Deferred Policy Acquisition Costs and Deferred Sales Inducements

6 Months Ended

Jun. 30, 2011

Deferred Policy Acquisition Costs and Deferred Sales Inducements [Abstract]

Deferred Policy Acquisition Costs and Deferred Sales Inducements

7. Deferred Policy Acquisition Costs and Deferred Sales Inducements

          The following table provides a reconciliation of the beginning and ending balance for deferred policy acquisition costs (DAC):

	For the Three Months Ended						For the Six Months Ended
	June 30,						June 30,
	2011			2010			2011			2010
Unamortized balance at beginning of period	$	403.6		$	339.8		$	387.4		$	325.7
Deferral of acquisition costs		28.4			39.2			65.4			69.7
Adjustments related to investment gains		(0.6	)		(1.2	)		(1.3	)		(2.2	)
Amortization		(20.0	)		(17.0	)		(40.1	)		(32.4	)
Unamortized balance at end of period		411.4			360.8			411.4			360.8
Accumulated effect of net unrealized investment gains		(172.9	)		(161.8	)		(172.9	)		(161.8	)
Balance at end of period	$	238.5		$	199.0		$	238.5		$	199.0

          The following table provides a reconciliation of the beginning and ending balance for deferred sales inducements, which are included in other assets on the consolidated balance sheets:

	For the Three Months Ended						For the Six Months Ended
	June 30,						June 30,
	2011			2010			2011			2010
Unamortized balance at beginning of period	$	116.4		$	76.7		$	105.8		$	67.6
Capitalizations		18.1			14.7			35.2			28.0
Adjustments related to investment gains		(0.2	)		(0.4	)		(0.5	)		(0.7	)
Amortization		(7.4	)		(4.4	)		(13.6	)		(8.3	)
Unamortized balance at end of period		126.9			86.6			126.9			86.6
Accumulated effect of net unrealized investment gains		(62.3	)		(46.0	)		(62.3	)		(46.0	)
Balance at end of period	$	64.6		$	40.6		$	64.6		$	40.6