Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

Income Tax Disclosure [Abstract]

Components of the deferred income tax assets and liabilities

The components of the deferred income tax assets and liabilities as of December 31 are as follows:

($ in millions)	2019			2018
Deferred tax assets
Deferred reinsurance gain	$	6		$	7
Other assets	1			1
Total deferred tax assets	7			8
Deferred tax liabilities
Life and annuity reserves	(253		)	(223		)
Unrealized net capital gains	(245		)	(65		)
Investments	(185		)	(131		)
DAC	(169		)	(201		)
Other liabilities	(49		)	(51		)
Total deferred tax liabilities	(901		)	(671		)
Net deferred tax liability	$	(894	)	$	(663	)

Components of income tax expense

The components of income tax expense (benefit) for the years ended December 31 are as follows:

($ in millions)	2019		2018			2017
Current	$	76	$	116		$	104
Deferred	52		(99		)	(382		)
Total income tax expense (benefit)	$	128	$	17		$	(278	)

Reconciliation of the statutory federal income tax rate to the effective income tax rate on income from operations

A reconciliation of the statutory federal income tax rate to the effective income tax rate on income from operations for the years ended December 31 is as follows:

($ in millions)	2019		2018		2017
Statutory federal income tax rate - expense	21.0	%	21.0	%	35.0	%
Tax credits	(1.9	)	(3.2	)	(1.7	)
Dividends received deduction	(0.5	)	(0.7	)	(0.6	)
State income taxes	0.5		1.5		0.6
Adjustments to prior year tax liabilities	0.2		(0.3	)	(0.3	)
Non-deductible expenses	0.1		—		0.1
Tax Legislation benefit	—		(14.0	)	(71.8	)
Other	—		0.1		—
Effective income tax rate expense (benefit)	19.4	%	4.4	%	(38.7	)%