FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

6 Months Ended

Jun. 30, 2020

Fair Value Disclosures [Abstract]

Schedule of Assets and Liabilities Measured at Fair Value on a Recurring Basis

The following table presents the Company’s hierarchy for its assets and liabilities measured at fair value on a recurring basis as of June 30, 2020:

	Measurement Category	Level 1		Level 2		Level 3		Total
		(Dollars In Thousands)
Assets:
Fixed maturity securities - available-for-sale
Residential mortgage-backed securities	4	$	—	$	7,014,129	$	—	$	7,014,129
Commercial mortgage-backed securities	4	—		2,531,511		9,971		2,541,482
Other asset-backed securities	4	—		1,271,061		430,964		1,702,025
U.S. government-related securities	4	669,492		504,426		—		1,173,918
State, municipals, and political subdivisions	4	—		4,562,366		—		4,562,366
Other government-related securities	4	—		626,170		—		626,170
Corporate securities	4	—		47,070,555		1,365,963		48,436,518
Redeemable preferred stocks	4	65,673		—		—		65,673
Total fixed maturity securities - available-for-sale		735,165		63,580,218		1,806,898		66,122,281
Fixed maturity securities - trading
Residential mortgage-backed securities	3	—		192,944		—		192,944
Commercial mortgage-backed securities	3	—		189,995		—		189,995
Other asset-backed securities	3	—		83,626		60,622		144,248
U.S. government-related securities	3	26,033		16,644		—		42,677
State, municipals, and political subdivisions	3	—		289,477		—		289,477
Other government-related securities	3	—		29,210		—		29,210
Corporate securities	3	—		1,745,181		12,158		1,757,339
Redeemable preferred stocks	3	11,933		—		—		11,933
Total fixed maturity securities - trading		37,966		2,547,077		72,780		2,657,823
Total fixed maturity securities		773,131		66,127,295		1,879,678		68,780,104
Equity securities	3	434,568		—		78,613		513,181
Other long-term investments(1)	3 & 4	81,357		815,700		275,907		1,172,964
Short-term investments	3	1,010,740		102,521		—		1,113,261
Total investments		2,299,796		67,045,516		2,234,198		71,579,510
Cash	3	445,447		—		—		445,447
Assets related to separate accounts
Variable annuity	3	11,394,911		—		—		11,394,911
Variable universal life	3	1,087,327		—		—		1,087,327
Total assets measured at fair value on a recurring basis		$	15,227,481	$	67,045,516	$	2,234,198	$	84,507,195
Liabilities:
Annuity account balances(2)	3	$	—	$	—	$	68,064	$	68,064
Other liabilities(1)	3 & 4	6,417		485,094		1,664,251		2,155,762
Total liabilities measured at fair value on a recurring basis		$	6,417	$	485,094	$	1,732,315	$	2,223,826
(1) Includes certain freestanding and embedded derivatives.
(2) Represents liabilities related to fixed indexed annuities.
(3) Fair Value through Net Income
(4) Fair Value through Other Comprehensive Income (Loss)

The following table presents the Company’s hierarchy for its assets and liabilities measured at fair value on a recurring basis as of December 31, 2019:

	Measurement Category	Level 1		Level 2		Level 3		Total
		(Dollars In Thousands)
Assets:
Fixed maturity securities - available-for-sale
Residential mortgage-backed securities	4	$	—	$	5,931,341	$	—	$	5,931,341
Commercial mortgage-backed securities	4	—		2,629,639		10,029		2,639,668
Other asset-backed securities	4	—		1,360,016		421,219		1,781,235
U.S. government-related securities	4	662,581		369,815		—		1,032,396
State, municipals, and political subdivisions	4	—		4,638,850		—		4,638,850
Other government-related securities	4	—		597,169		—		597,169
Corporate securities	4	—		45,435,387		1,373,714		46,809,101
Redeemable preferred stocks	4	69,976		16,689		—		86,665
Total fixed maturity securities - available-for-sale		732,557		60,978,906		1,804,962		63,516,425
Fixed maturity securities - trading
Residential mortgage-backed securities	3	—		209,521		—		209,521
Commercial mortgage-backed securities	3	—		201,284		—		201,284
Other asset-backed securities	3	—		77,954		65,407		143,361
U.S. government-related securities	3	24,810		22,257		—		47,067
State, municipals, and political subdivisions	3	—		293,791		—		293,791
Other government-related securities	3	—		28,775		—		28,775
Corporate securities	3	—		1,579,565		11,371		1,590,936
Redeemable preferred stocks	3	12,832		—		—		12,832
Total fixed maturity securities - trading		37,642		2,413,147		76,778		2,527,567
Total fixed maturity securities		770,199		63,392,053		1,881,740		66,043,992
Equity securities	3	480,750		—		72,970		553,720
Other long-term investments(1)	3 & 4	52,225		733,425		209,843		995,493
Short-term investments	3	1,255,384		65,480		—		1,320,864
Total investments		2,558,558		64,190,958		2,164,553		68,914,069
Cash	3	171,752		—		—		171,752
Assets related to separate accounts
Variable annuity	3	12,730,090		—		—		12,730,090
Variable universal life	3	1,135,666		—		—		1,135,666
Total assets measured at fair value on a recurring basis		$	16,596,066	$	64,190,958	$	2,164,553	$	82,951,577
Liabilities:
Annuity account balances(2)	3	$	—	$	—	$	69,728	$	69,728
Other liabilities(1)	3 & 4	19,561		509,645		1,017,972		1,547,178
Total liabilities measured at fair value on a recurring basis		$	19,561	$	509,645	$	1,087,700	$	1,616,906
(1) Includes certain freestanding and embedded derivatives.
(2) Represents liabilities related to fixed indexed annuities.
(3) Fair Value through Net Income
(4) Fair Value through Other Comprehensive Income (Loss)

Schedule of the Valuation Method for Material Financial Instruments Included in Level 3, as well as the Unobservable Inputs Used in the Valuation of the Financial Instruments

The following table presents the valuation method for material financial instruments included in Level 3, as well as the unobservable inputs used in the valuation of those financial instruments:

	Fair Value As of June 30, 2020		Valuation Technique	Unobservable Input	Range (Weighted Average)
	(Dollars In Thousands)
Assets:
Commercial mortgage-backed securities	$	9,971	Discounted cash flow	Spread over treasury	3.41%
Other asset-backed securities	430,964		Liquidation	Liquidation value	$92.25 - $97.00 ($95.39)
			Discounted cash flow	Liquidity premium	0.46% - 2.32% (1.59%)
				Paydown rate	8.66% - 12.76% (11.44%)
Corporate securities	1,365,963		Discounted cash flow	Spread over treasury	0.12% - 8.25% (2.83%)
Liabilities:(1)
Embedded derivatives - GLWB(2)	590,762		Actuarial cash flow model	Mortality	87% to 100% of Ruark 2015 ALB Table
				Lapse	PL-RBA Predictive Model
				Utilization	PL-RBA Predictive Model
				Nonperformance risk	0.33% - 0.91%
Embedded derivative - FIA	451,148		Actuarial cash flow model	Expenses	$195 per policy
				Withdrawal rate	0.4% - 1.2% prior to age 70, 100% of the RMD for ages 70+ or WB withdrawal rate. Assume underutilized RMD for non WB policies ages 70-81.
				Mortality	87% to 100% of Ruark 2015 ALB table
				Lapse	0.5% - 50.0%, depending on duration/surrender charge period
					Dynamically adjusted for WB moneyness and projected market rates vs credited rates
				Nonperformance risk	0.33% - 0.91%
Embedded derivative - IUL	196,655		Actuarial cash flow model	Mortality	37% - 156% of 2015
					VBT Primary Tables
					94% - 248% of duration 8 point in scale 2015 VBT Primary Tables, depending on type of business
				Lapse	0.5% - 10%, depending on
					duration/distribution channel
					and smoking class
				Nonperformance risk	0.33% - 0.91%
(1) Excludes modified coinsurance arrangements.
(2) The fair value for the GLWB embedded derivative is presented as a net liability.

The following table presents the valuation method for material financial instruments included in Level 3, as well as the unobservable inputs used in the valuation of those financial instruments:

	Fair Value As of December 31, 2019		Valuation Technique	Unobservable Input	Range (Weighted Average)
	(Dollars In Thousands)
Assets:
Commercial mortgage-backed securities	$	10,029	Discounted cash flow	Spread over treasury	2.5%
Other asset-backed securities	421,219		Liquidation	Liquidation value	$95.39 - $99.99 ($97.95)
			Discounted cash flow	Liquidity premium	0.34% - 2.28% (1.44%)
				Paydown Rate	8.99% - 12.45% (11.28%)
Corporate securities	1,373,714		Discounted cash flow	Spread over treasury	0.00% - 4.03% (1.60%)
Liabilities:(1)
Embedded derivatives - GLWB(2)	$	186,038	Actuarial cash flow model	Mortality	87% to 100% of Ruark 2015 ALB Table
				Lapse	Ruark Predictive Model
				Utilization	99%. 10% of policies have a one-time over-utilization of 400%
				Nonperformance risk	0.12% - 0.82%
Embedded derivative - FIA	336,826		Actuarial cash flow model	Expenses	$195 per policy
				Withdrawal rate	0.4% - 1.2% prior to age 70 RMD for ages 70+ or WB withdrawal rate Assume underutilized RMD for nonWB policies age 70-81
				Mortality	87% to 100% or Ruark 2015 ALB table
				Lapse	0.5% - 50.0%, depending on duration/surrender charge period
				Nonperformance risk	0.12% - 0.82%
Embedded derivative - IUL	151,765		Actuarial cash flow model	Mortality	37% - 156% of 2015 VBT Primary Tables 94% - 248% of duration 8 point in scale 2015 VBT Primary Tables, depending on type of business
				Lapse	0.5% - 10%, depending on duration/distribution channel and smoking class
				Nonperformance risk	0.12% - 0.82%
(1) Excludes modified coinsurance arrangements.
(2) The fair value for the GLWB embedded derivative is presented as a net liability.

Schedule of Reconciliation of the Beginning and Ending Balances for Fair Value Measurements, for Which the Company Has Used Significant Unobservable Inputs (Level 3)

The following table presents a reconciliation of the beginning and ending balances for fair value measurements for the three months ended June 30, 2020, for which the Company has used significant unobservable inputs (Level 3):

			Total Realized and Unrealized Gains				Total Realized and Unrealized Losses																		Total Gains (losses) included in Operations related to Instruments still held at the  Reporting Date
	Beginning Balance		Included in Operations		Included in Other Comprehensive Income (Loss)		Included in Operations		Included in Other Comprehensive Income (Loss)		Purchases		Sales		Issuances		Settlements		Transfers in/out of Level 3		Other		Ending Balance
	(Dollars In Thousands)
Assets:
Fixed maturity securities available-for-sale
Residential mortgage-backed securities	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Commercial mortgage-backed securities	10,783		—		—		—		(785)		—		(21)		—		—		—		(6)		9,971		—
Other asset-backed securities	436,329		—		112		(21)		(5,125)		—		(509)		—		—		—		178		430,964		—
Corporate securities	1,279,769		—		83,367		—		(3,198)		279,264		(321,885)		—		—		49,593		(947)		1,365,963		—
Total fixed maturity securities - available-for-sale	1,726,881		—		83,479		(21)		(9,108)		279,264		(322,415)		—		—		49,593		(775)		1,806,898		—
Fixed maturity securities - trading
Other asset-backed securities	65,028		1,467		—		(6,584)		—		1,469		(23)		—		—		(766)		31		60,622		(5,149)
Corporate securities	13,012		487		—		—		—		1,236		(2,141)		—		—		(408)		(28)		12,158		388
Total fixed maturity securities - trading	78,040		1,954		—		(6,584)		—		2,705		(2,164)		—		—		(1,174)		3		72,780		(4,761)
Total fixed maturity securities	1,804,921		1,954		83,479		(6,605)		(9,108)		281,969		(324,579)		—		—		48,419		(772)		1,879,678		(4,761)
Equity securities	72,968		1		—		1		—		423		—		—		—		5,220		—		78,613		3,212
Other long-term investments(1)	162,081		79,413		—		(6,418)		—		40,831		—		—		—		—		—		275,907		(72,995)
Total investments	2,039,970		81,368		83,479		(13,022)		(9,108)		323,223		(324,579)		—		—		53,639		(772)		2,234,198		(74,544)
Total assets measured at fair value on a recurring basis	$	2,039,970	$	81,368	$	83,479	$	(13,022)	$	(9,108)	$	323,223	$	(324,579)	$	—	$	—	$	53,639	$	(772)	$	2,234,198	$	(74,544)
Liabilities:
Annuity account balances(2)	$	68,395	$	—	$	—	$	(532)	$	—	$	—	$	—	$	204	$	1,067	$	—	$	—	$	68,064	$	—
Other liabilities(1)	1,262,274		67,431		—		(469,408)		—		—		—		—		—		—		—		1,664,251		(401,977)
Total liabilities measured at fair value on a recurring basis	$	1,330,669	$	67,431	$	—	$	(469,940)	$	—	$	—	$	—	$	204	$	1,067	$	—	$	—	$	1,732,315	$	(401,977)
(1) Represents certain freestanding and embedded derivatives.
(2) Represents liabilities related to fixed indexed annuities.

The following table presents a reconciliation of the beginning and ending balances for fair value measurements for the six months ended June 30, 2020, for which the Company has used significant unobservable inputs (Level 3):

			Total Realized and Unrealized Gains				Total Realized and Unrealized Losses																		Total Gains (losses) included in Operations related to Instruments still held at the Reporting Date
	Beginning Balance		Included in Operations		Included in Other Comprehensive Income (Loss)		Included in Operations		Included in Other Comprehensive Income (Loss)		Purchases		Sales		Issuances		Settlements		Transfers in/out of Level 3		Other		Ending Balance
	(Dollars In Thousands)
Assets:
Fixed maturity securities available-for-sale
Commercial mortgage-backed securities	$	10,029	$	—	$	780	$	—	$	(785)	$	—	$	(41)	$	—	$	—	$	—	$	(12)	$	9,971	$	—
Other asset-backed securities	421,219		—		112		(21)		(12,453)		—		(517)		—		—		22,187		437		430,964		—
Corporate securities	1,373,714		—		85,001		—		(79,195)		303,264		(371,702)		—		—		56,935		(2,054)		1,365,963		—
Total fixed maturity securities - available-for-sale	1,804,962		—		85,893		(21)		(92,433)		303,264		(372,260)		—		—		79,122		(1,629)		1,806,898		—
Fixed maturity securities - trading
Residential mortgage-backed securities	—		—		—		—		—		—		—		—		—		—		—		—		—
Other asset-backed securities	65,407		1,468		—		(8,314)		—		3,219		(452)		—		—		(766)		60		60,622		(5,149)
Corporate securities	11,371		487		—		(415)		—		3,321		(2,141)		—		—		(408)		(57)		12,158		389
Total fixed maturity securities - trading	76,778		1,955		—		(8,729)		—		6,540		(2,593)		—		—		(1,174)		3		72,780		(4,760)
Total fixed maturity securities	1,881,740		1,955		85,893		(8,750)		(92,433)		309,804		(374,853)		—		—		77,948		(1,626)		1,879,678		(4,760)
Equity securities	72,970		1		—		(1)		—		423		—		—		—		5,220		—		78,613		3,212
Other long-term investments(1)	209,843		92,933		—		(63,628)		—		40,831		—		—		(4,072)		—		—		275,907		25,233
Short-term investments	—		—		—		—		—		—		—		—		—		—		—		—		—
Total investments	2,164,553		94,889		85,893		(72,379)		(92,433)		351,058		(374,853)		—		(4,072)		83,168		(1,626)		2,234,198		23,685
Total assets measured at fair value on a recurring basis	$	2,164,553	$	94,889	$	85,893	$	(72,379)	$	(92,433)	$	351,058	$	(374,853)	$	—	$	(4,072)	$	83,168	$	(1,626)	$	2,234,198	$	23,685
Liabilities:
Annuity account balances(2)	$	69,728	$	—	$	—	$	(1,067)	$	—	$	—	$	—	$	329	$	3,060	$	—	$	—	$	68,064	$	—
Other liabilities(1)	1,017,972		256,473		—		(902,752)		—		—		—		—		—		—		—		1,664,251		(646,279)
Total liabilities measured at fair value on a recurring basis	$	1,087,700	$	256,473	$	—	$	(903,819)	$	—	$	—	$	—	$	329	$	3,060	$	—	$	—	$	1,732,315	$	(646,279)
(1) Represents certain freestanding and embedded derivatives.
(2) Represents liabilities related to fixed indexed annuities.

The following table presents a reconciliation of the beginning and ending balances for fair value measurements for the three months ended June 30, 2019, for which the Company has used significant unobservable inputs (Level 3):

			Total Realized and Unrealized Gains				Total Realized and Unrealized Losses																		Total Gains (losses) included in Operations related to Instruments still held at the  Reporting Date
	Beginning Balance		Included  in Operations		Included  in Other Comprehensive Income (Loss)		Included  in Operations		Included  in Other Comprehensive Income (Loss)		Purchases		Sales		Issuances		Settlements		Transfers in/out of Level 3		Other		Ending Balance
	(Dollars In Thousands)
Assets:
Fixed maturity securities available-for-sale
Residential mortgage-backed securities	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Commercial mortgage-backed securities	—		—		16		—		—		9,359		(7)		—		—		—		(2)		9,366		—
Other asset-backed securities	420,091		—		2,513		(37)		(4,468)		—		(7)		—		—		—		218		418,310		—
Corporate securities	648,608		82		25,371		—		(497)		661,627		(56,183)		—		—		49,350		133		1,328,491		—
Total fixed maturity securities - available-for-sale	1,068,699		82		27,900		(37)		(4,965)		670,986		(56,197)		—		—		49,350		349		1,756,167		—
Fixed maturity securities - trading
Other asset-backed securities	66,484		810		—		(3,468)		—		—		(781)		—		—		(797)		(68)		62,180		(2,717)
Corporate securities	5,251		68		—		—		—		—		1		—		—		—		(26)		5,294		68
Total fixed maturity securities - trading	71,735		878		—		(3,468)		—		—		(780)		—		—		(797)		(94)		67,474		(2,649)
Total fixed maturity securities	1,140,434		960		27,900		(3,505)		(4,965)		670,986		(56,977)		—		—		48,553		255		1,823,641		(2,649)
Equity securities	63,409		—		—		(3)		—		5,080		—		—		—		—		—		68,486		153
Other long-term investments(1)	133,694		22,762		—		(12,744)		—		1,579		—		—		(1,708)		—		—		143,583		8,310
Total investments	1,337,537		23,722		27,900		(16,252)		(4,965)		677,645		(56,977)		—		(1,708)		48,553		255		2,035,710		5,814
Total assets measured at fair value on a recurring basis	$	1,337,537	$	23,722	$	27,900	$	(16,252)	$	(4,965)	$	677,645	$	(56,977)	$	—	$	(1,708)	$	48,553	$	255	$	2,035,710	$	5,814
Liabilities:
Annuity account balances(2)	$	74,613	$	—	$	—	$	(825)	$	—	$	—	$	—	$	56	$	2,909	$	—	$	—	$	72,585	$	—
Other liabilities(1)	606,655		364		—		(198,540)		—		37,204		—		—		—		—		—		842,035		(198,176)
Total liabilities measured at fair value on a recurring basis	$	681,268	$	364	$	—	$	(199,365)	$	—	$	37,204	$	—	$	56	$	2,909	$	—	$	—	$	914,620	$	(198,176)
(1) Represents certain freestanding and embedded derivatives.
(2) Represents liabilities related to fixed indexed annuities.

The following table presents a reconciliation of the beginning and ending balances for fair value measurements for the six months ended June 30, 2019, for which the Company has used significant unobservable inputs (Level 3):

			Total Realized and Unrealized Gains				Total Realized and Unrealized Losses																		Total Gains (losses) included in Operations related to Instruments still held at the Reporting Date
	Beginning Balance		Included in Operations		Included in Other Comprehensive Income (Loss)		Included in Operations		Included in Other Comprehensive Income (Loss)		Purchases		Sales		Issuances		Settlements		Transfers in/out of Level 3		Other		Ending Balance
	(Dollars In Thousands)
Assets:
Fixed maturity securities available-for-sale
Commercial mortgage-backed securities	$	—	$	—	$	16	$	—	$	—	$	9,359	$	(7)	$	—	$	—	$	—	$	(2)	$	9,366	$	—
Other asset-backed securities	421,642		446		10,660		(57)		(4,799)		—		(10,015)		—		—		—		433		418,310		—
Corporate securities	638,276		82		43,956		—		(3,509)		695,627		(84,956)		—		—		39,255		(240)		1,328,491		—
Total fixed maturity securities - available-for-sale	1,059,918		528		54,632		(57)		(8,308)		704,986		(94,978)		—		—		39,255		191		1,756,167		—
Fixed maturity securities - trading
Other asset-backed securities	26,056		4,006		—		(3,584)		—		15,463		(5,892)		—		—		26,267		(136)		62,180		1,068
Corporate securities	6,242		169		—		(31)		—		—		(1,035)		—		—		—		(51)		5,294		134
Total fixed maturity securities - trading	32,298		4,175		—		(3,615)		—		15,463		(6,927)		—		—		26,267		(187)		67,474		1,202
Total fixed maturity securities	1,092,216		4,703		54,632		(3,672)		(8,308)		720,449		(101,905)		—		—		65,522		4		1,823,641		1,202
Equity securities	63,421		1		—		(16)		—		5,080		—		—		—		—		—		68,486		222
Other long-term investments(1)	151,342		23,789		—		(31,419)		—		1,579		—		—		(1,708)		—		—		143,583		(9,338)
Short-term investments	—		—		—		—		—		—		—		—		—		—		—		—		—
Total investments	$	1,306,979	$	28,493	$	54,632	$	(35,107)	$	(8,308)	$	727,108	$	(101,905)	$	—	$	(1,708)	$	65,522	$	4	$	2,035,710	$	(7,914)
Total assets measured at fair value on a recurring basis	1,306,979		28,493		54,632		(35,107)		(8,308)		727,108		(101,905)		—		(1,708)		65,522		4		2,035,710		(7,914)
Liabilities:
Annuity account balances(2)	$	76,119	$	—	$	—	$	(1,152)	$	—	$	—	$	—	$	67	$	4,753	$	—	$	—	$	72,585	$	—
Other liabilities(1)	438,127		830		—		(367,534)		—		37,204		—		—		—		—		—		842,035		(366,704)
Total liabilities measured at fair value on a recurring basis	$	514,246	$	830	$	—	$	(368,686)	$	—	$	37,204	$	—	$	67	$	4,753	$	—	$	—	$	914,620	$	(366,704)
(1) Represents certain freestanding and embedded derivatives.
(2) Represents liabilities related to fixed indexed annuities.

Schedule of the Carrying Amounts and Estimated Fair Value of the Company's Financial Instruments

The carrying amounts and estimated fair values of the Company’s financial instruments as of the periods shown below are as follows:

		As of
		June 30, 2020				December 31, 2019
	Fair Value Level	Carrying Amounts		Fair Values		Carrying Amounts		Fair Values
		(Dollars In Thousands)
Assets:
Commercial mortgage loans(1)	3	$	9,545,793	$	10,055,284	$	9,379,401	$	9,584,487
Policy loans	3	1,657,530		1,657,530		1,675,121		1,675,121
Fixed maturities, held-to-maturity(2)	3	2,728,529		2,947,350		2,823,881		3,025,790
Other long-term investments(3)	2	1,218,279		1,278,991		1,216,996		1,246,889
Liabilities:
Stable value product account balances	3	$	5,984,036	$	6,163,437	$	5,443,752	$	5,551,195
Future policy benefits and claims(4)	3	1,634,654		1,646,695		1,701,324		1,705,235
Other policyholders’ funds(5)	3	101,558		105,221		127,084		130,259
Debt:(6)
Non-recourse funding obligations(7)	3	$	2,989,340	$	3,164,771	$	3,082,753	$	3,298,580
Subordinated funding obligations	3	110,000		113,729		110,000		113,286
Except as noted below, fair values were estimated using quoted market prices.
(1) The carrying amount is net of allowance for credit losses.
(2) Securities purchased from unconsolidated affiliates, Red Mountain, LLC and Steel City, LLC.
(3) Other long-term investments represents a Modco receivable, which is related to invested assets such as fixed income and structured securities, which are legally owned by the ceding company. The fair value is determined in a manner consistent with other similar invested assets held by the Company.
(4) Single premium immediate annuity without life contingencies.
(5) Supplementary contracts without life contingencies.
(6) Excludes capital lease obligations of $0.8 million and $1.0 million as of June 30, 2020 and December 31, 2019, respectively.
(7) As of June 30, 2020, carrying amount of $2.7 billion and a fair value of $2.9 billion related to non-recourse funding obligations issued by Golden Gate and Golden Gate V. As of December 31, 2019, carrying amount of $2.8 billion and a fair value of $3.0 billion related to non-recourse funding obligations issued by Golden Gate and Golden Gate V.