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OPERATING SEGMENTS
 6 Months Ended
Jun. 30, 2020
Segment Reporting [Abstract]  
OPERATING SEGMENTS OPERATING SEGMENTS
The Company has several operating segments, each having a strategic focus. An operating segment is distinguished by products, channels of distribution, and/or other strategic distinctions. The Company periodically evaluates its operating segments and makes adjustments to its segment reporting as needed. A brief description of each segment follows.

In the first quarter of 2020, as a result of changes in the way the chief operating decision maker makes decisions about the allocation of resources and assesses the performance of the business, the Company combined two of its former six segments into one segment, Retail Life and Annuity. These changes enable the Company to better serve the needs of its customer and to help achieve the goals of the organization.

Prior period amounts were adjusted retrospectively to reflect the change in the Company’s reportable segments.

•The Retail Life and Annuity segment primarily markets fixed universal life (“UL”), indexed universal life (“IUL”), variable universal life (“VUL”), level premium term insurance (“traditional”), fixed annuity, and variable annuity (“VA”) products on a national basis primarily through networks of independent insurance agents and brokers, broker-dealers, financial institutions, independent marketing organizations, and affinity groups.
•The Acquisitions segment focuses on acquiring, converting, and servicing policies and contracts acquired from other companies. The segment’s primary focus is on life insurance policies and annuity products that were sold to individuals. The level of the segment’s acquisition activity is predicated upon many factors, including available capital, operating capacity, potential return on capital, and market dynamics. Policies acquired through the Acquisitions segment are typically blocks of business where no new policies are being marketed, however, some recent acquisitions have included ongoing new business activities. Ongoing new product sales written by the Company from these acquisitions are included in the Retail Life and Annuity segment. As a result, earnings and account values are expected to decline as the result of lapses, deaths, and other terminations of coverage unless new acquisitions are made.
•The Stable Value Products segment sells fixed and floating rate funding agreements directly to the trustees of municipal bond proceeds, money market funds, bank trust departments, and other institutional investors. This segment also issues funding agreements to the FHLB, and markets guaranteed investment contracts (“GICs”) to 401(k) and other qualified retirement savings plans. The Company also has an unregistered funding agreement-backed notes program which provides for offers of notes to both domestic and international institutional investors.
•The Asset Protection segment markets extended service contracts, GAP products, credit life and disability insurance, and other specialized ancillary products to protect consumers’ investments in automobiles and recreational vehicles. GAP products are designed to cover the difference between the scheduled loan pay-off amount and an asset’s actual cash value in the case of a total loss. Each type of specialized ancillary product protects against damage or other loss to a particular aspect of the underlying asset.
•The Corporate and Other segment primarily consists of net investment income on assets supporting our equity capital, unallocated corporate overhead and expenses not attributable to the segments above. This segment includes earnings from several non-strategic or runoff lines of business, various financing and investment-related transactions, and the operations of several small subsidiaries.
 The Company’s management and Board of Directors analyzes and assesses the operating performance of each segment using pre-tax adjusted operating income (loss) and after-tax adjusted operating income (loss). Consistent with GAAP accounting guidance for segment reporting, pre-tax adjusted operating income (loss) is the Company’s measure of segment performance. Pre-tax adjusted operating income (loss) is calculated by adjusting income (loss) before income tax, by excluding the following items:
•realized gains and losses on investments and derivatives,
•changes in the GLWB embedded derivatives exclusive of the portion attributable to the economic cost of the GLWB,
•actual GLWB incurred claims, and
•the amortization of DAC, VOBA, and certain policy liabilities that is impacted by the exclusion of these items.
The items excluded from adjusted operating income (loss) are important to understanding the overall results of operations. Pre-tax adjusted operating income (loss) and after-tax adjusted operating income (loss) are not substitutes for income before income taxes or net income (loss), respectively. These measures may not be comparable to similarly titled measures reported by other companies. The Company believes that pre-tax and after-tax adjusted operating income (loss) enhances management’s and the Board of Directors’ understanding of the ongoing operations, the underlying profitability of each segment, and helps facilitate the allocation of resources.
After-tax adjusted operating income (loss) is derived from pre-tax adjusted operating income (loss) with the inclusion of income tax expense or benefits associated with pre-tax adjusted operating income. Income tax expense or benefits is allocated to the items excluded from pre-tax adjusted operating income (loss) at the statutory federal income tax rate for the associated period. Income tax expense or benefits allocated to after-tax adjusted operating income (loss) can vary period to period based on changes in the Company’s effective income tax rate.
In determining the components of the pre-tax adjusted operating income (loss) for each segment, premiums and policy fees, other income, benefits and settlement expenses, and amortization of DAC and VOBA are attributed directly to each operating segment. Net investment income is allocated based on directly related assets required for transacting the business of that segment. Realized gains (losses) - investments/derivatives and other operating expenses are allocated to the segments in a manner that most appropriately reflects the operations of that segment. Investments and other assets are allocated based on statutory policy liabilities net of associated statutory policy assets, while DAC/VOBA and goodwill are shown in the segments to which they are attributable.
There were no significant intersegment transactions during the three and six months ended June 30, 2019.
As of April 1, 2020, the Company refined its method of allocating the realized gains and losses associated with its derivative portfolios to the Acquisitions and Retail Life and Annuity operating segments. As a result, the Company has reallocated approximately $62 million in realized gains on derivatives from the Acquisitions segment to the Retail Life and Annuity segment in the presentation for the six months ended June 30, 2020 to reflect the impact this change in method had on the three month period ended March 31, 2020. The impact of the change in allocation was not considered material to the operation segment results for the three months ended June 30, 2019.
The following tables present a summary of results and reconciles pre-tax adjusted operating income (loss) to consolidated income before income tax and net income: 
For The
Three Months Ended
June 30,		For The
Six Months Ended
June 30,
2020201920202019
 (Dollars In Thousands)
Revenues  
Retail Life and Annuity$553,872  $573,256  $1,330,516  $1,166,010  
Acquisitions797,561  667,031  1,597,162  1,276,973  
Stable Value Products52,539  67,585  89,141  127,164  
Asset Protection69,103  73,070  141,592  146,265  
Corporate and Other31,365  38,151  30,915  67,486  
Total revenues$1,504,440  $1,419,093  $3,189,326  $2,783,898  
Pre-tax Adjusted Operating Income (Loss)  
Retail Life and Annuity$20,035  37,378  7,715  $84,390  
Acquisitions97,997  69,810  173,122  144,722  
Stable Value Products16,665  28,106  41,990  50,345  
Asset Protection12,740  8,459  23,367  17,308  
Corporate and Other(30,897) (38,906) (71,772) (83,112) 
Pre-tax adjusted operating income116,540  104,847  174,422  213,653  
Realized gains (losses) and adjustments89,301  80,876  122,892  148,797  
Income before income tax205,841  185,723  297,314  362,450  
Income tax expense(40,736) (31,309) (58,244) (65,938) 
Net income$165,105  $154,414  $239,070  $296,512  
Pre-tax adjusted operating income$116,540  $104,847  $174,422  $213,653  
Adjusted operating income tax expense(21,982) (14,325) (32,436) (34,691) 
After-tax adjusted operating income94,558  90,522  141,986  178,962  
Realized gains (losses) and adjustments89,301  80,876  122,892  148,797  
Income tax (expense) benefit on adjustments(18,754) (16,984) (25,808) (31,247) 
Net income$165,105  $154,414  $239,070  $296,512  
Realized gains (losses) and adjustments:
Derivative financial instruments$(160,578) $(55,266) $77,562  $(128,574) 
Investments180,680  98,811  (95,571) 225,197  
Less: related amortization(1)
(55,952) (26,840) (114,378) (31,201) 
Less: VA GLWB economic cost(13,247) (10,491) (26,523) (20,973) 
Total realized gains (losses) and adjustments$89,301  $80,876  $122,892  $148,797  
(1)  Includes amortization of DAC/VOBA and benefits and settlement expenses that are impacted by realized gains (losses).
For The
Three Months Ended
June 30,		For The
Six Months Ended
June 30,
2020201920202019
 (Dollars In Thousands)
Net investment income  
Retail Life and Annuity$246,929  $231,570  $499,348  $462,468  
Acquisitions413,346  355,761  829,773  680,272  
Stable Value Products52,399  67,122  115,069  124,743  
Asset Protection6,491  7,049  13,706  13,851  
Corporate and Other21,270  23,692  35,519  45,282  
Total net investment income$740,435  $685,194  $1,493,415  $1,326,616  
Amortization of DAC and VOBA  
Retail Life and Annuity$6,752  5,246  (7,004) $20,194  
Acquisitions(42,355) 12,037  9,606  10,961  
Stable Value Products770  854  1,567  1,727  
Asset Protection16,325  15,700  31,286  31,328  
Corporate and Other—  —  —  —  
Total amortization of DAC and VOBA$(18,508) $33,837  $35,455  64,210  

Operating Segment Assets
As of June 30, 2020
 (Dollars In Thousands)
Retail Life & AnnuityAcquisitionsStable Value
Products
Investments and other assets$38,003,155  $54,020,299  $5,858,557  
DAC and VOBA2,503,881  885,472  5,166  
Other intangibles384,423  34,668  6,389  
Goodwill558,501  23,862  113,924  
Total assets$41,449,960  $54,964,301  $5,984,036  

Asset
Protection		Corporate
and Other		Total
Consolidated
Investments and other assets$862,780  $19,288,486  $118,033,277  
DAC and VOBA167,478  —  3,561,997  
Other intangibles106,690  32,945  565,115  
Goodwill129,224  —  825,511  
Total assets$1,266,172  $19,321,431  $122,985,900  
Operating Segment Assets
As of December 31, 2019
 (Dollars In Thousands)
Retail Life & AnnuityAcquisitionsStable Value
Products
Investments and other assets$37,448,239  $54,074,450  $5,317,885  
DAC and VOBA2,416,616  924,090  5,221  
Other intangibles401,178  36,321  6,722  
Goodwill558,501  23,862  113,924  
Total assets$40,824,534  $55,058,723  $5,443,752  

Asset
Protection		Corporate
and Other		Total
Consolidated
Investments and other assets$878,386  $17,830,217  $115,549,177  
DAC and VOBA173,628  —  3,519,555  
Other intangibles112,032  27,173  583,426  
Goodwill129,224  —  825,511  
Total assets$1,293,270  $17,857,390  $120,477,669