Federal Income Taxes (Tables)

12 Months Ended

Dec. 31, 2012

Notes to Financial Statements [Abstract]

Income tax expense (benefit), continuing operations

		For the Years Ended December 31,
		2012		2011		2010
Current		$	23	$	13	$	(138)
Deferred			259		261		400
	Federal income tax expense (benefit)	$	282	$	274	$	262

Reconciliation of effective tax rate differences

			For the Years Ended December 31,
			2012			2011			2010
Tax rate times pre-tax income			$	549		$	176		$	398
Effect of:
	Tax-preferred investment income			(141)			(144)			(120)
	Tax credits			(34)			(34)			(28)
	Goodwill			(2)			260			-
	Change in uncertain tax positions			(94)			8			2
	Other items			4			8			10
		Federal income tax expense (benefit)	$	282		$	274		$	262
Effective tax rate				18	%		55	%		23	%

Federal income tax asset (liability)

		As of December 31,
		2012		2011
Current		$	(27)	$	(159)
Deferred			(2,982)		(2,153)
	Total federal income tax asset (liability)	$	(3,009)	$	(2,312)

Significant components of deferred tax assets and liabilities

			As of December 31,
			2012		2011
Deferred Tax Assets
Future contract benefits and other contract holder funds			$	1,189	$	837
Deferred gain on business sold through reinsurance				96		125
Reinsurance related embedded derivative asset				75		59
Investments				311		396
Compensation and benefit plans				293		306
Net operating loss				26		23
Net capital loss				32		59
Tax credits				222		208
VIE				35		97
Other				41		144
	Total deferred tax assets			2,320		2,254
Deferred Tax Liabilities
DAC				1,332		1,322
VOBA				246		370
Net unrealized gain on AFS securities				3,283		2,259
Net unrealized gain on trading securities				150		131
Intangibles				157		160
Other				134		165
	Total deferred tax liabilities			5,302		4,407
		Net deferred tax asset (liability)	$	(2,982)	$	(2,153)

Reconciliation of unrecognized tax benefits

			For the
			Years Ended
			December 31,
			2012		2011
Balance as of beginning-of-year			$	211	$	218
	Increases for prior year tax positions			-		1
	Decreases for prior year tax positions			(49)		(10)
	Increases for current year tax positions			5		8
	Decreases for current year tax positions			-		(6)
	Decreases for settlements with taxing authorities			(2)		-
	Decreases for lapse of statute of limitations			(88)		-
		Balance as of end-of-year	$	77	$	211