Derivative Instruments (Tables)

6 Months Ended

Jun. 30, 2023

Derivative Instruments [Abstract]

Outstanding Derivative Instruments With Off-Balance-Sheet Risks

	As of June 30, 2023						As of December 31, 2022
	Notional		Fair Value				Notional		Fair Value
	Amounts		Asset		Liability		Amounts		Asset		Liability
Qualifying Hedges
Cash flow hedges:
Interest rate contracts (1)	$	2,090	$	135	$	125	$	2,590	$	123	$	232
Foreign currency contracts (1)		4,548		601		36		4,383		643		18
Total cash flow hedges		6,638		736		161		6,973		766		250
Fair value hedges:
Interest rate contracts (1)		1,115		2		42		1,155		2		44
Non-Qualifying Hedges
Interest rate contracts (1)		85,019		638		925		105,977		709		935
Foreign currency contracts (1)		357		19		2		395		27		2
Equity market contracts (1)		235,315		8,671		4,152		142,946		5,135		2,035
Commodity contracts (1)		27		14		15		13		14		3
Credit contracts (1)		52		-		-		-		-		-
Embedded derivatives:
Reinsurance-related (2)		-		368		-		-		416		-
Indexed annuity and IUL contracts (2) (3)		-		603		7,510		-		525		4,783
Total derivative instruments	$	328,523	$	11,051	$	12,807	$	257,459	$	7,594	$	8,052

⁽¹⁾These asset and liability balances are presented on a gross basis. Amounts are reported in derivative investments and other liabilities on the Consolidated Balance Sheets after the evaluation for right of offset subject to master netting agreements.

⁽²⁾Reported in other assets and other liabilities on the Consolidated Balance Sheets.

⁽³⁾Reported in policyholder account balances on the Consolidated Balance Sheets.

Maturity Of The Notional Amounts Of Derivative Financial Instruments

	Remaining Life as of June 30, 2023
	Less Than		1 - 5		6 - 10		11 - 30		Over 30
	1 Year		Years		Years		Years		Years		Total
Interest rate contracts (1)	$	19,186	$	21,463	$	21,929	$	21,433	$	4,213	$	88,224
Foreign currency contracts (2)		222		918		1,632		2,091		42		4,905
Equity market contracts		155,955		61,524		7,241		9		10,586		235,315
Commodity contracts		27		-		-		-		-		27
Credit contracts		-		52		-		-		-		52
Total derivative instruments
with notional amounts	$	175,390	$	83,957	$	30,802	$	23,533	$	14,841	$	328,523

⁽¹⁾As of June 30, 2023, the latest maturity date for which we were hedging our exposure to the variability in future cash flows for these instruments was April 20, 2067.

⁽²⁾As of June 30, 2023, the latest maturity date for which we were hedging our exposure to the variability in future cash flows for these instruments was June 16, 2061.

Cumulative Basis Adjustments For Fair Value Hedges

							Cumulative Fair Value
							Hedging Adjustment
							Included in the
	Amortized Cost of the						Amortized Cost of the
	Hedged						Hedged
	Assets / (Liabilities)						Assets / (Liabilities)
	As of			As of			As of		As of
	June 30,			December 31,			June 30,		December 31,
	2023			2022			2023		2022
Line Item in the Consolidated Balance Sheets in
which the Hedged Item is Included
Fixed maturity AFS securities, at fair value	$	536		$	587		$	41	$	44
Long-term debt (1)		(703	)		(698	)		172		177

⁽¹⁾Includes $(333) million and $(341) million of unamortized adjustments from discontinued hedges as of June 30, 2023, and December 31, 2022, respectively.

Change In Our Unrealized Gain On Derivative Instruments In Accumulated OCI

	For the Six
	Months Ended
	June 30,
	2023			2022
Unrealized Gain (Loss) on Derivative Instruments
Balance as of beginning-of-year	$	388		$	(85	)
Other comprehensive income (loss):
Unrealized holding gains (losses) arising during the period:
Cash flow hedges:
Interest rate contracts		150			107
Foreign currency contracts		80			19
Change in foreign currency exchange rate adjustment		(110	)		373
Income tax benefit (expense)		(26	)		(104	)
Less:
Reclassification adjustment for gains (losses)
included in net income (loss):
Cash flow hedges:
Interest rate contracts (1)		-			1
Interest rate contracts (2)		13			(10	)
Foreign currency contracts (1)		27			30
Foreign currency contracts (3)		3			4
Income tax benefit (expense)		(9	)		(5	)
Balance as of end-of-period	$	448		$	290

⁽¹⁾The OCI offset is reported within net investment income on the Consolidated Statements of Comprehensive Income (Loss).

⁽²⁾The OCI offset is reported within interest and debt expense on the Consolidated Statements of Comprehensive Income (Loss).

⁽³⁾The OCI offset is reported within realized gain (loss) on the Consolidated Statements of Comprehensive Income (Loss).

Effects Of Qualifying And Non-Qualifying Hedges

	Gain (Loss) Recognized in Income
	For the Three Months Ended June 30,
	2023									2022
	Realized			Net			Interest			Realized			Net			Interest
	Gain			Investment			and Debt			Gain			Investment			and Debt
	(Loss)			Income			Expense			(Loss)			Income			Expense
Total Line Items in which the
Effects of Fair Value or Cash
Flow Hedges are Recorded	$	(1,784	)	$	1,508		$	84		$	1,101		$	1,398		$	68
Qualifying Hedges
Gain or (loss) on fair value
hedging relationships:
Interest rate contracts:
Hedged items		-			(19	)		17			-			(58	)		60
Derivatives designated as
hedging instruments		-			19			(17	)		-			58			(60	)
Gain or (loss) on cash flow
hedging relationships:
Interest rate contracts:
Amount of gain or (loss)
reclassified from AOCI
into income		-			-			7			-			-			(4	)
Foreign currency contracts:
Amount of gain or (loss)
reclassified from AOCI
into income		-			13			-			1			17			-
Non-Qualifying Hedges
Interest rate contracts		(319	)		-			-			(625	)		-			-
Foreign currency contracts		-			-			-			2			-			-
Equity market contracts		809			-			-			(1,588	)		-			-
Commodity contracts		-			-			-			9			-			-
Credit contracts		(1	)		-			-			-			-			-
Embedded derivatives:
Reinsurance-related		1			-			-			248			-			-
Indexed annuity and IUL
contracts		(1,554	)		-			-			2,177			-			-

	Gain (Loss) Recognized in Income
	For the Six Months Ended June 30,
	2023									2022
	Realized			Net			Interest			Realized			Net			Interest
	Gain			Investment			and Debt			Gain			Investment			and Debt
	(Loss)			Income			Expense			(Loss)			Income			Expense
Total Line Items in which the
Effects of Fair Value or Cash
Flow Hedges are Recorded	$	(2,612	)	$	2,974		$	166		$	1,282		$	2,809		$	134
Qualifying Hedges
Gain or (loss) on fair value
hedging relationships:
Interest rate contracts:
Hedged items		-			(3	)		(5	)		-			(121	)		118
Derivatives designated as
hedging instruments		-			3			5			-			121			(118	)
Gain or (loss) on cash flow
hedging relationships:
Interest rate contracts:
Amount of gain or (loss)
reclassified from AOCI
into income		-			-			13			-			1			(10	)
Foreign currency contracts:
Amount of gain or (loss)
reclassified from AOCI
into income		3			27			-			4			30			-
Non-Qualifying Hedges
Interest rate contracts		12			-			-			(1,446	)		-			-
Foreign currency contracts		(2	)		-			-			3			-			-
Equity market contracts		750			-			-			(1,912	)		-			-
Commodity contracts		11			-			-			9			-			-
Credit contracts		(2	)		-			-			-			-			-
Embedded derivatives:
Reinsurance-related		(48	)		-			-			511			-			-
Indexed annuity and IUL
contracts		(2,266	)		-			-			2,683			-			-

Schedule Of Collateral Amounts With Rights To Reclaim Or Obligation To Return Cash

	As of June 30, 2023					As of December 31, 2022
	Collateral		Collateral			Collateral		Collateral
	Posted by		Posted by			Posted by		Posted by
S&P	Counter-		LNC			Counter-		LNC
Credit	Party		(Held by			Party		(Held by
Rating of	(Held by		Counter-			(Held by		Counter-
Counterparty	LNC)		Party)			LNC)		Party)
AA-	$	980	$	(12	)	$	383	$	(6	)
A+		3,512		(258	)		1,718		(166	)
A		113		(41	)		1,172		-
	$	4,605	$	(311	)	$	3,273	$	(172	)

Schedule Of Offsetting Assets And Liabilities

	As of June 30, 2023
				Embedded
	Derivative			Derivative
	Instruments			Instruments		Total
Financial Assets
Gross amount of recognized assets	$	9,010		$	971	$	9,981
Gross amounts offset		(3,855	)		-		(3,855	)
Net amount of assets		5,155			971		6,126
Gross amounts not offset:
Cash collateral		(4,605	)		-		(4,605	)
Non-cash collateral (1)		(550	)		-		(550	)
Net amount	$	-		$	971	$	971
Financial Liabilities
Gross amount of recognized liabilities	$	1,443		$	7,510	$	8,953
Gross amounts offset		(1,071	)		-		(1,071	)
Net amount of liabilities		372			7,510		7,882
Gross amounts not offset:
Cash collateral		(311	)		-		(311	)
Non-cash collateral (2)		(61	)		-		(61	)
Net amount	$	-		$	7,510	$	7,510

⁽¹⁾Excludes excess non-cash collateral received of $955 million, as the collateral offset is limited to the net estimated fair value of derivatives after application of netting arrangements.

⁽²⁾Excludes excess non-cash collateral pledged of $26 million, as the collateral offset is limited to the net estimated fair value of derivatives after application of netting arrangements.

	As of December 31, 2022
				Embedded
	Derivative			Derivative
	Instruments			Instruments		Total
Financial Assets
Gross amount of recognized assets	$	6,604		$	941	$	7,545
Gross amounts offset		(3,010	)		-		(3,010	)
Net amount of assets		3,594			941		4,535
Gross amounts not offset:
Cash collateral		(3,273	)		-		(3,273	)
Non-cash collateral (1)		(321	)		-		(321	)
Net amount	$	-		$	941	$	941
Financial Liabilities
Gross amount of recognized liabilities	$	260		$	4,783	$	5,043
Gross amounts offset		(50	)		-		(50	)
Net amount of liabilities		210			4,783		4,993
Gross amounts not offset:
Cash collateral		(172	)		-		(172	)
Non-cash collateral (2)		(38	)		-		(38	)
Net amount	$	-		$	4,783	$	4,783

⁽¹⁾Excludes excess non-cash collateral received of $1.1 billion, as the collateral offset is limited to the net estimated fair value of derivatives after application of netting arrangements.

⁽²⁾Excludes excess non-cash collateral pledged of $8 million, as the collateral offset is limited to the net estimated fair value of derivatives after application of netting arrangements.