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Future Contract Benefits
 9 Months Ended
Sep. 30, 2024
Liability for Future Policy Benefits and Unpaid Claims and Claims Adjustment Expense [Abstract]  
Future Contract Benefits Future Contract Benefits
The following table reconciles future contract benefits (in millions) to the Consolidated Balance Sheets:

As of
 September 30, 		As of
December 31,
20242023
Payout Annuities (1)
$2,119 $2,085 
Traditional Life (1)
3,938 3,841 
Group Protection (2)
5,773 5,689 
UL and Other (3)
16,554 15,000 
Other Operations (4)
9,471 9,879 
Other (5)
3,314 3,371 
Total future contract benefits$41,169 $39,864 

(1) See liability for future policy benefits (“LFPB”) below for further information.
(2) See “Liability for Future Claims” below for further information.
(3) See “Additional Liabilities for Other Insurance Benefits” below for further information.
(4) Represents future contract benefits reported in Other Operations primarily attributable to the indemnity reinsurance agreements with Protective ($5.6 billion as of September 30, 2024, and December 31, 2023) and Swiss Re ($1.9 billion and $2.2 billion as of September 30, 2024, and December 31, 2023, respectively) that are excluded from the following tables.
(5) Represents other miscellaneous reserves that are not representative of long-duration contracts and are excluded from the following tables.
LFPB

The following table summarizes the balances of and changes in the present values of expected net premiums and LFPB (in millions, except years):
As of or For the Nine
Months Ended
September 30, 2024		As of or For the Nine
Months Ended
September 30, 2023
Payout AnnuitiesTraditional LifePayout AnnuitiesTraditional Life
Present Value of Expected Net Premiums
Balance as of beginning-of-year$– $6,200 $– $6,063 
Less: Effect of cumulative changes in discount
rate assumptions– (148)– (582)
Beginning balance at original discount rate– 6,348 – 6,645 
Effect of changes in cash flow assumptions– 28 – (12)
Effect of actual variances from expected experience– (59)– (280)
Adjusted balance as of beginning-of-year– 6,317 – 6,353 
Issuances– 289 – 460 
Interest accrual– 188 – 182 
Net premiums collected– (596)– (604)
Flooring impact of LFPB– 1 – (3)
Ending balance at original discount rate– 6,199 – 6,388 
Effect of cumulative changes in discount
rate assumptions– (19)– (527)
Balance as of end-of-period$– $6,180 $– $5,861 
Present Value of Expected LFPB
Balance as of beginning-of-year$2,085 $10,041 $2,004 $9,572 
Less: Effect of cumulative changes in discount
rate assumptions(187)(189)(263)(785)
Beginning balance at original discount rate (1)
2,272 10,230 2,267 10,357 
Effect of changes in cash flow assumptions– (68)17 (29)
Effect of actual variances from expected experience3 (70)(1)(309)
Adjusted balance as of beginning-of-year2,275 10,092 2,283 10,019 
Issuances78 289 83 461 
Interest accrual65 299 64 288 
Benefit payments(152)(576)(143)(537)
Ending balance at original discount rate (1)
2,266 10,104 2,287 10,231 
Effect of cumulative changes in discount
rate assumptions(147)14 (344)(832)
Balance as of end-of-period$2,119 $10,118 $1,943 $9,399 
Net balance as of end-of-period$2,119 $3,938 $1,943 $3,538 
Less: reinsurance recoverables (2)
1,578 388 3 450 
Net balance as of end-of-period, net of reinsurance$541 $3,550 $1,940 $3,088 
Weighted-average duration of future policyholder
benefit liability (years)9999

(1) Includes deferred profit liability within Payout Annuities of $60 million and $38 million as of September 30, 2024 and 2023, respectively.
(2) Increase in Payout Annuities reinsurance recoverables driven by the fourth quarter 2023 reinsurance transaction. See Note 7 for additional information.
For the nine months ended September 30, 2024, Payout Annuities did not have a significant cash flow assumption impact to net income (loss) attributable to the annual assumption review, and Traditional Life had a favorable cash flow assumption impact from updates to mortality assumptions, partially offset by an unfavorable impact from updates to policyholder behavior assumptions. For the nine months ended September 30, 2024, Payout Annuities and Traditional Life did not have any significantly different actual experience compared to expected.

For the nine months ended September 30, 2023, Payout Annuities had an unfavorable cash flow assumption impact to net income (loss) attributable to the annual assumption review from updates to mortality assumptions, and Traditional Life had a favorable cash flow assumption impact from updates to mortality assumptions, partially offset by an unfavorable impact from updates to policyholder lapse behavior assumptions. For the nine months ended September 30, 2023, Payout Annuities and Traditional Life did not have any significantly different actual experience compared to expected.

The following table summarizes the discounted and undiscounted expected future gross premiums and expected future benefit payments (in millions):

As of September 30, 2024As of September 30, 2023
UndiscountedDiscountedUndiscountedDiscounted
Payout Annuities
Expected future gross premiums$– $– $– $– 
Expected future benefit payments3,437 2,119 3,553 1,943 
Traditional Life
Expected future gross premiums14,126 9,964 14,070 9,294 
Expected future benefit payments14,377 10,118 14,579 9,399 

The following table summarizes the gross premiums and interest accretion (in millions) recognized in insurance premiums and benefits, respectively, on the Consolidated Statements of Comprehensive Income (Loss):

For the Three
Months Ended
September 30, 		For the Nine
Months Ended
September 30,
2024202320242023
Payout Annuities
Gross premiums$40 $16 $84 $88 
Interest accretion22 21 65 64 
Traditional Life
Gross premiums311 310 942 937 
Interest accretion37 35 111 106 

The following table summarizes the weighted-average interest rates:

For the Nine
Months Ended
September 30,
20242023
Payout Annuities
Interest accretion rate4.0 %3.9 %
Current discount rate4.7 %5.8 %
Traditional Life
Interest accretion rate5.0 %5.0 %
Current discount rate4.4 %5.6 %
Liability for Future Claims

The following table summarizes the balances of and changes in liability for future claims (in millions, except years):

Group Protection
As of or For the Nine
Months Ended
September 30,
20242023
Balance as of beginning-of-year$5,689 $5,462 
Less: Effect of cumulative changes in discount
rate assumptions(490)(597)
Beginning balance at original discount rate6,179 6,059 
Effect of changes in cash flow assumptions(2)(27)
Effect of actual variances from expected experience(278)(233)
Adjusted beginning-of-year balance5,899 5,799 
New incidence1,236 1,267 
Interest138 122 
Benefit payments(1,125)(1,095)
Ending balance at original discount rate6,148 6,093 
Effect of cumulative changes in discount
 rate assumptions(375)(720)
Balance as of end-of-period5,773 5,373 
Less: reinsurance recoverables120 117 
Balance as of end-of-period, net of reinsurance$5,653 $5,256 
Weighted-average duration of liability for future
claims (years)55

For the nine months ended September 30, 2024, we did not have a significant cash flow assumption impact to net income (loss) attributable to the annual assumption review. For the nine months ended September 30, 2024, we experienced more favorable reported incidence and claim terminations than assumed.

For the nine months ended September 30, 2023, we had a favorable cash flow assumption impact to net income (loss) attributable to the annual assumption review from updates to long-term disability and life waiver claim termination rate assumptions, partially offset by unfavorable impacts from updates to long-term disability social security offset assumptions. For the nine months ended September 30, 2023, we experienced more favorable reported incidence and claim terminations than assumed.

The following table summarizes the discounted and undiscounted expected future benefit payments (in millions):

As of September 30, 2024As of September 30, 2023
UndiscountedDiscountedUndiscountedDiscounted
Group Protection
Expected future benefit payments$7,154 $5,773 $7,148 $5,373 
The following table summarizes the gross premiums and interest accretion (in millions) recognized in insurance premiums and benefits, respectively, on the Consolidated Statements of Comprehensive Income (Loss):

For the Three
Months Ended
September 30, 		For the Nine
Months Ended
September 30,
2024202320242023
Group Protection
Gross premiums$887 $874 $2,676 $2,645 
Interest accretion45 39 138 122 

The following table summarizes the weighted-average interest rates:

For the Nine
Months Ended
September 30,
20242023
Group Protection
Interest accretion rate3.3 %3.0 %
Current discount rate4.4 %5.7 %
Additional Liabilities for Other Insurance Benefits

The following table summarizes the balances of and changes in additional liabilities for other insurance benefits (in millions, except years):

UL and Other
As of or For the Nine
Months Ended
September 30,
20242023
Balance as of beginning-of-year$15,000 $14,818 
Less: Effect of cumulative changes in shadow
balance in AOCI(2,222)(905)
Balance as of beginning-of-year, excluding
shadow balance in AOCI17,222 15,723 
Effect of changes in cash flow assumptions244 173 
Effect of actual variances from expected experience170 (28)
Adjusted beginning-of-year balance17,636 15,868 
Interest accrual639 573 
Net assessments collected860 895 
Benefit payments(718)(473)
Balance as of end-of-period, excluding shadow
balance in AOCI18,417 16,863 
Effect of cumulative changes in shadow
balance in AOCI(1,863)(897)
Balance as of end-of-period16,554 15,965 
Less: reinsurance recoverables (1)
5,139 654 
Balance as of end-of-period, net of reinsurance$11,415 $15,311 
Weighted-average duration of additional liabilities
for other insurance benefits (years)1617

(1) Increase in reinsurance recoverables driven by the fourth quarter 2023 reinsurance transaction, for certain blocks of in-force ULSG. See Note 7 for additional information.

For the nine months ended September 30, 2024, we had an unfavorable cash flow assumption impact to net income (loss) attributable to the annual assumption review impacting reinsured blocks of MoneyGuard® business for updates to policyholder behavior and mortality assumptions that were partially offset by updates to capital market assumptions. For the nine months ended September 30, 2024, we had unfavorable actual mortality experience compared to expected on reinsured and retained business.

For the nine months ended September 30, 2023, we had an unfavorable cash flow assumption impact to net income (loss) attributable to the annual assumption review from updates to policyholder lapse behavior assumptions, partially offset by a favorable impact from updates to interest rate assumptions. For the nine months ended September 30, 2023, we did not have any significantly different actual experience compared to expected.

The following table summarizes the gross assessments and interest accretion (in millions) recognized in insurance premiums and benefits, respectively, on the Consolidated Statements of Comprehensive Income (Loss):

For the Three
Months Ended
September 30, 		For the Nine
Months Ended
September 30,
2024202320242023
UL and Other
Gross assessments$732 $337 $2,177 $1,794 
Interest accretion218 197 639 573 
The following table summarizes the weighted-average interest rates:

For the Nine
Months Ended
September 30,
20242023
UL and Other
Interest accretion rate5.4 %5.1 %