Federal Income Taxes

9 Months Ended

Sep. 30, 2015

Federal Income Taxes [Abstract]

Federal Income Taxes

6.  Federal Income Taxes

The effective tax rate is the ratio of tax expense over pre-tax income (loss).  The effective tax rate was 15% and 19% for the three and ninemonths ended September 30, 2015, respectively.  The effective tax rate was 27% and 25% for the three and nine months ended September 30, 2014, respectively.  The effective tax rate on pre-tax income from continuing operations was lower than the prevailing corporate federal income tax rate.  Differences in the effective rates and the U.S. statutory rate of 35% were the result of certain tax preferred investment income, separate account dividends-received deductions, foreign tax credits and other tax preference items.  The effective tax rate on pre-tax income from continuing operations was lower for the three and nine months ended September 30, 2015, compared to the corresponding periods in 2014 primarily due to a lower level of pre-tax income that caused the tax preference items to have a more significant impact in 2015.