Deferred Policy Acquisition and Sales Inducement Costs

12 Months Ended

Dec. 31, 2021

Deferred Policy Acquisition and Sales Inducement Costs

Deferred Policy Acquisition and Sales Inducement Costs

Deferred Policy Acquisition and Sales Inducement Costs

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

($ in millions)	2021		2020		2019
Balance, beginning of year	$	973	$	947	$	1,232
Acquisition costs deferred	89		51		55
Amortization charged to income	(150)		(147)		(180)
Effect of unrealized gains and losses	365		(123)		(160)
Decrease related to sale of ALNY	(134)		—		—
Decrease related to AHL recapture of reinsurance	(31)		—		—
Reinsurance assumed from EAC	—		245		—
Balance, end of year	$	1,112	$	973	$	947

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

($ in millions)	2021		2020		2019
Balance, beginning of year	$	25	$	27	$	34
Amortization charged to income	(4)		(5)		(5)
Effect of unrealized gains and losses	—		3		(2)
Decrease related to sale of ALNY	(2)		—		—
Balance, end of year	$	19	$	25	$	27