Deferred Policy Acquisition and Sales Inducement Costs (Tables)

12 Months Ended

Dec. 31, 2019

Deferred Policy Acquisition and Sales Inducement Costs

Schedule of deferred policy acquisition costs

Deferred policy acquisition costs for the years ended December 31 are as follows:

($ in millions)	2019			2018			2017
Balance, beginning of year	$	1,232		$	1,156		$	1,187
Acquisition costs deferred	55			78			122
Amortization charged to income	(180		)	(146		)	(152		)
Effect of unrealized gains and losses	(160		)	144			(46		)
Reinsurance assumed from AAC	—			—			45
Balance, end of year	$	947		$	1,232		$	1,156

Schedule of DSI activity for Allstate Financial

DSI activity, which primarily relates to fixed annuities and interest-sensitive life contracts, for the years ended December 31 was as follows:

($ in millions)	2019			2018			2017
Balance, beginning of year	$	34		$	36		$	40
Amortization charged to income	(5		)	(4		)	(4		)
Effect of unrealized gains and losses	(2		)	2			—
Balance, end of year	$	27		$	34		$	36