,276,484	)		208,975			(359,272	)		1,451,618			(1,971,560	)		2,623,117			(3,144,486	)
Policy Transactions:
Premium payments received from policy owners		1,430,945			1,664,299			80,817			124,215			736,725			835,949			1,180,432			1,278,208
Net transfers (including fixed account)		565,649			(1,545,741	)		1,802			2,905			(69,955	)		(17,474	)		39,445			(185,790	)
Policy charges		(654,154	)		(797,205	)		(48,110	)		(52,309	)		(414,412	)		(487,826	)		(532,917	)		(564,712	)
Transfers for policy benefits and terminations		(1,760,119	)		(1,059,215	)		(83,073	)		(78,287	)		(690,110	)		(1,226,483	)		(1,260,183	)		(1,055,725	)
Net increase (decrease) in net assets resulting from policy transactions		(417,679	)		(1,737,862	)		(48,564	)		(3,476	)		(437,752	)		(895,834	)		(573,223	)		(528,019	)
Net increase (decrease) in net assets		693,595			(5,014,346	)		160,411			(362,748	)		1,013,866			(2,867,394	)		2,049,894			(3,672,505	)
Net Assets:
Beginning of year		18,276,115			23,290,461			1,420,536			1,783,284			10,515,752			13,383,146			16,512,324			20,184,829
End of year	$	18,969,710		$	18,276,115		$	1,580,947		$	1,420,536		$	11,529,618		$	10,515,752		$	18,562,218		$	16,512,324

The accompanying notes are an integral part of these financial statements.
36

	BHFTI T. Rowe Price Mid Cap Growth Investment Division						BHFTI Victory Sycamore Mid Cap Value Investment Division						BHFTII Baillie Gifford International Stock Investment Division
	2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	—		$	—		$	194,811		$	224,572		$	43,202		$	42,781
Net realized gains (losses)		594,325			3,510,638			1,362,942			1,530,423			(106,300	)		251,591
Change in unrealized gains (losses) on investments		3,538,916			(10,092,536	)		(400,786	)		(2,128,296	)		686,007			(1,653,937	)
Net increase (decrease) in net assets resulting from operations		4,133,241			(6,581,898	)		1,156,967			(373,301	)		622,909			(1,359,565	)
Policy Transactions:
Premium payments received from policy owners		1,419,595			1,744,135			677,818			719,987			268,890			291,786
Net transfers (including fixed account)		(546,758	)		(884,331	)		376,779			(390,703	)		(153,989	)		243,508
Policy charges		(707,763	)		(897,312	)		(323,736	)		(352,120	)		(102,697	)		(117,128	)
Transfers for policy benefits and terminations		(1,730,749	)		(1,554,372	)		(1,006,220	)		(624,605	)		(276,469	)		(245,930	)
Net increase (decrease) in net assets resulting from policy transactions		(1,565,675	)		(1,591,880	)		(275,359	)		(647,441	)		(264,265	)		172,236
Net increase (decrease) in net assets		2,567,566			(8,173,778	)		881,608			(1,020,742	)		358,644			(1,187,329	)
Net Assets:
Beginning of year		21,364,266			29,538,044			11,625,865			12,646,607			3,488,203			4,675,532
End of year	$	23,931,832		$	21,364,266		$	12,507,473		$	11,625,865		$	3,846,847		$	3,488,203

The accompanying notes are an integral part of these financial statements.
37

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS — (Continued)

For the years ended December 31, 2023 and 2022

	BHFTII BlackRock Bond Income Investment Division						BHFTII BlackRock Capital Appreciation Investment Division						BHFTII Brighthouse Asset Allocation 20 Investment Division						BHFTII Brighthouse Asset Allocation 40 Investment Division
	2023			2022			2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	197,757		$	180,651		$	5,519		$	—		$	70,229		$	68,619		$	226,414		$	188,259
Net realized gains (losses)		(96,824	)		(117,252	)		(188,369	)		3,298,001			11,125			32,666			269,117			176,693
Change in unrealized gains (losses) on investments		270,108			(1,079,401	)		5,408,815			(9,857,538	)		97,321			(386,616	)		143,149			(1,393,785	)
Net increase (decrease) in net assets resulting from operations		371,041			(1,016,002	)		5,225,965			(6,559,537	)		178,675			(285,331	)		638,680			(1,028,833	)
Policy Transactions:
Premium payments received from policy owners		588,456			621,465			840,785			1,075,612			127,030			150,543			546,697			596,401
Net transfers (including fixed account)		867,134			(521,508	)		(806,706	)		(146,739	)		584,429			(72,497	)		5,413			(38,065	)
Policy charges		(245,629	)		(274,962	)		(440,345	)		(489,033	)		(146,499	)		(134,641	)		(410,184	)		(441,152	)
Transfers for policy benefits and terminations		(477,714	)		(427,775	)		(509,653	)		(371,455	)		(56,639	)		(50,918	)		(134,318	)		(827,340	)
Net increase (decrease) in net assets resulting from policy transactions		732,247			(602,780	)		(915,919	)		68,385			508,321			(107,513	)		7,608			(710,156	)
Net increase (decrease) in net assets		1,103,288			(1,618,782	)		4,310,046			(6,491,152	)		686,996			(392,844	)		646,288			(1,738,989	)
Net Assets:
Beginning of year		5,744,603			7,363,385			10,981,697			17,472,849			1,860,227			2,253,071			5,909,882			7,648,871
End of year	$	6,847,891		$	5,744,603		$	15,291,743		$	10,981,697		$	2,547,223		$	1,860,227		$	6,556,170		$	5,909,882

The accompanying notes are an integral part of these financial statements.
38

	BHFTII Brighthouse Asset Allocation 60 Investment Division						BHFTII Brighthouse Asset Allocation 80 Investment Division						BHFTII Brighthouse/ Artisan Mid Cap Value Investment Division
	2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	1,683,897		$	1,235,551		$	3,654,742		$	2,328,706		$	52,162		$	67,341
Net realized gains (losses)		3,612,023			3,653,146			11,967,211			10,246,779			749,679			949,854
Change in unrealized gains (losses) on investments		1,312,035			(13,813,559	)		2,441,067			(35,814,804	)		296,729			(2,002,382	)
Net increase (decrease) in net assets resulting from operations		6,607,955			(8,924,862	)		18,063,020			(23,239,319	)		1,098,570			(985,187	)
Policy Transactions:
Premium payments received from policy owners		3,131,473			3,366,667			7,366,794			8,090,777			418,911			437,454
Net transfers (including fixed account)		(370,775	)		(421,201	)		(508,700	)		(290,817	)		(175,186	)		481,934
Policy charges		(1,897,182	)		(2,051,632	)		(3,922,190	)		(4,320,810	)		(198,239	)		(295,795	)
Transfers for policy benefits and terminations		(2,561,189	)		(3,159,194	)		(7,371,878	)		(6,646,251	)		(480,153	)		(566,779	)
Net increase (decrease) in net assets resulting from policy transactions		(1,697,673	)		(2,265,360	)		(4,435,974	)		(3,167,101	)		(434,667	)		56,814
Net increase (decrease) in net assets		4,910,282			(11,190,222	)		13,627,046			(26,406,420	)		663,903			(928,373	)
Net Assets:
Beginning of year		48,302,880			59,493,102			105,733,249			132,139,669			6,157,384			7,085,757
End of year	$	53,213,162		$	48,302,880		$	119,360,295		$	105,733,249		$	6,821,287		$	6,157,384

The accompanying notes are an integral part of these financial statements.
39

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS — (Continued)

For the years ended December 31, 2023 and 2022

	BHFTII Brighthouse/Wellington Balanced Investment Division						BHFTII Brighthouse/Wellington Core Equity Opportunities Investment Division						BHFTII Frontier Mid Cap Growth Investment Division						BHFTII Jennison Growth Investment Division
	2023			2022			2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	86,958		$	73,806		$	286,755		$	297,736		$	—		$	—		$	—		$	—
Net realized gains (losses)		(2,927	)		510,129			2,014,352			3,829,979			(103,209	)		1,860,459			(638,289	)		2,661,376
Change in unrealized gains (losses) on investments		594,402			(1,423,358	)		(812,790	)		(5,284,725	)		1,224,436			(4,291,098	)		6,290,819			(9,643,744	)
Net increase (decrease) in net assets resulting from operations		678,433			(839,423	)		1,488,317			(1,157,010	)		1,121,227			(2,430,639	)		5,652,530			(6,982,368	)
Policy Transactions:
Premium payments received from policy owners		235,809			263,385			997,444			1,025,183			383,272			401,928			873,626			950,360
Net transfers (including fixed account)		(49,264	)		(7,630	)		124,751			(604,863	)		43,203			191,072			245,441			(361,781	)
Policy charges		(111,464	)		(118,622	)		(500,769	)		(543,740	)		(182,845	)		(195,012	)		(381,209	)		(411,537	)
Transfers for policy benefits and terminations		(285,699	)		(403,244	)		(1,510,436	)		(909,381	)		(256,867	)		(361,190	)		(897,311	)		(425,954	)
Net increase (decrease) in net assets resulting from policy transactions		(210,618	)		(266,111	)		(889,010	)		(1,032,801	)		(13,237	)		36,798			(159,453	)		(248,912	)
Net increase (decrease) in net assets		467,815			(1,105,534	)		599,307			(2,189,811	)		1,107,990			(2,393,841	)		5,493,077			(7,231,280	)
Net Assets:
Beginning of year		3,830,455			4,935,989			20,384,704			22,574,515			6,252,484			8,646,325			10,900,366			18,131,646
End of year	$	4,298,270		$	3,830,455		$	20,984,011		$	20,384,704		$	7,360,474		$	6,252,484		$	16,393,443		$	10,900,366

The accompanying notes are an integral part of these financial statements.
40

	BHFTII Loomis Sayles Small Cap Core Investment Division						BHFTII Loomis Sayles Small Cap Growth Investment Division						BHFTII MetLife Aggregate Bond Index Investment Division
	2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	14,510		$	—		$	—		$	—		$	748,317		$	752,732
Net realized gains (losses)		280,135			1,342,115			(73,761	)		959,058			(262,536	)		(460,526	)
Change in unrealized gains (losses) on investments		927,334			(2,619,194	)		629,131			(2,356,259	)		826,785			(4,171,064	)
Net increase (decrease) in net assets resulting from operations		1,221,979			(1,277,079	)		555,370			(1,397,201	)		1,312,566			(3,878,858	)
Policy Transactions:
Premium payments received from policy owners		475,797			489,986			304,658			327,422			2,265,665			2,417,634
Net transfers (including fixed account)		30,649			316,547			210,563			71,711			2,705,017			(1,986,547	)
Policy charges		(219,784	)		(230,415	)		(151,909	)		(166,179	)		(1,048,303	)		(1,186,628	)
Transfers for policy benefits and terminations		(506,622	)		(330,569	)		(336,811	)		(114,288	)		(1,783,329	)		(1,910,133	)
Net increase (decrease) in net assets resulting from policy transactions		(219,960	)		245,549			26,501			118,666			2,139,050			(2,665,674	)
Net increase (decrease) in net assets		1,002,019			(1,031,530	)		581,871			(1,278,535	)		3,451,616			(6,544,532	)
Net Assets:
Beginning of year		7,172,418			8,203,948			4,686,155			5,964,690			23,879,515			30,424,047
End of year	$	8,174,437		$	7,172,418		$	5,268,026		$	4,686,155		$	27,331,131		$	23,879,515

The accompanying notes are an integral part of these financial statements.
41

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS — (Continued)

For the years ended December 31, 2023 and 2022

	BHFTII MetLife Mid Cap Stock Index Investment Division						BHFTII MetLife MSCI EAFE®​ Index Investment Division						BHFTII MetLife Russell 2000®​ Index Investment Division						BHFTII MetLife Stock Index Investment Division
	2023			2022			2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	323,893		$	271,193		$	753,451		$	1,066,080		$	253,840		$	201,486		$	1,163,561		$	1,009,019
Net realized gains (losses)		1,481,589			4,037,503			194,054			838,356			222,003			3,317,404			6,691,394			8,465,674
Change in unrealized gains (losses) on investments		1,926,602			(7,990,446	)		3,982,880			(6,529,376	)		2,582,273			(8,043,163	)		11,306,491			(26,206,830	)
Net increase (decrease) in net assets resulting from operations		3,732,084			(3,681,750	)		4,930,385			(4,624,940	)		3,058,116			(4,524,273	)		19,161,446			(16,732,137	)
Policy Transactions:
Premium payments received from policy owners		1,688,540			1,899,548			2,052,703			2,197,667			1,376,727			1,431,692			5,364,890			5,529,738
Net transfers (including fixed account)		495,082			(410,821	)		(1,723,103	)		1,119,547			687,134			15,063			(961,803	)		577,443
Policy charges		(834,060	)		(948,255	)		(957,142	)		(1,058,316	)		(649,266	)		(724,484	)		(2,656,227	)		(2,948,401	)
Transfers for policy benefits and terminations		(1,630,746	)		(1,525,954	)		(1,751,494	)		(1,423,117	)		(854,455	)		(1,069,408	)		(5,019,246	)		(4,037,780	)
Net increase (decrease) in net assets resulting from policy transactions		(281,184	)		(985,482	)		(2,379,036	)		835,781			560,140			(347,137	)		(3,272,386	)		(879,000	)
Net increase (decrease) in net assets		3,450,900			(4,667,232	)		2,551,349			(3,789,159	)		3,618,256			(4,871,410	)		15,889,060			(17,611,137	)
Net Assets:
Beginning of year		23,506,942			28,174,174			29,515,993			33,305,152			17,728,569			22,599,979			75,085,567			92,696,704
End of year	$	26,957,842		$	23,506,942		$	32,067,342		$	29,515,993		$	21,346,825		$	17,728,569		$	90,974,627		$	75,085,567

The accompanying notes are an integral part of these financial statements.
42

	BHFTII MFS®​ Total Return Investment Division						BHFTII MFS®​ Value Investment Division						BHFTII Neuberger Berman Genesis Investment Division
	2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	115,630		$	90,606		$	581,790		$	544,010		$	9,372		$	—
Net realized gains (losses)		221,411			489,272			3,484,445			4,574,396			598,474			1,279,297
Change in unrealized gains (losses) on investments		177,276			(1,114,088	)		(1,581,678	)		(7,315,563	)		441,354			(3,022,790	)
Net increase (decrease) in net assets resulting from operations		514,317			(534,210	)		2,484,557			(2,197,157	)		1,049,200			(1,743,493	)
Policy Transactions:
Premium payments received from policy owners		314,318			282,180			1,724,511			1,930,432			396,556			421,155
Net transfers (including fixed account)		269,198			(160,864	)		(196,925	)		(738,730	)		(61,959	)		362,836
Policy charges		(139,494	)		(144,788	)		(824,940	)		(928,537	)		(181,343	)		(188,947	)
Transfers for policy benefits and terminations		(517,771	)		(141,301	)		(1,536,251	)		(1,752,570	)		(321,730	)		(630,916	)
Net increase (decrease) in net assets resulting from policy transactions		(73,749	)		(164,773	)		(833,605	)		(1,489,405	)		(168,476	)		(35,872	)
Net increase (decrease) in net assets		440,568			(698,983	)		1,650,952			(3,686,562	)		880,724			(1,779,365	)
Net Assets:
Beginning of year		4,894,487			5,593,470			31,170,517			34,857,079			6,862,801			8,642,166
End of year	$	5,335,055		$	4,894,487		$	32,821,469		$	31,170,517		$	7,743,525		$	6,862,801

The accompanying notes are an integral part of these financial statements.
43

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
STATEMENTS OF CHANGES IN NET ASSETS — (Concluded)

For the years ended December 31, 2023 and 2022

	BHFTII T. Rowe Price Large Cap Growth Investment Division						BHFTII T. Rowe Price Small Cap Growth Investment Division						BHFTII VanEck Global Natural Resources Investment Division						BHFTII Western Asset Management Strategic Bond Opportunities Investment Division
	2023			2022			2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	—		$	—		$	8,970		$	34,486		$	124,274		$	113,518		$	855,146		$	790,347
Net realized gains (losses)		(774,226	)		5,345,251			177,708			2,764,708			143,518			291,254			(262,335	)		(128,033	)
Change in unrealized gains (losses) on investments		11,454,850			(21,022,192	)		3,113,944			(7,227,048	)		(412,166	)		18,217			591,434			(3,156,751	)
Net increase (decrease) in net assets resulting from operations		10,680,624			(15,676,941	)		3,300,622			(4,427,854	)		(144,374	)		422,989			1,184,245			(2,494,437	)
Policy Transactions:
Premium payments received from policy owners		1,847,995			2,173,778			1,061,951			1,239,758			291,318			318,402			916,962			967,891
Net transfers (including fixed account)		(1,067,366	)		453,909			670,587			(154,736	)		(172,334	)		(410,624	)		874,110			(532,724	)
Policy charges		(876,941	)		(1,032,462	)		(502,826	)		(562,048	)		(138,069	)		(156,966	)		(418,696	)		(458,724	)
Transfers for policy benefits and terminations		(2,246,540	)		(1,141,910	)		(934,835	)		(861,641	)		(249,073	)		(135,264	)		(879,312	)		(470,912	)
Net increase (decrease) in net assets resulting from policy transactions		(2,342,852	)		453,315			294,877			(338,667	)		(268,158	)		(384,452	)		493,064			(494,469	)
Net increase (decrease) in net assets		8,337,772			(15,223,626	)		3,595,499			(4,766,521	)		(412,532	)		38,537			1,677,309			(2,988,906	)
Net Assets:
Beginning of year		23,408,202			38,631,828			15,243,456			20,009,977			4,133,873			4,095,336			12,141,227			15,130,133
End of year	$	31,745,974		$	23,408,202		$	18,838,955		$	15,243,456		$	3,721,341		$	4,133,873		$	13,818,536		$	12,141,227

The accompanying notes are an integral part of these financial statements.
44

	BHFTII Western Asset Management U.S. Government Investment Division						FTVIPT Franklin Income VIP Investment Division						FTVIPT Franklin Mutual Shares VIP Investment Division
	2023			2022			2023			2022			2023			2022
Increase (Decrease) in Net Assets:
From Operations:
Net investment income (loss)	$	72,110		$	63,277		$	63,360		$	39,919		$	27,603		$	30,936
Net realized gains (losses)		(22,319	)		(50,941	)		60,882			17,869			50,166			152,215
Change in unrealized gains (losses) on investments		87,032			(273,093	)		(21,373	)		(96,020	)		118,129			(342,800	)
Net increase (decrease) in net assets resulting from operations		136,823			(260,757	)		102,869			(38,232	)		195,898			(159,649	)
Policy Transactions:
Premium payments received from policy owners		192,076			179,408			84,489			88,897			157,049			172,878
Net transfers (including fixed account)		725,721			(204,129	)		(299,380	)		359,983			(385,090	)		103,854
Policy charges		(124,051	)		(113,694	)		(45,023	)		(42,220	)		(50,288	)		(62,718	)
Transfers for policy benefits and terminations		(96,082	)		(119,683	)		(8,545	)		(16,166	)		(83,481	)		—
Net increase (decrease) in net assets resulting from policy transactions		697,664			(258,098	)		(268,459	)		390,494			(361,810	)		214,014
Net increase (decrease) in net assets		834,487			(518,855	)		(165,590	)		352,262			(165,912	)		54,365
Net Assets:
Beginning of year		2,503,055			3,021,910			1,178,900			826,638			1,674,680			1,620,315
End of year	$	3,337,542		$	2,503,055		$	1,013,310		$	1,178,900		$	1,508,768		$	1,674,680

The accompanying notes are an integral part of these financial statements.
45

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS

1.  ORGANIZATION

Brighthouse Variable Life Account A (the "Separate Account"), a separate account of Brighthouse Life Insurance Company (the "Company"), was established by the Board of Directors of MetLife Investors USA Insurance Company ("MLI-USA") on November 15, 2005 to support MLI-USA's operations with respect to certain variable life insurance policies (the "Policies"). The Company is an indirect wholly-owned subsidiary of Brighthouse Financial, Inc. The Separate Account is registered as a unit investment trust under the Investment Company Act of 1940, as amended, and is subject to the rules and regulations of the U.S. Securities and Exchange Commission, as well as the Delaware Department of Insurance.

The Separate Account is divided into Investment Divisions, each of which is treated as an individual accounting entity for financial reporting purposes. Each Investment Division invests in shares of the corresponding fund or portfolio (with the same name) of the registered investment management companies (the "Trusts"), which are presented below:

American Funds Insurance Series^®​ ("American Funds^®​")

Brighthouse Funds Trust I ("BHFTI")*

Brighthouse Funds Trust II ("BHFTII")*

Franklin Templeton Variable Insurance Products Trust ("FTVIPT")

*See Note 4 for a discussion of additional information on related party transactions.

The assets of each of the Investment Divisions of the Separate Account are registered in the name of the Company. Under applicable insurance law, the assets and liabilities of the Separate Account are clearly identified and distinguished from the Company's other assets and liabilities. The portion of the Separate Account's assets applicable to the Policies is not chargeable with liabilities arising out of any other business the Company may conduct.

2.  LIST OF INVESTMENT DIVISIONS

Premium payments, less any applicable charges applied to the Separate Account, are invested in one or more Investment Divisions in accordance with the selection made by the policy owner. The following Investment Divisions had net assets as of December 31, 2023:

American Funds^®​ Global Small Capitalization Investment Division

American Funds^®​ Growth Investment Division

American Funds^®​ Growth-Income Investment Division

American Funds^®​ The Bond Fund of America Investment Division

BHFTI AB Global Dynamic Allocation Investment Division

BHFTI American Funds^®​ Balanced Allocation Investment Division

BHFTI American Funds^®​ Growth Allocation Investment Division

BHFTI American Funds^®​ Moderate Allocation Investment Division

BHFTI BlackRock Global Tactical Strategies Investment Division

BHFTI Brighthouse Asset Allocation 100 Investment Division

BHFTI Brighthouse Balanced Plus Investment Division

BHFTI Brighthouse/abrdn Emerging Markets Equity Investment Division

BHFTI Brighthouse/Templeton International Bond Investment Division

BHFTI Brighthouse/Wellington Large Cap Research Investment Division

BHFTI CBRE Global Real Estate Investment Division

BHFTI Harris Oakmark International Investment Division

BHFTI Invesco Balanced-Risk Allocation Investment Division

BHFTI Invesco Global Equity Investment Division

BHFTI Invesco Small Cap Growth Investment Division

BHFTI JPMorgan Global Active Allocation Investment Division

BHFTI JPMorgan Small Cap Value Investment Division

BHFTI Loomis Sayles Global Allocation Investment Division

46

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS — (Continued)

2.  LIST OF INVESTMENT DIVISIONS — (Concluded)

BHFTI Loomis Sayles Growth Investment Division

BHFTI MetLife Multi-Index Targeted Risk Investment Division

BHFTI MFS^®​ Research International Investment Division

BHFTI Morgan Stanley Discovery Investment Division

BHFTI PanAgora Global Diversified Risk Investment Division

BHFTI PIMCO Inflation Protected Bond Investment Division

BHFTI PIMCO Total Return Investment Division

BHFTI Schroders Global Multi-Asset Investment Division

BHFTI SSGA Growth and Income ETF Investment Division

BHFTI SSGA Growth ETF Investment Division

BHFTI T. Rowe Price Mid Cap Growth Investment Division

BHFTI Victory Sycamore Mid Cap Value Investment Division

BHFTII Baillie Gifford International Stock Investment Division

BHFTII BlackRock Bond Income Investment Division

BHFTII BlackRock Capital Appreciation Investment Division

BHFTII Brighthouse Asset Allocation 20 Investment Division

BHFTII Brighthouse Asset Allocation 40 Investment Division

BHFTII Brighthouse Asset Allocation 60 Investment Division

BHFTII Brighthouse Asset Allocation 80 Investment Division

BHFTII Brighthouse/Artisan Mid Cap Value Investment Division

BHFTII Brighthouse/Wellington Balanced Investment Division

BHFTII Brighthouse/Wellington Core Equity Opportunities Investment Division

BHFTII Frontier Mid Cap Growth Investment Division

BHFTII Jennison Growth Investment Division

BHFTII Loomis Sayles Small Cap Core Investment Division

BHFTII Loomis Sayles Small Cap Growth Investment Division

BHFTII MetLife Aggregate Bond Index Investment Division

BHFTII MetLife Mid Cap Stock Index Investment Division

BHFTII MetLife MSCI EAFE^®​ Index Investment Division

BHFTII MetLife Russell 2000^®​ Index Investment Division

BHFTII MetLife Stock Index Investment Division

BHFTII MFS^®​ Total Return Investment Division

BHFTII MFS^®​ Value Investment Division

BHFTII Neuberger Berman Genesis Investment Division

BHFTII T. Rowe Price Large Cap Growth Investment Division

BHFTII T. Rowe Price Small Cap Growth Investment Division

BHFTII VanEck Global Natural Resources Investment Division

BHFTII Western Asset Management Strategic Bond Opportunities Investment Division

BHFTII Western Asset Management U.S. Government Investment Division

FTVIPT Franklin Income VIP Investment Division

FTVIPT Franklin Mutual Shares VIP Investment Division

3.  SIGNIFICANT ACCOUNTING POLICIES

Basis of Accounting

The financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") applicable for variable life separate accounts registered as unit investment trusts, which follow the accounting and reporting guidance in Financial Accounting Standards Board Accounting Standards Codification Topic 946, Investment Companies.

Security Transactions

Security transactions are recorded on a trade date basis. Realized gains and losses on the sales of investments are computed on the basis of the average cost of the investment sold. Income from dividends and realized gain distributions are recorded on the ex-distribution date.

47

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS — (Continued)

3.  SIGNIFICANT ACCOUNTING POLICIES — (Concluded)

Security Valuation

An Investment Division's investment in shares of a fund or portfolio of the Trusts is valued at fair value based on the closing net asset value ("NAV") or price per share as determined by the Trusts as of the end of the year. All changes in fair value are recorded as changes in unrealized gains (losses) on investments in the statements of operations of the applicable Investment Divisions. The Separate Account defines fair value as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Each Investment Division invests in shares of open-end mutual funds which calculate a daily NAV based on the fair value of the underlying securities in their portfolios. As a result, and as required by law, shares of open-end mutual funds are purchased and redeemed at their quoted daily NAV as reported by the Trusts at the close of each business day.

Federal Income Taxes

The operations of the Separate Account form a part of the total operations of the Company and are not taxed separately. The Company is taxed as a life insurance company under the provisions of the Internal Revenue Code ("IRC"). Under the current provisions of the IRC, the Company does not expect to incur federal income taxes on the earnings of the Separate Account to the extent the earnings are credited under the Policies. Accordingly, no charge is currently being made to the Separate Account for federal income taxes. The Company will periodically review the status of this policy in the event of changes in the tax law. A charge may be made in future years for any federal income taxes that would be attributable to the Policies.

Premium Payments

The Company deducts a sales charge for certain Policies and a state premium tax charge from premiums before amounts are allocated to the Separate Account. In the case of certain Policies, the Company also deducts a federal income tax charge before amounts are allocated to the Separate Account. This federal income tax charge is imposed in connection with certain Policies to recover a portion of the federal income tax adjustment attributable to policy acquisition expenses. Net premiums are reported as premium payments received from policy owners on the statements of changes in net assets of the applicable Investment Divisions and are credited as accumulation units.

Net Transfers

Assets transferred by the policy owner into or out of Investment Divisions within the Separate Account or into or out of the fixed account, which is part of the Company's general account, are recorded on a net basis as net transfers in the statements of changes in net assets of the applicable Investment Divisions.

Use of Estimates

The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect amounts reported herein. Actual results could differ from these estimates.

4.  EXPENSES AND RELATED PARTY TRANSACTIONS

The mortality and expense risk is assumed by the Company. The mortality risk assumed is the risk that those insured may die sooner than anticipated and therefore, the Company will pay an aggregate amount of death benefits greater than anticipated. The expense risk assumed is the risk that expenses incurred in issuing and administering the Policies will exceed the amounts realized from the administrative charges assessed against the Policies.

48

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS — (Continued)

4.  EXPENSES AND RELATED PARTY TRANSACTIONS — (Concluded)

The mortality and expense risk charge, which ranges from 0.05% to 0.60%, is assessed through the redemption of units on a monthly basis and is recorded as a policy charge in the statements of changes in net assets of the applicable Investment Divisions. Other policy charges that are assessed through the redemption of units generally include: Cost of Insurance ("COI") charges, a coverage expense charge, a policy fee, and charges for benefits provided by rider, if any. The COI charge is the primary charge under the policy for the death benefit provided by the Company which may vary by policy based on underwriting criteria. A coverage expense charge ranges from $0.04 to $2.30 for every $1,000 of the policy face amount and is assessed each month for the first 8 policy years. Policy fees are assessed monthly and range from $9 to $12 for Policies with face amounts less than $50,000 and from $8 to $15 for Policies with face amounts between $50,000 and $249,999 depending on the policy year. No policy fee applies to Policies issued with face amounts equal to or greater than $250,000. In addition, a surrender charge is imposed if the policy is partially or fully surrendered within the specified surrender charge period that ranges from $3.75 to $38.25 per $1,000 of the policy face amount. The Policies offer optional benefits that can be added to the policy by rider. The charge for riders that provide life insurance benefits can range from $0.02 to $0.40 per $1,000 of coverage and the charge for riders providing benefits in the event of disability can range from $0.00 to $61.44 per $100 of the benefit provided. These charges are paid to the Company and are recorded as a policy charge in the statements of changes in net assets of the applicable Investment Divisions.

BHFTI and BHFTII currently offer shares of their portfolios only to separate accounts established by the Company and other affiliated life insurance companies, along with separate accounts of Metropolitan Life Insurance Company and its affiliated insurance companies. BHFTI and BHFTII portfolios are managed by Brighthouse Investment Advisers, LLC ("Brighthouse Advisers"), an affiliate of the Company. Brighthouse Advisers is also the investment adviser to the portfolios of BHFTI and BHFTII.

49

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS — (Continued)

5.  STATEMENTS OF INVESTMENTS

	As of December 31, 2023				For the year ended December 31, 2023
	Shares		Cost ($)		Cost of Purchases ($)		Proceeds from Sales ($)
American Funds®​ Global Small Capitalization Investment Division		1,174,121		24,012,331		1,278,066		1,836,708
American Funds®​ Growth Investment Division		889,323		81,934,572		7,394,643		8,460,109
American Funds®​ Growth-Income Investment Division		705,273		32,517,328		3,639,445		3,838,523
American Funds®​ The Bond Fund of America Investment Division		773,146		8,224,181		1,441,851		859,989
BHFTI AB Global Dynamic Allocation Investment Division		81,364		897,132		147,330		1,495,766
BHFTI American Funds®​ Balanced Allocation Investment Division		1,439,472		13,646,770		2,421,152		567,374
BHFTI American Funds®​ Growth Allocation Investment Division		4,055,831		36,518,162		6,093,670		1,441,765
BHFTI American Funds®​ Moderate Allocation Investment Division		1,255,019		11,731,948		2,136,148		425,130
BHFTI BlackRock Global Tactical Strategies Investment Division		240,962		2,382,604		160,007		180,281
BHFTI Brighthouse Asset Allocation 100 Investment Division		3,016,630		33,789,734		6,481,476		3,600,606
BHFTI Brighthouse Balanced Plus Investment Division		333,760		3,487,216		271,521		847,293
BHFTI Brighthouse/abrdn Emerging Markets Equity Investment Division		485,574		4,877,831		649,547		838,841
BHFTI Brighthouse/Templeton International Bond Investment Division		230,294		2,020,408		268,446		439,899
BHFTI Brighthouse/Wellington Large Cap Research Investment Division		523,224		6,793,492		1,139,258		661,243
BHFTI CBRE Global Real Estate Investment Division		1,125,810		12,133,851		1,385,452		954,230
BHFTI Harris Oakmark International Investment Division		1,835,225		23,689,775		2,498,908		4,509,883
BHFTI Invesco Balanced-Risk Allocation Investment Division		156,794		1,438,036		184,726		1,260,538
BHFTI Invesco Global Equity Investment Division		708,349		14,935,822		1,610,016		1,945,644
BHFTI Invesco Small Cap Growth Investment Division		747,025		8,884,393		490,916		673,541
BHFTI JPMorgan Global Active Allocation Investment Division		138,527		1,536,913		129,935		965,433
BHFTI JPMorgan Small Cap Value Investment Division		402,597		5,354,332		946,396		299,611
BHFTI Loomis Sayles Global Allocation Investment Division		277,738		4,284,730		273,173		259,392
BHFTI Loomis Sayles Growth Investment Division		2,252,799		30,493,089		2,805,619		5,039,436
BHFTI MetLife Multi-Index Targeted Risk Investment Division		65,660		772,276		49,367		109,171
BHFTI MFS®​ Research International Investment Division		855,715		9,558,157		1,210,436		1,375,744
BHFTI Morgan Stanley Discovery Investment Division		1,935,765		24,245,613		950,275		1,138,025
BHFTI PanAgora Global Diversified Risk Investment Division		350,784		2,537,165		903,730		248,251
BHFTI PIMCO Inflation Protected Bond Investment Division		854,051		8,760,339		761,958		1,085,602
BHFTI PIMCO Total Return Investment Division		1,912,269		21,970,545		2,698,753		2,541,366
BHFTI Schroders Global Multi-Asset Investment Division		138,801		1,606,230		81,860		102,665
BHFTI SSGA Growth and Income ETF Investment Division		1,155,272		12,722,445		786,437		949,310
BHFTI SSGA Growth ETF Investment Division		1,861,807		20,353,283		2,247,752		1,524,821
BHFTI T. Rowe Price Mid Cap Growth Investment Division		2,516,491		26,097,545		2,283,488		2,747,267
BHFTI Victory Sycamore Mid Cap Value Investment Division		644,051		11,848,805		2,644,493		1,424,003
BHFTII Baillie Gifford International Stock Investment Division		367,416		4,046,317		446,680		667,744
BHFTII BlackRock Bond Income Investment Division		74,224		7,666,871		1,494,403		564,397
BHFTII BlackRock Capital Appreciation Investment Division		421,958		15,673,409		1,052,177		1,707,406
BHFTII Brighthouse Asset Allocation 20 Investment Division		267,285		2,773,674		815,564		195,542
BHFTII Brighthouse Asset Allocation 40 Investment Division		678,693		7,470,977		825,169		276,511
BHFTII Brighthouse Asset Allocation 60 Investment Division		5,369,643		60,061,469		7,154,590		3,086,485
BHFTII Brighthouse Asset Allocation 80 Investment Division		11,197,026		132,252,098		18,461,800		6,319,159

50

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS — (Continued)

5.  STATEMENTS OF INVESTMENTS — (Concluded)

	As of December 31, 2023				For the year ended December 31, 2023
	Shares		Cost ($)		Cost of Purchases ($)		Proceeds from Sales ($)
BHFTII Brighthouse/Artisan Mid Cap Value Investment Division		31,381		7,191,412		1,110,683		701,940
BHFTII Brighthouse/Wellington Balanced Investment Division		238,660		4,363,574		288,474		381,555
BHFTII Brighthouse/Wellington Core Equity Opportunities Investment Division		735,765		21,951,568		3,331,165		1,816,452
BHFTII Frontier Mid Cap Growth Investment Division		293,129		8,439,906		358,837		372,074
BHFTII Jennison Growth Investment Division		1,143,995		16,919,953		1,926,037		2,085,490
BHFTII Loomis Sayles Small Cap Core Investment Division		35,217		8,363,879		773,948		625,734
BHFTII Loomis Sayles Small Cap Growth Investment Division		496,048		6,102,375		329,238		302,737
BHFTII MetLife Aggregate Bond Index Investment Division		2,870,917		30,849,138		4,445,231		1,557,865
BHFTII MetLife Mid Cap Stock Index Investment Division		1,597,029		26,221,423		3,373,175		1,769,209
BHFTII MetLife MSCI EAFE®​ Index Investment Division		2,160,872		27,703,201		2,246,712		3,872,295
BHFTII MetLife Russell 2000®​ Index Investment Division		1,223,314		21,649,864		2,031,614		883,948
BHFTII MetLife Stock Index Investment Division		1,499,747		70,964,229		10,898,850		7,511,491
BHFTII MFS®​ Total Return Investment Division		35,243		5,458,068		855,000		547,437
BHFTII MFS®​ Value Investment Division		2,357,864		34,814,195		6,427,222		3,002,705
BHFTII Neuberger Berman Genesis Investment Division		419,249		7,793,627		1,117,798		640,404
BHFTII T. Rowe Price Large Cap Growth Investment Division		1,533,622		32,234,211		1,502,973		3,845,824
BHFTII T. Rowe Price Small Cap Growth Investment Division		946,681		19,725,930		1,970,196		1,274,343
BHFTII VanEck Global Natural Resources Investment Division		312,981		3,172,893		731,573		875,457
BHFTII Western Asset Management Strategic Bond Opportunities Investment Division		1,259,666		15,811,896		2,640,235		1,292,025
BHFTII Western Asset Management U.S. Government Investment Division		316,655		3,602,949		952,984		183,209
FTVIPT Franklin Income VIP Investment Division		71,360		1,052,685		230,664		358,949
FTVIPT Franklin Mutual Shares VIP Investment Division		98,419		1,710,431		353,942		561,100

51

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS — (Continued)

6.  SCHEDULES OF UNITS
For the years ended December 31, 2023 and 2022:

	American Funds®​ Global Small Capitalization Investment Division						American Funds®​ Growth Investment Division						American Funds®​ Growth-Income Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		269,198			266,588			731,046			747,386			66,958			71,199
Units issued and transferred from other funding options		29,511			39,004			65,951			77,742			5,050			5,454
Units redeemed and transferred to other funding options		(41,440	)		(36,394	)		(117,221	)		(94,082	)		(9,821	)		(9,695	)
Units end of year		257,269			269,198			679,776			731,046			62,187			66,958
	BHFTI American Funds®​ Growth Allocation Investment Division						BHFTI American Funds®​ Moderate Allocation Investment Division						BHFTI BlackRock Global Tactical Strategies Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		1,092,961			1,104,670			408,660			520,332			131,745			133,249
Units issued and transferred from other funding options		130,886			96,309			81,545			50,985			11,056			12,482
Units redeemed and transferred to other funding options		(100,696	)		(108,018	)		(40,309	)		(162,657	)		(16,405	)		(13,986	)
Units end of year		1,123,151			1,092,961			449,896			408,660			126,396			131,745
	BHFTI Brighthouse/Templeton International Bond Investment Division						BHFTI Brighthouse/ Wellington Large Cap Research Investment Division						BHFTI CBRE Global Real Estate Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		151,191			128,142			132,083			135,908			376,980			368,449
Units issued and transferred from other funding options		32,443			53,768			21,205			11,065			59,652			49,780
Units redeemed and transferred to other funding options		(46,190	)		(30,719	)		(18,970	)		(14,890	)		(54,963	)		(41,249	)
Units end of year		137,444			151,191			134,318			132,083			381,669			376,980
	BHFTI Invesco Small Cap Growth Investment Division						BHFTI JPMorgan Global Active Allocation Investment Division						BHFTI JPMorgan Small Cap Value Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		99,463			93,039			1,258,019			1,274,507			101,604			108,961
Units issued and transferred from other funding options		12,737			16,591			84,839			80,045			19,277			11,278
Units redeemed and transferred to other funding options		(16,020	)		(10,167	)		(581,007	)		(96,533	)		(12,945	)		(18,635	)
Units end of year		96,180			99,463			761,851			1,258,019			107,936			101,604

52

	American Funds®​ The Bond Fund of America Investment Division						BHFTI AB Global Dynamic Allocation Investment Division						BHFTI American Funds®​ Balanced Allocation Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		256,967			273,400			131,531			140,211			438,394			454,031
Units issued and transferred from other funding options		61,044			27,821			7,688			4,688			70,565			41,377
Units redeemed and transferred to other funding options		(47,684	)		(44,254	)		(93,334	)		(13,368	)		(39,317	)		(57,014	)
Units end of year		270,327			256,967			45,885			131,531			469,642			438,394
	BHFTI Brighthouse Asset Allocation 100 Investment Division						BHFTI Brighthouse Balanced Plus Investment Division						BHFTI Brighthouse/ abrdn Emerging Markets Equity Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		867,941			859,128			185,484			194,198			309,973			329,697
Units issued and transferred from other funding options		62,628			71,685			16,505			22,050			56,695			52,101
Units redeemed and transferred to other funding options		(130,743	)		(62,872	)		(53,460	)		(30,764	)		(75,109	)		(71,825	)
Units end of year		799,826			867,941			148,529			185,484			291,559			309,973
	BHFTI Harris Oakmark International Investment Division						BHFTI Invesco Balanced-Risk Allocation Investment Division						BHFTI Invesco Global Equity Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		620,295			606,095			1,500,310			1,293,897			239,804			235,172
Units issued and transferred from other funding options		81,131			89,349			119,836			347,591			18,863			28,697
Units redeemed and transferred to other funding options		(145,823	)		(75,149	)		(840,694	)		(141,178	)		(38,398	)		(24,065	)
Units end of year		555,603			620,295			779,452			1,500,310			220,269			239,804
	BHFTI Loomis Sayles Global Allocation Investment Division						BHFTI Loomis Sayles Growth Investment Division						BHFTI MetLife Multi-Index Targeted Risk Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		111,639			114,139			877,313			885,380			42,957			45,884
Units issued and transferred from other funding options		7,542			10,429			65,124			90,319			4,845			5,285
Units redeemed and transferred to other funding options		(11,424	)		(12,929	)		(171,514	)		(98,386	)		(9,777	)		(8,212	)
Units end of year		107,757			111,639			770,923			877,313			38,025			42,957

53

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS — (Continued)

6.  SCHEDULES OF UNITS — (Continued)
For the years ended December 31, 2023 and 2022:

	BHFTI MFS®​ Research International Investment Division						BHFTI Morgan Stanley Discovery Investment Division						BHFTI PanAgora Global Diversified Risk Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		332,399			332,252			181,349			163,009			1,156,157			137,716
Units issued and transferred from other funding options		40,110			41,435			30,830			36,180			719,897			1,208,467
Units redeemed and transferred to other funding options		(58,012	)		(41,288	)		(32,943	)		(17,840	)		(276,124	)		(190,026	)
Units end of year		314,497			332,399			179,236			181,349			1,599,930			1,156,157
	BHFTI SSGA Growth and Income ETF Investment Division						BHFTI SSGA Growth ETF Investment Division						BHFTI T. Rowe Price Mid Cap Growth Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		415,170			448,662			609,233			628,016			487,481			523,479
Units issued and transferred from other funding options		37,278			39,141			57,242			53,294			53,834			62,529
Units redeemed and transferred to other funding options		(53,584	)		(72,633	)		(76,709	)		(72,077	)		(86,674	)		(98,527	)
Units end of year		398,864			415,170			589,766			609,233			454,641			487,481
	BHFTII BlackRock Capital Appreciation Investment Division						BHFTII Brighthouse Asset Allocation 20 Investment Division						BHFTII Brighthouse Asset Allocation 40 Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		84,834			84,213			90,770			96,149			248,206			277,449
Units issued and transferred from other funding options		9,071			11,363			36,904			7,613			24,197			39,377
Units redeemed and transferred to other funding options		(14,947	)		(10,742	)		(12,669	)		(12,992	)		(23,927	)		(68,620	)
Units end of year		78,958			84,834			115,005			90,770			248,476			248,206
	BHFTII Brighthouse/ Wellington Balanced Investment Division						BHFTII Brighthouse/ Wellington Core Equity Opportunities Investment Division						BHFTII Frontier Mid Cap Growth Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		24,491			26,170			131,382			138,104			32,528			32,321
Units issued and transferred from other funding options		1,876			2,617			11,030			9,722			3,041			3,565
Units redeemed and transferred to other funding options		(3,097	)		(4,296	)		(16,788	)		(16,444	)		(3,117	)		(3,358	)
Units end of year		23,270			24,491			125,624			131,382			32,452			32,528

54

	BHFTI PIMCO Inflation Protected Bond Investment Division						BHFTI PIMCO Total Return Investment Division						BHFTI Schroders Global Multi-Asset Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		396,733			410,712			751,897			820,792			928,139			930,129
Units issued and transferred from other funding options		58,447			61,324			132,266			78,395			64,289			100,820
Units redeemed and transferred to other funding options		(83,188	)		(75,303	)		(149,452	)		(147,290	)		(94,358	)		(102,810	)
Units end of year		371,992			396,733			734,711			751,897			898,070			928,139
	BHFTI Victory Sycamore Mid Cap Value Investment Division						BHFTII Baillie Gifford International Stock Investment Division						BHFTII BlackRock Bond Income Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		131,106			139,119			125,791			120,383			51,824			57,031
Units issued and transferred from other funding options		19,550			14,587			17,772			21,504			14,693			6,420
Units redeemed and transferred to other funding options		(22,669	)		(22,600	)		(26,582	)		(16,096	)		(8,147	)		(11,627	)
Units end of year		127,987			131,106			116,981			125,791			58,370			51,824
	BHFTII Brighthouse Asset Allocation 60 Investment Division						BHFTII Brighthouse Asset Allocation 80 Investment Division						BHFTII Brighthouse/ Artisan Mid Cap Value Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		1,775,296			1,854,789			3,492,659			3,591,937			57,442			57,760
Units issued and transferred from other funding options		128,400			123,841			264,149			280,516			5,073			13,070
Units redeemed and transferred to other funding options		(187,064	)		(203,334	)		(401,380	)		(379,794	)		(8,828	)		(13,388	)
Units end of year		1,716,632			1,775,296			3,355,428			3,492,659			53,687			57,442
	BHFTII Jennison Growth Investment Division						BHFTII Loomis Sayles Small Cap Core Investment Division						BHFTII Loomis Sayles Small Cap Growth Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		193,276			196,531			51,764			50,290			108,734			106,623
Units issued and transferred from other funding options		36,851			26,228			5,044			7,697			12,451			14,168
Units redeemed and transferred to other funding options		(40,468	)		(29,483	)		(6,584	)		(6,223	)		(11,956	)		(12,057	)
Units end of year		189,659			193,276			50,224			51,764			109,229			108,734

55

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS — (Continued)

6.  SCHEDULES OF UNITS — (Concluded)
For the years ended December 31, 2023 and 2022:

	BHFTII MetLife Aggregate Bond Index Investment Division						BHFTII MetLife Mid Cap Stock Index Investment Division						BHFTII MetLife MSCI EAFE®​ Index Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		1,031,025			1,141,609			362,246			376,616			1,174,710			1,133,671
Units issued and transferred from other funding options		236,531			115,735			46,275			39,525			120,513			160,785
Units redeemed and transferred to other funding options		(145,790	)		(226,319	)		(50,653	)		(53,895	)		(213,002	)		(119,746	)
Units end of year		1,121,766			1,031,025			357,868			362,246			1,082,221			1,174,710
	BHFTII MFS®​ Value Investment Division						BHFTII Neuberger Berman Genesis Investment Division						BHFTII T. Rowe Price Large Cap Growth Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		626,447			658,666			109,712			111,698			397,474			390,542
Units issued and transferred from other funding options		76,417			60,545			11,579			19,278			45,829			59,326
Units redeemed and transferred to other funding options		(92,946	)		(92,764	)		(14,137	)		(21,264	)		(76,124	)		(52,394	)
Units end of year		609,918			626,447			107,154			109,712			367,179			397,474

	BHFTII Western Asset Management U.S. Government Investment Division						FTVIPT Franklin Income VIP Investment Division						FTVIPT Franklin Mutual Shares VIP Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		94,679			104,008			9,226			6,115			30,966			27,734
Units issued and transferred from other funding options		37,204			13,981			898			3,920			4,490			11,888
Units redeemed and transferred to other funding options		(11,499	)		(23,310	)		(2,823	)		(809	)		(10,868	)		(8,656	)
Units end of year		120,384			94,679			7,301			9,226			24,588			30,966

56

	BHFTII MetLife Russell 2000®​ Index Investment Division						BHFTII MetLife Stock Index Investment Division						BHFTII MFS®​ Total Return Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		302,334			307,440			363,685			366,835			31,669			32,705
Units issued and transferred from other funding options		42,647			36,472			41,466			46,495			4,383			3,133
Units redeemed and transferred to other funding options		(33,307	)		(41,578	)		(55,263	)		(49,645	)		(4,786	)		(4,169	)
Units end of year		311,674			302,334			349,888			363,685			31,266			31,669
	BHFTII T. Rowe Price Small Cap Growth Investment Division						BHFTII VanEck Global Natural Resources Investment Division						BHFTII Western Asset Management Strategic Bond Opportunities Investment Division
	2023			2022			2023			2022			2023			2022
Units beginning of year		194,417			198,671			22,513			24,140			248,661			258,261
Units issued and transferred from other funding options		31,124			22,355			4,835			4,225			50,596			21,922
Units redeemed and transferred to other funding options		(27,892	)		(26,609	)		(6,349	)		(5,852	)		(40,647	)		(31,522	)
Units end of year		197,649			194,417			20,999			22,513			258,610			248,661

57

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS — (Continued)

7.  FINANCIAL HIGHLIGHTS

The following table is a summary of unit values and units outstanding for the Policies, net assets, net investment income ratios, expense ratios, excluding expenses for the underlying fund or portfolio, and total return ratios for the respective stated periods in the five years ended December 31, 2023:

		As of December 31						For the year ended December 31
		Units		Unit Value		Net Assets ($)		Investment1​ Income Ratio (%)		Expense2​ Ratio (%)		Total3​ Return (%)
American Funds®​ Global	2023		257,269		79.87		20,547,119		0.26		0.00	16.17
Small Capitalization	2022		269,198		68.75		18,506,777		—		0.00	(29.55)
Investment Division	2021		266,588		97.59		26,016,168		—		0.00	6.74
	2020		263,573		91.43		24,098,073		0.17		0.00	29.72
	2019		278,634		70.48		19,638,126		0.16		0.00	31.52
American Funds®​ Growth	2023		679,776		128.47		87,331,538		0.36		0.00	38.48
Investment Division	2022		731,046		92.77		67,820,139		0.32		0.00	(29.94)
	2021		747,386		132.41		98,961,999		0.22		0.00	21.99
	2020		791,025		108.54		85,860,616		0.32		0.00	52.08
	2019		857,852		71.37		61,227,409		0.75		0.00	30.77
American Funds®​	2023		62,187		661.18		41,117,393		1.37		0.00	26.14
Growth-Income Investment	2022		66,958		524.18		35,097,804		1.28		0.00	(16.49)
Division	2021		71,199		627.71		44,692,285		1.13		0.00	24.10
	2020		74,897		505.83		37,885,040		1.39		0.00	13.55
	2019		77,176		445.48		34,380,691		1.69		0.00	26.14
American Funds®​ The Bond	2023		270,327		26.88		7,267,576		3.59		0.00	5.02
Fund of America Investment	2022		256,967		25.60		6,578,255		2.90		0.00	(12.58)
Division	2021		273,400		29.28		8,006,065		1.42		0.00	(0.31)
	2020		256,859		29.37		7,544,905		2.12		0.00	9.73
	2019		238,533		26.77		6,385,086		2.60		0.00	9.36
BHFTI AB Global Dynamic	2023		45,885		17.29		793,297		3.70		0.00	11.64
Allocation Investment	2022		131,531		15.49		2,036,866		4.27		0.00	(20.43)
Division	2021		140,211		19.46		2,728,703		0.22		0.00	9.28
	2020		140,713		17.81		2,505,926		1.74		0.00	6.09
	2019		144,508		16.79		2,425,864		3.44		0.00	18.07
BHFTI American Funds®​	2023		469,642		27.00		12,681,746		2.53		0.00	16.72
Balanced Allocation	2022		438,394		23.14		10,142,313		1.75		0.00	(16.53)
Investment Division	2021		454,031		27.72		12,584,441		1.44		0.00	12.55
	2020		456,324		24.63		11,238,086		2.04		0.00	15.84
	2019		425,710		21.26		9,050,734		2.10		0.00	19.88
BHFTI American Funds®​	2023		1,123,151		30.66		34,434,003		2.35		0.00	20.66
Growth Allocation Investment	2022		1,092,961		25.41		27,769,892		1.42		0.00	(18.37)
Division	2021		1,104,670		31.13		34,383,718		1.06		0.00	16.21
	2020		1,119,717		26.78		29,989,721		1.82		0.00	17.34
	2019		1,092,573		22.83		24,939,130		2.00		0.00	24.05
BHFTI American Funds®​	2023		449,896		23.71		10,667,665		2.82		0.00	13.23
Moderate Allocation	2022		408,660		20.94		8,557,754		1.85		0.00	(14.41)
Investment Division	2021		520,332		24.47		12,730,351		1.71		0.00	9.98
	2020		611,290		22.25		13,598,190		2.18		0.00	13.30
	2019		586,926		19.63		11,523,743		2.32		0.00	16.59

58

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS — (Continued)

7.  FINANCIAL HIGHLIGHTS — (Continued)

		As of December 31						For the year ended December 31
		Units		Unit Value		Net Assets ($)		Investment1​ Income Ratio (%)		Expense2​ Ratio (%)		Total3​ Return (%)
BHFTI BlackRock Global	2023		126,396		17.16		2,168,661		3.20		0.00	13.32
Tactical Strategies	2022		131,745		15.14		1,994,801		2.28		0.00	(18.89)
Investment Division	2021		133,249		18.67		2,487,323		1.35		0.00	9.79
	2020		131,307		17.00		2,232,527		1.54		0.00	4.31
	2019		134,369		16.30		2,190,178		0.19		0.00	20.63
BHFTI Brighthouse Asset	2023		799,826		38.85		31,071,288		2.97		0.00	21.10
Allocation 100 Investment	2022		867,941		32.08		27,842,628		1.63		0.00	(19.89)
Division	2021		859,128		40.04		34,401,536		1.31		0.00	18.34
	2020		894,192		33.84		30,256,605		1.39		0.00	19.23
	2019		924,255		28.38		26,229,761		1.79		0.00	27.79
BHFTI Brighthouse Balanced	2023		148,529		19.55		2,903,712		3.22		0.00	9.24
Plus Investment Division	2022		185,484		17.90		3,319,565		2.45		0.00	(21.81)
	2021		194,198		22.89		4,444,735		2.49		0.00	7.54
	2020		247,797		21.28		5,273,680		2.36		0.00	12.52
	2019		243,928		18.91		4,613,685		2.01		0.00	23.57
BHFTI Brighthouse/abrdn	2023		291,559		14.71		4,287,614		1.24		0.00	6.67
Emerging Markets Equity	2022		309,973		13.79		4,273,221		1.03		0.00	(25.58)
Investment Division	2021		329,697		18.52		6,107,199		0.39		0.00	(4.81)
	2020		294,244		19.46		5,725,988		2.18		0.00	27.68
	2019		293,030		15.24		4,466,306		1.89		0.00	20.98
BHFTI Brighthouse/Templeton	2023		137,444		13.15		1,807,810		—		0.00	3.70
International Bond	2022		151,191		12.68		1,917,704		—		0.00	(4.42)
Investment Division	2021		128,142		13.27		1,700,494		—		0.00	(4.69)
	2020		108,098		13.92		1,505,146		6.50		0.00	(5.75)
	2019		98,935		14.77		1,461,629		9.72		0.00	1.44
BHFTI	2023		134,318		53.83		7,230,949		0.84		0.00	25.74
Brighthouse/Wellington Large	2022		132,083		42.82		5,655,237		0.72		0.00	(19.02)
Cap Research Investment	2021		135,908		52.87		7,186,079		0.86		0.00	24.38
Division	2020		139,921		42.51		5,948,028		1.10		0.00	22.27
	2019		136,273		34.77		4,737,909		1.15		0.00	32.07
BHFTI CBRE Global Real	2023		381,669		31.09		11,866,038		2.73		0.00	12.87
Estate Investment Division	2022		376,980		27.55		10,384,026		4.38		0.00	(24.71)
	2021		368,449		36.59		13,480,666		3.00		0.00	34.70
	2020		406,099		27.16		11,030,530		4.66		0.00	(4.78)
	2019		398,174		28.53		11,357,946		3.25		0.00	25.10
BHFTI Harris Oakmark	2023		555,603		43.34		24,078,148		2.08		0.00	19.26
International Investment	2022		620,295		36.34		22,540,507		2.42		0.00	(15.78)
Division	2021		606,095		43.15		26,151,800		0.82		0.00	8.66
	2020		587,671		39.71		23,335,075		3.39		0.00	5.37
	2019		578,212		37.69		21,790,211		2.40		0.00	24.83
BHFTI Invesco Balanced-Risk	2023		779,452		1.63		1,268,459		3.80		0.00	6.44
Allocation Investment	2022		1,500,310		1.53		2,293,914		5.77		0.00	(12.41)
Division	2021		1,293,897		1.75		2,258,625		3.01		0.00	9.69
	2020		1,325,547		1.59		2,109,469		5.39		0.00	10.14
	2019		1,391,503		1.44		2,010,637		—		0.00	15.28

59

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS — (Continued)

7.  FINANCIAL HIGHLIGHTS — (Continued)

		As of December 31						For the year ended December 31
		Units		Unit Value		Net Assets ($)		Investment1​ Income Ratio (%)		Expense2​ Ratio (%)		Total3​ Return (%)
BHFTI Invesco Global Equity	2023		220,269		76.99		16,957,883		0.37		0.00	34.99
Investment Division	2022		239,804		57.03		13,676,679		—		0.00	(31.70)
	2021		235,172		83.50		19,637,245		0.13		0.00	15.76
	2020		240,447		72.13		17,344,559		0.90		0.00	27.92
	2019		249,239		56.39		14,055,083		1.06		0.00	31.91
BHFTI Invesco Small Cap	2023		96,180		63.69		6,125,607		—		0.00	12.33
Growth Investment Division	2022		99,463		56.70		5,639,422		—		0.00	(35.04)
	2021		93,039		87.28		8,120,686		—		0.00	7.12
	2020		92,405		81.48		7,528,958		0.08		0.00	57.24
	2019		74,999		51.82		3,886,260		—		0.00	24.64
BHFTI JPMorgan Global	2023		761,851		1.85		1,412,979		2.02		0.00	10.51
Active Allocation Investment	2022		1,258,019		1.68		2,111,391		2.48		0.00	(17.54)
Division	2021		1,274,507		2.04		2,594,215		0.48		0.00	9.64
	2020		1,281,469		1.86		2,379,082		2.26		0.00	12.23
	2019		1,291,324		1.65		2,136,211		2.69		0.00	16.91
BHFTI JPMorgan Small Cap	2023		107,936		42.11		4,545,317		1.38		0.00	13.21
Value Investment Division	2022		101,604		37.20		3,779,284		1.14		0.00	(13.21)
	2021		108,961		42.86		4,669,877		1.16		0.00	33.01
	2020		111,867		32.22		3,604,542		1.39		0.00	6.34
	2019		107,881		30.30		3,268,751		1.37		0.00	19.53
BHFTI Loomis Sayles Global	2023		107,757		39.33		4,238,275		—		0.00	22.51
Allocation Investment	2022		111,639		32.10		3,584,093		—		0.00	(23.12)
Division	2021		114,139		41.76		4,766,293		1.03		0.00	14.57
	2020		119,881		36.45		4,369,447		0.97		0.00	15.11
	2019		135,896		31.67		4,303,162		1.67		0.00	27.86
BHFTI Loomis Sayles Growth	2023		770,923		45.32		34,940,910		—		0.00	52.06
Investment Division	2022		877,313		29.81		26,148,943		—		0.00	(27.86)
	2021		885,380		41.32		36,582,522		0.20		0.00	18.66
	2020		919,265		34.82		32,009,913		0.83		0.00	32.54
	2019		981,787		26.27		25,793,383		1.05		0.00	23.83
BHFTI MetLife Multi-Index	2023		38,025		17.72		673,664		2.33		0.00	13.82
Targeted Risk Investment	2022		42,957		15.56		668,607		1.81		0.00	(21.09)
Division	2021		45,884		19.72		905,035		1.62		0.00	9.72
	2020		75,604		17.98		1,359,195		2.16		0.00	6.56
	2019		71,435		16.87		1,205,211		2.03		0.00	21.71
BHFTI MFS®​ Research	2023		314,497		32.92		10,354,152		1.74		0.00	13.05
International Investment	2022		332,399		29.12		9,680,094		2.08		0.00	(17.30)
Division	2021		332,252		35.22		11,700,485		1.14		0.00	11.98
	2020		326,429		31.45		10,265,642		2.44		0.00	13.27
	2019		325,671		27.76		9,041,537		1.59		0.00	28.69
BHFTI Morgan Stanley	2023		179,236		61.78		11,072,572		—		0.00	41.23
Discovery Investment Division	2022		181,349		43.74		7,932,304		—		0.00	(62.47)
	2021		163,009		116.54		18,997,835		—		0.00	(10.54)
	2020		164,577		130.27		21,439,904		—		0.00	153.77
	2019		166,821		51.34		8,563,793		—		0.00	40.47

60

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS — (Continued)

7.  FINANCIAL HIGHLIGHTS — (Continued)

		As of December 31						For the year ended December 31
		Units		Unit Value		Net Assets ($)		Investment1​ Income Ratio (%)		Expense2​ Ratio (%)		Total3​ Return (%)
BHFTI PanAgora Global	2023		1,599,930		1.29		2,066,117		6.77		0.00	4.71
Diversified Risk Investment	2022		1,156,157		1.23		1,425,861		17.06		0.00	(25.66)
Division	2021		137,716		1.66		228,474		—		0.00	6.39
	2020		138,292		1.56		215,640		3.12		0.00	11.85
	2019		123,626		1.39		172,352		3.20		0.00	21.99
BHFTI PIMCO Inflation	2023		371,992		21.81		8,113,480		2.41		0.00	3.74
Protected Bond Investment	2022		396,733		21.02		8,340,895		6.63		0.00	(11.60)
Division	2021		410,712		23.78		9,767,816		0.94		0.00	5.61
	2020		415,155		22.52		9,348,842		2.93		0.00	11.85
	2019		408,097		20.13		8,216,150		3.71		0.00	8.49
BHFTI PIMCO Total Return	2023		734,711		25.82		18,969,710		3.08		0.00	6.22
Investment Division	2022		751,897		24.31		18,276,115		3.17		0.00	(14.34)
	2021		820,792		28.38		23,290,461		2.03		0.00	(1.13)
	2020		802,046		28.70		23,019,015		3.94		0.00	8.82
	2019		842,273		26.37		22,214,163		3.07		0.00	8.69
BHFTI Schroders Global	2023		898,070		1.76		1,580,947		1.89		0.00	15.02
Multi-Asset Investment	2022		928,139		1.53		1,420,536		1.39		0.00	(20.17)
Division	2021		930,129		1.92		1,783,284		0.32		0.00	11.42
	2020		916,659		1.72		1,577,307		1.74		0.00	2.11
	2019		893,283		1.69		1,505,355		1.45		0.00	21.49
BHFTI SSGA Growth and	2023		398,864		28.91		11,529,618		2.53		0.00	14.12
Income ETF Investment	2022		415,170		25.33		10,515,752		3.24		0.00	(15.09)
Division	2021		448,662		29.83		13,383,146		2.01		0.00	13.61
	2020		466,175		26.26		12,239,832		2.89		0.00	10.14
	2019		510,077		23.84		12,159,978		2.54		0.00	19.88
BHFTI SSGA Growth ETF	2023		589,766		31.47		18,562,218		2.12		0.00	16.13
Investment Division	2022		609,233		27.10		16,512,324		3.02		0.00	(15.67)
	2021		628,016		32.14		20,184,829		1.65		0.00	17.88
	2020		650,170		27.27		17,727,040		2.63		0.00	11.06
	2019		672,931		24.55		16,520,614		2.23		0.00	22.60
BHFTI T. Rowe Price Mid Cap	2023		454,641		52.64		23,931,832		—		0.00	20.11
Growth Investment Division	2022		487,481		43.83		21,364,266		—		0.00	(22.33)
	2021		523,479		56.43		29,538,044		—		0.00	15.15
	2020		517,362		49.00		25,352,981		0.26		0.00	24.30
	2019		623,174		39.42		24,567,574		0.26		0.00	31.42
BHFTI Victory Sycamore Mid	2023		127,987		97.72		12,507,473		1.65		0.00	10.20
Cap Value Investment Division	2022		131,106		88.68		11,625,865		1.89		0.00	(2.45)
	2021		139,119		90.90		12,646,607		1.27		0.00	32.13
	2020		143,137		68.80		9,847,631		1.66		0.00	7.87
	2019		144,751		63.78		9,231,835		1.33		0.00	29.35
BHFTII Baillie Gifford	2023		116,981		32.88		3,846,847		1.23		0.00	18.59
International Stock	2022		125,791		27.73		3,488,203		1.16		0.00	(28.60)
Investment Division	2021		120,383		38.84		4,675,532		0.93		0.00	(0.76)
	2020		114,241		39.13		4,470,728		1.91		0.00	26.58
	2019		111,470		30.92		3,446,371		1.35		0.00	32.82

61

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS — (Continued)

7.  FINANCIAL HIGHLIGHTS — (Continued)

		As of December 31						For the year ended December 31
		Units		Unit Value		Net Assets ($)		Investment1​ Income Ratio (%)		Expense2​ Ratio (%)		Total3​ Return (%)
BHFTII BlackRock Bond	2023		58,370		117.32		6,847,891		3.14		0.00	5.84
Income Investment Division	2022		51,824		110.85		5,744,603		2.88		0.00	(14.15)
	2021		57,031		129.11		7,363,385		2.66		0.00	(0.44)
	2020		56,096		129.68		7,274,389		3.67		0.00	8.60
	2019		66,765		119.41		7,972,471		3.48		0.00	9.83
BHFTII BlackRock Capital	2023		78,958		193.67		15,291,743		0.04		0.00	49.61
Appreciation Investment	2022		84,834		129.45		10,981,697		—		0.00	(37.61)
Division	2021		84,213		207.48		17,472,849		—		0.00	21.20
	2020		84,059		171.19		14,389,854		—		0.00	40.66
	2019		100,772		121.70		12,263,944		0.20		0.00	32.85
BHFTII Brighthouse Asset	2023		115,005		22.15		2,547,223		3.38		0.00	8.08
Allocation 20 Investment	2022		90,770		20.49		1,860,227		3.40		0.00	(12.54)
Division	2021		96,149		23.43		2,253,071		3.46		0.00	4.01
	2020		122,428		22.53		2,758,360		3.04		0.00	9.70
	2019		162,495		20.54		3,337,330		2.33		0.00	12.14
BHFTII Brighthouse Asset	2023		248,476		26.39		6,556,170		3.68		0.00	10.82
Allocation 40 Investment	2022		248,206		23.81		5,909,882		2.88		0.00	(13.63)
Division	2021		277,449		27.57		7,648,871		2.90		0.00	7.68
	2020		284,942		25.60		7,294,968		2.93		0.00	11.31
	2019		288,654		23.00		6,638,944		2.34		0.00	15.94
BHFTII Brighthouse Asset	2023		1,716,632		31.00		53,213,162		3.34		0.00	13.93
Allocation 60 Investment	2022		1,775,296		27.21		48,302,880		2.41		0.00	(15.17)
Division	2021		1,854,789		32.08		59,493,102		2.29		0.00	11.17
	2020		1,875,344		28.85		54,107,260		2.41		0.00	14.09
	2019		1,938,433		25.29		49,020,937		2.18		0.00	19.85
BHFTII Brighthouse Asset	2023		3,355,428		35.57		119,360,295		3.26		0.00	17.51
Allocation 80 Investment	2022		3,492,659		30.27		105,733,249		2.08		0.00	(17.71)
Division	2021		3,591,937		36.79		132,139,669		1.86		0.00	14.87
	2020		3,762,017		32.02		120,476,882		2.06		0.00	17.01
	2019		3,899,517		27.37		106,728,846		2.01		0.00	24.04
BHFTII Brighthouse/Artisan	2023		53,687		127.06		6,821,287		0.83		0.00	18.53
Mid Cap Value Investment	2022		57,442		107.19		6,157,384		1.00		0.00	(12.62)
Division	2021		57,760		122.68		7,085,757		1.06		0.00	26.91
	2020		54,704		96.67		5,288,051		0.97		0.00	6.25
	2019		52,569		90.98		4,782,946		0.83		0.00	23.75
BHFTII	2023		23,270		184.71		4,298,270		2.14		0.00	18.10
Brighthouse/Wellington	2022		24,491		156.40		3,830,455		1.78		0.00	(17.08)
Balanced Investment Division	2021		26,170		188.61		4,935,989		1.82		0.00	14.02
	2020		26,049		165.41		4,308,929		2.21		0.00	17.72
	2019		26,203		140.51		3,681,793		2.23		0.00	22.99
BHFTII	2023		125,624		167.04		20,984,011		1.43		0.00	7.66
Brighthouse/Wellington Core	2022		131,382		155.16		20,384,704		1.46		0.00	(5.08)
Equity Opportunities	2021		138,104		163.46		22,574,515		1.38		0.00	24.43
Investment Division	2020		151,130		131.37		19,853,953		1.61		0.00	11.27
	2019		156,226		118.06		18,444,603		1.63		0.00	30.94

62

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS — (Continued)

7.  FINANCIAL HIGHLIGHTS — (Continued)

		As of December 31						For the year ended December 31
		Units		Unit Value		Net Assets ($)		Investment1​ Income Ratio (%)		Expense2​ Ratio (%)		Total3​ Return (%)
BHFTII Frontier Mid Cap	2023		32,452		226.81		7,360,474		—		0.00	18.00
Growth Investment Division	2022		32,528		192.22		6,252,484		—		0.00	(28.15)
	2021		32,321		267.51		8,646,325		—		0.00	14.68
	2020		32,589		233.26		7,601,788		—		0.00	31.70
	2019		33,907		177.12		6,005,623		—		0.00	33.13
BHFTII Jennison Growth	2023		189,659		86.44		16,393,443		—		0.00	53.26
Investment Division	2022		193,276		56.40		10,900,366		—		0.00	(38.87)
	2021		196,531		92.26		18,131,646		—		0.00	17.17
	2020		199,016		78.74		15,670,308		0.20		0.00	56.80
	2019		171,766		50.22		8,625,624		0.45		0.00	32.83
BHFTII Loomis Sayles Small	2023		50,224		162.76		8,174,437		0.19		0.00	17.46
Cap Core Investment Division	2022		51,764		138.56		7,172,418		—		0.00	(15.06)
	2021		50,290		163.13		8,203,948		0.08		0.00	21.95
	2020		52,405		133.77		7,010,463		0.14		0.00	12.07
	2019		53,324		119.37		6,365,210		0.03		0.00	25.54
BHFTII Loomis Sayles Small	2023		109,229		48.23		5,268,026		—		0.00	11.91
Cap Growth Investment	2022		108,734		43.10		4,686,155		—		0.00	(22.96)
Division	2021		106,623		55.94		5,964,690		—		0.00	10.00
	2020		106,515		50.85		5,416,791		—		0.00	34.34
	2019		127,075		37.85		4,810,306		—		0.00	26.88
BHFTII MetLife Aggregate	2023		1,121,766		24.36		27,331,131		2.88		0.00	5.20
Bond Index Investment	2022		1,031,025		23.16		23,879,515		2.88		0.00	(13.09)
Division	2021		1,141,609		26.65		30,424,047		2.52		0.00	(1.93)
	2020		1,023,482		27.17		27,812,191		2.70		0.00	7.21
	2019		993,073		25.35		25,170,511		3.21		0.00	8.64
BHFTII MetLife Mid Cap	2023		357,868		75.33		26,957,842		1.31		0.00	16.08
Stock Index Investment	2022		362,246		64.89		23,506,942		1.11		0.00	(13.26)
Division	2021		376,616		74.81		28,174,174		1.06		0.00	24.40
	2020		394,463		60.14		23,721,858		1.47		0.00	13.39
	2019		397,178		53.03		21,063,680		1.37		0.00	25.95
BHFTII MetLife MSCI EAFE®​	2023		1,082,221		29.63		32,067,342		2.51		0.00	17.93
Index Investment Division	2022		1,174,710		25.13		29,515,993		3.70		0.00	(14.47)
	2021		1,133,671		29.38		33,305,152		1.79		0.00	10.72
	2020		1,104,137		26.53		29,296,293		3.12		0.00	7.85
	2019		1,087,248		24.60		26,748,859		2.67		0.00	21.93
BHFTII MetLife Russell 2000®​	2023		311,674		68.49		21,346,825		1.33		0.00	16.80
Index Investment Division	2022		302,334		58.64		17,728,569		1.06		0.00	(20.23)
	2021		307,440		73.51		22,599,979		0.98		0.00	14.52
	2020		307,213		64.19		19,719,848		1.36		0.00	19.62
	2019		313,569		53.66		16,826,372		1.16		0.00	25.62
BHFTII MetLife Stock Index	2023		349,888		260.01		90,974,627		1.40		0.00	25.94
Investment Division	2022		363,685		206.46		75,085,567		1.27		0.00	(18.30)
	2021		366,835		252.69		92,696,704		1.50		0.00	28.36
	2020		392,217		196.87		77,215,123		1.88		0.00	18.10
	2019		409,106		166.69		68,195,438		2.10		0.00	31.15

63

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS — (Continued)

7.  FINANCIAL HIGHLIGHTS — (Continued)

		As of December 31						For the year ended December 31
		Units		Unit Value		Net Assets ($)		Investment1​ Income Ratio (%)		Expense2​ Ratio (%)		Total3​ Return (%)
BHFTII MFS®​ Total Return	2023		31,266		170.63		5,335,055		2.26		0.00	10.40
Investment Division	2022		31,669		154.55		4,894,487		1.81		0.00	(9.63)
	2021		32,705		171.03		5,593,470		1.84		0.00	14.22
	2020		33,085		149.74		4,954,204		2.43		0.00	9.76
	2019		32,679		136.42		4,458,121		2.38		0.00	20.37
BHFTII MFS®​ Value	2023		609,918		53.81		32,821,469		1.87		0.00	8.15
Investment Division	2022		626,447		49.76		31,170,517		1.73		0.00	(5.98)
	2021		658,666		52.92		34,857,079		1.54		0.00	25.54
	2020		669,231		42.15		28,210,433		2.00		0.00	3.96
	2019		739,383		40.55		29,980,233		1.87		0.00	30.13
BHFTII Neuberger Berman	2023		107,154		72.27		7,743,525		0.13		0.00	15.53
Genesis Investment Division	2022		109,712		62.55		6,862,801		—		0.00	(19.15)
	2021		111,698		77.37		8,642,166		0.07		0.00	18.41
	2020		115,153		65.34		7,524,014		0.19		0.00	25.11
	2019		174,685		52.23		9,123,268		0.21		0.00	29.68
BHFTII T. Rowe Price Large	2023		367,179		86.46		31,745,974		—		0.00	46.81
Cap Growth Investment	2022		397,474		58.89		23,408,202		—		0.00	(40.46)
Division	2021		390,542		98.92		38,631,828		—		0.00	20.22
	2020		398,752		82.28		32,808,987		0.23		0.00	36.95
	2019		444,172		60.08		26,685,330		0.41		0.00	30.99
BHFTII T. Rowe Price Small	2023		197,649		95.32		18,838,955		0.05		0.00	21.57
Cap Growth Investment	2022		194,417		78.41		15,243,456		0.21		0.00	(22.15)
Division	2021		198,671		100.72		20,009,977		0.03		0.00	11.67
	2020		197,038		90.20		17,772,180		0.20		0.00	24.34
	2019		207,377		72.54		15,043,807		0.05		0.00	33.16
BHFTII VanEck Global	2023		20,999		177.21		3,721,341		3.06		0.00	(3.49)
Natural Resources Investment	2022		22,513		183.62		4,133,873		2.70		0.00	8.24
Division	2021		24,140		169.65		4,095,336		1.22		0.00	18.82
	2020		26,324		142.77		3,758,373		1.41		0.00	21.58
	2019		24,861		117.43		2,919,447		0.69		0.00	12.59
BHFTII Western Asset	2023		258,610		53.43		13,818,536		6.54		0.00	9.44
Management Strategic Bond	2022		248,661		48.83		12,141,227		6.03		0.00	(16.66)
Opportunities Investment	2021		258,261		58.58		15,130,133		3.71		0.00	2.82
Division	2020		258,292		56.98		14,717,408		5.82		0.00	6.92
	2019		253,820		53.29		13,527,146		4.93		0.00	14.49
BHFTII Western Asset	2023		120,384		27.72		3,337,542		2.39		0.00	4.87
Management U.S. Government	2022		94,679		26.44		2,503,055		2.35		0.00	(9.01)
Investment Division	2021		104,008		29.05		3,021,910		2.87		0.00	(1.52)
	2020		113,466		29.50		3,347,576		3.17		0.00	5.24
	2019		84,872		28.03		2,379,197		2.29		0.00	6.03
FTVIPT Franklin Income VIP	2023		7,301		138.79		1,013,310		5.14		0.00	8.62
Investment Division	2022		9,226		127.78		1,178,900		4.11		0.00	(5.47)
	2021		6,115		135.18		826,638		4.59		0.00	16.75
	2020		5,778		115.78		668,988		5.72		0.00	0.69
	2019		5,547		114.98		637,740		5.32		0.00	16.06

64

BRIGHTHOUSE VARIABLE LIFE ACCOUNT A
OF BRIGHTHOUSE LIFE INSURANCE COMPANY
NOTES TO THE FINANCIAL STATEMENTS — (Concluded)

7.  FINANCIAL HIGHLIGHTS — (Concluded)

		As of December 31						For the year ended December 31
		Units		Unit Value		Net Assets ($)		Investment1​ Income Ratio (%)		Expense2​ Ratio (%)		Total3​ Return (%)
FTVIPT Franklin Mutual	2023		24,588		61.36		1,508,768		1.72		0.00	13.46
Shares VIP Investment	2022		30,966		54.08		1,674,680		1.84		0.00	(7.43)
Division	2021		27,734		58.42		1,620,315		3.35		0.00	19.17
	2020		20,170		49.03		988,842		2.70		0.00	(5.04)
	2019		22,450		51.63		1,159,104		1.73		0.00	22.57

¹​  These amounts represent the dividends, excluding distributions of capital gains, received by the Investment Division from the underlying fund or portfolio, net of management fees assessed by the fund manager, divided by the average net assets. These ratios exclude those expenses, such as mortality and expense risk charges, that are assessed against policy owner accounts either through reductions in the unit values or the redemption of units. The investment income ratio is calculated for each period indicated or from the effective date through the end of the reporting period. The recognition of investment income by the Investment Division is affected by the timing of the declaration of dividends by the underlying fund or portfolio in which the Investment Division invests.

²​  These amounts represent annualized policy expenses of each of the applicable Investment Divisions, consisting primarily of mortality and expense risk charges, for each period indicated. The ratios include only those expenses that result in a direct reduction to unit values. Charges made directly to policy owner accounts through the redemption of units and expenses of the underlying fund or portfolio have been excluded.

³​  These amounts represent the total return for the period indicated, including changes in the value of the underlying fund or portfolio, and expenses assessed through the reduction of unit values. These ratios do not include any expenses assessed through the redemption of units. The total return is calculated for each period indicated or from the effective date through the end of the reporting period.

65

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Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Index to Consolidated Financial Statements, Notes and Schedules

	Page
Report of Independent Registered Public Accounting Firm
Financial Statements at December 31, 2023 and 2022 and for the Years Ended December 31, 2023, 2022 and 2021:		2
Consolidated Balance Sheets		5
Consolidated Statements of Operations		6
Consolidated Statements of Comprehensive Income (Loss)		7
Consolidated Statements of Equity		8
Consolidated Statements of Cash Flows		9
Notes to the Consolidated Financial Statements
Note 1 — Business, Basis of Presentation and Summary of Significant Accounting Policies		11
Note 2 — ASU 2018-12 Transition		21
Note 3 — Segment Information		23
Note 4 — Insurance Liabilities		28
Note 5 — Market Risk Benefits		34
Note 6 — Separate Accounts		35
Note 7 — Deferred Policy Acquisition Costs, Value of Business Acquired and Other Intangibles		37
Note 8 — Reinsurance		38
Note 9 — Investments		42
Note 10 — Derivatives		54
Note 11 — Fair Value		60
Note 12 — Long-term and Short-term Debt		70
Note 13 — Equity		71
Note 14 — Other Revenues and Other Expenses		75
Note 15 — Income Tax		76
Note 16 — Contingencies, Commitments and Guarantees		79
Note 17 — Related Party Transactions		83
Financial Statement Schedules at December 31, 2023 and 2022 and for the Years Ended December 31, 2023, 2022 and 2021:
Schedule I — Consolidated Summary of Investments — Other Than Investments in Related Parties		84
Schedule II — Condensed Financial Information (Parent Company Only)		85
Schedule III — Consolidated Supplementary Insurance Information		89
Schedule IV — Consolidated Reinsurance		91

1

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the stockholders and the Board of Directors of Brighthouse Life Insurance Company

Opinion on the Financial Statements

We have audited the accompanying consolidated balance sheets of Brighthouse Life Insurance Company and subsidiaries (the "Company") as of December 31, 2023 and 2022, the related consolidated statements of operations, comprehensive income (loss), equity, and cash flows for each of the three years in the period ended December 31, 2023, and the related notes and the schedules listed in the Index to Consolidated Financial Statements, Notes and Schedules (collectively referred to as the "financial statements"). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2023 and 2022, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2023, in conformity with accounting principles generally accepted in the United States of America.

Change in Accounting Principle

As discussed in Notes 1 and 2 to the financial statements, the Company has changed its method of accounting for long-duration contracts due to the adoption of ASU 2018-12, Targeted Improvements to the Accounting for Long-Duration Contracts ("ASU 2018-12"), effective January 1, 2023, with a transition date of January 1, 2021.

Basis for Opinion

These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company's financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control over financial reporting. Accordingly, we express no such opinion.

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

Critical Audit Matters

The critical audit matters communicated below are matters arising from the current-period audit of the financial statements that were communicated or required to be communicated to the audit committee and that (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective, or complex judgments. The communication of critical audit matters does not alter in any way our opinion on the financial statements, taken as a whole, and we are not, by communicating the critical audit matters below, providing separate opinions on the critical audit matters or on the accounts or disclosures to which they relate.

2

Certain Assumptions Used in the Valuation of Liability for Future Policy Benefits — Refer to Notes 1 and 4 to the financial statements

Critical Audit Matter Description

The Company has obligations under insurance contracts to pay benefits over an extended period of time. The Company establishes a liability for future policy benefits ("LFPB") for nonparticipating traditional and limited-payment contracts and the additional insurance liabilities for universal life-type contracts with secondary guarantees.

Management regularly reviews its cash flow assumptions supporting the estimates of these actuarial liabilities and, if such assumptions change significantly, the associated liability is adjusted. The measurement of LFPBs can be significantly impacted by changes in economic assumptions related to market interest rates and the general account rate of return and changes in assumptions for policyholder behavior including premium persistency, mortality and lapses.

Given the future policy benefit obligation for certain contracts is sensitive to changes in these economic and policyholder behavior assumptions and the significant uncertainty inherent in estimating these actuarial liabilities, we identified management's evaluation of these assumptions in the valuation of certain LFPBs as a critical audit matter. This required a high degree of auditor judgment and an increased extent of effort, including the involvement of our actuarial specialists.

How the Critical Audit Matter Was Addressed in the Audit

Our audit procedures related to these assumptions in the valuation of certain LFPBs included the following, among others:

•  We tested the effectiveness of management's controls over the assumption review process, including those over the selection of the significant economic and policyholder behavior assumptions.

•  With the assistance of our actuarial specialists, we evaluated the appropriateness of the significant assumptions used, developed an independent estimate of the LFPBs for a sample of policies and cohorts, and compared our estimates to management's estimates.

•  We tested the completeness and accuracy of the underlying data that served as the basis for the actuarial analysis to test that the inputs to the actuarial estimate were reasonable.

•  We evaluated the methods and significant assumptions used by management to identify potential bias.

•  We evaluated whether the significant assumptions used were consistent with evidence obtained in other areas of the audit.

Certain Assumptions Used in the Valuation of Market Risk Benefits — Refer to Notes 1, 5, and 11 to the financial statements

Critical Audit Matter Description

Market risk benefits are measured at fair value and separately presented on the consolidated balance sheet. The Company estimates market risk benefit assets and liabilities using significant judgment including discount rate assumptions, nonperformance risk, and actuarially determined assumptions including policyholder behavior, mortality and risk margins.

Given the sensitivity of certain market risk benefits to changes in these assumptions and the significant uncertainty inherent in estimating the market risk benefits, we identified management's evaluation of these assumptions in the valuation of certain market risk benefits as a critical audit matter. This required a high degree of auditor judgment and an increased extent of effort, including the involvement of our actuarial and fair value specialists.

How the Critical Audit Matter Was Addressed in the Audit

Our audit procedures related to these assumptions in the valuation of certain market risk benefits included the following, among others:

•  We tested the effectiveness of management's controls over the assumption review process, including those over the selection of the significant assumptions related to policyholder behavior, mortality and risk margins, as well as changes in nonperformance risk.

3

•  With the assistance of our actuarial specialists, we evaluated the appropriateness of the significant assumptions used, developed an independent estimate of the market risk benefits for a sample of policies, and compared our estimates to management's estimates.

•  We tested the completeness and accuracy of the underlying data that served as the basis for the actuarial analysis to test that the inputs to the actuarial estimate were reasonable.

•  We evaluated the reasonableness of the Company's assumptions by comparing those selected by management to those independently derived by our fair value and actuarial specialists, drawing upon standard actuarial and industry practice.

•  We evaluated the methods and assumptions used by management to identify potential bias in the determination of the market risk benefits.

•  We evaluated whether the assumptions used were consistent with evidence obtained in other areas of the audit.

/s/ DELOITTE & TOUCHE LLP
Charlotte, North Carolina
February 29, 2024

We have served as the Company's auditor since 2005.

4

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Consolidated Balance Sheets
December 31, 2023 and 2022

(In millions, except share and per share data)

	2023			2022
Assets
Investments:
Fixed maturity securities available-for-sale, at estimated fair value (amortized cost: $86,129 and $83,395, respectively; allowance for credit losses of $21 and $6, respectively)	$	80,085		$	74,757
Equity securities, at estimated fair value		66			66
Mortgage loans (net of allowance for credit losses of $137 and $119, respectively)		22,475			22,877
Policy loans		938			898
Limited partnerships and limited liability companies		4,946			4,774
Short-term investments, principally at estimated fair value		574			299
Other invested assets, principally at estimated fair value (net of allowance for credit losses of $13 and $13, respectively)		4,411			2,984
Total investments		113,495			106,655
Cash and cash equivalents		3,165			3,752
Accrued investment income		1,163			868
Premiums, reinsurance and other receivables (net of allowance for credit losses of $3 and $10, respectively)		19,389			18,145
Deferred policy acquisition costs and value of business acquired		4,487			4,642
Current income tax recoverable		24			18
Deferred income tax asset		1,833			1,673
Market risk benefit assets		656			483
Other assets		302			322
Separate account assets		81,690			78,880
Total assets	$	226,204		$	215,438
Liabilities and Equity
Liabilities
Future policy benefits	$	32,149		$	31,146
Policyholder account balances		80,193			72,602
Market risk benefit liabilities		10,344			10,411
Other policy-related balances		3,619			3,860
Payables for collateral under securities loaned and other transactions		3,660			4,547
Long-term and short-term debt		836			963
Other liabilities		7,772			6,515
Separate account liabilities		81,690			78,880
Total liabilities		220,263			208,924
Contingencies, Commitments and Guarantees (Note 16)
Equity
Brighthouse Life Insurance Company's stockholder's equity:
Common stock, par value $25,000 per share; 4,000 shares authorized; 3,000 shares issued and outstanding		75			75
Additional paid-in capital		17,507			17,773
Retained earnings (deficit)		(6,542	)		(5,418	)
Accumulated other comprehensive income (loss)		(5,114	)		(5,931	)
Total Brighthouse Life Insurance Company's stockholder's equity		5,926			6,499
Noncontrolling interests		15			15
Total equity		5,941			6,514
Total liabilities and equity	$	226,204		$	215,438

See accompanying notes to the consolidated financial statements.

5

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Consolidated Statements of Operations
For the Years Ended December 31, 2023, 2022 and 2021

(In millions)

	2023			2022			2021
Revenues
Premiums	$	811		$	641		$	687
Universal life and investment-type product policy fees		1,778			1,876			2,320
Net investment income		4,560			4,064			4,815
Other revenues		418			406			337
Net investment gains (losses)		(242	)		(240	)		(63	)
Net derivative gains (losses)		(3,920	)		(585	)		(3,986	)
Total revenues		3,405			6,162			4,110
Expenses
Policyholder benefits and claims (including liability remeasurement gains (losses) of ($233), $137, ($51), respectively)		2,418			2,186			2,485
Interest credited to policyholder account balances		1,801			1,313			1,243
Amortization of deferred policy acquisition costs and value of business acquired		564			568			558
Change in market risk benefits		(1,497	)		(4,105	)		(4,142	)
Other expenses		1,625			1,694			1,824
Total expenses		4,911			1,656			1,968
Income (loss) before provision for income tax		(1,506	)		4,506			2,142
Provision for income tax expense (benefit)		(383	)		795			379
Net income (loss)		(1,123	)		3,711			1,763
Less: Net income (loss) attributable to noncontrolling interests		1			1			1
Net income (loss) attributable to Brighthouse Life Insurance Company	$	(1,124	)	$	3,710		$	1,762

See accompanying notes to the consolidated financial statements.

6

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Consolidated Statements of Comprehensive Income (Loss)
For the Years Ended December 31, 2023, 2022 and 2021

(In millions)

	2023			2022			2021
Net income (loss)	$	(1,123	)	$	3,711		$	1,763
Other comprehensive income (loss):
Unrealized investment gains (losses), net of related offsets		2,313			(13,946	)		(2,891	)
Unrealized gains (losses) on derivatives		(284	)		308			158
Changes in instrument-specific credit risk on market risk benefits		(637	)		2,344			(636	)
Changes in discount rates on the liability for future policy benefits		(376	)		4,060			1,234
Foreign currency translation adjustments		18			(22	)		1
Other comprehensive income (loss), before income tax		1,034			(7,256	)		(2,134	)
Income tax (expense) benefit related to items of other comprehensive income (loss)		(217	)		1,524			449
Other comprehensive income (loss), net of income tax		817			(5,732	)		(1,685	)
Comprehensive income (loss)		(306	)		(2,021	)		78
Less: Comprehensive income (loss) attributable to noncontrolling interests, net of income tax		1			1			1
Comprehensive income (loss) attributable to Brighthouse Life Insurance Company	$	(307	)	$	(2,022	)	$	77

See accompanying notes to the consolidated financial statements.

7

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Consolidated Statements of Equity
For the Years Ended December 31, 2023, 2022 and 2021

(In millions)

	Common Stock		Additional Paid-in Capital			Retained Earnings (Deficit)			Accumulated Other Comprehensive Income (Loss)			Brighthouse Life Insurance Company's Stockholder's Equity			Noncontrolling Interests			Total Equity
Balance at December 31, 2020	$	75	$	18,323		$	(5,719	)	$	5,421		$	18,100		$	15		$	18,115
Cumulative effect of change in accounting principle, net of income tax							(5,171	)		(3,935	)		(9,106	)					(9,106	)
Balance at January 1, 2021		75		18,323			(10,890	)		1,486			8,994			15			9,009
Dividends paid to parent				(550	)								(550	)					(550	)
Change in noncontrolling interests													—			(1	)		(1	)
Net income (loss)							1,762						1,762			1			1,763
Other comprehensive income (loss), net of income tax										(1,685	)		(1,685	)					(1,685	)
Balance at December 31, 2021		75		17,773			(9,128	)		(199	)		8,521			15			8,536
Change in noncontrolling interests													—			(1	)		(1	)
Net income (loss)							3,710						3,710			1			3,711
Other comprehensive income (loss), net of income tax										(5,732	)		(5,732	)					(5,732	)
Balance at December 31, 2022		75		17,773			(5,418	)		(5,931	)		6,499			15			6,514
Dividends paid to parent				(266	)								(266	)					(266	)
Change in noncontrolling interests													—			(1	)		(1	)
Net income (loss)							(1,124	)					(1,124	)		1			(1,123	)
Other comprehensive income (loss), net of income tax										817			817						817
Balance at December 31, 2023	$	75	$	17,507		$	(6,542	)	$	(5,114	)	$	5,926		$	15		$	5,941

See accompanying notes to the consolidated financial statements.

8

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Consolidated Statements of Cash Flows
For the Years Ended December 31, 2023, 2022 and 2021

(In millions)

	2023			2022			2021
Cash flows from operating activities
Net income (loss)	$	(1,123	)	$	3,711		$	1,763
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Amortization of premiums and accretion of discounts associated with investments, net		(258	)		(225	)		(253	)
(Gains) losses on investments, net		227			240			63
(Gains) losses on derivatives, net		2,632			162			3,088
(Income) loss from equity method investments, net of dividends and distributions		76			109			(987	)
Interest credited to policyholder account balances		1,801			1,313			1,243
Universal life and investment-type product policy fees		(1,778	)		(1,876	)		(2,320	)
Change in market risk benefits, net		(888	)		(3,353	)		(3,298	)
Change in accrued investment income		(212	)		(115	)		(45	)
Change in premiums, reinsurance and other receivables		(1,279	)		(1,388	)		538
Change in deferred policy acquisition costs and value of business acquired, net		155			144			64
Change in income tax		(380	)		804			322
Change in other assets		1,100			1,220			1,521
Change in future policy benefits and other policy-related balances		(62	)		(1,814	)		(436	)
Change in other liabilities		(18	)		286			(14	)
Net cash provided by (used in) operating activities		(7	)		(782	)		1,249
Cash flows from investing activities
Sales, maturities and repayments of:
Fixed maturity securities		5,922			10,647			12,406
Equity securities		30			50			128
Mortgage loans		1,206			2,075			2,891
Limited partnerships and limited liability companies		205			252			271
Purchases of:
Fixed maturity securities		(8,699	)		(15,720	)		(21,036	)
Equity securities		(4	)		(14	)		(18	)
Mortgage loans		(813	)		(5,321	)		(6,929	)
Limited partnerships and limited liability companies		(453	)		(814	)		(837	)
Cash received in connection with freestanding derivatives		5,048			4,439			3,956
Cash paid in connection with freestanding derivatives		(5,422	)		(4,270	)		(4,590	)
Receipts on loans to affiliate		125			—			—
Issuances of loans to affiliate		—			(125	)		(1	)
Net change in policy loans		(40	)		(29	)		15
Net change in short-term investments		(259	)		365			1,223
Net change in other invested assets		(109	)		(372	)		(24	)
Net cash provided by (used in) investing activities	$	(3,263	)	$	(8,837	)	$	(12,545	)

See accompanying notes to the consolidated financial statements.

9

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Consolidated Statements of Cash Flows (continued)
For the Years Ended December 31, 2023, 2022 and 2021

(In millions)

	2023			2022			2021
Cash flows from financing activities
Policyholder account balances:
Deposits	$	21,514		$	31,190		$	15,520
Withdrawals		(17,641	)		(19,960	)		(4,100	)
Net change in payables for collateral under securities loaned and other transactions		(887	)		(1,706	)		1,016
Long-term and short-term debt issued		—			125			—
Long-term and short-term debt repaid		(127	)		(3	)		(1	)
Dividends paid to parent		(266	)		—			(550	)
Financing element on certain derivative instruments and other derivative related transactions, net		91			(178	)		(368	)
Other, net		(1	)		(1	)		(1	)
Net cash provided by (used in) financing activities		2,683			9,467			11,516
Change in cash, cash equivalents and restricted cash		(587	)		(152	)		220
Cash, cash equivalents and restricted cash, beginning of year		3,752			3,904			3,684
Cash, cash equivalents and restricted cash, end of year	$	3,165		$	3,752		$	3,904
Supplemental disclosures of cash flow information
Net cash paid (received) for:
Interest	$	71		$	69		$	67
Income tax	$	—		$	(12	)	$	53
Non-cash transactions:
Transfer of mortgage loans to affiliates	$	—		$	95		$	—
Transfer of limited partnerships and limited liability companies from affiliates	$	—		$	99		$	—

See accompanying notes to the consolidated financial statements.

10

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements

1. Business, Basis of Presentation and Summary of Significant Accounting Policies

Business

"BLIC" and the "Company" refer to Brighthouse Life Insurance Company, a Delaware corporation originally incorporated in Connecticut in 1863, and its subsidiaries. Brighthouse Life Insurance Company is a wholly-owned subsidiary of Brighthouse Holdings, LLC ("BH Holdings") and an indirect wholly-owned subsidiary of Brighthouse Financial, Inc. ("BHF" and together with its subsidiaries, "Brighthouse Financial").

BLIC offers a range of annuity and life insurance products to individuals. The Company is organized into three segments: Annuities; Life; and Run-off. In addition, the Company reports certain of its results of operations in Corporate & Other.

Basis of Presentation

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America ("GAAP") requires management to adopt accounting policies and make estimates and assumptions that affect amounts reported on the consolidated financial statements. In applying these policies and estimates, management makes subjective and complex judgments that frequently require assumptions about matters that are inherently uncertain. Many of these policies, estimates and related judgments are common in the insurance and financial services industries; others are specific to the Company's business and operations. Actual results could differ from these estimates.

Consolidation

The accompanying consolidated financial statements include the accounts of Brighthouse Life Insurance Company and its subsidiaries, as well as partnerships and limited liability companies ("LLC") that the Company controls. Intercompany accounts and transactions have been eliminated.

The Company uses the equity method of accounting for investments in limited partnerships and LLCs when it has more than a minor ownership interest or more than a minor influence over the investee's operations. The Company generally recognizes its share of the investee's earnings on a three-month lag in instances where the investee's financial information is not sufficiently timely or when the investee's reporting period differs from the Company's reporting period. When the Company has virtually no influence over the investee's operations, the investment is carried at fair value.

Reclassifications

Certain amounts in the prior years' consolidated financial statements and related footnotes thereto have been reclassified to conform with the 2023 presentation as discussed throughout the Notes to the Consolidated Financial Statements. See "— Adoption of New Accounting Pronouncements" for discussion of the adoption of new guidance on long-duration contracts as of January 1, 2023, parts of which were retrospectively applied to prior periods presented in the consolidated financial statements.

Summary of Significant Accounting Policies

Insurance Contract Obligations

The Company has obligations under insurance contracts to pay benefits over an extended period of time. The Company establishes liabilities for future obligations under long-duration insurance contracts based on the accounting model appropriate for each type of contract or contract feature. Liabilities for insurance contract benefits are generally accrued over time as revenue is recognized, or established based on the balance that accrues to the contract holder. In addition, certain insurance contracts may contain features that are required to be measured at fair value separately from the base contracts, either as a market risk benefit ("MRB") or embedded derivative.

The discussion below provides an overview of the different accounting models for insurance contract obligations and the applicability of such models to the Company's insurance products.

11

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

1. Business, Basis of Presentation and Summary of Significant Accounting Policies (continued)

Liability for Future Policy Benefits

The Company establishes a liability for future policy benefits ("LFPB") for non-participating term and whole life insurance and income annuities. LFPBs are accrued over time as revenue is recognized based on a net premium ratio. The net premium ratio is the portion of gross premiums required to provide for all future benefits. LFPBs are established using the Company's current assumptions of future cash flows, discounted at a rate that approximates a single A corporate bond curve. The Company generally aggregates insurance contracts into groupings by issue year, product and segment for determining the net premium ratio and related LFPBs.

The Company reviews cash flow assumptions regularly, and if they change significantly, LFPBs are adjusted by determining a revised net premium ratio. The revised net premium ratio is calculated as of contract inception using both actual historical experience and updated future cash flow assumptions. The recalculated net premium ratio is applied to derive a remeasurement gain or loss recognized in the current period net income. For insurance policies in-force as of December 31, 2020, January 1, 2021 is considered the contract inception date. The net premium ratio is also updated quarterly for the difference between actual and expected experience.

The net premium ratio is not updated for changes in discount rate assumptions, as changes in the discount rate are updated quarterly and the impacts are reflected in other comprehensive income (loss) ("OCI"). The discount rate assumption is determined by developing a yield curve based on market observable yields for upper-medium grade fixed income instruments derived from an external index. The yield curve is applied to the expected future cash flows used in the measurement of LFPBs based on the duration characteristics of those liabilities.

The most significant cash flow assumptions used in the establishment of LFPBs are mortality, policy lapses and market interest rates. See Note 4 for more information on the effect of changes in assumptions on the measurement of LFPBs.

The Company also establishes an LFPB for participating term and whole life insurance using a net premium ratio and the Company's current assumptions of future cash flows. Assumptions are determined at issuance of the policy and are not updated unless a premium deficiency exists. A premium deficiency exists when the LFPB plus the present value of expected future gross premiums are less than expected future benefits and expenses (based on current assumptions). When a premium deficiency exists, the Company will reduce any deferred acquisition costs and may also establish an additional liability to eliminate the deficiency. See Note 4 for more information on assumptions used in establishing LFPBs related to participating term and whole life insurance.

Policyholder Account Balances

The Company establishes a policyholder account balance liability for customer deposits on universal life insurance, universal life insurance with secondary guarantees ("ULSG") and deferred annuity contracts. The policyholder account balance liability is equal to the sum of deposits, plus interest credited, less charges and withdrawals, excluding the impact of any applicable charge that may be incurred upon surrender. The Company also holds additional liabilities for certain product features including secondary guarantees on universal life insurance contracts and the crediting rates associated with index-linked annuities.

Additional Liabilities for ULSG

The Company establishes a liability in addition to the account balance for ULSG. These liabilities are determined by estimating the expected value of death benefits payable when the account balance is projected to be zero and recognizing those benefits ratably over the contract period based on total expected assessments. The benefits used in calculating the liabilities are based on the average benefits payable over a range of scenarios. The Company also maintains a liability for profits followed by losses on ULSG determined by projecting future earnings and establishing a liability to offset losses that are expected to occur in later years. Both ULSG liabilities are adjusted for the effects of unrealized investment gains and losses.

The Company reviews cash flow assumptions regularly, and, if they change significantly, the liability for secondary guarantees is adjusted by a cumulative charge or credit to net income. Liabilities for secondary guarantees are presented within future policy benefits with changes in the liabilities reported in policyholder benefits and claims, except for the effects of unrealized investment gains and losses, which are reported in OCI.

12

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

1. Business, Basis of Presentation and Summary of Significant Accounting Policies (continued)

The most significant assumptions used in estimating liabilities for secondary guarantees are the general account rate of return, premium persistency, mortality and lapses. See Note 4 for more information on the effect of changes in assumptions on the measurement of liabilities for secondary guarantees.

Market Risk Benefits on Annuity Guarantees

MRBs are contracts or contract features that provide protection to the policyholder from capital markets risks by transferring such risks to the Company. MRBs are required to be separated from the deferred annuity host contract and measured at fair value. The Company establishes MRB assets and liabilities for guaranteed minimum benefits on variable annuity contracts including guaranteed minimum death benefits ("GMDB"), guaranteed minimum income benefits ("GMIB"), guaranteed minimum accumulation benefits ("GMAB") and guaranteed minimum withdrawal benefits ("GMWB"). MRB assets are also established for reinsured benefits related to these guarantees. Certain index-linked annuity products may also have guaranteed minimum benefits classified as MRBs.

The measurement of fair value includes an adjustment for the risk that the Company fails to satisfy its obligations, which is referred to as nonperformance risk, as well as risk margin to capture the non-capital markets risks of the instrument, which represents the additional compensation a market participant would require to assume the risks related to the uncertainties in certain actuarial assumptions. MRBs are measured at estimated fair value, with changes reported in change in MRBs on the consolidated statements of operations, except for the change due to nonperformance risk, which is reported in OCI.

See Note 5 for more information on the effect of changes in inputs and assumptions on the measurement of MRBs and Note 11 for more information on the determination of fair value of MRBs.

Embedded Derivatives on Index-Linked Annuities

The Company issues, and assumes through reinsurance, index-linked annuities which allow the policyholder to participate in returns from certain specified equity indices. The crediting rates associated with these features are classified as embedded derivatives and measured at estimated fair value, with changes in estimated fair value reported in net derivative gains (losses). These embedded derivatives are classified within policyholder account balances on the consolidated balance sheets.

Embedded derivative liabilities are required to be separated from the deferred annuity host contract and measured at fair value. The estimated fair value is determined using a combination of an option pricing model and an option-budget approach. Under this approach, the Company estimates the cost of funding the crediting rate using option pricing and establishes that cost on the balance sheet as a reduction to the initial deposit amount. The estimate of fair value includes an adjustment for nonperformance risk, as well as a risk margin.

Actuarial assumptions are reviewed at least annually, and if they change significantly, the estimated fair value is adjusted through net income. Capital market inputs used in the measurement of index-linked crediting rate embedded derivatives are updated quarterly through net income. The reduction to the initial deposit is accreted back up to the initial deposit over the estimated life of the contract. Embedded derivatives related to index-linked annuities are presented within policyholder account balances while changes in the estimated fair value are reported in net derivative gains (losses).

For more information on the determination of estimated fair value of embedded derivatives, see Note 11.

Recognition of Revenues and Deposits on Insurance Contracts

Premiums related to traditional long-duration contracts are recognized as revenues when due from policyholders. When premiums for income annuities are due over a significantly shorter period than the period over which policyholder benefits are incurred, the Company establishes a deferred profit liability ("DPL") for the excess of the gross premium over the net premium. DPLs are amortized into net income in proportion to the amount of expected future benefit payments. Assumptions used in the measurement of the DPL are updated at the same time as the related LFPBs, with the updated estimates used to recalculate the DPL as of contract inception. The remeasurement gain or loss from updating DPLs is recognized in current period net income along with the related change in LFPBs.

13

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

1. Business, Basis of Presentation and Summary of Significant Accounting Policies (continued)

Deposits related to universal life insurance, deferred annuity contracts and investment contracts are credited to policyholder account balances. Revenues from such contracts consist of asset-based investment management fees, cost of insurance charges, risk charges, policy administration fees and surrender charges. These fees, which are included in universal life and investment-type product policy fees, are recognized when assessed to the contract holder, except for non-level insurance charges which are deferred by the establishment of an unearned revenue liability and amortized over the expected life of the contracts.

Premiums and policy fees are presented net of reinsurance.

Deferred Policy Acquisition Costs, Value of Business Acquired and Other Intangibles

The Company incurs significant costs in connection with acquiring new and renewal insurance business. Costs that are directly related to the successful acquisition or renewal of insurance contracts are capitalized as deferred policy acquisition costs ("DAC"). These costs mainly consist of commissions and include the portion of employees' compensation and benefits related to time spent selling, underwriting or processing the issuance of new insurance contracts. All other acquisition-related costs are expensed as incurred.

Value of business acquired ("VOBA") is an intangible asset resulting from a business combination that represents the excess of book value over the estimated fair value of acquired insurance, annuity and investment-type contracts in-force as of the acquisition date.

The Company amortizes DAC and VOBA in a manner that approximates a straight-line basis over the expected life of the related contracts. For life insurance contracts, amortization is based on projections of amounts of insurance in-force, while projections of policy counts are used for deferred annuity contracts and expected future benefits payments for income annuities. These assumptions are reviewed at least annually, and if they change significantly, updates are recognized through changes to future amortization. VOBA balances are tested annually to determine if the balance is deemed unrecoverable from expected future profits. All changes in DAC and VOBA balances are recorded to net income.

Periodically, the Company modifies product benefits, features, rights or coverages that occur by the exchange of an existing contract for a new contract, or by amendment, endorsement, or rider to a contract, or by election or coverage within a contract. If a modification is considered to have substantially changed the contract, the associated DAC or VOBA is written off immediately through net income and any new acquisition costs associated with the replacement contract are deferred. If the modification does not substantially change the contract, the DAC or VOBA amortization on the original contract will continue and any acquisition costs associated with the related modification are expensed.

The Company also has intangible assets representing deferred sales inducements ("DSI"), which are included in other assets, and unearned revenue liabilities, which are included in other policy-related balances. The Company defers sales inducements and unearned revenue and amortizes the balances using the same methodology and assumptions used to amortize DAC and VOBA.

Reinsurance

The Company enters into reinsurance arrangements pursuant to which it cedes certain insurance risks to unaffiliated and former related party reinsurers. Cessions under reinsurance agreements do not discharge the Company's obligations as the primary insurer. The accounting for reinsurance arrangements depends on whether the arrangement provides indemnification against loss or liability relating to insurance risk in accordance with GAAP.

For ceded reinsurance of existing in-force blocks of insurance contracts that transfer significant insurance risk, premiums, benefits and the amortization of DAC are reported net of reinsurance ceded. Amounts recoverable from reinsurers related to incurred claims and ceded reserves are included in premiums, reinsurance and other receivables and amounts payable to reinsurers included in other liabilities.

If the Company determines that a reinsurance agreement does not expose the reinsurer to a reasonable possibility of a significant loss from insurance risk, the Company records the agreement using the deposit method of accounting. Deposits received are included in other liabilities and deposits made are included in premiums, reinsurance and other receivables. As amounts are paid or received, consistent with the underlying contracts, the deposit assets or liabilities are adjusted. Interest on such deposits is recorded as other revenues or other expenses, as appropriate.

14

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

1. Business, Basis of Presentation and Summary of Significant Accounting Policies (continued)

The funds withheld liability represents amounts withheld by the Company in accordance with the terms of the reinsurance agreements. Under certain reinsurance agreements, the Company withholds the funds rather than transferring the underlying investments and, as a result, records a funds withheld liability in other liabilities. The Company recognizes interest on funds withheld, included in other expenses, at rates defined by the terms of the agreement which may be contractually specified or directly related to the investment portfolio.

Certain funds withheld arrangements may also contain embedded derivatives measured at fair value that are related to the investment return on the assets withheld. Embedded derivatives related to funds withheld arrangements are presented within policyholder account balances on the consolidated balance sheets, with changes in the estimated fair value reported in net derivative gains (losses).

Reinsurance arrangements may also contain features classified as MRBs, including reinsurance of guaranteed minimum benefits associated with variable annuity contracts.

The Company accounts for assumed reinsurance similar to directly written business.

Investments

Net Investment Income and Net Investment Gains (Losses)

Income from investments is reported in net investment income, unless otherwise stated herein. Gains and losses on sales of investments, impairment losses and changes in valuation allowances are reported in net investment gains (losses), unless otherwise stated herein.

Fixed Maturity Securities Available-For-Sale

The Company's fixed maturity securities are classified as available-for-sale and are reported at their estimated fair value. Unrealized investment gains and losses on these securities are recorded as a separate component of OCI, net of policy-related amounts and deferred income taxes. Publicly-traded security transactions are recorded on a trade date basis, while privately-placed and bank loan security transactions are recorded on a settlement date basis. Investment gains and losses on sales are determined on a specific identification basis.

Interest income and prepayment fees are recognized when earned. Interest income is recognized using an effective yield method giving effect to amortization of premiums and accretion of discounts and is based on the estimated economic life of the securities, which for residential mortgage-backed securities ("RMBS"), commercial mortgage-backed securities ("CMBS") and asset-backed securities ("ABS") (collectively, "Structured Securities") considers the estimated timing and amount of prepayments of the underlying loans. The amortization of premium and accretion of discount of fixed maturity securities also takes into consideration call and maturity dates.

Amortization of premium and accretion of discount on Structured Securities considers the estimated timing and amount of prepayments of the underlying loans. Actual prepayment experience is periodically reviewed, and effective yields are recalculated when differences arise between the originally anticipated and the actual prepayments received and currently anticipated. Prepayment assumptions for Structured Securities are estimated using inputs obtained from third-party specialists and based on management's knowledge of the current market. For credit-sensitive Structured Securities and certain prepayment-sensitive securities, the effective yield is recalculated on a prospective basis. For all other Structured Securities, the effective yield is recalculated on a retrospective basis.

The Company regularly evaluates fixed maturity securities for declines in fair value to determine if a credit loss exists. This evaluation is based on management's case-by-case evaluation of the underlying reasons for the decline in fair value including, but not limited to an analysis of the gross unrealized losses by severity and financial condition of the issuer.

For fixed maturity securities in an unrealized loss position, when the Company has the intent to sell the security, or it is more likely than not that the Company will be required to sell the security before recovery, the amortized cost basis of the security is written down to fair value through net investment gains (losses).

15

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

1. Business, Basis of Presentation and Summary of Significant Accounting Policies (continued)

For fixed maturity securities that do not meet the aforementioned criteria, management evaluates whether the decline in estimated fair value has resulted from credit losses or other factors. If the Company determines the decline in estimated fair value is due to credit losses, the difference between the amortized cost of the security and the present value of projected future cash flows expected to be collected is recognized as an allowance through net investment gains (losses). If the estimated fair value is less than the present value of projected future cash flows expected to be collected, this portion of the allowance related to other-than-credit factors is recorded in OCI.

Once a security specific allowance for credit losses is established, the present value of cash flows expected to be collected from the security continues to be reassessed. Any changes in the security specific allowance for credit losses are recorded as a provision for (or reversal of) credit loss expense in net investment gains (losses).

Fixed maturity securities are also evaluated to determine whether any amounts have become uncollectible. When all, or a portion, of a security is deemed uncollectible, the uncollectible portion is written-off with an adjustment to amortized cost and a corresponding reduction to the allowance for credit losses.

Mortgage Loans

Mortgage loans are stated at unpaid principal balance, adjusted for any unamortized premium or discount, and any deferred fees or expenses, and net of an allowance for credit losses. Interest income and prepayment fees are recognized when earned. Interest income is recognized using an effective yield method giving effect to amortization of premiums and accretion of discounts. The allowance for credit losses for mortgage loans represents the Company's best estimate of expected credit losses over the remaining life of the loans and is determined using relevant available information from internal and external sources, relating to past events, current conditions, and a reasonable and supportable forecast.

Policy Loans

Policy loans are stated at unpaid principal balances. Interest income is recorded as earned using the contractual interest rate. Generally, accrued interest is capitalized on the policy's anniversary date. Any unpaid principal and accrued interest is deducted from the cash surrender value or the death benefit prior to settlement of the insurance policy.

Limited Partnerships and LLCs

The Company uses the equity method of accounting for investments when it has more than a minor ownership interest or more than a minor influence over the investee's operations; when the Company has virtually no influence over the investee's operations the investment is carried at estimated fair value. The Company generally recognizes its share of the equity method investee's earnings on a three-month lag in instances where the investee's financial information is not sufficiently timely or when the investee's reporting period differs from the Company's reporting period; while distributions on investments carried at estimated fair value are recognized as earned or received.

Short-term Investments

Short-term investments include securities and other investments with remaining maturities of one year or less, but greater than three months, at the time of purchase and are stated at estimated fair value or amortized cost, which approximates estimated fair value. The Company's short-term investments generally involve large dollar amounts that turn over quickly and have short maturities.

For the years ended December 31, 2023, 2022 and 2021, cash proceeds from sales, maturities and repayments of short-term investments were $1.1 billion, $976 million and $3.6 billion, respectively. For the years ended December 31, 2023, 2022 and 2021, cash payments on purchases of short-term investments were $1.4 billion, $611 million and $2.4 billion, respectively.

Other Invested Assets

Other invested assets consist principally of freestanding derivatives with positive estimated fair values which are described in "— Derivatives" below.

16

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

1. Business, Basis of Presentation and Summary of Significant Accounting Policies (continued)

Securities Lending Program

Securities lending transactions whereby blocks of securities are loaned to third parties, primarily brokerage firms and commercial banks, are treated as financing arrangements and the associated liability is recorded at the amount of cash received. Income and expenses associated with securities lending transactions are reported as investment income and investment expense, respectively, in net investment income.

The Company obtains collateral at the inception of the loan, usually cash, in an amount generally equal to 102% of the estimated fair value of the securities loaned and maintains it at a level greater than or equal to 100% for the duration of the loan. The Company monitors the estimated fair value of the securities loaned on a daily basis and additional collateral is obtained as necessary throughout the duration of the loan. Securities loaned under such transactions may be sold or re-pledged by the transferee. The Company is liable to return to the counterparties the cash collateral received.

Funding Agreements

The Company established liabilities for funding agreements associated with the Company's institutional spread margin business, which are equal to the unpaid principal balance, adjusted for any unamortized premium or discount. Liabilities related to funding agreements are reported in policyholder account balances.

Derivatives

Freestanding Derivatives

Freestanding derivatives are carried at estimated fair value on the Company's balance sheet either as assets in other invested assets or as liabilities in other liabilities. The Company does not offset the estimated fair value amounts recognized for derivatives executed with the same counterparty under the same master netting agreement.

If a derivative is not designated or did not qualify as an accounting hedge, changes in the estimated fair value of the derivative are reported in net derivative gains (losses).

The Company generally reports cash received or paid for a derivative in the investing activity section of the statement of cash flows except for cash flows of certain derivative options with deferred premiums, which are reported in the financing activity section of the statement of cash flows.

Hedge Accounting

The Company primarily designates derivatives as a hedge of a forecasted transaction or a variability of cash flows to be received or paid related to a recognized asset or liability (cash flow hedge). When a derivative is designated as a cash flow hedge and is determined to be highly effective, changes in fair value are recorded in OCI and subsequently reclassified into the statement of operations when the Company's earnings are affected by the variability in cash flows of the hedged item.

To qualify for hedge accounting, at the inception of the hedging relationship, the Company formally documents its risk management objective and strategy for undertaking the hedging transaction, as well as its designation of the hedge. In its hedge documentation, the Company sets forth how the hedging instrument is expected to hedge the designated risks related to the hedged item and sets forth the method that will be used to retrospectively and prospectively assess the hedging instrument's effectiveness. A derivative designated as a hedging instrument must be assessed as being highly effective in offsetting the designated risk of the hedged item. Hedge effectiveness is formally assessed at inception and at least quarterly throughout the life of the designated hedging relationship.

The Company discontinues hedge accounting prospectively when: (i) it is determined that the derivative is no longer highly effective in offsetting changes in the estimated fair value or cash flows of a hedged item; (ii) the derivative or hedged item expires, is sold, terminated, or exercised; (iii) it is no longer probable that the hedged forecasted transaction will occur; or (iv) the derivative is de-designated as a hedging instrument.

17

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

1. Business, Basis of Presentation and Summary of Significant Accounting Policies (continued)

When hedge accounting is discontinued the derivative is carried at its estimated fair value on the balance sheet, with changes in its estimated fair value recognized in the current period as net derivative gains (losses). The changes in estimated fair value of derivatives previously recorded in OCI related to discontinued cash flow hedges are released into the statement of operations when the Company's earnings are affected by the variability in cash flows of the hedged item. When the hedged item matures or is sold, or the forecasted transaction is not probable of occurring, the Company immediately reclassifies any remaining balances in OCI to net derivative gains (losses).

Embedded Derivatives

The Company has index-linked annuities that are directly written or assumed through reinsurance contracts that contain embedded derivatives which are required to be separated from their host contracts and reported as derivatives. Certain funds withheld arrangements associated with reinsurance may also contain embedded derivatives. See "— Insurance Contract Obligations" and "— Reinsurance" for additional information on the accounting policies for embedded derivatives.

Fair Value

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. In most cases, the exit price and the transaction (or entry) price will be the same at initial recognition.

In determining the estimated fair value of the Company's investments, fair values are based on unadjusted quoted prices for identical investments in active markets that are readily and regularly obtainable. When such quoted prices are not available, fair values are based on quoted prices in markets that are not active, quoted prices for similar but not identical investments, or other observable inputs. If these inputs are not available, or observable inputs are not determinable, unobservable inputs and/or adjustments to observable inputs requiring management judgment are used to determine the estimated fair value of investments.

Separate Accounts

Separate accounts underlying the Company's variable life and annuity contracts are reported at fair value. Assets in separate accounts supporting the contract liabilities are legally insulated from the Company's general account liabilities. Investments in these separate accounts are directed by the contract holder and all investment performance, net of contract fees and assessments, is passed through to the contract holder. Investment performance and the corresponding amounts credited to contract holders of such separate accounts are offset in the same line on the statements of operations.

Separate accounts that do not pass all investment performance to the contract holder, including those underlying certain index-linked annuities, are combined on a line-by-line basis with the Company's general account assets, liabilities, revenues and expenses. The accounting for investments in these separate accounts is consistent with the methodologies described herein for similar financial instruments held in the general account.

The Company receives asset-based distribution and service fees from mutual funds available to the variable life and annuity contract holders as investment options in its separate accounts. These fees are recognized in the period in which the related services are performed and are included in other revenues.

Income Tax

The Company's income tax provision was prepared following the modified separate return method. The modified separate return method applies the Accounting Standards Codification 740 — Income Taxes ("ASC 740") to the standalone financial statements of each member of the consolidated group as if the member were a separate taxpayer and a standalone enterprise, after providing benefits for losses. The Company's accounting for income taxes represents management's best estimate of various events and transactions. Current and deferred income taxes included herein and attributable to periods up until the Company's separation from MetLife, Inc. ("Separation") have been allocated to the Company in a manner that is systematic, rational and consistent with the asset and liability method prescribed by ASC 740.

Deferred tax assets and liabilities resulting from temporary differences between the financial reporting and tax bases of assets and liabilities are measured at the balance sheet date using enacted tax rates expected to apply to taxable income in the years the temporary differences are expected to reverse.

18

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

1. Business, Basis of Presentation and Summary of Significant Accounting Policies (continued)

The realization of deferred tax assets depends upon the existence of sufficient taxable income within the carryback or carryforward periods under the tax law in the applicable tax jurisdiction. Valuation allowances are established when management determines, based on available information, that it is more likely than not that deferred income tax assets will not be realized. Significant judgment is required in determining whether valuation allowances should be established, as well as the amount of such allowances. When making such determination, the Company considers many factors, including the jurisdiction in which the deferred tax asset was generated, the length of time that carryforward can be utilized in the various taxing jurisdictions, future taxable income exclusive of reversing temporary differences and carryforwards, future reversals of existing taxable temporary differences, taxable income in prior carryback years, tax planning strategies and the nature, frequency, and amount of cumulative financial reporting income and losses in recent years.

The Inflation Reduction Act, which was enacted in 2022, established a 15% corporate alternative minimum tax ("CAMT") for corporations whose average annual adjusted financial statement income for any consecutive three-tax year period ending after December 31, 2021, and preceding the tax year exceeds $1.0 billion. The Company elects not to consider any future effects resulting from applicability of the CAMT when assessing the valuation allowance for regular deferred tax assets.

The Company may be required to change its provision for income taxes when estimates used in determining valuation allowances on deferred tax assets significantly change or when receipt of new information indicates the need for adjustment in valuation allowances. Additionally, the effect of changes in tax laws, tax regulations, or interpretations of such laws or regulations, is recognized in net income tax expense (benefit) in the period of change.

The Company determines whether it is more likely than not that a tax position will be sustained upon examination by the appropriate taxing authorities before any part of the benefit can be recorded on the financial statements. A tax position is measured at the largest amount of benefit that is greater than 50% likely of being realized upon settlement. Unrecognized tax benefits due to tax uncertainties that do not meet the threshold are included in other liabilities and are charged to earnings in the period that such determination is made.

The Company classifies interest recognized as interest expense and penalties recognized as a component of income tax expense.

Litigation and Other Loss Contingencies

The Company is a party to or involved in a number of legal disputes, including litigation matters and disputes or other matters involving third parties (e.g., vendors, reinsurers or tax or other authorities), and are subject in the ordinary course to a number of regulatory examinations and investigations. The Company reviews relevant information with respect to litigation and other loss contingencies related to these matters and establishes liabilities when it is probable that a loss has been incurred and the amount of the loss can be reasonably estimated. Legal costs are recognized as incurred.

In matters where it is not probable, but it is reasonably possible that a loss will be incurred and the amount of loss can be reasonably estimated, such losses or range of losses are disclosed, and no accrual is made. In the absence of sufficient information to support an assessment of a reasonably possible loss or range of loss, no accrual is made and no loss or range of loss is disclosed.

Other Accounting Policies

Cash and Cash Equivalents

The Company considers all highly liquid securities and other investments purchased with an original or remaining maturity of three months or less at the date of purchase to be cash equivalents. Cash equivalents are stated at estimated fair value or amortized cost, which approximates estimated fair value.

Employee Benefit Plans

Brighthouse Services, LLC ("Brighthouse Services"), an affiliate, sponsors qualified and non-qualified defined contribution plans, and New England Life Insurance Company ("NELICO"), an affiliate, sponsors certain frozen defined benefit pension and postretirement plans. Within its consolidated statement of operations, the Company has included expenses associated with its participants in these plans.

19

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

1. Business, Basis of Presentation and Summary of Significant Accounting Policies (continued)

Adoption of New Accounting Pronouncements

Changes to GAAP are established by the Financial Accounting Standards Board ("FASB") in the form of accounting standards updates ("ASU") to the FASB Accounting Standards Codification. The Company considers the applicability and impact of all ASUs. Except as noted below, there were no significant ASUs adopted during the year ended December 31, 2023.

In March 2022, the FASB issued new guidance on Troubled Debt Restructurings ("TDR") (ASU 2022-02, Financial Instruments — Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures). This ASU eliminates TDR recognition and measurement guidance and, instead, requires that an entity evaluate (consistent with the accounting for other loan modifications) whether the modification represents a new loan or a continuation of an existing loan. The amendments also enhance existing disclosure requirements and introduce new requirements related to certain modifications of receivables made to borrowers experiencing financial difficulty. The Company adopted this guidance on January 1, 2023. This ASU was applied prospectively and did not have a material impact on the consolidated financial statements upon adoption but could change the future recognition and measurement of modified loans and other receivables.

In August 2018, the FASB issued new guidance on long-duration contracts (ASU 2018-12, Financial Services-Insurance (Topic 944): Targeted Improvements to the Accounting for Long-Duration Contracts ("LDTI")). LDTI is effective for fiscal years beginning after January 1, 2023. LDTI resulted in significant changes to the measurement, presentation and disclosure requirements for long-duration insurance contracts. A summary of the most significant changes is provided below:

(1)  Guaranteed benefits associated with variable annuity and certain fixed annuity contracts have been classified and presented separately on the consolidated balance sheets as MRBs. MRBs are now measured at estimated fair value through net income and reported separately on the consolidated statements of operations, except for nonperformance risk changes, which will be recognized in OCI.

(2)  Cash flow assumptions used to measure LFPBs on traditional long-duration contracts (including term and non-participating whole life insurance and immediate annuities) have been updated on an annual basis using a retrospective method. The resulting remeasurement gain or loss is now reported separately on the consolidated statements of operations along with the remeasurement gain or loss on universal life-type contract liabilities.

(3)  The discount rate assumption used to measure the liability for traditional long-duration contracts is now based on an upper-medium grade fixed income yield, updated quarterly, with changes recognized in OCI.

(4)  DAC for all insurance products are required to be amortized on a constant-level basis over the expected term of the contracts, using amortization methods that are not a function of revenue or profit emergence. Changes in assumptions used to amortize DAC have been recognized as a revision to future amortization amounts.

(5)  There was a significant increase in required disclosures, including disaggregated rollforwards of insurance contract assets and liabilities supplemented by qualitative and quantitative information regarding the cash flows, assumptions, methods and judgements used to measure those balances.

The transition date was January 1, 2021. MRB changes were required to be applied on a retrospective basis, while the changes for insurance liability assumption updates and DAC amortization were applied to existing carrying amounts on the transition date.

The cumulative effect, on an after-tax basis, of the adoption of ASU 2018-12 as of the transition date was a $5.2 billion decrease to retained earnings and a $3.9 billion decrease to accumulated other comprehensive income (loss) ("AOCI"). See Note 2 for more detailed information on the impacts of the ASU to the Company's financial statements.

Future Adoption of New Accounting Pronouncements

In November 2023, the FASB issued new guidance on Segment Reporting Disclosures (ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures). This ASU updates reportable segment disclosures primarily through enhanced disclosures about significant segment expenses. This ASU does not change how a company identifies its operating segments, aggregates those operating segments, or applies the quantitative thresholds to determine its reportable segments. This ASU is effective for fiscal years starting January 1, 2024, and for interim periods starting January 1, 2025, and will be applied on a retrospective basis. The Company is currently evaluating the impact of this guidance on its financial statements.

20

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

1. Business, Basis of Presentation and Summary of Significant Accounting Policies (continued)

In December 2023, the FASB issued new guidance on Income Tax Disclosures (ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures). This ASU updates the required income tax disclosures to include disclosure of income taxes paid disaggregated by jurisdiction and greater disaggregation of information in the required rate reconciliation. This ASU is effective for fiscal years starting January 1, 2025, and will be applied on a prospective basis. The Company is currently evaluating the impact of this guidance on its financial statements.

2. ASU 2018-12 Transition

The Company adopted ASU 2018-12 for LFPBs, DAC and other balances amortized on a basis consistent with DAC by applying the guidance to contracts in-force on the basis of their existing carrying amounts at the transition date. The Company adopted ASU 2018-12 for MRBs on a fully retrospective basis.

The effect of transition adjustments on stockholder's equity at January 1, 2021 due to the adoption of ASU 2018-12 was as follows:

	Retained Earnings (Deficit)			AOCI
	(In millions)
Liability for future policy benefits	$	(434	)	$	(2,053	)
Market risk benefits and related adjustments		(5,971	)		(3,452	)
DAC and VOBA		—			494
Reinsurance recoverables		(141	)		30
Deferred income tax asset		1,375			1,046
Total	$	(5,171	)	$	(3,935	)

For LFPBs, the transition adjustment to retained earnings relates to instances where net premiums exceed gross premiums resulting in LFPBs being increased to eliminate the premium deficiency. The premium deficiency primarily relates to structured settlement annuities. The transition adjustment related to AOCI represents the effect of the requirement to discount LFPBs based on an upper-medium grade fixed income rate as well as the removal of amounts previously recorded in AOCI for the effects of unrealized investment gains and losses.

For MRBs, the transition adjustment to AOCI relates to the cumulative effect of changes in the nonperformance risk between contract issue date and transition date. In aggregate, the additional spread applied to the risk-free rate decreased from contract inception to the transition date, which had a negative impact on equity. The remaining difference between the estimated fair value and carrying amount of MRBs at transition, excluding the amounts recorded in AOCI, was recorded as an adjustment to retained earnings as of the transition date.

For DAC and VOBA, the Company removed amounts previously recorded in AOCI for the effect of unrealized investment gains and losses.

For reinsurance, the adjustments to both retained earnings and AOCI were made to align the measurement of reinsurance recoverables with the related LFPBs.

21

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

2. ASU 2018-12 Transition (continued)

The balances of and changes in LFPBs at January 1, 2021 due to the adoption of ASU 2018-12 were as follows:

	Term and Whole Life Insurance		Income Annuities			Structured Settlement and Pension Risk Transfer Annuities
	(In millions)
Balance at December 31, 2020	$	2,797	$	4,260		$	10,115
Removal of related balances in AOCI		—		(203	)		(1,784	)
Change in cash flow assumptions		13		(168	)		200
Initial recognition of deferred profit liabilities		—		172			217
Change in discount rate assumptions		522		748			2,770
Adjusted balance at January 1, 2021		3,332		4,809			11,518
Less: Reinsurance recoverable		59		29			102
Adjusted balance at January 1, 2021, net of reinsurance	$	3,273	$	4,780		$	11,416

The balance of and changes in liabilities classified as MRBs at January 1, 2021 due to the adoption of ASU 2018-12 were as follows:

	Variable Annuities
	(In millions)
Balance at December 31, 2020	$	8,622
Adjustment for the difference between carrying amount and estimated fair value, except for the difference due to nonperformance risk		6,347
Adjustment for cumulative effect of changes in nonperformance risk since issuance		3,452
Adjusted balance at January 1, 2021		18,421
Less: Reinsurance recoverable		169
Adjusted balance at January 1, 2021, net of reinsurance	$	18,252

The balances of and changes in DAC and VOBA on January 1, 2021 due to the adoption of ASU 2018-12 were as follows:

	Variable Annuities		Fixed Rate Annuities		Index-Linked Annuities		Term and Whole Life Insurance		Universal Life Insurance
	(In millions)
DAC:
Balance at December 31, 2020	$	2,326	$	64	$	886	$	451	$	144
Removal of related amounts in AOCI		460		—		—		—		(37	)
Adjusted balance at January 1, 2021	$	2,786	$	64	$	886	$	451	$	107
VOBA:
Balance at December 31, 2020	$	363	$	76	$	—	$	8	$	38
Removal of related amounts in AOCI		65		—		—		—		6
Adjusted balance at January 1, 2021	$	428	$	76	$	—	$	8	$	44

The following tables present amounts previously reported in 2022 and 2021, the effect on those amounts of the change due to the adoption of ASU 2018-12 as described in Note 1, and the currently reported amounts in the Consolidated Balance Sheets and Consolidated Statements of Operations. See Notes 4, 5, 6 and 7 for more information.

22

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

2. ASU 2018-12 Transition (continued)

	December 31, 2022									December 31, 2021
	As Previously Reported			Effect of Change			As Currently Reported			As Previously Reported			Effect of Change			As Currently Reported
	(In millions)
Total assets	$	216,151		$	(713	)	$	215,438		$	247,255		$	2,476		$	249,731
Future policy benefits	$	41,105		$	(9,959	)	$	31,146		$	43,589		$	(3,759	)	$	39,830
Policyholder account balances	$	74,112		$	(1,510	)	$	72,602		$	66,195		$	(1,905	)	$	64,290
Market risk benefit liabilities	$	—		$	10,411		$	10,411		$	—		$	16,062		$	16,062
Total liabilities	$	209,287		$	(363	)	$	208,924		$	231,144		$	10,051		$	241,195
Retained earnings (deficit)	$	(5,717	)	$	299		$	(5,418	)	$	(5,653	)	$	(3,475	)	$	(9,128	)
Accumulated other comprehensive income (loss)	$	(5,282	)	$	(649	)	$	(5,931	)	$	3,901		$	(4,100	)	$	(199	)
Total equity	$	6,864		$	(350	)	$	6,514		$	16,111		$	(7,575	)	$	8,536
Total liabilities and equity	$	216,151		$	(713	)	$	215,438		$	247,255		$	2,476		$	249,731
	Year Ended December 31, 2022									Year Ended December 31, 2021
	As Previously Reported			Effect of Change			As Currently Reported			As Previously Reported			Effect of Change			As Currently Reported
	(In millions)
Universal life and investment-type product policy fees	$	2,562		$	(686	)	$	1,876		$	2,986		$	(666	)	$	2,320
Net derivative gains (losses)	$	402		$	(987	)	$	(585	)	$	(2,359	)	$	(1,627	)	$	(3,986	)
Total revenues	$	7,832		$	(1,670	)	$	6,162		$	6,400		$	(2,290	)	$	4,110
Policyholder benefits and claims	$	4,143		$	(1,957	)	$	2,186		$	3,213		$	(728	)	$	2,485
Change in market risk benefits	$	—		$	(4,105	)	$	(4,105	)	$	—		$	(4,142	)	$	(4,142	)
Total expenses	$	8,103		$	(6,447	)	$	1,656		$	6,404		$	(4,436	)	$	1,968
Net income (loss)	$	(63	)	$	3,774		$	3,711		$	67		$	1,696		$	1,763

3. Segment Information

The Company is organized into three segments: Annuities; Life; and Run-off. In addition, the Company reports certain of its results of operations in Corporate & Other.

Annuities

The Annuities segment consists of a variety of variable, fixed, index-linked and income annuities designed to address contract holders' needs for protected wealth accumulation on a tax-deferred basis, wealth transfer and income security.

Life

The Life segment consists of insurance products, including term, universal, whole and variable life products designed to address policyholders' needs for financial security and protected wealth transfer, which may be on a tax-advantaged basis.

Run-off

The Run-off segment consists of products that are no longer actively sold and are separately managed, including ULSG, structured settlements, pension risk transfer contracts, certain company-owned life insurance policies and certain funding agreements.

Corporate & Other

Corporate & Other contains the excess capital not allocated to the segments and interest expense related to the Company's outstanding debt, as well as expenses associated with certain legal proceedings and income tax audit issues. Corporate & Other also includes long-term care business reinsured through 100% quota share reinsurance agreements and activities related to funding agreements associated with the Company's institutional spread margin business.

23

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

3. Segment Information (continued)

In connection with the adoption of ASU 2018-12, the Company reclassified direct-to-consumer life insurance that is no longer sold from Corporate & Other to the Life segment. The segment information below reflects the direct-to-consumer life insurance in the Life segment for all periods presented.

Financial Measures and Segment Accounting Policies

Adjusted earnings is a financial measure used by management to evaluate performance and facilitate comparisons to industry results. Consistent with GAAP guidance for segment reporting, adjusted earnings is also used to measure segment performance. The Company believes the presentation of adjusted earnings, as the Company measures it for management purposes, enhances the understanding of its performance by the investor community by highlighting the results of operations and the underlying profitability drivers of the business.

Adjusted earnings, which may be positive or negative, focuses on the Company's primary businesses by excluding the impact of market volatility, which could distort trends.

The following are significant items excluded from total revenues in calculating adjusted earnings:

•  Net investment gains (losses); and

•  Net derivative gains (losses), excluding earned income and amortization of premium on derivatives that are hedges of investments or that are used to replicate certain investments, but do not qualify for hedge accounting treatment ("Investment Hedge Adjustments").

The following are significant items excluded from total expenses in calculating adjusted earnings:

•  Change in MRBs; and

•  Change in fair value of the crediting rate on experience-rated contracts ("Market Value Adjustments").

The provision for income tax related to adjusted earnings is calculated using the statutory tax rate of 21%, net of impacts related to the dividends received deduction, tax credits and current period non-recurring items.

The Company's adjusted earnings definition and presentation has been updated for all periods presented to reflect the adoption of ASU 2018-12.

The segment accounting policies are the same as those used to prepare the Company's consolidated financial statements, except for the adjustments to calculate adjusted earnings described above. In addition, segment accounting policies include the methods of capital allocation described below.

Segment investment and capitalization targets are based on statutory oriented risk principles and metrics. Segment invested assets backing liabilities are based on net statutory liabilities plus excess capital. For the variable annuity business, the excess capital held is based on the target statutory total asset requirement consistent with the Company's variable annuity risk management strategy. For insurance businesses other than variable annuities, excess capital held is based on a percentage of required statutory risk-based capital ("RBC"). Assets in excess of those allocated to the segments, if any, are held in Corporate & Other. Segment net investment income reflects the performance of each segment's respective invested assets.

24

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

3. Segment Information (continued)

Operating results by segment, as well as Corporate & Other, were as follows:

	Year Ended December 31, 2023
	Annuities		Life			Run-off			Corporate & Other			Total
	(In millions)
Pre-tax adjusted earnings	$	1,380	$	86		$	(99	)	$	(91	)	$	1,276
Provision for income tax expense (benefit)		257		17			(22	)		(50	)		202
Post-tax adjusted earnings		1,123		69			(77	)		(41	)		1,074
Less: Net income (loss) attributable to noncontrolling interests		—		—			—			1			1
Adjusted earnings	$	1,123	$	69		$	(77	)	$	(42	)		1,073
Adjustments for:
Net investment gains (losses)													(242	)
Net derivative gains (losses), excluding investment hedge adjustments of $105													(4,025	)
Change in market risk benefits													1,497
Market value adjustments													(12	)
Provision for income tax (expense) benefit													585
Net income (loss) attributable to Brighthouse Life Insurance Company												$	(1,124	)
Interest revenue	$	2,558	$	391		$	1,141		$	575
Interest expense	$	—	$	—		$	—		$	70
	Year Ended December 31, 2022
	Annuities		Life			Run-off			Corporate & Other			Total
	(In millions)
Pre-tax adjusted earnings	$	1,291	$	(32	)	$	108		$	(156	)	$	1,211
Provision for income tax expense (benefit)		244		(8	)		21			(154	)		103
Post-tax adjusted earnings		1,047		(24	)		87			(2	)		1,108
Less: Net income (loss) attributable to noncontrolling interests		—		—			—			1			1
Adjusted earnings	$	1,047	$	(24	)	$	87		$	(3	)		1,107
Adjustments for:
Net investment gains (losses)													(240	)
Net derivative gains (losses), excluding investment hedge adjustments of $71													(656	)
Change in market risk benefits													4,105
Market value adjustments													86
Provision for income tax (expense) benefit													(692	)
Net income (loss) attributable to Brighthouse Life Insurance Company												$	3,710
Interest revenue	$	2,254	$	396		$	1,166		$	319
Interest expense	$	—	$	—		$	—		$	70

25

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

3. Segment Information (continued)

	Year Ended December 31, 2021
	Annuities		Life		Run-off		Corporate & Other			Total
	(In millions)
Pre-tax adjusted earnings	$	1,550	$	532	$	264	$	(293	)	$	2,053
Provision for income tax expense (benefit)		296		112		58		(108	)		358
Post-tax adjusted earnings		1,254		420		206		(185	)		1,695
Less: Net income (loss) attributable to noncontrolling interests		—		—		—		1			1
Adjusted earnings	$	1,254	$	420	$	206	$	(186	)		1,694
Adjustments for:
Net investment gains (losses)											(63	)
Net derivative gains (losses), excluding investment hedge adjustments of $21											(4,007	)
Change in market risk benefits											4,142
Market value adjustments											17
Provision for income tax (expense) benefit											(21	)
Net income (loss) attributable to Brighthouse Life Insurance Company										$	1,762
Interest revenue	$	2,207	$	643	$	1,910	$	76
Interest expense	$	—	$	—	$	—	$	67

Total revenues by segment, as well as Corporate & Other, were as follows:

	Years Ended December 31,
	2023			2022			2021
	(In millions)
Annuities	$	4,440		$	4,048		$	4,297
Life		1,013			988			1,382
Run-off		1,643			1,703			2,425
Corporate & Other		576			319			76
Adjustments		(4,267	)		(896	)		(4,070	)
Total	$	3,405		$	6,162		$	4,110

Total assets by segment, as well as Corporate & Other, were as follows at:

	December 31,
	2023		2022
	(In millions)
Annuities	$	157,614	$	148,228
Life		20,363		17,214
Run-off		26,849		28,466
Corporate & Other		21,378		21,530
Total	$	226,204	$	215,438

26

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

3. Segment Information (continued)

Total premiums, universal life and investment-type product policy fees and other revenues by major product group were as follows:

	Years Ended December 31,
	2023		2022		2021
	(In millions)
Annuity products	$	1,890	$	1,796	$	2,093
Life insurance products		1,110		1,119		1,243
Other products		7		8		8
Total	$	3,007	$	2,923	$	3,344

Substantially all of the Company's premiums, universal life and investment-type product policy fees and other revenues originated in the U.S.

Revenues derived from any individual customer did not exceed 10% of premiums, universal life and investment-type product policy fees and other revenues for the years ended December 31, 2023, 2022 and 2021.

27

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

4. Insurance Liabilities

Liability for Future Policy Benefits

Information regarding LFPBs for non-participating traditional and limited-payment contracts was as follows:

	Years Ended December 31,
	2023									2022									2021
	Term and Whole Life Insurance			Income Annuities			Structured Settlement and Pension Risk Transfer Annuities			Term and Whole Life Insurance			Income Annuities			Structured Settlement and Pension Risk Transfer Annuities			Term and Whole Life Insurance			Income Annuities			Structured Settlement and Pension Risk Transfer Annuities
	(Dollars in millions)
Present value of expected net premiums:
Balance, beginning of year	$	2,804		$	—		$	—		$	3,212		$	—		$	—		$	3,274		$	—		$	—
Beginning balance at original discount rate		3,146			—			—			2,964			—			—			2,868			—			—
Effect of model refinements		—			—			—			121			—			—			—			—			—
Effect of changes in cash flow assumptions		206			—			—			159			—			—			100			—			—
Effect of actual variances from expected experience		(17	)		—			—			114			—			—			158			—			—
Adjusted beginning of year balance		3,335			—			—			3,358			—			—			3,126			—			—
Issuances		93			—			—			93			—			—			112			—			—
Interest accrual		108			—			—			112			—			—			107			—			—
Net premiums collected		(374	)		—			—			(417	)		—			—			(381	)		—			—
Ending balance at original discount rate		3,162			—			—			3,146			—			—			2,964			—			—
Effect of changes in discount rate assumptions		(263	)		—			—			(342	)		—			—			248			—			—
Balance, end of year	$	2,899		$	—		$	—		$	2,804		$	—		$	—		$	3,212		$	—		$	—
Present value of expected future policy benefits:
Balance, beginning of year	$	5,172		$	3,469		$	6,793		$	6,253		$	4,283		$	10,171		$	6,606		$	4,636		$	11,301
Beginning balance at original discount rate		5,816			3,848			7,410			5,682			3,817			8,165			5,678			3,889			8,531
Effect of model refinements		—			—			—			134			—			(278	)		—			—			—
Effect of changes in cash flow assumptions		296			—			—			179			55			(157	)		100			(40	)		(41	)
Effect of actual variances from expected experience		(15	)		(21	)		(47	)		150			(21	)		(23	)		158			(6	)		(16	)
Adjusted beginning of year balance		6,097			3,827			7,363			6,145			3,851			7,707			5,936			3,843			8,474
Issuances		99			369			—			101			220			—			128			193			—
Interest accrual		211			139			314			216			144			327			214			149			359
Benefit payments		(502	)		(342	)		(592	)		(646	)		(367	)		(624	)		(596	)		(368	)		(668	)
Ending balance at original discount rate		5,905			3,993			7,085			5,816			3,848			7,410			5,682			3,817			8,165
Effect of changes in discount rate assumptions		(520	)		(274	)		(388	)		(644	)		(379	)		(617	)		571			466			2,006
Balance, end of year	$	5,385		$	3,719		$	6,697		$	5,172		$	3,469		$	6,793		$	6,253		$	4,283		$	10,171
Net liability for future policy benefits, end of year	$	2,486		$	3,719		$	6,697		$	2,368		$	3,469		$	6,793		$	3,041		$	4,283		$	10,171
Less: Reinsurance recoverable, end of year		24			30			65			32			25			68			42			28			93
Net liability for future policy benefits, after reinsurance recoverable	$	2,462		$	3,689		$	6,632		$	2,336		$	3,444		$	6,725		$	2,999		$	4,255		$	10,078
Weighted-average duration of liability		8.8 years			8.2 years			11.6 years			8.5 years			8.5 years			11.6 years			8.5 years			8.5 years			12.7 years
Weighted-average interest accretion rate		3.91	%		3.99	%		4.46	%		3.94	%		3.89	%		4.45	%		3.94	%		3.98	%		4.45	%
Current discount rate		4.94	%		4.95	%		5.03	%		5.26	%		5.27	%		5.32	%		2.53	%		2.55	%		2.81	%
Gross premiums or assessments recognized during period	$	595		$	472		$	—		$	625		$	243		$	—		$	648		$	240		$	—
Expected future gross premiums, undiscounted	$	5,999		$	—		$	—		$	6,535		$	—		$	—		$	6,736		$	—		$	—
Expected future gross premiums, discounted	$	4,535		$	—		$	—		$	4,875		$	—		$	—		$	5,014		$	—		$	—
Expected future benefit payments, undiscounted	$	8,148		$	5,616		$	13,767		$	8,015		$	5,434		$	14,418		$	7,877		$	5,446		$	17,241
Expected future benefit payments, discounted	$	5,905		$	3,993		$	7,085		$	5,816		$	3,848		$	7,410		$	5,682		$	3,817		$	8,165

28

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

4. Insurance Liabilities (continued)

The measurement of LFPBs can be significantly impacted by changes in assumptions for policyholder behavior. As part of the 2023 and 2022 annual actuarial review ("AAR"), the Company updated assumptions regarding mortality and lapses for term and non-participating whole life insurance. The impact from changes in assumptions is presented in effect of changes in cash flow assumptions in the table above.

Information regarding the additional insurance liabilities for universal life-type contracts with secondary guarantees was as follows:

	Years Ended December 31,
	2023			2022			2021
	(Dollars in millions)
Balance, beginning of year	$	6,935		$	7,168		$	6,743
Beginning balance before the effect of unrealized gains and losses		7,175			6,731			6,203
Effect of changes in cash flow assumptions		52			(37	)		153
Effect of actual variances from expected experience		145			179			(124	)
Adjusted beginning of year balance		7,372			6,873			6,232
Interest accrual		357			333			308
Net assessments collected		414			416			475
Benefit payments		(359	)		(447	)		(286	)
Effect of realized capital gains (losses)		—			—			2
Ending balance before the effect of unrealized gains and losses		7,784			7,175			6,731
Effect of unrealized gains and losses		(177	)		(240	)		437
Balance, end of year		7,607			6,935			7,168
Less: Reinsurance recoverable, end of year		1,438			1,384			1,294
Net additional liability, after reinsurance recoverable	$	6,169		$	5,551		$	5,874
Weighted-average duration of liability		6.7 years			6.7 years			6.7 years
Weighted-average interest accretion rate		4.92	%		4.90	%		4.90	%
Gross assessments recognized during period	$	1,064		$	1,070		$	1,255

The measurement of liabilities for secondary guarantees can be significantly impacted by changes in the expected general account rate of return, which is driven by the Company's assumption for long-term treasury yields. The Company's practice of projecting treasury yields uses a mean reversion approach that assumes that long-term interest rates are less influenced by short-term fluctuations and are only changed when sustained interim deviations are expected. As part of the 2023 AAR, the Company increased the long-term general account earned rate, driven by an increase in the mean reversion rate from 3.50% to 3.75%. The Company also updated assumptions regarding policyholder behavior, including mortality, premium persistency, lapses, withdrawals and maintenance expenses. As part of the 2022 AAR, the Company increased the long-term general account earned rate, driven by an increase in the mean reversion rate from 3.00% to 3.50%. Both period assumption updates are reflected in the table above.

29

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

4. Insurance Liabilities (continued)

A reconciliation of the net LFPBs for nonparticipating traditional and limited-payment contracts and the additional insurance liabilities for universal life-type contracts with secondary guarantees reported in the preceding rollforward tables to LFPBs on the consolidated balance sheets was as follows at:

	December 31,
	2023		2022
	(In millions)
Liabilities reported in the preceding rollforward tables	$	20,509	$	19,565
Long-term care insurance (1)		5,581		5,686
ULSG liabilities, including liability for profits followed by losses		2,427		2,449
Participating whole life insurance (2)		2,849		2,689
Deferred profit liabilities		475		369
Other		308		388
Total liability for future policy benefits	$	32,149	$	31,146

(1)  Includes liabilities related to fully reinsured individual long-term care insurance. See Note 8.

(2)  Participating whole life insurance uses an interest assumption based on the non-forfeiture interest rate, ranging from 3.5% to 4.0%, and mortality rates guaranteed in calculating the cash surrender values described in such contracts, and also includes a liability for terminal dividends. Participating whole life insurance represented 3% of the Company's life insurance in-force at both December 31, 2023 and 2022, and 40% and 41% of gross traditional life insurance premiums for the years ended December 31, 2023 and 2022, respectively.

30

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

4. Insurance Liabilities (continued)

Policyholder Account Balances

Information regarding policyholder account balances was as follows:

	Universal Life Insurance			Variable Annuities (1)			Index- linked Annuities			Fixed Rate Annuities			ULSG			Company- Owned Life Insurance (1)
	(Dollars in millions)
Year Ended December 31, 2023
Balance, beginning of year	$	2,100		$	4,664		$	33,897		$	14,274		$	5,307		$	641
Premiums and deposits		210			75			7,183			2,694			660			—
Surrenders and withdrawals		(129	)		(647	)		(3,732	)		(2,405	)		(23	)		—
Benefit payments		(59	)		(101	)		(240	)		(377	)		(85	)		(8	)
Net transfers from (to) separate account		18			14			—			—			—			1
Interest credited		40			129			445			486			208			28
Policy charges		(200	)		(23	)		(11	)		—			(1,015	)		(9	)
Changes related to embedded derivatives		—			—			4,085			—			—			—
Balance, end of year	$	1,980		$	4,111		$	41,627		$	14,672		$	5,052		$	653
Weighted-average crediting rate (2)		2.03	%		2.91	%		1.47	%		3.31	%		4.02	%		4.33	%
Year Ended December 31, 2022
Balance, beginning of year	$	2,134		$	4,475		$	32,000		$	11,849		$	5,569		$	646
Premiums and deposits		199			145			6,632			3,676			697			—
Surrenders and withdrawals		(49	)		(453	)		(2,220	)		(904	)		(32	)		—
Benefit payments		(59	)		(104	)		(180	)		(345	)		(84	)		(8	)
Net transfers from (to) separate account		21			131			—			—			—			(13	)
Interest credited		56			493			392			(2	)		197			23
Policy charges		(202	)		(23	)		(8	)		—			(1,040	)		(7	)
Changes related to embedded derivatives		—			—			(2,719	)		—			—			—
Balance, end of year	$	2,100		$	4,664		$	33,897		$	14,274		$	5,307		$	641
Weighted-average crediting rate (2)		2.65	%		10.91	%		1.16	%		(0.02	)%		3.62	%		3.41	%
Year Ended December 31, 2021
Balance, beginning of year	$	2,110		$	4,605		$	23,274		$	12,349		$	5,823		$	679
Premiums and deposits		290			194			7,054			114			687			—
Surrenders and withdrawals		(48	)		(566	)		(1,419	)		(610	)		(46	)		—
Benefit payments		(55	)		(95	)		(151	)		(342	)		(77	)		(10	)
Net transfers from (to) separate account		17			238			—			—			—			(35	)
Interest credited		84			140			365			338			186			24
Policy charges		(264	)		(41	)		(6	)		—			(1,004	)		(12	)
Changes related to embedded derivatives		—			—			2,883			—			—			—
Balance, end of year	$	2,134		$	4,475		$	32,000		$	11,849		$	5,569		$	646
Weighted-average crediting rate		3.97	%		3.07	%		1.12	%		2.79	%		3.27	%		3.66	%

(1)  Includes liabilities related to separate account products where the contract holder elected a general account investment option.

(2)  Excludes the effects of embedded derivatives related to index-linked crediting rates.

31

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

4. Insurance Liabilities (continued)

A reconciliation of policyholder account balances reported in the preceding rollforward table to the liability for policyholder account balances on the consolidated balance sheets was as follows at:

	December 31,
	2023		2022
	(In millions)
Policyholder account balances reported in the preceding rollforward table	$	68,095	$	60,883
Funding agreements classified as investment contracts		11,115		10,689
Other investment contract liabilities		983		1,030
Total policyholder account balances	$	80,193	$	72,602

The balance of account values by range of guaranteed minimum crediting rates and the related range of difference, in basis points, between rates being credited to policyholders and the respective guaranteed minimums was as follows at:

Range of Guaranteed Minimum Crediting Rate	At Guaranteed Minimum		1 to 50 Basis Points Above		51 to 150 Basis Points Above		Greater than 150 Basis Points Above		Total
	(In millions)
December 31, 2023
Annuities (1):
Less than 2.00%	$	645	$	204	$	301	$	7,632	$	8,782
2.00% to 3.99%		8,125		233		201		307		8,866
Greater than 3.99%		872		—		—		—		872
Total	$	9,642	$	437	$	502	$	7,939	$	18,520
Life insurance (2) (3):
Less than 2.00%	$	—	$	—	$	—	$	236	$	236
2.00% to 3.99%		—		441		49		132		622
Greater than 3.99%		1,077		—		—		—		1,077
Total	$	1,077	$	441	$	49	$	368	$	1,935
ULSG (3):
Less than 2.00%	$	—	$	—	$	—	$	—	$	—
2.00% to 3.99%		1,134		1,485		1,663		254		4,536
Greater than 3.99%		506		—		—		—		506
Total	$	1,640	$	1,485	$	1,663	$	254	$	5,042
December 31, 2022
Annuities (1):
Less than 2.00%	$	805	$	293	$	356	$	5,805	$	7,259
2.00% to 3.99%		5,224		4,871		594		8		10,697
Greater than 3.99%		470		—		—		—		470
Total	$	6,499	$	5,164	$	950	$	5,813	$	18,426
Life insurance (2) (3):
Less than 2.00%	$	—	$	—	$	—	$	172	$	172
2.00% to 3.99%		—		462		87		150		699
Greater than 3.99%		1,148		—		—		—		1,148
Total	$	1,148	$	462	$	87	$	322	$	2,019
ULSG (3):
Less than 2.00%	$	—	$	—	$	—	$	—	$	—
2.00% to 3.99%		1,224		1,581		1,729		266		4,800
Greater than 3.99%		527		—		—		—		527
Total	$	1,751	$	1,581	$	1,729	$	266	$	5,327

32

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

4. Insurance Liabilities (continued)

(1)  Includes policyholder account balances for fixed rate annuities and the fixed account portion of variable annuities.

(2)  Includes policyholder account balances for retained asset accounts, universal life policies and the fixed account portion of universal variable life insurance policies.

(3)  Amounts are gross of policy loans.

See Note 6 for information regarding net amount at risk and cash surrender values.

Obligations Under Funding Agreements

Institutional Spread Margin Business

Brighthouse Life Insurance Company has issued unsecured fixed and floating rate funding agreements to certain special purpose entities that have issued either debt securities or commercial paper for which payment of interest and principal is secured by such funding agreements. The Company had obligations outstanding under these funding agreements of $5.5 billion at both December 31, 2023 and 2022.

Brighthouse Life Insurance Company has a secured funding agreement program with the Federal Home Loan Bank ("FHLB") of Atlanta. The Company had obligations outstanding under this program of $4.4 billion and $3.9 billion at December 31, 2023 and 2022, respectively. Funding agreements are issued to FHLBs in exchange for cash, for which the FHLBs have been granted liens on certain assets, some of which are in their custody to collateralize the Company's obligations under the funding agreements. The Company is permitted to withdraw any portion of the collateral in the custody of the FHLBs as long as there is no event of default and the remaining qualified collateral is sufficient to satisfy the collateral maintenance level. Upon any event of default by the Company, the FHLBs' recovery on the collateral is limited to the amount of the Company's liabilities to the FHLBs. See Note 9 for information on invested assets pledged as collateral in connection with funding agreements.

Brighthouse Life Insurance Company has a secured funding agreement program with the Federal Agricultural Mortgage Corporation and its affiliate Farmer Mac Mortgage Securities Corporation ("Farmer Mac"). The Company had obligations outstanding under this program of $700 million at both December 31, 2023 and 2022. Funding agreements are issued to Farmer Mac in exchange for cash, for which Farmer Mac have been granted liens on certain assets to collateralize the Company's obligations under the funding agreements. Upon any event of default by the Company, Farmer Mac's recovery on the collateral is limited to the amount of the Company's liabilities to Farmer Mac. See Note 9 for information on invested assets pledged as collateral in connection with funding agreements.

Inactive Funding Agreement Programs

Brighthouse Life Insurance Company has obligations outstanding under inactive funding agreement programs of $525 million at both December 31, 2023 and 2022.

33

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

5. Market Risk Benefits

Information regarding MRB assets and liabilities associated with variable annuities was as follows:

	Years Ended December 31,
	2023			2022			2021
	(Dollars in millions)
Balance, beginning of year	$	9,997		$	15,726		$	18,421
Balance, beginning of year, before effect of changes in nonperformance risk		8,253			11,639			14,969
Decrements		(176	)		16			(70	)
Effect of changes in future expected assumptions		260			212			41
Effect of actual different from expected experience		186			(48	)		(86	)
Effect of changes in interest rates		(427	)		(8,397	)		(1,831	)
Effect of changes in fund returns		(2,203	)		3,806			(2,578	)
Issuances		(7	)		(47	)		(96	)
Effect of changes in risk margin		(34	)		(152	)		(128	)
Aging of the block and other		1,496			1,224			1,418
Balance, end of year, before effect of changes in nonperformance risk		7,348			8,253			11,639
Effect of changes in nonperformance risk		2,374			1,744			4,087
Balance, end of year		9,722			9,997			15,726
Less: Reinsurance recoverable, end of year		43			71			118
Balance, end of year, net of reinsurance (1)	$	9,679		$	9,926		$	15,608
Weighted-average attained age of contract holder		73.0 years			71.8 years			71.1 years

(1)  Amounts represent the sum of MRB assets and MRB liabilities presented on the consolidated balance sheets at December 31, 2023, 2022 and 2021, with the exception of $9 million, $2 million and $5 million, respectively, of index-linked annuities not included in this table.

Market conditions, including, but not limited to, changes in interest rates, equity indices, market volatility and variations in actuarial assumptions, including policyholder behavior, mortality and risk margins related to non-capital markets inputs, as well as changes in nonperformance risk, may result in significant fluctuations in the estimated fair value of the guarantees. As part of the AAR in 2023 and 2022, the Company updated assumptions regarding policyholder behavior, mortality, separate account fund allocations and volatility, which are reflected in the table above.

34

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

6. Separate Accounts

Separate Accounts

Information regarding separate account liabilities was as follows:

	Years Ended December 31,
	2023									2022									2021
	Variable Annuities			Universal Life Insurance			Company -Owned Life Insurance			Variable Annuities			Universal Life Insurance			Company -Owned Life Insurance			Variable Annuities			Universal Life Insurance			Company -Owned Life Insurance
	(In millions)
Balance, beginning of year	$	74,845		$	1,970		$	1,919		$	101,108		$	2,576		$	2,367		$	99,257		$	2,339		$	2,253
Premiums and deposits		762			84			—			1,199			91			—			2,081			97			3
Surrenders and withdrawals		(6,073	)		(68	)		(20	)		(5,965	)		(55	)		(16	)		(7,971	)		(69	)		(68	)
Benefit payments		(1,391	)		(18	)		(28	)		(1,298	)		(24	)		(33	)		(1,575	)		(24	)		(38	)
Investment performance		11,071			405			327			(17,878	)		(519	)		(356	)		12,054			336			234
Policy charges		(2,098	)		(78	)		(58	)		(2,227	)		(78	)		(61	)		(2,481	)		(85	)		(47	)
Net transfers from (to) general account		(14	)		(18	)		(1	)		(131	)		(21	)		13			(238	)		(17	)		35
Other		(16	)		(1	)		9			37			—			5			(19	)		(1	)		(5	)
Balance, end of year	$	77,086		$	2,276		$	2,148		$	74,845		$	1,970		$	1,919		$	101,108		$	2,576		$	2,367

A reconciliation of separate account liabilities reported in the preceding rollforward table to the separate account liabilities balance on the consolidated balance sheets was as follows at:

	December 31,
	2023		2022
	(In millions)
Separate account liabilities reported in the preceding rollforward table	$	81,510	$	78,734
Variable income annuities		161		130
Pension risk transfer annuities		19		16
Total separate account liabilities	$	81,690	$	78,880

The aggregate estimated fair value of assets, by major investment asset category, supporting separate accounts was as follows at:

	December 31,
	2023		2022
	(In millions)
Equity securities	$	81,417	$	78,583
Fixed maturity securities		259		277
Cash and cash equivalents		7		9
Other assets		7		11
Total aggregate estimated fair value of assets	$	81,690	$	78,880

35

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

6. Separate Accounts (continued)

Net Amount at Risk and Cash Surrender Values

Information regarding the net amount at risk and cash surrender value for insurance products was as follows at:

	Universal Life Insurance		Variable Annuities		Index- linked Annuities		Fixed Rate Annuities		ULSG		Company- Owned Life Insurance
	(In millions)
December 31, 2023
Account balances reported in the preceding rollforward tables:
Policyholder account balances	$	1,980	$	4,111	$	41,627	$	14,672	$	5,052	$	653
Separate account liabilities		2,276		77,086		—		—		—		2,148
Total account balances	$	4,256	$	81,197	$	41,627	$	14,672	$	5,052	$	2,801
Net amount at risk	$	22,214	$	13,156		N/A		N/A	$	65,299	$	2,644
Cash surrender value	$	4,049	$	80,756	$	39,270	$	14,068	$	4,498	$	2,579
December 31, 2022
Account balances reported in the preceding rollforward tables:
Policyholder account balances	$	2,100	$	4,664	$	33,897	$	14,274	$	5,307	$	641
Separate account liabilities		1,970		74,845		—		—		—		1,919
Total account balances	$	4,070	$	79,509	$	33,897	$	14,274	$	5,307	$	2,560
Net amount at risk	$	23,818	$	16,334		N/A		N/A	$	66,926	$	3,368
Cash surrender value	$	3,789	$	79,222	$	31,293	$	13,723	$	4,671	$	2,344
December 31, 2021
Account balances reported in the preceding rollforward tables:
Policyholder account balances	$	2,134	$	4,475	$	32,000	$	11,849	$	5,569	$	646
Separate account liabilities		2,576		101,108		—		—		—		2,367
Total account balances	$	4,710	$	105,583	$	32,000	$	11,849	$	5,569	$	3,013
Net amount at risk	$	24,995	$	6,316		N/A		N/A	$	68,905	$	3,665
Cash surrender value	$	4,407	$	105,574	$	29,848	$	11,112	$	4,821	$	2,794

Products may contain both separate account and general account fund options; accordingly, net amount at risk and cash surrender value reported in the table above relate to the total account balance for each respective product grouping.

36

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

7. Deferred Policy Acquisition Costs, Value of Business Acquired and Other Intangibles

Deferred Policy Acquisition Costs and Value of Business Acquired

See Note 1 for a description of capitalized acquisition costs.

Information regarding DAC and VOBA was as follows:

	Variable Annuities			Fixed Rate Annuities			Index-linked Annuities			Term and Whole Life Insurance			Universal Life Insurance
	(In millions)
DAC:
Adjusted balance at January 1, 2021 (1)	$	2,786		$	64		$	886		$	451		$	107
Capitalization		90			36			355			(3	)		16
Amortization		(262	)		(12	)		(160	)		(51	)		(9	)
Balance at December 31, 2021		2,614			88			1,081			397			114
Capitalization		54			31			330			(1	)		10
Amortization		(254	)		(12	)		(198	)		(49	)		(9	)
Balance at December 31, 2022		2,414			107			1,213			347			115
Capitalization		36			14			344			2			13
Amortization		(233	)		(11	)		(225	)		(43	)		(9	)
Balance at December 31, 2023	$	2,217		$	110		$	1,332		$	306		$	119
VOBA:
Adjusted balance at January 1, 2021 (1)	$	428		$	76		$	—		$	8		$	44
Amortization		(51	)		(6	)		—			(2	)		(5	)
Balance at December 31, 2021		377			70			—			6			39
Amortization		(36	)		(5	)		—			(1	)		(4	)
Balance at December 31, 2022		341			65			—			5			35
Amortization		(32	)		(6	)		—			(1	)		(4	)
Balance at December 31, 2023	$	309		$	59		$	—		$	4		$	31
Total DAC and VOBA:
Balance at December 31, 2023	$	2,526		$	169		$	1,332		$	310		$	150
Balance at December 31, 2022	$	2,755		$	172		$	1,213		$	352		$	150
Balance at December 31, 2021	$	2,991		$	158		$	1,081		$	403		$	153

(1)  Includes an adjustment to eliminate balances included in AOCI related to the adoption of ASU 2018-12 (see Note 2).

Deferred Sales Inducements

Information regarding DSI, included in other assets, was as follows:

	December 31,
	2023						2022						2021
	Variable Annuities			Fixed Rate Annuities			Variable Annuities			Fixed Rate Annuities			Variable Annuities			Fixed Rate Annuities
	(In millions)
Balance, beginning of year	$	233		$	9		$	259		$	10		$	283		$	12
Capitalization		1			—			1			—			1			—
Amortization		(25	)		(1	)		(27	)		(1	)		(25	)		(2	)
Balance, end of year	$	209		$	8		$	233		$	9		$	259		$	10

37

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

7. Deferred Policy Acquisition Costs, Value of Business Acquired and Other Intangibles (continued)

Unearned Revenue

Information regarding unearned revenue, included in other policy-related balances, was as follows:

	December 31,
	2023									2022									2021
	Universal Life Insurance			ULSG			Variable Annuities			Universal Life Insurance			ULSG			Variable Annuities			Universal Life Insurance			ULSG			Variable Annuities
	(In millions)
Balance, beginning of year	$	143		$	488		$	73		$	118		$	344		$	79		$	80		$	184		$	84
Capitalization		35			174			—			35			181			2			46			185			2
Amortization		(11	)		(50	)		(7	)		(10	)		(37	)		(8	)		(8	)		(25	)		(7	)
Balance, end of year	$	167		$	612		$	66		$	143		$	488		$	73		$	118		$	344		$	79

8. Reinsurance

The Company enters into reinsurance agreements primarily as a purchaser of reinsurance for its various insurance products and also as a provider of reinsurance for some insurance products issued by NELICO, as well as former affiliated and unaffiliated companies. The Company participates in reinsurance activities in order to limit losses, minimize exposure to significant risks and provide additional capacity for future growth.

Accounting for reinsurance requires extensive use of assumptions and estimates, particularly related to the future performance of the underlying business and the potential impact of counterparty credit risks. The Company periodically reviews actual and anticipated experience compared to the aforementioned assumptions used to establish assets and liabilities relating to ceded and assumed reinsurance and evaluates the financial strength of counterparties to its reinsurance agreements using criteria similar to that evaluated in the security impairment process discussed in Note 9.

Annuities and Life

For annuities, the Company reinsures portions of the living and death benefit guarantees issued in connection with certain variable annuities to unaffiliated reinsurers. Under these reinsurance agreements, the Company pays a reinsurance premium generally based on fees associated with the guarantees collected from policyholders and receives reimbursement for benefits paid or accrued in excess of account values, subject to certain limitations. The value of MRBs on the ceded risk is determined using a methodology consistent with the guarantees directly written by the Company with the exception of the input for nonperformance risk that reflects the credit of the reinsurer. The Company also assumes 100% of the living and death benefit guarantees issued in connection with certain variable annuities issued by NELICO. The Company cedes certain fixed rate annuities to unaffiliated third-party reinsurers and assumes certain index-linked annuities from an unaffiliated third-party insurer. These reinsurance arrangements are structured on a coinsurance basis and are reported as deposit accounting.

For its life products, the Company has historically reinsured the mortality risk primarily on an excess of retention basis or on a quota share basis. In addition to reinsuring mortality risk as described above, the Company reinsures other risks, as well as specific coverages. Placement of reinsurance is done primarily on an automatic basis and also on a facultative basis for risks with specified characteristics. On a case-by-case basis, the Company may retain up to $20 million per life and reinsure 100% of amounts in excess of the amount the Company retains. The Company also reinsures 90% of the risk associated with participating whole life policies to a former affiliate and assumes certain term life policies and universal life policies with secondary death benefit guarantees issued by a former affiliate. The Company evaluates its reinsurance programs routinely and may increase or decrease its retention at any time.

38

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

8. Reinsurance (continued)

Corporate & Other

The Company reinsures, through 100% quota share reinsurance agreements, certain run-off long-term care and workers' compensation business written by the Company. At December 31, 2023, the Company had $5.8 billion of reinsurance recoverables associated with its reinsured long-term care business. The reinsurer has established trust accounts for the Company's benefit to secure their obligations under the reinsurance agreements. Additionally, the Company is indemnified for losses and certain other payment obligations it might incur with respect to such reinsured long-term care insurance business.

Catastrophe Coverage

The Company has exposure to catastrophes which could contribute to significant fluctuations in the Company's results of operations. The Company uses excess of retention and quota share reinsurance agreements to provide greater diversification of risk and minimize exposure to larger risks.

Reinsurance Recoverables

The Company reinsures its business through a diversified group of primarily highly rated reinsurers. The Company analyzes recent trends in arbitration and litigation outcomes in disputes, if any, with its reinsurers and monitors ratings and the financial strength of its reinsurers. In addition, the reinsurance recoverable balance due from each reinsurer and the recoverability of such balance is evaluated as part of this overall monitoring process.

The Company generally secures large reinsurance recoverable balances with various forms of collateral, including secured trusts, funds withheld accounts and irrevocable letters of credit. These reinsurance recoverable balances are stated net of allowances for uncollectible reinsurance, which at both December 31, 2023 and 2022 were not significant. The Company had $6.0 billion of unsecured reinsurance recoverable balances with third-party reinsurers at both December 31, 2023 and 2022.

The Company records an allowance for credit losses which is a valuation account that reduces reinsurance recoverable balances to present the net amount expected to be collected from reinsurers. When assessing the creditworthiness of the Company's reinsurance recoverable balances, beyond the analysis of individual claims disputes, the Company considers the financial strength of its reinsurers using public ratings and ratings reports, current existing credit enhancements to reinsurance agreements and the statutory and GAAP financial statements of the reinsurers. Impairments are then determined based on probable and estimable defaults. The Company had an allowance for credit losses of $3 million and $10 million on its reinsurance recoverable balances at December 31, 2023 and 2022, respectively. In 2023, the Company had $3 million of additions to the allowance and $10 million of impairments charged against the allowance.

At December 31, 2023, the Company had $18.7 billion of net ceded reinsurance recoverables with third-party reinsurers. Of this total, $16.7 billion, or 89%, were with the Company's five largest ceded reinsurers, including $4.2 billion of net ceded reinsurance recoverables which were unsecured. At December 31, 2022, the Company had $17.3 billion of net ceded reinsurance recoverables with third-party reinsurers. Of this total, $15.3 billion, or 88%, were with the Company's five largest ceded reinsurers, including $4.1 billion of net ceded reinsurance recoverables which were unsecured.

39

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

8. Reinsurance (continued)

The amounts on the consolidated statements of operations include the impact of reinsurance. Information regarding the significant effects of reinsurance was as follows:

	Years Ended December 31,
	2023			2022			2021
	(In millions)
Premiums
Direct premiums	$	1,458		$	1,321		$	1,398
Reinsurance assumed		20			8			(10	)
Reinsurance ceded		(667	)		(688	)		(701	)
Net premiums	$	811		$	641		$	687
Universal life and investment-type product policy fees
Direct universal life and investment-type product policy fees	$	2,402		$	2,525		$	2,871
Reinsurance assumed		48			44			41
Reinsurance ceded		(672	)		(693	)		(592	)
Net universal life and investment-type product policy fees	$	1,778		$	1,876		$	2,320
Other revenues
Direct other revenues	$	202		$	220		$	262
Reinsurance assumed		3			3			6
Reinsurance ceded		213			183			69
Net other revenues	$	418		$	406		$	337
Policyholder benefits and claims
Direct policyholder benefits and claims	$	3,608		$	3,788		$	3,867
Reinsurance assumed		123			134			101
Reinsurance ceded		(1,313	)		(1,736	)		(1,483	)
Net policyholder benefits and claims	$	2,418		$	2,186		$	2,485
Change in market risk benefits
Direct change in market risk benefits	$	(1,436	)	$	(3,942	)	$	(3,956	)
Reinsurance assumed		(92	)		(214	)		(243	)
Reinsurance ceded		31			51			57
Net change in market risk benefits	$	(1,497	)	$	(4,105	)	$	(4,142	)
Other expenses
Direct other expenses	$	1,625		$	1,758		$	1,815
Reinsurance assumed		25			—			20
Reinsurance ceded		(25	)		(64	)		(11	)
Net other expenses	$	1,625		$	1,694		$	1,824

40

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

8. Reinsurance (continued)

The amounts on the consolidated balance sheets include the impact of reinsurance. Information regarding the significant effects of reinsurance was as follows at:

	December 31,
	2023								2022
	Direct		Assumed		Ceded		Total Balance Sheet		Direct		Assumed		Ceded		Total Balance Sheet
	(In millions)
Assets
Premiums, reinsurance and other receivables (net of allowance for credit losses)	$	289	$	33	$	19,067	$	19,389	$	245	$	30	$	17,870	$	18,145
Market risk benefit assets	$	613	$	—	$	43	$	656	$	412	$	—	$	71	$	483
Liabilities
Future policy benefits	$	31,989	$	160	$	—	$	32,149	$	31,020	$	126	$	—	$	31,146
Policyholder account balances	$	75,893	$	4,300	$	—	$	80,193	$	68,409	$	4,193	$	—	$	72,602
Market risk benefit liabilities	$	9,972	$	372	$	—	$	10,344	$	9,980	$	431	$	—	$	10,411
Other policy-related balances	$	2,023	$	1,596	$	—	$	3,619	$	2,228	$	1,632	$	—	$	3,860
Other liabilities	$	6,526	$	11	$	1,235	$	7,772	$	5,059	$	22	$	1,434	$	6,515

Reinsurance agreements that do not expose the Company to a reasonable possibility of a significant loss from insurance risk are recorded using the deposit method of accounting. The deposit assets on reinsurance were $7.4 billion and $5.8 billion at December 31, 2023 and 2022, respectively. The deposit liabilities on reinsurance were $4.0 billion at both December 31, 2023 and 2022.

Related Party Reinsurance Transactions

Information regarding the significant effects of assumed reinsurance with NELICO included on the consolidated statements of operations was as follows:

	Years Ended December 31,
	2023			2022			2021
	(In millions)
Premiums	$	6		$	2		$	2
Universal life and investment-type product policy fees	$	(1	)	$	(1	)	$	1
Other revenues	$	1		$	2		$	2
Policyholder benefits and claims	$	39		$	22		$	16
Change in market risk benefits	$	(92	)	$	(214	)	$	(243	)
Other expenses	$	—		$	(6	)	$	(3	)

41

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

8. Reinsurance (continued)

Information regarding the significant effects of assumed reinsurance with NELICO included on the consolidated balance sheets was as follows at:

	December 31,
	2023			2022
	(In millions)
Assets
Premiums, reinsurance and other receivables (net of allowance for credit losses)	$	28		$	29
Liabilities
Future policy benefits	$	47		$	31
Market risk benefit liabilities	$	367		$	428
Other policy-related balances	$	13		$	11
Other liabilities	$	(4	)	$	11

Related party reinsurance agreements that do not expose the Company to a reasonable possibility of a significant loss from insurance risk are recorded using the deposit method of accounting. There were no deposit assets on related party reinsurance at both December 31, 2023 and 2022. The deposit liabilities on related party reinsurance were $112 million and $142 million at December 31, 2023 and 2022, respectively.

9. Investments

See Notes 1 and 11 for a description of the Company's accounting policies for investments and the fair value hierarchy for investments and the related valuation methodologies.

Fixed Maturity Securities Available-for-sale

Fixed Maturity Securities by Sector

Fixed maturity securities by sector were as follows at:

	December 31, 2023										December 31, 2022
	Amortized		Allowance for Credit		Gross Unrealized				Estimated Fair		Amortized		Allowance for Credit		Gross Unrealized				Estimated Fair
	Cost		Losses		Gains		Losses		Value		Cost		Losses		Gains		Losses		Value
	(In millions)
U.S. corporate	$	38,303	$	15	$	383	$	3,332	$	35,339	$	36,399	$	1	$	200	$	4,436	$	32,162
Foreign corporate		12,769		—		89		1,276		11,582		12,368		1		37		1,912		10,492
U.S. government and agency		8,446		—		285		517		8,214		8,195		—		299		596		7,898
RMBS		8,127		4		48		805		7,366		8,384		1		44		936		7,491
ABS		6,509		—		23		131		6,401		5,647		—		3		295		5,355
CMBS		6,940		2		2		601		6,339		7,239		3		—		699		6,537
State and political subdivision		3,958		—		153		298		3,813		4,015		—		120		394		3,741
Foreign government		1,077		—		41		87		1,031		1,148		—		39		106		1,081
Total fixed maturity securities	$	86,129	$	21	$	1,024	$	7,047	$	80,085	$	83,395	$	6	$	742	$	9,374	$	74,757

The Company held non-income producing fixed maturity securities with an estimated fair value of $52 million at December 31, 2023. The Company did not hold non-income producing fixed maturity securities at December 31, 2022.

42

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

9. Investments (continued)

Maturities of Fixed Maturity Securities

The amortized cost and estimated fair value of fixed maturity securities, by contractual maturity date, were as follows at December 31, 2023:

	Due in One Year or Less		Due After One Year Through Five Years		Due After Five Years Through Ten Years		Due After Ten Years		Structured Securities		Total Fixed Maturity Securities
	(In millions)
Amortized cost	$	2,725	$	17,064	$	15,000	$	29,764	$	21,576	$	86,129
Estimated fair value	$	2,691	$	16,611	$	13,764	$	26,913	$	20,106	$	80,085

Actual maturities may differ from contractual maturities due to the exercise of call or prepayment options. Fixed maturity securities not due at a single maturity date have been presented in the year of final contractual maturity. Structured Securities are shown separately, as they are not due at a single maturity.

Continuous Gross Unrealized Losses for Fixed Maturity Securities by Sector

The estimated fair value and gross unrealized losses of fixed maturity securities in an unrealized loss position, by sector and by length of time that the securities have been in a continuous unrealized loss position, were as follows at:

	December 31, 2023								December 31, 2022
	Less than 12 Months				12 Months or Greater				Less than 12 Months				12 Months or Greater
	Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses
	(Dollars in millions)
U.S. corporate	$	4,549	$	409	$	22,435	$	2,923	$	24,163	$	3,279	$	3,915	$	1,157
Foreign corporate		1,010		74		8,229		1,202		8,219		1,407		1,560		505
U.S. government and agency		445		8		3,453		509		3,037		259		1,146		337
RMBS		413		21		5,749		784		4,693		489		2,245		447
ABS		572		3		3,355		128		3,347		159		1,728		136
CMBS		411		33		5,713		568		5,524		534		961		165
State and political subdivision		460		31		1,636		267		2,026		313		239		81
Foreign government		113		6		620		81		779		98		21		8
Total fixed maturity securities	$	7,973	$	585	$	51,190	$	6,462	$	51,788	$	6,538	$	11,815	$	2,836
Total number of securities in an unrealized loss position		1,339				6,958				7,261				2,018

43

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

9. Investments (continued)

Allowance for Credit Losses for Fixed Maturity Securities

Evaluation and Measurement Methodologies

For fixed maturity securities in an unrealized loss position, management first assesses whether the Company intends to sell, or whether it is more likely than not it will be required to sell the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security's amortized cost basis is written down to estimated fair value through net investment gains (losses). For fixed maturity securities that do not meet the aforementioned criteria, management evaluates whether the decline in estimated fair value has resulted from credit losses or other factors. Inherent in management's evaluation of the security are assumptions and estimates about the operations of the issuer and its future earnings potential. Considerations used in the allowance for credit loss evaluation process include, but are not limited to: (i) the extent to which estimated fair value is less than amortized cost; (ii) any changes to the rating of the security by a rating agency; (iii) adverse conditions specifically related to the security, industry or geographic area; and (iv) payment structure of the fixed maturity security and the likelihood of the issuer being able to make payments in the future or the issuer's failure to make scheduled interest and principal payments. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss is deemed to exist and an allowance for credit losses is recorded, limited by the amount that the estimated fair value is less than the amortized cost basis, with a corresponding charge to net investment gains (losses). Any unrealized losses that have not been recorded through an allowance for credit losses are recognized in OCI.

Once a security specific allowance for credit losses is established, the present value of cash flows expected to be collected from the security continues to be reassessed. Any changes in the security specific allowance for credit losses are recorded as a provision for (or reversal of) credit loss expense in net investment gains (losses).

Fixed maturity securities are also evaluated to determine whether any amounts have become uncollectible. When all, or a portion, of a security is deemed uncollectible, the uncollectible portion is written-off with an adjustment to amortized cost and a corresponding reduction to the allowance for credit losses.

Accrued interest receivables are presented separate from the amortized cost basis of fixed maturity securities. An allowance for credit losses is not estimated on an accrued interest receivable, rather receivable balances 90-days past due are deemed uncollectible and are written off with a corresponding reduction to net investment income. The accrued interest receivable on fixed maturity securities totaled $648 million and $595 million at December 31, 2023 and 2022, respectively, and is included in accrued investment income.

Fixed maturity securities are also evaluated to determine if they qualify as purchased financial assets with credit deterioration ("PCD"). To determine if the credit deterioration experienced since origination is more than insignificant, both (i) the extent of the credit deterioration and (ii) any rating agency downgrades are evaluated. For securities categorized as PCD assets, the present value of cash flows expected to be collected from the security are compared to the par value of the security. If the present value of cash flows expected to be collected is less than the par value, credit losses are embedded in the purchase price of the PCD asset. In this situation, both an allowance for credit losses and amortized cost gross-up is recorded, limited by the amount that the estimated fair value is less than the grossed-up amortized cost basis. Any difference between the purchase price and the present value of cash flows is amortized or accreted into net investment income over the life of the PCD asset. Any subsequent PCD asset allowance for credit losses is evaluated in a manner similar to the process described above for fixed maturity securities.

Current Period Evaluation

Based on the Company's current evaluation of its fixed maturity securities in an unrealized loss position and the current intent or requirement to sell, the Company recorded an allowance for credit losses of $21 million, relating to 15 securities at December 31, 2023. Management concluded that for all other fixed maturity securities in an unrealized loss position, the unrealized loss was not due to issuer-specific credit-related factors and as a result was recognized in OCI. Where unrealized losses have not been recognized into income, it is primarily because the securities' bond issuer(s) are of high credit quality, management does not intend to sell and it is likely that management will not be required to sell the securities prior to their anticipated recovery, and the decline in estimated fair value is largely due to changes in interest rates and non-issuer specific credit spreads. These issuers continued to make timely principal and interest payments and the estimated fair value is expected to recover as the securities approach maturity.

44

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

9. Investments (continued)

Rollforward of the Allowance for Credit Losses for Fixed Maturity Securities by Sector

The changes in the allowance for credit losses by sector were as follows:

	U.S. Corporate			RMBS		CMBS			Foreign Corporate			Total
	(In millions)
Balance at December 31, 2021	$	2		$	—	$	2		$	7		$	11
Allowance on securities where credit losses were not previously recorded		—			1		—			—			1
Reductions for securities sold		(1	)		—		—			—			(1	)
Change in allowance on securities with an allowance recorded in a previous period		—			—		1			—			1
Write-offs charged against allowance (1)		—			—		—			(6	)		(6	)
Balance at December 31, 2022		1			1		3			1			6
Allowance on securities where credit losses were not previously recorded		15			3		—			—			18
Reductions for securities sold		(1	)		—		—			—			(1	)
Change in allowance on securities with an allowance recorded in a previous period		—			—		(1	)		—			(1	)
Write-offs charged against allowance (1)		—			—		—			(1	)		(1	)
Balance at December 31, 2023	$	15		$	4	$	2		$	—		$	21

(1)  The Company recorded total write-offs of $8 million and $10 million for the years ended December 31, 2023 and 2022, respectively.

Mortgage Loans

Mortgage Loans by Portfolio Segment

Mortgage loans are summarized as follows at:

	December 31,
	2023						2022
	Carrying Value			% of Total			Carrying Value			% of Total
	(Dollars in millions)
Commercial	$	13,189			58.7	%	$	13,547			59.2	%
Agricultural		4,416			19.6			4,333			18.9
Residential		5,007			22.3			5,116			22.4
Total mortgage loans (1)		22,612			100.6			22,996			100.5
Allowance for credit losses		(137	)		(0.6	)		(119	)		(0.5	)
Total mortgage loans, net	$	22,475			100.0	%	$	22,877			100.0	%

(1)  Purchases of mortgage loans from third parties were $311 million and $2.2 billion for the years ended December 31, 2023 and 2022, respectively, and were primarily comprised of residential mortgage loans.

Allowance for Credit Losses for Mortgage Loans

Evaluation and Measurement Methodologies

The allowance for credit losses is a valuation account that is deducted from the mortgage loan's amortized cost basis to present the net amount expected to be collected on the mortgage loan. The loan balance, or a portion of the loan balance, is written-off against the allowance when management believes this amount is uncollectible.

45

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

9. Investments (continued)

Accrued interest receivables are presented separate from the amortized cost basis of mortgage loans. An allowance for credit losses is generally not estimated on an accrued interest receivable, rather when a loan is placed in nonaccrual status the associated accrued interest receivable balance is written off with a corresponding reduction to net investment income. The accrued interest receivable on mortgage loans is included in accrued investment income and totaled $122 million and $115 million at December 31, 2023 and 2022, respectively.

The allowance for credit losses is estimated using relevant available information, from internal and external sources, relating to past events, current conditions, and a reasonable and supportable forecast. Historical credit loss experience provides the basis for estimating expected credit losses. Adjustments to historical loss information are made for differences in current loan-specific risk characteristics and environmental conditions. A reasonable and supportable forecast period of two-years is used with an input reversion period of one-year.

Mortgage loans are evaluated in each of the three portfolio segments to determine the allowance for credit losses. The loan-level loss rates are determined using individual loan terms and characteristics, risk pools/internal ratings, national economic forecasts, prepayment speeds, and estimated default and loss severity.

The resulting loss rates are applied to the mortgage loan's amortized cost to generate an allowance for credit losses. In certain situations, the allowance for credit losses is measured as the difference between the loan's amortized cost and liquidation value of the collateral. These situations include collateral dependent loans, modifications, foreclosure probable loans, and loans with dissimilar risk characteristics.

Mortgage loans are also evaluated to determine if they qualify as PCD assets. To determine if the credit deterioration experienced since origination is more than insignificant, the extent of credit deterioration is evaluated. All re-performing/modified loan ("RPL") pools purchased after December 31, 2019 are determined to have been acquired with evidence of more than insignificant credit deterioration since origination and are classified as PCD assets. RPLs are pools of residential mortgage loans acquired at a discount or premium which have both credit and non-credit components. For PCD mortgage loans, the allowance for credit losses is determined using a similar methodology described above, except the loss-rate is determined at the pool level instead of the individual loan level. The initial allowance for credit losses, determined on a collective basis, is then allocated to the individual loans. The initial amortized cost of the loan is grossed-up to reflect the sum of the loan's purchase price and allowance for credit losses. The difference between the grossed-up amortized cost basis and the par value of the loan is a non-credit discount or premium, which is accreted or amortized into net investment income over the remaining life of the loan. Any subsequent PCD mortgage loan allowance for credit losses is evaluated in a manner similar to the process described above for each of the three portfolio segments.

Rollforward of the Allowance for Credit Losses for Mortgage Loans by Portfolio Segment

The changes in the allowance for credit losses by portfolio segment were as follows:

	Commercial			Agricultural			Residential			Total
	(In millions)
Balance at December 31, 2021	$	67		$	12		$	44		$	123
Current period provision		5			3			11			19
Charge-offs, net of recoveries		(23	)		—			—			(23	)
Balance at December 31, 2022		49			15			55			119
Current period provision		24			5			(6	)		23
Charge-offs, net of recoveries		(4	)		(1	)		—			(5	)
Balance at December 31, 2023	$	69		$	19		$	49		$	137

PCD Mortgage Loans

There were no new purchases of PCD mortgage loans during the year ended December 31, 2023. Purchases of PCD mortgage loans were $69 million at December 31, 2022.

46

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

9. Investments (continued)

Credit Quality of Mortgage Loans by Portfolio Segment

The amortized cost of mortgage loans by year of origination and credit quality indicator was as follows at:

	2023		2022		2021		2020		2019		Prior		Total
	(In millions)
December 31, 2023
Commercial mortgage loans
Loan-to-value ratios:
Less than 65%	$	206	$	655	$	1,823	$	177	$	1,239	$	2,628	$	6,728
65% to 75%		—		935		1,079		222		261		1,157		3,654
76% to 80%		—		427		76		39		209		563		1,314
Greater than 80%		—		400		227		—		150		716		1,493
Total commercial mortgage loans		206		2,417		3,205		438		1,859		5,064		13,189
Agricultural mortgage loans
Loan-to-value ratios:
Less than 65%		202		571		1,132		452		505		1,265		4,127
65% to 75%		1		127		108		6		30		17		289
Total agricultural mortgage loans		203		698		1,240		458		535		1,282		4,416
Residential mortgage loans
Performing		105		1,286		1,669		145		204		1,508		4,917
Nonperforming		—		22		22		1		2		43		90
Total residential mortgage loans		105		1,308		1,691		146		206		1,551		5,007
Total	$	514	$	4,423	$	6,136	$	1,042	$	2,600	$	7,897	$	22,612
	2022		2021		2020		2019		2018		Prior		Total
	(In millions)
December 31, 2022
Commercial mortgage loans
Loan-to-value ratios:
Less than 65%	$	1,916	$	2,819	$	405	$	1,493	$	888	$	3,624	$	11,145
65% to 75%		503		354		—		271		367		402		1,897
76% to 80%		—		18		40		90		65		48		261
Greater than 80%		—		—		—		25		57		162		244
Total commercial mortgage loans		2,419		3,191		445		1,879		1,377		4,236		13,547
Agricultural mortgage loans
Loan-to-value ratios:
Less than 65%		532		1,163		418		496		643		710		3,962
65% to 75%		148		90		59		56		1		16		370
Greater than 80%		—		—		—		—		1		—		1
Total agricultural mortgage loans		680		1,253		477		552		645		726		4,333
Residential mortgage loans
Performing		1,266		1,745		167		215		168		1,491		5,052
Nonperforming		4		8		—		2		1		49		64
Total residential mortgage loans		1,270		1,753		167		217		169		1,540		5,116
Total	$	4,369	$	6,197	$	1,089	$	2,648	$	2,191	$	6,502	$	22,996

47

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

9. Investments (continued)

The loan-to-value ratio is a measure commonly used to assess the quality of commercial and agricultural mortgage loans. The loan-to-value ratio compares the amount of the loan to the estimated fair value of the underlying property collateralizing the loan and is commonly expressed as a percentage. A loan-to-value ratio less than 100% indicates an excess of collateral value over the loan amount. Loan-to-value ratios greater than 100% indicate that the loan amount exceeds the collateral value. Performing status is a measure commonly used to assess the quality of residential mortgage loans. A loan is considered performing when the borrower makes consistent and timely payments.

The amortized cost of commercial mortgage loans by debt-service coverage ratio was as follows at:

	December 31,
	2023					2022
	Amortized Cost		% of Total			Amortized Cost		% of Total
	(Dollars in millions)
Debt-service coverage ratios:
Greater than 1.20x	$	12,082		91.6	%	$	12,132		89.6	%
1.00x - 1.20x		702		5.3			589		4.3
Less than 1.00x		405		3.1			826		6.1
Total	$	13,189		100.0	%	$	13,547		100.0	%

The debt-service coverage ratio compares a property's net operating income to its debt-service payments. Debt-service coverage ratios less than 1.00 times indicate that property operations do not generate enough income to cover the loan's current debt payments. A debt-service coverage ratio greater than 1.00 times indicates an excess of net operating income over the debt-service payments.

Past Due Mortgage Loans by Portfolio Segment

The Company has a high-quality, well-performing mortgage loan portfolio, with over 99% of all mortgage loans classified as performing at both December 31, 2023 and 2022. Delinquency is defined consistent with industry practice, when mortgage loans are past due as follows: commercial and residential mortgage loans — 60 days and agricultural mortgage loans — 90 days.

The aging of the amortized cost of past due mortgage loans by portfolio segment was as follows at:

	December 31,
	2023								2022
	Commercial		Agricultural		Residential		Total		Commercial		Agricultural		Residential		Total
	(In millions)
Current	$	13,172	$	4,400	$	4,915	$	22,487	$	13,547	$	4,314	$	5,041	$	22,902
30-59 days past due		—		—		2		2		—		—		11		11
60-89 days past due		—		—		30		30		—		—		16		16
90-179 days past due		—		—		23		23		—		3		31		34
180+ days past due		17		16		37		70		—		16		17		33
Total	$	13,189	$	4,416	$	5,007	$	22,612	$	13,547	$	4,333	$	5,116	$	22,996

Mortgage Loans in Nonaccrual Status by Portfolio Segment

Mortgage loans are placed in a nonaccrual status if there are concerns regarding collectability of future payments or the loan is past due, unless the past due loan is well collateralized.

48

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

9. Investments (continued)

The amortized cost of mortgage loans in a nonaccrual status by portfolio segment was as follows at:

	Commercial		Agricultural		Residential (1)		Total
	(In millions)
December 31, 2023	$	17	$	—	$	90	$	107
December 31, 2022	$	11	$	3	$	64	$	78

(1)  The Company had no mortgage loans in nonaccrual status for which there was no related allowance for credit losses at both December 31, 2023 and 2022.

Current period investment income on mortgage loans in nonaccrual status was $2 million for both years ended December 31, 2023 and 2022.

Modified Mortgage Loans by Portfolio Segment

Under certain circumstances, modifications are granted to nonperforming mortgage loans. Generally, the types of concessions may include interest rate reduction, term extension, principal forgiveness, or a combination of all three. The Company did not have a significant amount of mortgage loans modified during both years ended December 31, 2023 and 2022.

Other Invested Assets

Over 75% of other invested assets is comprised of freestanding derivatives with positive estimated fair values. See Note 10 for information about freestanding derivatives with positive estimated fair values. Other invested assets also includes the Company's investment in company-owned life insurance, FHLB stock, leveraged leases, tax credit and renewable energy partnerships and the intercompany lending facility.

Leveraged Leases

The carrying value of leveraged leases was $47 million and $48 million at December 31, 2023 and 2022, respectively. The allowance for credit losses was $13 million at both December 31, 2023 and 2022. Rental receivables are generally due in periodic installments. The payment periods for leveraged leases generally range from one to nine years. For rental receivables, the primary credit quality indicator is whether the rental receivable is performing or nonperforming, which is assessed monthly. Nonperforming rental receivables are generally defined as those that are 90 days or more past due. At both December 31, 2023 and 2022, all leveraged leases were performing.

Net Unrealized Investment Gains (Losses)

Unrealized investment gains (losses) on fixed maturity securities and the effect on future policy benefits, that would result from the realization of the unrealized gains (losses), are included in net unrealized investment gains (losses) in AOCI.

The components of net unrealized investment gains (losses), included in AOCI, were as follows:

	Years Ended December 31,
	2023			2022			2021
	(In millions)
Fixed maturity securities	$	(6,023	)	$	(8,632	)	$	8,251
Derivatives		344			628			320
Other		(7	)		(7	)		(27	)
Subtotal		(5,686	)		(8,011	)		8,544
Amounts allocated from:
Future policy benefits		696			992			(1,925	)
Deferred income tax benefit (expense)		1,048			1,474			(1,390	)
Net unrealized investment gains (losses)	$	(3,942	)	$	(5,545	)	$	5,229

49

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

9. Investments (continued)

The changes in net unrealized investment gains (losses) were as follows:

	Years Ended December 31,
	2023			2022			2021
	(In millions)
Balance at December 31,	$	(5,545	)	$	5,229		$	5,429
Unrealized investment gains (losses) change due to cumulative effect, net of income tax		—			—			1,959
Balance at January 1,	$	(5,545	)	$	5,229		$	7,388
Unrealized investment gains (losses) during the year		2,325			(16,555	)		(3,420	)
Unrealized investment gains (losses) relating to:
Future policy benefits		(296	)		2,917			687
Deferred income tax benefit (expense)		(426	)		2,864			574
Balance at December 31,	$	(3,942	)	$	(5,545	)	$	5,229
Change in net unrealized investment gains (losses)	$	1,603		$	(10,774	)	$	(2,159	)

Concentrations of Credit Risk

There were no investments in any counterparty that were greater than 10% of the Company's equity, other than the U.S. government and its agencies, at both December 31, 2023 and 2022.

Securities Lending

Elements of the securities lending program are presented below at:

	December 31,
	2023		2022
	(In millions)
Securities on loan: (1)
Amortized cost	$	3,420	$	3,995
Estimated fair value	$	3,194	$	3,638
Cash collateral received from counterparties (2)	$	3,277	$	3,731
Reinvestment portfolio — estimated fair value	$	3,246	$	3,603

(1)  Included in fixed maturity securities.

(2)  Included in payables for collateral under securities loaned and other transactions.

50

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

9. Investments (continued)

The cash collateral liability by loaned security type and remaining tenor of the agreements were as follows at:

	December 31, 2023								December 31, 2022
	Open (1)		1 Month or Less		1 to 6 Months		Total		Open (1)		1 Month or Less		1 to 6 Months		Total
	(In millions)
U.S. government and agency	$	647	$	655	$	1,584	$	2,886	$	640	$	1,527	$	984	$	3,151
U.S. corporate		—		252		—		252		2		410		—		412
Foreign corporate		—		130		—		130		—		152		—		152
Foreign government		—		9		—		9		—		16		—		16
Total	$	647	$	1,046	$	1,584	$	3,277	$	642	$	2,105	$	984	$	3,731

(1)  The related loaned security could be returned to the Company on the next business day which would require the Company to immediately return the cash collateral.

If the Company is required to return significant amounts of cash collateral on short notice and is forced to sell securities to meet the return obligation, it may have difficulty selling such collateral that is invested in securities in a timely manner, be forced to sell securities in a volatile or illiquid market for less than what otherwise would have been realized in normal market conditions, or both. The estimated fair value of the securities on loan related to the cash collateral on open at December 31, 2023 was $631 million, primarily comprised of U.S. government and agency securities which, if put back to the Company, could be immediately sold to satisfy the cash requirement.

The reinvestment portfolio acquired with the cash collateral consisted principally of fixed maturity securities (including agency RMBS, ABS, U.S. government and agency securities, U.S. and foreign corporate securities, non-agency RMBS and CMBS) with 56% invested in agency RMBS, U.S. government and agency securities and cash and cash equivalents at December 31, 2023. If the securities on loan or the reinvestment portfolio become less liquid, the Company has the liquidity resources of most of its general account available to meet any potential cash demands when securities on loan are put back to the Company.

Invested Assets on Deposit, Held in Trust and Pledged as Collateral

Invested assets on deposit, held in trust and pledged as collateral at estimated fair value were as follows at:

	December 31,
	2023		2022
	(In millions)
Invested assets on deposit (regulatory deposits) (1)	$	8,590	$	7,996
Invested assets held in trust (reinsurance agreements) (2)		7,103		5,592
Invested assets pledged as collateral (3)		13,979		13,920
Total invested assets on deposit, held in trust and pledged as collateral	$	29,672	$	27,508

(1)  The Company has assets, primarily fixed maturity securities, on deposit with governmental authorities relating to certain policyholder liabilities, of which $102 million and $21 million of the assets on deposit represents restricted cash and cash equivalents at December 31, 2023 and 2022, respectively.

(2)  The Company has assets, primarily fixed maturity securities, held in trust relating to certain reinsurance transactions, of which $117 million and $233 million of the assets held in trust balance represents restricted cash and cash equivalents at December 31, 2023 and 2022, respectively.

(3)  The Company has pledged invested assets in connection with various agreements and transactions, including funding agreements (see Note 4) and derivative transactions (see Note 10).

See "— Securities Lending" for information regarding securities on loan. In addition, the Company's investment in FHLB common stock, which is considered restricted until redeemed by the issuer, was $245 million and $201 million at redemption value at December 31, 2023 and 2022, respectively.

51

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

9. Investments (continued)

Collectively Significant Equity Method Investments

The Company holds investments in limited partnerships and LLCs consisting of leveraged buy-out funds, private equity funds, joint ventures and other funds. The portion of these investments accounted for under the equity method had a carrying value of $4.9 billion at December 31, 2023. The Company's maximum exposure to loss related to these equity method investments is the carrying value of these investments plus unfunded commitments of $1.2 billion at December 31, 2023. The Company's investments in limited partnerships and LLCs are generally of a passive nature in that the Company does not participate in the management of the entities.

As described in Note 1, the Company generally records its share of earnings in its equity method investments using a three-month lag methodology and within net investment income. Aggregate net investment income from these equity method investments exceeded 10% of the Company's consolidated pre-tax income (loss) for each of the years ended December 31, 2023, 2022 and 2021. This aggregated summarized financial data does not represent the Company's proportionate share of the assets, liabilities or earnings of such entities.

The aggregated summarized financial data presented below reflects the latest available financial information and is as of and for the years ended December 31, 2023, 2022 and 2021. Aggregate total assets of these entities totaled $799.0 billion and $879.8 billion at December 31, 2023 and 2022, respectively. Aggregate total liabilities of these entities totaled $56.7 billion and $109.2 billion at December 31, 2023 and 2022, respectively. Aggregate net income (loss) of these entities totaled $24.8 billion, ($12.8) billion and $22.6 billion for the years ended December 31, 2023, 2022 and 2021, respectively. Aggregate net income (loss) from the underlying entities in which the Company invests is primarily comprised of investment income, including recurring investment income and realized and unrealized investment gains (losses).

Variable Interest Entities

A variable interest entity ("VIE") is a legal entity that does not have sufficient equity at risk to finance its activities or is structured such that equity investors lack the ability to make significant decisions relating to the entity's operations through voting rights or do not substantively participate in the gains and losses of the entity.

The Company enters into various arrangements with VIEs in the normal course of business and has invested in legal entities that are VIEs. VIEs are consolidated when it is determined that the Company is the primary beneficiary. A primary beneficiary is the variable interest holder in a VIE with both (i) the power to direct the activities of the VIE that most significantly impact the economic performance of the VIE and (ii) the obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE. In addition, the evaluation of whether a legal entity is a VIE and if the Company is a primary beneficiary includes a review of the capital structure of the VIE, the related contractual relationships and terms, the nature of the operations and purpose of the VIE, the nature of the VIE interests issued and the Company's involvement with the entity.

There were no material VIEs for which the Company has concluded that it is the primary beneficiary at either December 31, 2023 or 2022.

The carrying amount and maximum exposure to loss related to the VIEs for which the Company has concluded that it holds a variable interest, but is not the primary beneficiary, were as follows at:

	December 31,
	2023				2022
	Carrying Amount		Maximum Exposure to Loss		Carrying Amount		Maximum Exposure to Loss
	(In millions)
Fixed maturity securities	$	15,386	$	16,611	$	15,781	$	17,334
Limited partnerships and LLCs		4,220		5,242		4,123		5,478
Total	$	19,606	$	21,853	$	19,904	$	22,812

The Company's investments in unconsolidated VIEs are described below.

52

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

9. Investments (continued)

Fixed Maturity Securities

The Company invests in U.S. corporate bonds, foreign corporate bonds and Structured Securities issued by VIEs. The Company is not obligated to provide any financial or other support to these VIEs, other than the original investment. The Company's involvement with these entities is limited to that of a passive investor. The Company has no unilateral right to appoint or remove the servicer, special servicer, or investment manager, which are generally viewed as having the power to direct the activities that most significantly impact the economic performance of the VIE, nor does the Company function in any of these roles. The Company does not have the obligation to absorb losses or the right to receive benefits from the entity that could potentially be significant to the entity; as a result, the Company has determined it is not the primary beneficiary, or consolidator, of the VIE. The Company's maximum exposure to loss on these fixed maturity securities is limited to the amortized cost of these investments. See "— Fixed Maturity Securities Available-for-sale" for information on these securities.

Limited Partnerships and LLCs

The Company holds investments in certain limited partnerships and LLCs which are VIEs. These ventures include limited partnerships, LLCs, private equity funds, and, to a lesser extent, tax credit and renewable energy partnerships. The Company is not considered the primary beneficiary, or consolidator, when its involvement takes the form of a limited partner interest and is restricted to a role of a passive investor, as a limited partner's interest does not provide the Company with any substantive kick-out or participating rights, nor does it provide the Company with the power to direct the activities of the fund. The Company's maximum exposure to loss on these investments is limited to: (i) the amount invested in debt or equity of the VIE and (ii) commitments to the VIE, as described in Note 16.

Net Investment Income

The components of net investment income were as follows:

	Years Ended December 31,
	2023		2022		2021
	(In millions)
Investment income:
Fixed maturity securities	$	3,481	$	3,044	$	2,794
Equity securities		2		2		5
Mortgage loans		957		840		686
Policy loans		45		42		41
Limited partnerships and LLCs (1)		167		263		1,391
Cash, cash equivalents and short-term investments		181		56		3
Other		84		66		42
Total investment income		4,917		4,313		4,962
Less: Investment expenses		357		249		147
Net investment income	$	4,560	$	4,064	$	4,815

(1)  Includes net investment income pertaining to other limited partnership interests of $186 million, $170 million and $1.3 billion for the years ended December 31, 2023, 2022 and 2021, respectively.

53

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

9. Investments (continued)

Net Investment Gains (Losses)

Components of Net Investment Gains (Losses)

The components of net investment gains (losses) were as follows:

	Years Ended December 31,
	2023			2022			2021
	(In millions)
Fixed maturity securities	$	(214	)	$	(188	)	$	(22	)
Equity securities		(1	)		(12	)		—
Mortgage loans		(24	)		(20	)		(29	)
Limited partnerships and LLCs		(1	)		(20	)		—
Other		(2	)		—			(12	)
Total net investment gains (losses)	$	(242	)	$	(240	)	$	(63	)

Gains (losses) from foreign currency transactions included within net investment gains (losses) were ($1) million, ($18) million and $0 for the years ended December 31, 2023, 2022 and 2021, respectively.

Sales or Disposals of Fixed Maturity Securities

Investment gains and losses on sales of securities are determined on a specific identification basis. Proceeds from sales or disposals of fixed maturity securities and the components of fixed maturity securities net investment gains (losses) were as follows:

	Years Ended December 31,
	2023			2022			2021
	(In millions)
Proceeds	$	2,223		$	6,557		$	6,201
Gross investment gains	$	15		$	55		$	96
Gross investment losses		(206	)		(236	)		(100	)
Net investment gains (losses)	$	(191	)	$	(181	)	$	(4	)

10. Derivatives

Accounting for Derivatives

See Note 1 for a description of the Company's accounting policies for derivatives and Note 11 for information about the fair value hierarchy for derivatives.

Derivative Strategies

The Company maintains an overall risk management strategy that incorporates the use of derivative instruments to minimize its exposure to various market risks, including interest rate, foreign currency exchange rate, credit and equity market.

Derivatives are financial instruments with values derived from interest rates, foreign currency exchange rates, credit spreads and/or other financial indices. Derivatives may be exchange-traded or contracted in the over-the-counter ("OTC") market. Certain of the Company's OTC derivatives are cleared and settled through central clearing counterparties ("OTC-cleared"), while others are bilateral contracts between two counterparties ("OTC-bilateral").

Interest Rate Derivatives

Interest rate swaps: The Company uses interest rate swaps to manage the interest rate risks primarily in variable annuity products and ULSG. Interest rate swaps are used in non-qualifying hedging relationships.

54

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

10. Derivatives (continued)

Interest rate caps: The Company uses interest rate caps to protect its floating rate liabilities against rises in interest rates above a specified level, and against interest rate exposure arising from mismatches between assets and liabilities. Interest rate caps are used in non-qualifying hedging relationships.

Interest rate floors: The Company uses interest rate floors to protect against a decline in interest rates on floating rate assets in the Company's institutional spread margin business. Interest rate floors are used in non-qualifying hedging relationships.

Interest rate swaptions: The Company uses interest rate swaptions to manage the interest rate risks primarily in variable annuity products and ULSG. Interest rate swaptions are used in non-qualifying hedging relationships. Interest rate swaptions are included in interest rate options.

Interest rate forwards: The Company uses interest rate forwards to manage the interest rate risks primarily in variable annuity products and ULSG. Interest rate forwards are used in cash flow and non-qualifying hedging relationships.

Foreign Currency Exchange Rate Derivatives

Foreign currency swaps: The Company uses foreign currency swaps to convert foreign currency denominated cash flows to U.S. dollars to reduce cash flow fluctuations due to changes in currency exchange rates. Foreign currency swaps are used in cash flow and non-qualifying hedging relationships.

Foreign currency forwards: The Company uses foreign currency forwards to hedge currency exposure on its invested assets. Foreign currency forwards are used in non-qualifying hedging relationships.

Credit Derivatives

Credit default swaps: The Company uses credit default swaps to create synthetic credit investments to replicate credit exposure that is more economically attractive than what is available in the market or otherwise unavailable (written credit protection), or to reduce credit loss exposure on certain assets that the Company owns (purchased credit protection). Credit default swaps are used in non-qualifying hedging relationships.

Credit default swaptions: The Company uses credit default swaptions to synthetically create investments that are either more expensive to acquire or otherwise unavailable in the cash markets. Swaptions are used to create callable bonds from replication synthetic asset transaction ("RSAT") positions. This enhances the income of the RSAT program through earned premiums while not changing the credit profile of the RSATs. Credit default swaptions are used in non-qualifying hedging relationships.

Equity Market Derivatives

Equity index options: The Company uses equity index options primarily to hedge minimum guarantees embedded in certain variable annuity products against adverse changes in equity markets. Additionally, the Company uses equity index options to hedge index-linked annuity products and certain invested assets against adverse changes in equity markets. Certain of these contracts may also contain settlement provisions linked to interest rates ("hybrid options"). Equity index options are used in non-qualifying hedging relationships.

Equity total return swaps: The Company uses equity total return swaps to hedge minimum guarantees embedded in certain variable annuity products against adverse changes in equity markets. Additionally, the Company uses equity total return swaps to hedge index-linked annuity products against adverse changes in equity markets. Equity total return swaps are used in non-qualifying hedging relationships.

Equity variance swaps: The Company uses equity variance swaps to hedge minimum guarantees embedded in certain variable annuity products offered by the Company. Equity variance swaps are used in non-qualifying hedging relationships.

55

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

10. Derivatives (continued)

Primary Risks Managed by Derivatives

The primary underlying risk exposure, gross notional amount and estimated fair value of derivatives, excluding embedded derivatives, held were as follows at:

		December 31,
		2023						2022
		Gross Notional		Estimated Fair Value				Gross Notional		Estimated Fair Value
	Primary Underlying Risk Exposure	Amount		Assets		Liabilities		Amount		Assets		Liabilities
		(In millions)
Derivatives Designated as Hedging Instruments:
Cash flow hedges:
Interest rate forwards	Interest rate	$	—	$	—	$	—	$	60	$	—	$	12
Foreign currency swaps	Foreign currency exchange rate		3,895		339		45		3,981		584		8
Total qualifying hedges			3,895		339		45		4,041		584		20
Derivatives Not Designated or Not Qualifying as Hedging Instruments:
Interest rate swaps	Interest rate		31,252		140		103		3,145		98		46
Interest rate floors	Interest rate		3,500		7		1		3,250		12		3
Interest rate caps	Interest rate		7,050		19		1		6,350		137		43
Interest rate options	Interest rate		33,680		47		167		28,688		22		232
Interest rate forwards	Interest rate		17,017		32		1,937		18,168		35		2,466
Foreign currency swaps	Foreign currency exchange rate		735		99		1		810		147		—
Foreign currency forwards	Foreign currency exchange rate		384		—		1		295		1		1
Credit default swaps — written	Credit		1,405		27		—		1,757		18		2
Credit default swaptions	Credit		—		—		—		100		—		—
Equity index options	Equity market		20,099		757		687		17,229		697		351
Equity total return swaps	Equity market		53,742		2,236		2,137		32,909		520		747
Hybrid options	Equity market		270		—		—		—		—		—
Total non-designated or non-qualifying derivatives			169,134		3,364		5,035		112,701		1,687		3,891
Total		$	173,029	$	3,703	$	5,080	$	116,742	$	2,271	$	3,911

Based on gross notional amounts, a substantial portion of the Company's derivatives was not designated or did not qualify as part of a hedging relationship at both December 31, 2023 and 2022. The Company's use of derivatives includes (i) derivatives that serve as hedges of the Company's exposure to various risks and generally do not qualify for hedge accounting because they do not meet the criteria required under portfolio hedging rules; (ii) derivatives that economically hedge insurance liabilities and generally do not qualify for hedge accounting because they do not meet the criteria of being "highly effective" as outlined in Accounting Standards Codification 815 — Derivatives and Hedging; (iii) derivatives that economically hedge MRBs that do not qualify for hedge accounting because the changes in estimated fair value of the MRBs are already recorded in net income; and (iv) written credit default swaps that are used to create synthetic credit investments and that do not qualify for hedge accounting because they do not involve a hedging relationship.

56

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

10. Derivatives (continued)

The amount and location of gains (losses), including earned income, recognized for derivatives and gains (losses) pertaining to hedged items reported in net derivative gains (losses) were as follows:

		Year Ended December 31, 2023
		Net Derivative Gains (Losses) Recognized for Derivatives			Net Derivative Gains (Losses) Recognized for Hedged Items			Net Investment Income		Amount of Gains (Losses) Deferred in AOCI
	(In millions)
Derivatives Designated as Hedging Instruments:
Cash flow hedges:
Interest rate		$	1		$	—		$	3	$	(1	)
Foreign currency exchange rate			7			(8	)		51		(272	)
Total cash flow hedges			8			(8	)		54		(273	)
Derivatives Not Designated or Not Qualifying as Hedging Instruments:
Interest rate			(384	)		—			—		—
Foreign currency exchange rate			(40	)		2			—		—
Credit			32			—			—		—
Equity market			570			—			—		—
Embedded			(4,100	)		—			—		—
Total non-qualifying hedges			(3,922	)		2			—		—
Total		$	(3,914	)	$	(6	)	$	54	$	(273	)
		Year Ended December 31, 2022
		Net Derivative Gains (Losses) Recognized for Derivatives			Net Derivative Gains (Losses) Recognized for Hedged Items			Net Investment Income		Amount of Gains (Losses) Deferred in AOCI
	(In millions)
Derivatives Designated as Hedging Instruments:
Cash flow hedges:
Interest rate		$	5		$	—		$	4	$	(50	)
Foreign currency exchange rate			12			(11	)		52		379
Total cash flow hedges			17			(11	)		56		329
Derivatives Not Designated or Not Qualifying as Hedging Instruments:
Interest rate			(4,001	)		—			—		—
Foreign currency exchange rate			95			(16	)		—		—
Credit			(2	)		—			—		—
Equity market			590			—			—		—
Embedded			2,743			—			—		—
Total non-qualifying hedges			(575	)		(16	)		—		—
Total		$	(558	)	$	(27	)	$	56	$	329

57

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

10. Derivatives (continued)

		Year Ended December 31, 2021
		Net Derivative Gains (Losses) Recognized for Derivatives			Net Derivative Gains (Losses) Recognized for Hedged Items			Net Investment Income		Amount of Gains (Losses) Deferred in AOCI
	(In millions)
Derivatives Designated as Hedging Instruments:
Cash flow hedges:
Interest rate		$	2		$	—		$	3	$	(20	)
Foreign currency exchange rate			7			(3	)		34		190
Total cash flow hedges			9			(3	)		37		170
Derivatives Not Designated or Not Qualifying as Hedging Instruments:
Interest rate			(717	)		—			—		—
Foreign currency exchange rate			48			2			—		—
Credit			17			—			—		—
Equity market			(486	)		—			—		—
Embedded			(2,856	)		—			—		—
Total non-qualifying hedges			(3,994	)		2			—		—
Total		$	(3,985	)	$	(1	)	$	37	$	170

At December 31, 2023, the Company held no qualified derivatives hedging exposure to future cash flows for forecasted asset purchases. At December 31, 2022, the maximum length of time over which the Company was hedging its exposure to variability in future cash flows for forecasted transactions was less than one year.

At December 31, 2023 and 2022, the balance in AOCI associated with cash flow hedges was $344 million and $628 million, respectively.

Credit Derivatives

In connection with synthetically created credit investment transactions, the Company writes credit default swaps for which it receives a premium to insure credit risk. If a credit event occurs, as defined by the contract, the contract may be cash settled or it may be settled gross by the Company paying the counterparty the specified swap notional amount in exchange for the delivery of par quantities of the referenced credit obligation.

The estimated fair value, maximum amount of future payments and weighted average years to maturity of written credit default swaps were as follows at:

	December 31,
	2023						2022
Rating Agency Designation of Referenced Credit Obligations (1)	Estimated Fair Value of Credit Default Swaps		Maximum Amount of Future Payments under Credit Default Swaps		Weighted Average Years to Maturity (2)		Estimated Fair Value of Credit Default Swaps			Maximum Amount of Future Payments under Credit Default Swaps		Weighted Average Years to Maturity (2)
	(Dollars in millions)
Aaa/Aa/A	$	6	$	419		1.6	$	7		$	544		2.2
Baa		19		958		4.9		8			1,185		5.0
Ba		2		24		3.0		2			24		4.0
Caa and Lower		—		4		2.0		(1	)		4		3.0
Total	$	27	$	1,405		3.9	$	16		$	1,757		4.1

58

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

10. Derivatives (continued)

(1)  The Company has written credit protection on both single name and index references. The rating agency designations are based on availability and the midpoint of the applicable ratings among Moody's, S&P and Fitch. If no rating is available from a rating agency, then an internally developed rating is used.

(2)  The weighted average years to maturity of the credit default swaps is calculated based on weighted average gross notional amounts.

Counterparty Credit Risk

The Company may be exposed to credit-related losses in the event of counterparty nonperformance on derivative instruments. Generally, the credit exposure is the fair value at the reporting date less any collateral received from the counterparty.

The Company manages its credit risk by: (i) entering into derivative transactions with creditworthy counterparties governed by master netting agreements; (ii) trading through regulated exchanges and central clearing counterparties; (iii) obtaining collateral, such as cash and securities, when appropriate; and (iv) setting limits on single party credit exposures which are subject to periodic management review.

See Note 11 for a description of the impact of credit risk on the valuation of derivatives.

The estimated fair values of net derivative assets and net derivative liabilities after the application of master netting agreements and collateral were as follows at:

			Gross Amounts Not Offset on the Consolidated Balance Sheets
	Gross Amount Recognized		Financial Instruments (1)			Collateral Received/Pledged (2)			Net Amount		Securities Collateral Received/Pledged (3)			Net Amount After Securities Collateral
	(In millions)
December 31, 2023
Derivative assets	$	3,495	$	(3,112	)	$	(154	)	$	229	$	(194	)	$	35
Derivative liabilities	$	4,917	$	(3,112	)	$	—		$	1,805	$	(1,805	)	$	—
December 31, 2022
Derivative assets	$	2,295	$	(1,659	)	$	(629	)	$	7	$	(5	)	$	2
Derivative liabilities	$	3,910	$	(1,659	)	$	—		$	2,251	$	(2,251	)	$	—

(1)  Represents amounts subject to an enforceable master netting agreement or similar agreement.

(2)  The amount of cash collateral offset in the table above is limited to the net estimated fair value of derivatives after application of netting agreement.

(3)  Securities collateral received from counterparties is not reported on the consolidated balance sheets and may not be sold or re-pledged unless the counterparty is in default. Amounts do not include excess of collateral pledged or received.

The Company's collateral arrangements generally require the counterparty in a net liability position, after considering the effect of netting agreements, to pledge collateral when the amount owed by that counterparty reaches a minimum transfer amount. Certain of these arrangements also include credit-contingent provisions which permit the party with positive fair value to terminate the derivative at the current fair value or demand immediate full collateralization from the party in a net liability position, in the event that the financial strength or credit rating of the party in a net liability position falls below a certain level.

59

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

10. Derivatives (continued)

The aggregate estimated fair values of derivatives in a net liability position containing such credit-contingent provisions and the aggregate estimated fair value of assets posted as collateral for such instruments were as follows at:

	December 31,
	2023		2022
	(In millions)
Estimated fair value of derivatives in a net liability position (1)	$	1,805	$	2,251
Estimated fair value of collateral provided (2):
Fixed maturity securities	$	4,811	$	4,894

(1)  After taking into consideration the existence of netting agreements.

(2)  Substantially all of the Company's collateral arrangements provide for daily posting of collateral for the full value of the derivative contract. As a result, if the credit-contingent provisions of derivative contracts in a net liability position were triggered, minimal additional assets would be required to be posted as collateral or needed to settle the instruments immediately. Additionally, the Company is required to pledge initial margin for certain new OTC-bilateral derivative transactions to third-party custodians.

11. Fair Value

When developing estimated fair values, the Company considers three broad valuation techniques: (i) the market approach, (ii) the income approach, and (iii) the cost approach. The Company determines the most appropriate valuation technique to use, given what is being measured and the availability of sufficient inputs, giving priority to observable inputs. The Company categorizes its assets and liabilities measured at estimated fair value into a three-level hierarchy, based on the significant input with the lowest level in its valuation. The input levels are as follows:

Level 1  Unadjusted quoted prices in active markets for identical assets or liabilities. The Company defines active markets based on average trading volume for equity securities. The size of the bid/ask spread is used as an indicator of market activity for fixed maturity securities.

Level 2  Quoted prices in markets that are not active or inputs that are observable either directly or indirectly. These inputs can include quoted prices for similar assets or liabilities other than quoted prices in Level 1, quoted prices in markets that are not active, or other significant inputs that are observable or can be derived principally from or corroborated by observable market data for substantially the full term of the assets or liabilities.

Level 3  Unobservable inputs that are supported by little or no market activity and are significant to the determination of estimated fair value of the assets or liabilities. Unobservable inputs reflect the reporting entity's own assumptions about the assumptions that market participants would use in pricing the asset or liability.

60

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

11. Fair Value (continued)

Recurring Fair Value Measurements

The assets and liabilities measured at estimated fair value on a recurring basis and their corresponding placement in the fair value hierarchy are presented in the tables below. Investments that do not have a readily determinable fair value and are measured at net asset value (or equivalent) as a practical expedient to estimated fair value are excluded from the fair value hierarchy.

	December 31, 2023
	Fair Value Hierarchy
	Level 1		Level 2		Level 3		Total Estimated Fair Value
	(In millions)
Assets
Fixed maturity securities:
U.S. corporate	$	—	$	34,344	$	995	$	35,339
Foreign corporate		—		11,257		325		11,582
U.S. government and agency		3,680		4,534		—		8,214
RMBS		—		7,351		15		7,366
ABS		—		6,075		326		6,401
CMBS		—		6,300		39		6,339
State and political subdivision		—		3,813		—		3,813
Foreign government		—		995		36		1,031
Total fixed maturity securities		3,680		74,669		1,736		80,085
Equity securities		18		23		25		66
Short-term investments		214		360		—		574
Derivative assets: (1)
Interest rate		—		245		—		245
Foreign currency exchange rate		—		426		12		438
Credit		—		21		6		27
Equity market		—		2,993		—		2,993
Total derivative assets		—		3,685		18		3,703
Market risk benefit assets		—		—		656		656
Separate account assets		20		81,670		—		81,690
Total assets	$	3,932	$	160,407	$	2,435	$	166,774
Liabilities
Market risk benefit liabilities	$	—	$	—	$	10,344	$	10,344
Derivative liabilities: (1)
Interest rate		—		2,209		—		2,209
Foreign currency exchange rate		—		47		—		47
Credit		—		—		—		—
Equity market		—		2,824		—		2,824
Total derivative liabilities		—		5,080		—		5,080
Embedded derivatives on index-linked annuities (2)		—		—		8,186		8,186
Total liabilities	$	—	$	5,080	$	18,530	$	23,610

61

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

11. Fair Value (continued)

	December 31, 2022
	Fair Value Hierarchy
	Level 1		Level 2		Level 3		Total Estimated Fair Value
	(In millions)
Assets
Fixed maturity securities:
U.S. corporate	$	—	$	30,973	$	1,189	$	32,162
Foreign corporate		—		9,894		598		10,492
U.S. government and agency		3,507		4,391		—		7,898
RMBS		—		7,477		14		7,491
ABS		—		5,037		318		5,355
CMBS		—		6,504		33		6,537
State and political subdivision		—		3,741		—		3,741
Foreign government		—		1,043		38		1,081
Total fixed maturity securities		3,507		69,060		2,190		74,757
Equity securities		12		27		27		66
Short-term investments		206		93		—		299
Derivative assets: (1)
Interest rate		—		304		—		304
Foreign currency exchange rate		—		703		29		732
Credit		—		10		8		18
Equity market		—		1,217		—		1,217
Total derivative assets		—		2,234		37		2,271
Market risk benefit assets		—		—		483		483
Separate account assets		29		78,851		—		78,880
Total assets	$	3,754	$	150,265	$	2,737	$	156,756
Liabilities
Market risk benefit liabilities	$	—	$	—	$	10,411	$	10,411
Derivative liabilities: (1)
Interest rate		—		2,802		—		2,802
Foreign currency exchange rate		—		9		—		9
Credit		—		—		2		2
Equity market		—		1,098		—		1,098
Total derivative liabilities		—		3,909		2		3,911
Embedded derivatives on index-linked annuities (2)		—		—		3,932		3,932
Total liabilities	$	—	$	3,909	$	14,345	$	18,254

(1)  Derivative assets are reported in other invested assets and derivative liabilities are reported in other liabilities. The amounts are presented gross in the tables above to reflect the presentation on the consolidated balance sheets.

(2)  Embedded derivative liabilities on index-linked annuities are reported in policyholder account balances.

62

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

11. Fair Value (continued)

Valuation Controls and Procedures

The Company monitors and provides oversight of valuation controls and policies for securities, mortgage loans and derivatives, which are primarily executed by its valuation service providers. The valuation methodologies used to determine fair values prioritize the use of observable market prices and market-based parameters and determines that judgmental valuation adjustments, when applied, are based upon established policies and are applied consistently over time. The valuation methodologies for securities, mortgage loans and derivatives are reviewed on an ongoing basis and revised when necessary. In addition, the Chief Accounting Officer periodically reports to the Audit Committee of Brighthouse Financial's Board of Directors regarding compliance with fair value accounting standards.

The fair value of financial assets and financial liabilities is based on quoted market prices, where available. Prices received are assessed to determine if they represent a reasonable estimate of fair value. Several controls are performed, including certain monthly controls, which include, but are not limited to, analysis of portfolio returns to corresponding benchmark returns, comparing a sample of executed prices of securities sold to the fair value estimates, reviewing the bid/ask spreads to assess activity, comparing prices from multiple independent pricing services and ongoing due diligence to confirm that independent pricing services use market-based parameters. The process includes a determination of the observability of inputs used in estimated fair values received from independent pricing services or brokers by assessing whether these inputs can be corroborated by observable market data. Independent non-binding broker quotes, also referred to herein as "consensus pricing," are used for a non-significant portion of the portfolio. Prices received from independent brokers are assessed to determine if they represent a reasonable estimate of fair value by considering such pricing relative to the current market dynamics and current pricing for similar financial instruments.

A formal process is also applied to challenge any prices received from independent pricing services that are not considered representative of estimated fair value. If prices received from independent pricing services are not considered reflective of market activity or representative of estimated fair value, independent non-binding broker quotations are obtained. If obtaining an independent non-binding broker quotation is unsuccessful, the last available price will be used.

Additional controls are performed, such as, balance sheet analytics to assess reasonableness of period-to-period pricing changes, including any price adjustments. Price adjustments are applied if prices or quotes received from independent pricing services or brokers are not considered reflective of market activity or representative of estimated fair value. The Company did not have significant price adjustments during the year ended December 31, 2023.

Determination of Fair Value

Fixed Maturity Securities

The fair values for actively traded marketable bonds, primarily U.S. government and agency securities, are determined using the quoted market prices and are classified as Level 1 assets. For fixed maturity securities classified as Level 2 assets, fair values are determined using either a market or income approach and are valued based on a variety of observable inputs as described below.

U.S. corporate and foreign corporate securities: Fair value is determined using third-party commercial pricing services, with the primary inputs being quoted prices in markets that are not active, benchmark yields, spreads off benchmark yields, new issuances, issuer rating, trades of identical or comparable securities, or duration. Privately-placed securities are valued using the additional key inputs: market yield curve, call provisions, observable prices and spreads for similar public or private securities that incorporate the credit quality and industry sector of the issuer, and delta spread adjustments to reflect specific credit-related issues.

U.S. government and agency, state and political subdivision and foreign government securities: Fair value is determined using third-party commercial pricing services, with the primary inputs being quoted prices in markets that are not active, benchmark U.S. Treasury yield or other yields, spread off the U.S. Treasury yield curve for the identical security, issuer ratings and issuer spreads, broker-dealer quotes, and comparable securities that are actively traded.

63

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

11. Fair Value (continued)

Structured Securities: Fair value is determined using third-party commercial pricing services, with the primary inputs being quoted prices in markets that are not active, spreads for actively traded securities, spreads off benchmark yields, expected prepayment speeds and volumes, current and forecasted loss severity, ratings, geographic region, weighted average coupon and weighted average maturity, average delinquency rates and debt-service coverage ratios. Other issuance-specific information is also used, including, but not limited to, collateral type, structure of the security, vintage of the loans, payment terms of the underlying asset, payment priority within tranche, and deal performance.

Equity Securities and Short-term Investments

The fair value for actively traded equity securities and short-term investments are determined using quoted market prices and are classified as Level 1 assets. For financial instruments classified as Level 2 assets, fair values are determined using a market approach and are valued based on a variety of observable inputs as described below.

Equity securities and short-term investments: Fair value is determined using third-party commercial pricing services, with the primary input being quoted prices in markets that are not active.

Derivatives

The fair values for exchange-traded derivatives are determined using the quoted market prices and are classified as Level 1 assets. For OTC-bilateral derivatives and OTC-cleared derivatives classified as Level 2 assets or liabilities, fair values are determined using the income approach. Valuations of non-option-based derivatives utilize present value techniques, whereas valuations of option-based derivatives utilize option pricing models which are based on market standard valuation methodologies and a variety of observable inputs.

The significant inputs to the pricing models for most OTC-bilateral and OTC-cleared derivatives are inputs that are observable in the market or can be derived principally from, or corroborated by, observable market data. Certain OTC-bilateral and OTC-cleared derivatives may rely on inputs that are significant to the estimated fair value that are not observable in the market or cannot be derived principally from, or corroborated by, observable market data. These unobservable inputs may involve significant management judgment or estimation. Even though unobservable, these inputs are based on assumptions deemed appropriate given the circumstances and management believes they are consistent with what other market participants would use when pricing such instruments.

Most inputs for OTC-bilateral and OTC-cleared derivatives are mid-market inputs but, in certain cases, liquidity adjustments are made when they are deemed more representative of exit value. Market liquidity, as well as the use of different methodologies, assumptions and inputs, may have a material effect on the estimated fair values of the Company's derivatives and could materially affect net income.

The credit risk of both the counterparty and the Company are considered in determining the estimated fair value for all OTC-bilateral and OTC-cleared derivatives, and any potential credit adjustment is based on the net exposure by counterparty after taking into account the effects of netting agreements and collateral arrangements. The Company values its OTC-bilateral and OTC-cleared derivatives using standard swap curves which may include a spread to the risk-free rate, depending upon specific collateral arrangements. This credit spread is appropriate for those parties that execute trades at pricing levels consistent with similar collateral arrangements. As the Company and its significant derivative counterparties generally execute trades at such pricing levels and hold sufficient collateral, additional credit risk adjustments are not currently required in the valuation process. The Company's ability to consistently execute at such pricing levels is in part due to the netting agreements and collateral arrangements that are in place with all of its significant derivative counterparties. An evaluation of the requirement to make additional credit risk adjustments is performed by the Company each reporting period.

Market Risk Benefits

MRBs principally include guaranteed minimum benefits on variable annuity contracts including benefits reinsured related to these guarantees.

64

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

11. Fair Value (continued)

The estimated fair value of variable annuity guarantees accounted for as MRBs is determined based on the present value of projected future benefits less the present value of projected future fees attributable to the guarantees. At policy inception, the Company determines an attributed fee ratio by solving for a percentage of projected future rider fees to be collected from the policyholder equal to the present value of projected future guaranteed benefits. To the extent the rider fees are insufficient, the Company may also include fees related to mortality and expense charges in the attributed fee ratio, provided the total fees included in the calculation do not exceed total contract fees and assessments collected from the contract holder. Any additional fees not included in the attributed fee ratio are considered revenue and reported in universal life and investment-type product policy fees. The attributed fee ratio is not updated in subsequent periods.

The Company updates the estimated fair value of variable annuity guarantees in subsequent periods by projecting future benefits using capital markets inputs and actuarial assumptions including expectations of policyholder behavior. A risk neutral valuation methodology is used to project the cash flows from the guarantees under multiple capital markets scenarios. The reported estimated fair value is then determined by taking the present value of these cash flows using a discount rate that incorporates a spread over the risk-free rate to reflect the Company's nonperformance risk and adding a risk margin.

The valuation of MRBs includes an adjustment for the risk that the Company fails to satisfy its obligations, which is referred to as nonperformance risk. The nonperformance risk adjustment is captured as an additional spread applied to the risk-free rate in determining the rate to discount the cash flows of the liability. The spread over the risk-free rate is based on the Company's creditworthiness taking into consideration publicly available information relating to spreads in the secondary market for Brighthouse Financial's debt. These observable spreads are then adjusted, as necessary, to reflect the financial strength ratings of the issuing insurance subsidiaries as compared to the credit rating of Brighthouse Financial.

Risk margins are established to capture the non-capital markets risks of the instrument which represent the additional compensation a market participant would require to assume the risks related to the uncertainties in certain actuarial assumptions. The establishment of risk margins requires the use of significant actuarial judgment, including assumptions of the amount needed to cover the guarantees.

Actuarial assumptions are reviewed at least annually, and if they change significantly, the estimated fair value is adjusted through net income. Capital market inputs used in the measurement of variable annuity guarantees are updated quarterly through net income, except for the change attributable to the Company's nonperformance risk, which is reported in OCI.

Embedded Derivatives

Embedded derivatives include crediting rates associated with index-linked annuity contracts. Embedded derivatives are recorded at estimated fair value with changes in estimated fair value reported in net income.

The crediting rates associated with these features are embedded derivatives which are measured at estimated fair value separately from the host fixed annuity contract. These embedded derivatives are classified within policyholder account balances on the consolidated balance sheets.

The estimated fair value of crediting rates associated with index-linked annuities is determined using a combination of an option-pricing model and an option-budget approach. The valuation of these embedded derivatives also includes the establishment of a risk margin, as well as changes in nonperformance risk.

Actuarial assumptions including policyholder behavior and expectations for renewals at the end of the term period are reviewed at least annually, and if they change significantly, the estimated fair value is adjusted through net income. Capital market inputs used in the measurement of crediting rate embedded derivatives are updated quarterly through net income.

65

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

11. Fair Value (continued)

Transfers Into or Out of Level 3:

Assets and liabilities are transferred into Level 3 when a significant input cannot be corroborated with market observable data. This occurs when market activity decreases significantly and underlying inputs cannot be observed, current prices are not available, and/or when there are significant variances in quoted prices, thereby affecting transparency. Assets and liabilities are transferred out of Level 3 when circumstances change such that a significant input can be corroborated with market observable data. This may be due to a significant increase in market activity, a specific event, or one or more significant input(s) becoming observable.

Assets and Liabilities Measured at Fair Value Using Significant Unobservable Inputs (Level 3)

Certain quantitative information about the significant unobservable inputs used in the fair value measurement, and the sensitivity of the estimated fair value to changes in those inputs, for the more significant asset and liability classes measured at fair value on a recurring basis using significant unobservable inputs (Level 3) were as follows at:

			December 31, 2023			December 31, 2022			Impact of Increase in Input
	Valuation Techniques	Significant Unobservable Inputs	Range			Range			on Estimated Fair Value
Market Risk Benefits
Variable annuity guaranteed minimum benefits	• Option pricing techniques	• Mortality rates		0.04	% - 12.90%		0.04	% - 12.90%	Decrease (1)
		• Lapse rates		1.00	% - 22.80%		1.00	% - 24.11%	Decrease (2)
		• Utilization rates		0.00	% - 25.00%		0.00	% - 25.00%	Increase (3)
		• Withdrawal rates		0.00	% - 10.00%		0.00	% - 10.00%	(4)
		• Long-term equity volatilities		12.59	% - 22.50%		19.99	% - 28.45%	Increase (5)
		• Nonperformance risk spread		0.76	% - 1.63%		(2.73	)% - 4.52%	Decrease (6)
Embedded Derivatives
Index-linked annuity crediting rates	• Option pricing techniques	•Mortality rates		0.03	% - 9.24%		0.03	% - 9.24%	Decrease (1)
		• Lapse rates		1.00	% - 62.30%		1.00	% - 62.30%	Decrease (2)
		• Withdrawal rates		0.50	% - 9.00%		0.50	% - 9.00%	(4)
		• Nonperformance risk spread		0.45	% - 1.74%		0.00	% - 1.98%	Decrease (6)

(1)  Mortality rates vary by age and by demographic characteristics such as gender. The range shown reflects the mortality rate for policyholders between 35 and 90 years old. Mortality rate assumptions are set based on company experience and include an assumption for mortality improvement.

(2)  The lapse rate range reflects base lapse rates for major product categories for duration 1-20. Base lapse rates are adjusted at the contract level based on a comparison of the actuarially calculated guaranteed values and the current policyholder account value, as well as other factors, such as the applicability of any surrender charges. For variable annuity guarantees, a dynamic lapse function reduces the base lapse rate when the guaranteed amount is greater than the account value as in-the-money contracts are less likely to lapse. Lapse rates are also generally assumed to be lower in periods when a surrender charge applies.

(3)  The utilization rate assumption for variable annuity guarantees estimates the percentage of contract holders with a GMIB or lifetime withdrawal benefit who will elect to utilize the benefit upon becoming eligible in a given year. The range shown represents the floor and cap of the GMIB dynamic election rates across varying levels of in-the-money. For lifetime withdrawal guarantee riders, the assumption is that everyone will begin withdrawals once account value reaches zero which is equivalent to a 100% utilization rate. Utilization rates may vary by the type of guarantee, the amount by which the guaranteed amount is greater than the account value, the contract's withdrawal history and by the age of the policyholder.

66

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

11. Fair Value (continued)

(4)  The withdrawal rate represents the percentage of account balance that any given policyholder will elect to withdraw from the contract each year. The withdrawal rate assumption varies by age and duration of the contract, and also by other factors such as benefit type. For any given contract, withdrawal rates vary throughout the period over which cash flows are projected for purposes of valuing the embedded derivative. For variable annuity GMWBs, any increase (decrease) in withdrawal rates results in an increase (decrease) in the estimated fair value of the guarantees. For variable annuity GMABs and GMIBs, any increase (decrease) in withdrawal rates results in a decrease (increase) in the estimated fair value.

(5)  Long-term equity volatilities represent equity volatility beyond the period for which observable equity volatilities are available. For any given contract, long-term equity volatility rates vary throughout the period over which cash flows are projected for purposes of valuing MRBs.

(6)  Nonperformance risk spread varies by duration. For any given contract, multiple nonperformance risk spreads will apply, depending on the duration of the cash flow being discounted for purposes of valuing the MRB or embedded derivative.

The Company does not develop unobservable inputs used in measuring fair value for all other assets and liabilities classified within Level 3; therefore, these are not included in the table above. The other Level 3 assets and liabilities primarily included fixed maturity securities and derivatives. For fixed maturity securities valued based on non-binding broker quotes, an increase (decrease) in credit spreads would result in a higher (lower) fair value. For derivatives valued based on third-party pricing models, an increase (decrease) in credit spreads would generally result in a higher (lower) fair value.

67

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

11. Fair Value (continued)

The changes in assets and (liabilities) measured at estimated fair value on a recurring basis using significant unobservable inputs (excluding MRBs disclosed in Note 5) were summarized as follows:

		Fair Value Measurements Using Significant Unobservable Inputs (Level 3)
		Fixed Maturity Securities
		Corporate (1)			Structured Securities			Foreign Government			Equity Securities			Short-term Investments			Net Derivatives (2)			Embedded Derivatives on Index-Linked Annuities
	(In millions)
Balance, January 1, 2022		$	1,399		$	220		$	26		$	13		$	2		$	36		$	(6,641	)
Total realized/unrealized gains (losses) included in net income (loss) (3) (4)			(5	)		1			—			—			—			(9	)		2,743
Total realized/unrealized gains (losses) included in AOCI			(266	)		(23	)		(10	)		—			—			17			—
Purchases (5)			933			251			5			14			—			1			—
Sales (5)			(184	)		(16	)		(2	)		—			(2	)		(9	)		—
Issuances (5)			—			—			—			—			—			—			—
Settlements (5)			—			—			—			—			—			—			(34	)
Transfers into Level 3 (6)			94			33			19			—			—			—			—
Transfers out of Level 3 (6)			(184	)		(101	)		—			—			—			(1	)		—
Balance, December 31, 2022			1,787			365			38			27			—			35			(3,932	)
Total realized/unrealized gains (losses) included in net income (loss) (3) (4)			(11	)		—			—			(3	)		—			(6	)		(4,097	)
Total realized/unrealized gains (losses) included in AOCI			28			5			3			—			—			(3	)		—
Purchases (5)			162			85			—			2			—			4			—
Sales (5)			(116	)		(22	)		(2	)		(1	)		—			—			—
Issuances (5)			—			—			—			—			—			—			—
Settlements (5)			—			—			—			—			—			—			(157	)
Transfers into Level 3 (6)			188			3			—			—			—			—			—
Transfers out of Level 3 (6)			(718	)		(56	)		(3	)		—			—			(12	)		—
Balance, December 31, 2023		$	1,320		$	380		$	36		$	25		$	—		$	18		$	(8,186	)
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at December 31, 2021 (7)		$	(2	)	$	—		$	—		$	—		$	—		$	(11	)	$	(2,929	)
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at December 31, 2022 (7)		$	3		$	—		$	—		$	1		$	—		$	(1	)	$	2,485
Changes in unrealized gains (losses) included in net income (loss) for the instruments still held at December 31, 2023 (7)		$	(11	)	$	—		$	—		$	(2	)	$	—		$	(5	)	$	(4,513	)
Changes in unrealized gains (losses) included in OCI for the instruments still held as of December 31, 2021 (7)		$	(6	)	$	—		$	—		$	—		$	—		$	12		$	—
Changes in unrealized gains (losses) included in OCI for the instruments still held as of December 31, 2022 (7)		$	(268	)	$	(23	)	$	(10	)	$	—		$	—		$	17		$	—
Changes in unrealized gains (losses) included in OCI for the instruments still held as of December 31, 2023 (7)		$	11		$	4		$	3		$	—		$	—		$	(3	)	$	—
Gains (Losses) Data for the year ended December 31, 2021:
Total realized/unrealized gains (losses) included in net income (loss) (3) (4)		$	(1	)	$	—		$	—		$	—		$	—		$	1		$	(2,856	)
Total realized/unrealized gains (losses) included in AOCI		$	(7	)	$	—		$	—		$	—		$	—		$	12		$	—

(1)  Comprised of U.S. and foreign corporate securities.

68

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

11. Fair Value (continued)

(2)  Freestanding derivative assets and liabilities are reported net for purposes of the rollforward.

(3)  Amortization of premium/accretion of discount is included in net investment income. Changes in the allowance for credit losses and direct write-offs are charged to net income (loss) on securities are included in net investment gains (losses). Lapses associated with net embedded derivatives are included in net derivative gains (losses). Substantially all realized/unrealized gains (losses) included in net income (loss) for net derivatives and net embedded derivatives are reported in net derivative gains (losses).

(4)  Interest and dividend accruals, as well as cash interest coupons and dividends received, are excluded from the rollforward.

(5)  Items purchased/issued and then sold/settled in the same period are excluded from the rollforward. Fees attributed to embedded derivatives are included in settlements.

(6)  Gains and losses, in net income (loss) and OCI, are calculated assuming transfers into and/or out of Level 3 occurred at the beginning of the period. Items transferred into and out of Level 3 in the same period are excluded from the rollforward.

(7)  Changes in unrealized gains (losses) included in net income (loss) for fixed maturities are reported in either net investment income or net investment gains (losses). Substantially all changes in unrealized gains (losses) included in net income (loss) for net derivatives and net embedded derivatives are reported in net derivative gains (losses).

Fair Value of Financial Instruments Carried at Other Than Fair Value

The following tables provide fair value information for financial instruments that are carried on the balance sheet at amounts other than fair value. These tables exclude the following financial instruments: cash and cash equivalents, accrued investment income and payables for collateral under securities loaned and other transactions. The estimated fair value of the excluded financial instruments, which are primarily classified in Level 2, approximates carrying value as they are short-term in nature such that the Company believes there is minimal risk of material changes in interest rates or credit quality. All remaining balance sheet amounts excluded from the tables below are not considered financial instruments subject to this disclosure.

The carrying values and estimated fair values for such financial instruments, and their corresponding placement in the fair value hierarchy, are summarized as follows at:

	December 31, 2023
			Fair Value Hierarchy
	Carrying Value		Level 1		Level 2		Level 3		Total Estimated Fair Value
	(In millions)
Assets
Mortgage loans	$	22,475	$	—	$	—	$	20,578	$	20,578
Policy loans	$	938	$	—	$	479	$	494	$	973
Other invested assets	$	260	$	—	$	245	$	15	$	260
Premiums, reinsurance and other receivables	$	7,431	$	—	$	80	$	7,498	$	7,578
Liabilities
Policyholder account balances	$	31,362	$	—	$	—	$	30,501	$	30,501
Long-term debt	$	836	$	—	$	26	$	755	$	781
Other liabilities	$	1,191	$	—	$	438	$	753	$	1,191
Separate account liabilities	$	1,148	$	—	$	1,148	$	—	$	1,148

69

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

11. Fair Value (continued)

	December 31, 2022
			Fair Value Hierarchy
	Carrying Value		Level 1		Level 2		Level 3		Total Estimated Fair Value
	(In millions)
Assets
Mortgage loans	$	22,877	$	—	$	—	$	20,760	$	20,760
Policy loans	$	898	$	—	$	477	$	453	$	930
Other invested assets	$	341	$	—	$	201	$	140	$	341
Premiums, reinsurance and other receivables	$	5,915	$	—	$	77	$	5,988	$	6,065
Liabilities
Policyholder account balances	$	31,223	$	—	$	—	$	30,303	$	30,303
Short-term debt	$	125	$	—	$	—	$	125	$	125
Long-term debt	$	838	$	—	$	28	$	714	$	742
Other liabilities	$	1,009	$	—	$	212	$	797	$	1,009
Separate account liabilities	$	1,022	$	—	$	1,022	$	—	$	1,022

12. Long-term and Short-term Debt

Long-term debt outstanding was as follows at:

						December 31,
	Stated Interest Rate			Maturity		2023		2022
						(In millions)
Surplus note — affiliated (1)		8.070	%		2059	$	412	$	412
Surplus note — affiliated (1)		8.150	%		2058		200		200
Surplus note — affiliated (1)		7.800	%		2058		200		200
Other long-term debt — unaffiliated (2)		7.028	%		2030		24		26
Total long-term debt						$	836	$	838

(1)  Interest on affiliated surplus notes is payable annually. Payments of interest and principal may be made only with the prior approval of the Delaware Department of Insurance.

(2)  Represents non-recourse debt of a subsidiary for which creditors have no access, subject to customary exceptions, to the general assets of the Company other than recourse to certain investment companies.

The aggregate maturities of long-term debt at December 31, 2023 were $2 million in 2024, $3 million in each of 2025, 2026, 2027 and 2028, and $822 million thereafter.

Interest expense related to long-term and short-term debt of $70 million, $70 million and $67 million for the years ended December 31, 2023, 2022 and 2021, respectively, is included in other expenses, of which $68 million, $68 million and $65 million, respectively, was associated with affiliated debt.

Intercompany Liquidity Facilities

BHF has established an intercompany liquidity facility with certain of its insurance and non-insurance subsidiaries to provide short-term liquidity within and across the combined group of companies. Under the facility, which is comprised of a series of revolving loan agreements among BHF and its participating subsidiaries, each company may lend to or borrow from each other, subject to certain maximum limits for a term of up to 364 days, depending on the agreement.

70

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

12. Long-term and Short-term Debt (continued)

On May 16, 2022, BH Holdings issued a $125 million promissory note to Brighthouse Life Insurance Company and Brighthouse Life Insurance Company of NY ("BHNY") issued a $125 million promissory note to BH Holdings (the "May 2022 Promissory Notes"), in which both notes bore interest at a fixed rate of 2.5363%. Upon maturity on August 16, 2022, the May 2022 Promissory Notes were replaced by two new promissory notes which bore interest at a fixed rate of 4.0466% (the "August 2022 Promissory Notes"). Upon maturity on November 16, 2022, the August 2022 Promissory Notes were replaced by two new promissory notes which bore interest at a fixed rate of 5.7689% and 5.4504%, respectively (the "November 2022 Promissory Notes"). Upon maturity on February 16, 2023, the November 2022 Promissory Notes were replaced by two new promissory notes which bore interest at a fixed rate of 5.9966% and 5.9937%, respectively (the "May 2023 Promissory Notes"). On March 28, 2023, BHNY repaid to BH Holdings, and BH Holdings repaid to Brighthouse Life Insurance Company, each $50 million of principal plus accrued interest in cash on the respective May 2023 Promissory Notes. Upon maturity on May 16, 2023, the May 2023 Promissory Notes were replaced by two new $75 million promissory notes that bear interest at a fixed rate of 6.4433% and 6.2918%, respectively, and were both repaid on June 30, 2023.

Committed Facilities

Reinsurance Financing Arrangement

Brighthouse Reinsurance Company of Delaware ("BRCD") maintains a $15.0 billion financing arrangement with a pool of highly rated third-party reinsurers consisting of credit-linked notes that each mature in 2039. At December 31, 2023, there were no borrowings and there was $15.0 billion of funding available under this financing arrangement. For the years ended December 31, 2023, 2022 and 2021, the Company recognized commitment fees of $21 million, $26 million and $34 million, respectively, in other expenses associated with this financing arrangement.

Repurchase Facilities

At December 31, 2023, Brighthouse Life Insurance Company maintains secured committed repurchase facilities (the "Repurchase Facilities") with terms of up to three years under which Brighthouse Life Insurance Company may enter into repurchase transactions in an aggregate amount up to $2.5 billion. Under the Repurchase Facilities, Brighthouse Life Insurance Company may sell certain eligible securities at a purchase price based on the market value of the securities less an applicable margin based on the types of securities sold, with a concurrent agreement to repurchase such securities at a predetermined future date (up to three months) and at a price which represents the original purchase price plus interest. At December 31, 2023, there were no borrowings under the Repurchase Facilities.

13. Equity

Statutory Financial Information

The states of domicile of Brighthouse Life Insurance Company and BHNY impose RBC requirements that were developed by the National Association of Insurance Commissioners ("NAIC"). Such requirements are used by regulators to assess the minimum amount of statutory capital and surplus needed for an insurance company to support its operations, based on its size and risk profile (referred to as "company action level RBC"). RBC is based on statutory financial statements and is calculated in a manner prescribed by the NAIC. The RBC ratio, which is the basis for determining regulatory compliance, is equal to total adjusted capital ("TAC") divided by the applicable company action level RBC. Companies below 100% of their company action level RBC are subject to corrective action. As of December 31, 2023, the annual RBC ratios for Brighthouse Life Insurance Company and BHNY were each in excess of 400%.

Brighthouse Life Insurance Company and BHNY prepare statutory-basis financial statements in accordance with statutory accounting practices prescribed or permitted by the insurance department of the state of domicile.

Statutory accounting principles differ from GAAP primarily by charging policy acquisition costs to expense as incurred, establishing future policy benefit liabilities using different actuarial assumptions, reporting of reinsurance agreements and valuing investments and deferred tax assets on a different basis.

71

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

13. Equity (continued)

The tables below present amounts from Brighthouse Life Insurance Company and BHNY, which are derived from the statutory-basis financial statements as filed with the insurance regulators.

Statutory net income (loss) was as follows:

		Years Ended December 31,
Company	State of Domicile	2023			2022			2021
		(In millions)
Brighthouse Life Insurance Company	Delaware	$	(3,131	)	$	1,373		$	(156	)
Brighthouse Life Insurance Company of NY	New York	$	539		$	(152	)	$	(52	)

Statutory capital and surplus was as follows at:

	December 31,
Company	2023		2022
	(In millions)
Brighthouse Life Insurance Company	$	4,623	$	6,349
Brighthouse Life Insurance Company of NY	$	819	$	223

The Company has a reinsurance subsidiary, BRCD, which reinsures risks including level premium term life and ULSG assumed from other Brighthouse Financial life insurance subsidiaries. BRCD, with the explicit permission of the Delaware Insurance Commissioner ("Delaware Commissioner"), has included the value of credit-linked notes as admitted assets, which resulted in higher statutory capital and surplus of $11.0 billion and $10.7 billion for the years ended December 31, 2023 and 2022, respectively.

The statutory net income (loss) of BRCD was ($300) million, ($208) million and $543 million for the years ended December 31, 2023, 2022 and 2021, respectively, and the combined statutory capital and surplus, including the aforementioned prescribed practices, were $661 million and $696 million at December 31, 2023 and 2022, respectively.

Dividend Restrictions

The table below sets forth the dividends permitted to be paid by certain of the Company's insurance companies without insurance regulatory approval and dividends paid:

	2024		2023		2022		2021
Company	Permitted Without Approval (1)		Paid (2)		Paid (2)		Paid (2)
	(In millions)
Brighthouse Life Insurance Company (3)	$	—	$	266	$	—	$	550
Brighthouse Life Insurance Company of NY	$	81	$	—	$	—	$	—

(1)  Reflects dividend amounts that may be paid during 2024 without prior regulatory approval. However, because dividend tests may be based on dividends previously paid over rolling 12-month periods, if paid before a specified date during 2024, some or all of such dividends may require regulatory approval to the extent dividends were paid in 2023.

(2)  Reflects all amounts paid, including those requiring regulatory approval.

(3)  Any payment of dividends in 2024 would be considered an extraordinary dividend subject to regulatory approval due to negative unassigned funds (surplus).

72

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

13. Equity (continued)

Under the Delaware Insurance Law, Brighthouse Life Insurance Company is permitted, without prior insurance regulatory clearance, to pay a stockholder dividend as long as the amount of the dividend when aggregated with all other dividends in the preceding 12 months does not exceed the greater of: (i) 10% of its surplus to policyholders as of the end of the immediately preceding calendar year; or (ii) its net gain from operations for the immediately preceding calendar year (excluding realized capital gains), not including pro rata distributions of Brighthouse Life Insurance Company's own securities. Brighthouse Life Insurance Company will be permitted to pay a stockholder dividend in excess of the greater of such two amounts only if it files notice of the declaration of such a dividend and the amount thereof with the Delaware Commissioner and the Delaware Commissioner either approves the distribution of the dividend or does not disapprove the distribution within 30 days of its filing. In addition, any dividend that exceeds earned surplus (defined as "unassigned funds (surplus)") as of the immediately preceding calendar year requires insurance regulatory approval. Under the Delaware Insurance Law, the Delaware Commissioner has broad discretion in determining whether the financial condition of a stock life insurance company would support the payment of such dividends to its stockholders.

Under New York insurance laws, BHNY is permitted, without prior insurance regulatory clearance, to pay stockholder dividends to its parent in any calendar year based on one of two standards. Under one standard, BHNY is permitted, without prior insurance regulatory clearance, to pay dividends out of earned surplus (defined as positive "unassigned funds (surplus)," excluding 85% of the change in net unrealized capital gains or losses (less capital gains tax), for the immediately preceding calendar year), in an amount up to the greater of: (i) 10% of its surplus to policyholders as of the end of the immediately preceding calendar year or (ii) its statutory net gain from operations for the immediately preceding calendar year (excluding realized capital gains), not to exceed 30% of surplus to policyholders as of the end of the immediately preceding calendar year. In addition, under this standard, BHNY may not, without prior insurance regulatory clearance, pay any dividends in any calendar year immediately following a calendar year for which its net gain from operations, excluding realized capital gains, was negative. Under the second standard, if dividends are paid from a source other than earned surplus, BHNY may, without prior insurance regulatory clearance, pay an amount up to the lesser of: (i) 10% of its surplus to policyholders as of the end of the immediately preceding calendar year or (ii) its statutory net gain from operations for the immediately preceding calendar year (excluding realized capital gains). In addition, BHNY will be permitted to pay a dividend to its parent in excess of the amounts allowed under both standards only if it files notice of its intention to declare such a dividend and the amount thereof with the New York Superintendent of Financial Services (the "NY Superintendent"), and the NY Superintendent either approves the distribution of the dividend or does not disapprove the dividend within 30 days of its filing. To the extent BHNY pays a stockholder dividend, such dividend will be paid to Brighthouse Life Insurance Company, its direct parent and sole stockholder.

Under BRCD's plan of operations, no dividend or distribution may be made by BRCD without the prior approval of the Delaware Commissioner. BRCD did not pay any extraordinary dividends during the years ended December 31, 2023 and 2022. During the year ended December 31, 2021, BRCD paid an extraordinary dividend in the form of the settlement of affiliated reinsurance balances of $400 million, invested assets of $197 million and cash of $3 million. During each of the years ended December 31, 2023, 2022 and 2021, BRCD paid cash dividends of $1 million to its preferred shareholders.

73

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

13. Equity (continued)

Accumulated Other Comprehensive Income (Loss)

Information regarding changes in the balances of each component of AOCI was as follows:

	Unrealized Investment Gains (Losses), Net of Related Offsets (1)			Unrealized Gains (Losses) on Derivatives			Changes in Nonperformance Risk on Market Risk Benefits			Changes in Discount Rates on the Liability for Future Policy Benefits			Foreign Currency Translation Adjustments			Total
	(In millions)
Balance at December 31, 2020	$	5,321		$	108		$	—		$	—		$	(8	)	$	5,421
Cumulative effect to change in accounting principle, net of income tax (2)		1,959			—			(2,727	)		(3,167	)		—			(3,935	)
Balance at January 1, 2021		7,280			108			(2,727	)		(3,167	)		(8	)		1,486
OCI before reclassifications		(2,898	)		170			(636	)		1,234			1			(2,129	)
Deferred income tax benefit (expense) (3)		608			(36	)		134			(259	)		—			447
AOCI before reclassifications, net of income tax		4,990			242			(3,229	)		(2,192	)		(7	)		(196	)
Amounts reclassified from AOCI		7			(12	)		—			—			—			(5	)
Deferred income tax benefit (expense) (3)		(1	)		3			—			—			—			2
Amounts reclassified from AOCI, net of income tax		6			(9	)		—			—			—			(3	)
Balance at December 31, 2021		4,996			233			(3,229	)		(2,192	)		(7	)		(199	)
OCI before reclassifications		(14,148	)		329			2,344			4,060			(22	)		(7,437	)
Deferred income tax benefit (expense) (3)		2,951			(50	)		(492	)		(852	)		4			1,561
AOCI before reclassifications, net of income tax		(6,201	)		512			(1,377	)		1,016			(25	)		(6,075	)
Amounts reclassified from AOCI		202			(21	)		—			—			—			181
Deferred income tax benefit (expense) (3)		(42	)		5			—			—			—			(37	)
Amounts reclassified from AOCI, net of income tax		160			(16	)		—			—			—			144
Balance at December 31, 2022		(6,041	)		496			(1,377	)		1,016			(25	)		(5,931	)
OCI before reclassifications		2,109			(273	)		(637	)		(376	)		18			841
Deferred income tax benefit (expense) (3)		(443	)		58			134			79			(4	)		(176	)
AOCI before reclassifications, net of income tax		(4,375	)		281			(1,880	)		719			(11	)		(5,266	)
Amounts reclassified from AOCI		204			(11	)		—			—			—			193
Deferred income tax benefit (expense) (3)		(43	)		2			—			—			—			(41	)
Amounts reclassified from AOCI, net of income tax		161			(9	)		—			—			—			152
Balance at December 31, 2023	$	(4,214	)	$	272		$	(1,880	)	$	719		$	(11	)	$	(5,114	)

(1)  See Note 9 for information on offsets to investments related to future policy benefits.

(2)  See Notes 1 and 2 for information on the adoption of ASU 2018-12.

(3)  The effects of income taxes on amounts recorded to AOCI are also recognized in AOCI. These income tax effects are released from AOCI when the related activity is reclassified into results from operations.

74

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

13. Equity (continued)

Information regarding amounts reclassified out of each component of AOCI was as follows:

AOCI Components	Amounts Reclassified from AOCI									Consolidated Statements of Operations Locations
	Years Ended December 31,
	2023			2022			2021
	(In millions)
Net unrealized investment gains (losses):
Net unrealized investment gains(losses)	$	(192	)	$	(182	)	$	(4	)	Net investment gains (losses)
Net unrealized investment gains (losses)		(12	)		(20	)		(3	)	Net derivative gains (losses)
Net unrealized investment gains (losses), before income tax		(204	)		(202	)		(7	)
Income tax (expense) benefit		43			42			1
Net unrealized investment gains (losses), net of income tax		(161	)		(160	)		(6	)
Unrealized gains (losses) on derivatives — cash flow hedges:
Interest rate swaps		1			5			2		Net derivative gains (losses)
Interest rate swaps		3			4			3		Net investment income
Foreign currency swaps		7			12			7		Net derivative gains (losses)
Gains (losses) on cash flow hedges, before income tax		11			21			12
Income tax (expense) benefit		(2	)		(5	)		(3	)
Gains (losses) on cash flow hedges, net of income tax		9			16			9
Total reclassifications, net of income tax	$	(152	)	$	(144	)	$	3

14. Other Revenues and Other Expenses

Other Revenues

The Company has entered into contracts with mutual funds, fund managers, and their affiliates (collectively, the "Funds") whereby the Company is paid monthly or quarterly fees ("12b-1 fees") for providing certain services to customers and distributors of the Funds. The 12b-1 fees are generally equal to a fixed percentage of the average daily balance of the customer's investment in a fund. The percentage is specified in the contract between the Company and the Funds. Payments are generally collected when due and are neither refundable nor able to offset future fees.

To earn these fees, the Company performs services such as responding to phone inquiries, maintaining records, providing information to distributors and shareholders about fund performance and providing training to account managers and sales agents. The passage of time reflects the satisfaction of the Company's performance obligations to the Funds and is used to recognize revenue associated with 12b-1 fees.

Other revenues consisted primarily of 12b-1 fees of $199 million, $217 million and $264 million for the years ended December 31, 2023, 2022 and 2021, respectively, of which substantially all were reported in the Annuities segment.

75

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

14. Other Revenues and Other Expenses (continued)

Other Expenses

Information on other expenses was as follows:

	Years Ended December 31,
	2023		2022		2021
	(In millions)
Compensation	$	383	$	336	$	360
Contracted services and other labor costs		282		266		249
Transition services agreements		30		55		119
Establishment costs		—		63		93
Premium and other taxes, licenses and fees		55		49		47
Volume related costs, excluding compensation, net of DAC capitalization		536		496		666
Interest expense on debt		70		70		67
Other		269		359		223
Total other expenses	$	1,625	$	1,694	$	1,824

Capitalization of DAC

See Note 7 for additional information on the capitalization of DAC.

Interest Expense on Debt

See Note 12 for attribution of interest expense by debt issuance.

Related Party Expenses

See Note 17 for a discussion of related party expenses included in the table above.

15. Income Tax

The provision for income tax was as follows:

	Years Ended December 31,
	2023			2022			2021
	(In millions)
Current:
Federal	$	(5	)	$	(88	)	$	5
Deferred:
Federal		(378	)		883			374
Provision for income tax expense (benefit)	$	(383	)	$	795		$	379

76

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

15. Income Tax (continued)

The reconciliation of the income tax provision at the statutory tax rate to the provision for income tax as reported was as follows:

	Years Ended December 31,
	2023			2022			2021
	(Dollars in millions)
Tax provision at statutory rate	$	(316	)	$	946		$	449
Tax effect of:
Resolution of prior years		—			(71	)		(3	)
Dividends received deduction		(31	)		(32	)		(34	)
Change in uncertain tax benefits		—			(20	)		—
Tax credits		(8	)		(19	)		(15	)
Change in valuation allowance		(18	)		—			18
Return to provision		(5	)		(5	)		12
Adjustments to deferred tax		—			(2	)		(48	)
Other, net		(5	)		(2	)		—
Provision for income tax expense (benefit)	$	(383	)	$	795		$	379
Effective tax rate		25	%		18	%		18	%

Deferred income tax represents the tax effect of the differences between the book and tax bases of assets and liabilities. Net deferred income tax assets and liabilities consisted of the following at:

	December 31,
	2023		2022
	(In millions)
Deferred income tax assets:
Net unrealized investment losses	$	1,048	$	1,473
Net operating loss carryforwards		1,826		1,246
Investments, including derivatives		210		285
Tax credit carryforwards		189		183
Employee benefits		3		3
Intangibles		48		55
Other		—		28
Total deferred income tax assets		3,324		3,273
Less: Valuation allowance		—		18
Total net deferred income tax assets		3,324		3,255
Deferred income tax liabilities:
Policyholder liabilities and receivables		910		985
DAC		580		597
Other		1		—
Total deferred income tax liabilities		1,491		1,582
Net deferred income tax asset (liability)	$	1,833	$	1,673

77

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

15. Income Tax (continued)

The following table sets forth the net operating loss carryforwards for tax purposes at December 31, 2023.

	Net Operating Loss Carryforwards
	(In millions)
Expiration
2032	$	2,006
Indefinite		6,691
	$	8,697

The following table sets forth the general business credits and foreign tax credits available for carryforward for tax purposes at December 31, 2023.

	Tax Credit Carryforwards
	General Business Credits		Foreign Tax Credits
	(In millions)
Expiration
2024-2028	$	—	$	44
2029-2033		—		120
2034-2038		20		—
2039-2043		5		—
Indefinite		—		—
	$	25	$	164

The Company's liability for unrecognized tax benefits may increase or decrease in the next 12 months. A reasonable estimate of the increase or decrease cannot be made at this time. However, the Company continues to believe that the ultimate resolution of the pending issues will not result in a material change to its consolidated financial statements, although the resolution of income tax matters could impact the Company's effective tax rate in the future.

A reconciliation of the beginning and ending amount of unrecognized tax benefits was as follows:

	Years Ended December 31,
	2023		2022			2021
	(In millions)
Balance at January 1,	$	14	$	34		$	34
Additions for tax positions of prior years		—		—			—
Reductions for tax positions of prior years		—		—			—
Additions for tax positions of current year		—		—			—
Reductions for tax positions of current year		—		—			—
Settlements with tax authorities		—		—			—
Lapses of statutes of limitations		—		(20	)		—
Balance at December 31,	$	14	$	14		$	34
Unrecognized tax benefits that, if recognized would impact the effective rate	$	14	$	14		$	34

The Company classifies interest accrued related to unrecognized tax benefits in interest expense, included in other expenses, while penalties are included in income tax expense. Interest related to unrecognized tax benefits was not significant. The Company had no penalties for each of the years ended December 31, 2023, 2022 and 2021.

78

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

15. Income Tax (continued)

The Company is subject to examination by the Internal Revenue Service and other tax authorities in jurisdictions in which the Company has significant business operations. The income tax years under examination vary by jurisdiction and subsidiary. The Company is no longer subject to federal, state or local income tax examinations for years prior to 2017. Management believes it has established adequate tax liabilities, and final resolution of any audits for the years 2017 and forward is not expected to have a material impact on the Company's consolidated financial statements.

Tax Sharing Agreements

For the periods prior to the Separation, the Company filed a consolidated federal income tax return with MetLife, Inc. and its insurance and non-insurance subsidiaries. Current taxes (and the benefits of tax attributes such as losses) are allocated to the Company, and its includable subsidiaries, under a tax sharing agreement with MetLife, Inc. This tax sharing agreement states that federal taxes are computed on a modified separate return basis with benefits for losses.

For periods after the Separation through the year ended December 31, 2022, Brighthouse Life Insurance Company, BHNY and BRCD entered into a tax sharing agreement to join a consolidated federal income tax return. The tax sharing agreement states that federal taxes are computed on a modified separate return basis with benefit for losses. The non-insurance subsidiaries of the Company filed their own federal income tax returns.

Brighthouse Life Insurance Company, BHNY and BRCD intend to file a consolidated federal income tax return with Brighthouse Financial, Inc. and certain of its subsidiaries for the year ended December 31, 2023 and future years. In furtherance thereof, such parties intend to join a single tax sharing agreement, pursuant to which federal taxes are computed on a modified separate return basis with benefits for losses.

Income Tax Transactions with Former Parent

The Company entered into a tax separation agreement with MetLife. Among other things, the tax separation agreement governs the allocation between MetLife and the Company of the responsibility for the taxes of the MetLife group. The tax separation agreement also allocates rights, obligations and responsibilities in connection with certain administrative matters relating to the preparation of tax returns and control of tax audits and other proceedings relating to taxes. For the years ended December 31, 2023 and 2022, MetLife, Inc. paid the Company $0 and $14 million, respectively, and for the year ended December 31, 2021, the Company paid MetLife, Inc $73 million, under the tax separation agreement. At December 31, 2023 and 2022, there was a current income tax receivable of $15 million and $14 million, respectively, related to this agreement.

16. Contingencies, Commitments and Guarantees

Contingencies

Litigation

The Company is a defendant in a number of litigation matters. In some of the matters, large or indeterminate amounts, including punitive and treble damages, are sought. Modern pleading practice in the U.S. permits considerable variation in the assertion of monetary damages or other relief. Jurisdictions may permit claimants not to specify the monetary damages sought or may permit claimants to state only that the amount sought is sufficient to invoke the jurisdiction of the trial court. In addition, jurisdictions may permit plaintiffs to allege monetary damages in amounts well exceeding reasonably possible verdicts in the jurisdiction for similar matters. This variability in pleadings, together with the actual experience of the Company in litigating or resolving through settlement numerous claims over an extended period of time, demonstrates to management that the monetary relief which may be specified in a lawsuit or claim bears little relevance to its merits or disposition value.

The Company also receives and responds to subpoenas or other inquiries seeking a broad range of information from various state and federal regulators, agencies and officials. The issues involved in information requests and regulatory matters vary widely, but can include inquiries or investigations concerning the Company's compliance with applicable insurance and other laws and regulations. The Company cooperates in these inquiries.

79

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

16. Contingencies, Commitments and Guarantees (continued)

Due to the vagaries of litigation, the outcome of a litigation matter and the amount or range of potential loss at particular points in time may normally be difficult to ascertain. Uncertainties can include how fact finders will evaluate documentary evidence and the credibility and effectiveness of witness testimony, and how trial and appellate courts will apply the law in the context of the pleadings or evidence presented, whether by motion practice, or at trial or on appeal. Disposition valuations are also subject to the uncertainty of how opposing parties and their counsel will themselves view the relevant evidence and applicable law.

The Company establishes liabilities for litigation and regulatory loss contingencies when it is probable that a loss has been incurred and the amount of the loss can be reasonably estimated. It is possible that some matters could require the Company to pay damages or make other expenditures or establish accruals in amounts that could not be estimated at December 31, 2023.

Matters as to Which an Estimate Can Be Made

For some loss contingency matters, the Company is able to estimate a reasonably possible range of loss. For such matters where a loss is believed to be reasonably possible, but not probable, no accrual has been made. In addition to amounts accrued for probable and reasonably estimable losses, as of December 31, 2023, the Company estimates the aggregate range of reasonably possible losses to be up to approximately $10 million.

Matters as to Which an Estimate Cannot Be Made

For other matters, the Company is not currently able to estimate the reasonably possible loss or range of loss. The Company is often unable to estimate the possible loss or range of loss until developments in such matters have provided sufficient information to support an assessment of the range of possible loss, such as quantification of a damage demand from plaintiffs, discovery from other parties and investigation of factual allegations, rulings by the court on motions or appeals, analysis by experts, and the progress of settlement negotiations. On a quarterly and annual basis, the Company reviews relevant information with respect to litigation contingencies and updates its accruals, disclosures and estimates of reasonably possible losses or ranges of loss based on such reviews.

Sales Practices Claims

Over the past several years, the Company has faced claims and regulatory inquiries and investigations, alleging improper marketing or sales of individual life insurance policies, annuities or other products. The Company continues to defend vigorously against the claims in these matters. The Company believes adequate provision has been made in its consolidated financial statements for all probable and reasonably estimable losses for sales practices matters.

Cost of Insurance Class Actions

Richard A. Newton v. Brighthouse Life Insurance Company (U.S. District Court, Northern District of Georgia, Atlanta Division, filed May 8, 2020). Plaintiff has filed a purported class action lawsuit against Brighthouse Life Insurance Company. Plaintiff was the owner of a universal life insurance policy issued by Travelers Insurance Company, a predecessor to Brighthouse Life Insurance Company. Plaintiff seeks to certify a class of all persons who own or owned life insurance policies issued where the terms of the life insurance policy provide or provided, among other things, a guarantee that the cost of insurance rates would not be increased by more than a specified percentage in any contract year. Plaintiff also alleges that cost of insurance charges were based on improper factors and should have decreased over time due to improving mortality but did not. Plaintiff alleges, among other things, causes of action for breach of contract, fraud, suppression and concealment, and violation of the Georgia Racketeer Influenced and Corrupt Organizations Act. Plaintiff seeks to recover damages, including punitive damages, interest and treble damages, attorneys' fees, and injunctive and declaratory relief. Brighthouse Life Insurance Company filed a motion to dismiss in June 2020, which was granted in part and denied in part in March 2021. Plaintiff was granted leave to amend the complaint. On January 18, 2023, the plaintiff filed a motion on consent to amend the second amended class action complaint to narrow the scope of the class sought to those persons who own or owned life insurance policies issued in Georgia. The motion was granted on January 23, 2023, and the third amended class action complaint was filed on January 23, 2023. The Company intends to vigorously defend this matter.

80

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

16. Contingencies, Commitments and Guarantees (continued)

Lawrence Martin v. Brighthouse Life Insurance Company (U.S. District Court, Southern District of New York, filed April 6, 2021). Plaintiff has filed a purported class action lawsuit against Brighthouse Life Insurance Company. Plaintiff is the owner of a universal life insurance policy issued by Travelers Insurance Company, a predecessor to Brighthouse Life Insurance Company. Plaintiff seeks to certify a class of similarly situated owners of universal life insurance policies issued or administered by defendants and alleges that cost of insurance charges were based on improper factors and should have decreased over time due to improving mortality but did not. Plaintiff alleges, among other things, causes of action for breach of contract, breach of the covenant of good faith and fair dealing, and unjust enrichment. Plaintiff seeks to recover compensatory damages, attorney's fees, interest, and equitable relief including a constructive trust. Brighthouse Life Insurance Company filed a motion to dismiss in June 2021, which was denied in February 2022. Brighthouse Life Insurance Company of NY was initially named as a defendant when the lawsuit was filed, but was dismissed as a defendant, without prejudice, in April 2022. The Company intends to vigorously defend this matter.

MOVEit Data Security Incident Litigation

Kennedy v. Progress Software Corporation, et al. (U.S. District Court, District of Massachusetts, filed October 3, 2023). BHF has been named as a defendant in a purported class action lawsuit. The action relates to a data security incident at an alleged third-party vendor, PBI Research Services ("PBI"), and allegedly involves the MOVEit file transfer system that PBI uses in its provision of services ("MOVEit Incident"). As it relates to BHF, plaintiff seeks to certify a subclass of persons whose private information was allegedly maintained by BHF and accessed or acquired in connection with the MOVEit Incident. Plaintiff alleges, among other things, that BHF negligently chose to utilize PBI to store and transfer plaintiff's and purported class members' private information despite PBI's use of the MOVEit software which plaintiff contends contained security vulnerabilities. The complaint asserts claims against BHF for negligence, negligence per se, and unjust enrichment, and plaintiff seeks declaratory and injunctive relief, damages, attorneys' fees and prejudgment interest. BHF intends to vigorously defend this matter.

Summary

Various litigations, claims and assessments against the Company, in addition to those discussed previously and those otherwise provided for in the Company's consolidated financial statements, have arisen in the course of the Company's business, including, but not limited to, in connection with its activities as an insurer, investor and taxpayer. Further, state insurance regulatory authorities and other federal and state authorities regularly make inquiries and conduct investigations concerning the Company's compliance with applicable insurance and other laws and regulations.

It is not possible to predict the ultimate outcome of all pending investigations and legal proceedings. In some of the matters referred to previously, large or indeterminate amounts, including punitive and treble damages, are sought. Although, in light of these considerations, it is possible that an adverse outcome in certain cases could have a material effect upon the Company's financial position, based on information currently known by the Company's management, in its opinion, the outcomes of such pending investigations and legal proceedings are not likely to have such an effect. However, given the large or indeterminate amounts sought in certain of these matters and the inherent unpredictability of litigation, it is possible that an adverse outcome in certain matters could, from time to time, have a material effect on the Company's consolidated net income or cash flows in particular quarterly or annual periods.

Other Loss Contingencies

As with litigation and regulatory loss contingencies, the Company considers establishing liabilities for loss contingencies associated with disputes or other matters involving third parties, including counterparties to contractual arrangements entered into by the Company (e.g., third-party vendors and reinsurers), as well as with tax or other authorities ("other loss contingencies"). The Company establishes liabilities for such other loss contingencies when it is probable that a loss will be incurred and the amount of the loss can be reasonably estimated. In matters where it is not probable, but is reasonably possible that a loss will be incurred and the amount of loss can be reasonably estimated, such losses or range of losses are disclosed, and no accrual is made. In the absence of sufficient information to support an assessment of the reasonably possible loss or range of loss, no accrual is made and no loss or range of loss is disclosed. On a quarterly basis, the Company reviews relevant information with respect to other loss contingencies and, when applicable, updates its accruals, disclosures and estimates of reasonably possible losses or ranges of loss based on such reviews.

81

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

16. Contingencies, Commitments and Guarantees (continued)

In the matters where the Company's subsidiaries are acting as the reinsured or the reinsurer, such matters have involved assertions by third parties primarily related to rates, fees or reinsured benefit calculations, and, in certain of such matters, the counterparty has made a request to arbitrate. For tax-related matters, this has involved disputes with taxing authorities, ongoing audits, evaluation of filing positions and any potential assessments related thereto. As of December 31, 2023, the Company estimates the range of reasonably possible losses in excess of the amounts accrued for certain other loss contingencies to be from zero up to approximately $125 million for the aforementioned matters. For certain other matters, the Company may not currently be able to estimate the reasonably possible loss or range of loss until developments in such matters have provided sufficient information to support an assessment of such loss.

During the second quarter of 2022, the Company settled a reinsurance-related matter with a third party for $140 million, which is reported in other expenses.

Commitments

Mortgage Loan Commitments

The Company commits to lend funds under mortgage loan commitments. The amounts of these mortgage loan commitments were $374 million and $247 million at December 31, 2023 and 2022, respectively.

Commitments to Fund Partnership Investments, and Private Corporate Bond Investments

The Company commits to fund partnership investments and to lend funds under private corporate bond investments. The amounts of these unfunded commitments were $1.4 billion and $1.9 billion at December 31, 2023 and 2022, respectively.

Guarantees

In the normal course of its business, the Company has provided certain indemnities, guarantees and commitments to third parties such that it may be required to make payments now or in the future. In the context of acquisition, disposition, investment and other transactions, the Company has provided indemnities and guarantees, including those related to tax, environmental and other specific liabilities and other indemnities and guarantees that are triggered by, among other things, breaches of representations, warranties or covenants provided by the Company. In addition, in the normal course of business, the Company provides indemnifications to counterparties in contracts with triggers similar to the foregoing, as well as for certain other liabilities, such as third-party lawsuits. These obligations are often subject to time limitations that vary in duration, including contractual limitations and those that arise by operation of law, such as applicable statutes of limitation. In some cases, the maximum potential obligation under the indemnities and guarantees is subject to a contractual limitation ranging from $6 million to $92 million, with a cumulative maximum of $98 million, while in other cases such limitations are not specified or applicable. Since certain of these obligations are not subject to limitations, the Company does not believe that it is possible to determine the maximum potential amount that could become due under these guarantees in the future. Management believes that it is unlikely the Company will have to make any material payments under these indemnities, guarantees, or commitments.

In addition, the Company indemnifies its directors and officers as provided in its charters and bylaws. Also, the Company indemnifies its agents for liabilities incurred as a result of their representation of the Company's interests. Since these indemnities are generally not subject to limitation with respect to duration or amount, the Company does not believe that it is possible to determine the maximum potential amount that could become due under these indemnities in the future.

The Company's recorded liabilities were $1 million at both December 31, 2023 and 2022 for indemnities, guarantees and commitments.

82

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Notes to the Consolidated Financial Statements (continued)

17. Related Party Transactions

The Company has various existing arrangements with its Brighthouse Financial affiliates including related party reinsurance, debt and equity transactions (see Notes 8, 12 and 13). Other material arrangements between the Company and its related parties not disclosed elsewhere are as follows:

Shared Services and Overhead Allocations

The Company has entered into various agreements with affiliates regarding the provision of certain services, which include, but are not limited to, treasury, financial planning and analysis, legal, human resources, tax planning, internal audit, financial reporting and information technology. When specific identification to a particular legal entity and/or product is not practicable, an allocation methodology based on various performance measures or activity-based costing, such as sales, new policies/contracts issued, reserves, and in-force policy counts is used. The bases for such charges are modified and adjusted by management when necessary or appropriate to reflect fairly and equitably the actual incidence of cost incurred by the Company and/or affiliate. Management believes that the methods used to allocate expenses under these arrangements are reasonable. Revenues received from an affiliate related to these agreements, recorded in universal life and investment-type product policy fees, were $175 million, $193 million and $235 million for the years ended December 31, 2023, 2022 and 2021, respectively. Costs incurred under these arrangements were $935 million, $946 million and $1.0 billion for the years ended December 31, 2023, 2022 and 2021, respectively, and were recorded in other expenses.

The Company had net receivables from/(payables to) affiliates, related to the items discussed above, of ($110) million and ($188) million at December 31, 2023 and 2022, respectively.

Broker-Dealer Transactions

The related party expense for the Company was commissions paid on the sale of variable products and passed through to the broker-dealer affiliate. The related party revenue for the Company was fee income passed through the broker-dealer affiliate from trusts and mutual funds whose shares serve as investment options of policyholders of the Company. Fee income received related to these transactions and recorded in other revenues was $169 million, $186 million and $224 million for the years ended December 31, 2023, 2022 and 2021, respectively. Commission expenses incurred related to these transactions and recorded in other expenses was $887 million, $920 million and $1.0 billion for the years ended December 31, 2023, 2022 and 2021, respectively. The Company also had related party fee income receivables of $14 million at both December 31, 2023 and 2022.

83

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Schedule I

Consolidated Summary of Investments
Other Than Investments in Related Parties
December 31, 2023

(In millions)

Types of Investments	Cost or Amortized Cost (1)		Estimated Fair Value		Amount at Which Shown on Balance Sheet
Fixed maturity securities:
Bonds:
U.S. government and agency	$	8,446	$	8,214	$	8,214
State and political subdivision		3,958		3,813		3,813
Public utilities		3,745		3,430		3,430
Foreign government		1,077		1,031		1,031
All other corporate bonds		46,909		43,115		43,115
Total bonds		64,135		59,603		59,603
Mortgage-backed and asset-backed securities		21,576		20,106		20,106
Redeemable preferred stock		418		376		376
Total fixed maturity securities		86,129		80,085		80,085
Equity securities:
Non-redeemable preferred stock		33		34		34
Common stock:
Industrial, miscellaneous and all other		31		31		31
Public utilities		—		1		1
Total equity securities		64		66		66
Mortgage loans		22,475				22,475
Policy loans		938				938
Limited partnerships and LLCs		4,946				4,946
Short-term investments		574				574
Other invested assets		4,411				4,411
Total investments	$	119,537			$	113,495

(1)  Cost or amortized cost for fixed maturity securities represents original cost reduced by impairments that are charged to earnings and adjusted for amortization of premiums or accretion of discounts; for mortgage loans, cost represents original cost reduced by repayments and valuation allowances and adjusted for amortization of premiums or accretion of discounts; for equity securities, cost represents original cost; for limited partnerships and LLCs, cost represents original cost adjusted for equity in earnings and distributions.

84

Brighthouse Life Insurance Company

Schedule II

Condensed Financial Information
(Parent Company Only)
December 31, 2023 and 2022

(In millions, except share and per share data)

	2023			2022
Condensed Balance Sheets
Assets
Investments:
Fixed maturity securities available-for-sale, at estimated fair value (amortized cost: $73,144 and $71,285, respectively; allowance for credit losses of $20 and $4, respectively)	$	68,317		$	64,250
Equity securities, at estimated fair value		48			55
Mortgage loans (net of allowance for credit losses of $129 and $114, respectively)		21,249			21,658
Policy loans		938			898
Limited partnerships and limited liability companies		4,384			4,191
Short-term investments, principally at estimated fair value		574			299
Investment in subsidiaries		2,347			2,604
Other invested assets, principally at estimated fair value		8,697			2,600
Total investments		106,554			96,555
Cash and cash equivalents		2,682			3,102
Accrued investment income		1,049			765
Premiums, reinsurance and other receivables (net of allowance for credit losses of $3 and $10, respectively)		18,869			17,591
Receivable from subsidiaries		15,830			11,091
Deferred policy acquisition costs and value of business acquired		4,047			4,184
Current income tax recoverable		23			27
Deferred income tax receivable		3,380			3,321
Market risk benefits assets		588			438
Other assets		279			299
Separate account assets		77,563			74,958
Total assets	$	230,864		$	212,331
Liabilities and Stockholder's Equity
Liabilities
Future policy benefits	$	32,066		$	31,693
Policyholder account balances		79,017			67,753
Market risk benefits liabilities		10,183			10,303
Other policy-related balances		3,902			4,296
Payables for collateral under securities loaned and other transactions		3,616			4,353
Long-term debt		812			812
Other liabilities		17,779			11,664
Separate account liabilities		77,563			74,958
Total liabilities		224,938			205,832
Stockholder's Equity
Common stock, par value $25,000 per share; 4,000 shares authorized; 3,000 shares issued and outstanding		75			75
Additional paid-in capital		17,507			17,773
Retained earnings (deficit)		(6,542	)		(5,418	)
Accumulated other comprehensive income (loss)		(5,114	)		(5,931	)
Total stockholder's equity		5,926			6,499
Total liabilities and stockholder's equity	$	230,864		$	212,331

See accompanying notes to the condensed financial information.

85

Brighthouse Life Insurance Company

Schedule II

Condensed Financial Information (continued)
(Parent Company Only)
For the Years Ended December 31, 2023, 2022 and 2021

(In millions)

	2023			2022			2021
Condensed Statements of Operations
Revenues
Premiums	$	599		$	423		$	423
Universal life and investment-type product policy fees		1,527			1,607			2,025
Net investment income		3,992			3,620			4,340
Other revenues		519			480			394
Net investment gains (losses)		(234	)		(233	)		12
Net derivative gains (losses)		(3,616	)		1,800			(3,488	)
Total revenues		2,787			7,697			3,706
Expenses
Policyholder benefits and claims (including remeasurement gains (losses) of ($137), $79, $47, respectively)		1,692			1,420			1,534
Interest credited to policyholder account balances		1,641			1,152			1,079
Amortization of deferred policy acquisition costs and value of business acquired		499			504			503
Change in market risk benefits		(1,494	)		(4,107	)		(4,153	)
Other expenses		1,817			1,926			2,815
Total expenses		4,155			895			1,778
Income (loss) before provision for income tax and equity in earnings (losses) of subsidiaries		(1,368	)		6,802			1,928
Provision for income tax expense (benefit)		(347	)		1,292			340
Income (loss) before equity in earnings (losses) of subsidiaries		(1,021	)		5,510			1,588
Equity in earnings (losses) of subsidiaries		(103	)		(1,800	)		174
Net income (loss) attributable to Brighthouse Life Insurance Company	$	(1,124	)	$	3,710		$	1,762
Comprehensive income (loss)	$	(307	)	$	(2,022	)	$	77

See accompanying notes to the condensed financial information.

86

Brighthouse Life Insurance Company

Schedule II

Condensed Financial Information (continued)
(Parent Company Only)
For the Years Ended December 31, 2023, 2022 and 2021

(In millions)

	2023			2022			2021
Condensed Statements of Cash Flows
Net cash provided by (used in) operating activities	$	238		$	(938	)	$	1,285
Cash flows from investing activities
Sales, maturities and repayments of:
Fixed maturity securities		5,561			9,701			11,647
Equity securities		18			48			107
Mortgage loans		1,180			2,036			2,814
Limited partnerships and limited liability companies		197			249			271
Purchases of:
Fixed maturity securities		(7,587	)		(14,364	)		(18,942	)
Equity securities		(3	)		(14	)		(8	)
Mortgage loans		(775	)		(4,864	)		(6,680	)
Limited partnerships and limited liability companies		(449	)		(807	)		(837	)
Cash received in connection with freestanding derivatives		4,505			4,327			3,489
Cash paid in connection with freestanding derivatives		(5,207	)		(3,833	)		(4,471	)
Receipts on loans to affiliate		125			—			—
Issuances of loans to affiliate		—			(125	)		—
Returns of capital and dividends from subsidiaries		25			30			24
Capital contributions to subsidiaries		—			(100	)		—
Net change in policy loans		(40	)		(29	)		15
Net change in short-term investments		(261	)		351			1,021
Net change in other invested assets		(4,530	)		(381	)		(33	)
Net cash provided by (used in) investing activities		(7,241	)		(7,775	)		(11,583	)
Cash flows from financing activities
Policyholder account balances:
Deposits		24,917			29,938			14,210
Withdrawals		(17,305	)		(19,680	)		(3,890	)
Net change in payables for collateral under securities loaned and other transactions		(737	)		(1,569	)		821
Dividends paid to parent		(266	)		—			(550	)
Financing element on certain derivative instruments and other derivative related transactions, net		(26	)		(183	)		(368	)
Net cash provided by (used in) financing activities		6,583			8,506			10,223
Change in cash, cash equivalents and restricted cash		(420	)		(207	)		(75	)
Cash, cash equivalents and restricted cash, beginning of year		3,102			3,309			3,384
Cash, cash equivalents and restricted cash, end of year	$	2,682		$	3,102		$	3,309
Supplemental disclosures of cash flow information
Net cash paid (received) for:
Interest	$	65		$	65		$	65
Income tax	$	(20	)	$	(56	)	$	45
Non-cash transactions:
Transfer of fixed maturity securities from affiliates	$	103		$	589		$	240
Transfer of limited partnerships and limited liability companies to affiliates	$	—		$	587		$	—
Transfer of fixed maturity securities to affiliates	$	234		$	296		$	722
Transfer of mortgage loans to affiliates	$	—		$	89		$	—

See accompanying notes to the condensed financial information.

87

Brighthouse Life Insurance Company

Schedule II

Notes to the Condensed Financial Information
(Parent Company Only)

1. Basis of Presentation

The condensed financial information of Brighthouse Life Insurance Company (the "Parent Company") should be read in conjunction with the consolidated financial statements of Brighthouse Life Insurance Company and its subsidiaries and the notes thereto (the "Consolidated Financial Statements"). These condensed unconsolidated financial statements reflect the results of operations, financial position and cash flows for the Parent Company. Investments in subsidiaries are accounted for using the equity method of accounting.

Reclassifications

Certain amounts in the prior years' condensed financial statements of the Parent Company have been reclassified to conform with the 2023 presentation. See Note 1 of the Notes to the Consolidated Financial Statements for information regarding the adoption of new guidance on long-duration contracts as of January 1, 2023, parts of which were retrospectively applied to prior periods presented in the Parent Company financial statements.

The preparation of these condensed unconsolidated financial statements in conformity with GAAP requires management to adopt accounting policies and make certain estimates and assumptions. The most important of these estimates and assumptions relate to the fair value measurements, identifiable intangible assets and the provision for potential losses that may arise from litigation and regulatory proceedings and tax audits, which may affect the amounts reported in the condensed unconsolidated financial statements and accompanying notes. Actual results could differ from these estimates.

2. Investment in Subsidiaries

During the year ended December 31, 2023, Brighthouse Life Insurance Company paid a non-cash capital contribution of $100 million to BHNY. During the year ended December 31, 2022, Brighthouse Life Insurance Company paid a cash capital contribution of $100 million to BHNY.

88

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Schedule III

Consolidated Supplementary Insurance Information
December 31, 2023 and 2022

(In millions)

Segment	DAC and VOBA		Future Policy Benefits and Other Policy-Related Balances		Policyholder Account Balances		Unearned Premiums (1)(2)		Unearned Revenue (1)
2023
Annuities	$	4,027	$	3,995	$	60,723	$	—	$	65
Life		456		5,942		2,187		11		167
Run-off		4		19,420		6,694		—		612
Corporate & Other		—		6,411		10,589		5		—
Total	$	4,487	$	35,768	$	80,193	$	16	$	844
2022
Annuities	$	4,140	$	3,742	$	53,156	$	—	$	73
Life		498		5,714		2,349		10		143
Run-off		4		18,688		6,933		—		488
Corporate & Other		—		6,862		10,164		5		—
Total	$	4,642	$	35,006	$	72,602	$	15	$	704

(1)  Amounts are included in the future policy benefits and other policy-related balances column.

(2)  Includes premiums received in advance.

89

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Schedule III

Consolidated Supplementary Insurance Information (continued)
December 31, 2023, 2022 and 2021

(In millions)

Segment	Premiums and Universal Life and Investment-Type Product Policy Fees		Net Investment Income (1)		Policyholder Benefits and Claims and Interest Credited to Policyholder Account Balances		Amortization of DAC and VOBA		Other Expenses
2023
Annuities	$	1,499	$	2,536	$	1,556	$	507	$	997
Life		615		385		688		57		182
Run-off		475		1,115		1,587		—		167
Corporate & Other		—		524		388		—		279
Total	$	2,589	$	4,560	$	4,219	$	564	$	1,625
2022
Annuities	$	1,418	$	2,233	$	1,271	$	505	$	980
Life		588		391		847		63		110
Run-off		511		1,146		1,216		—		292
Corporate & Other		—		294		165		—		312
Total	$	2,517	$	4,064	$	3,499	$	568	$	1,694
2021
Annuities	$	1,785	$	2,196	$	1,144	$	491	$	1,112
Life		733		642		610		67		173
Run-off		489		1,900		1,953		—		191
Corporate & Other		—		77		21		—		348
Total	$	3,007	$	4,815	$	3,728	$	558	$	1,824

(1)  See Note 3 of the Notes to the Consolidated Financial Statements for the basis of allocation of net investment income.

90

Brighthouse Life Insurance Company
(An Indirect Wholly-Owned Subsidiary of Brighthouse Financial, Inc.)

Schedule IV

Consolidated Reinsurance
December 31, 2023, 2022 and 2021

(Dollars in millions)

	Gross Amount		Ceded		Assumed			Net Amount		% Amount Assumed to Net
2023
Life insurance in-force	$	463,582	$	129,016	$	7,479		$	342,045		2.2	%
Insurance premium
Life insurance (1)	$	1,257	$	475	$	20		$	802		2.5	%
Accident & health insurance		201		192		—			9		0.0	%
Total insurance premium	$	1,458	$	667	$	20		$	811		2.5	%
2022
Life insurance in-force	$	475,382	$	138,063	$	8,034		$	345,353		2.3	%
Insurance premium
Life insurance (1)	$	1,123	$	493	$	8		$	638		1.3	%
Accident & health insurance		198		195		—			3		0.0	%
Total insurance premium	$	1,321	$	688	$	8		$	641		1.2	%
2021
Life insurance in-force	$	494,317	$	145,618	$	8,966		$	357,665		2.5	%
Insurance premium
Life insurance (1)	$	1,193	$	500	$	(10	)	$	683		(1.5	)%
Accident & health insurance		205		201		—			4		0.0	%
Total insurance premium	$	1,398	$	701	$	(10	)	$	687		(1.5	)%

(1)  Includes annuities with life contingencies.

For the years ended December 31, 2023, 2022 and 2021, reinsurance assumed included related party transactions for life insurance in-force of $1.4 billion, $1.5 billion and $1.6 billion, respectively, and life insurance premiums of $6 million, $2 million and $2 million, respectively. There were no related party transactions for ceded life insurance in-force and life insurance premiums for the years ended December 31, 2023, 2022 and 2021.

91