DAC AND OTHER DEFERRED ASSETS/LIABILITIES (Tables)

9 Months Ended

Sep. 30, 2023

Contract Holder Bonus Interest Credits [Abstract]

Schedule of Deferred Policy Acquisition Costs

The following table summarizes the balance of and changes in DAC on January 1, 2021 resulting from the adoption of ASU 2018-12:

	Term		UL (1)		VUL (2)		IUL (3)		GMxB Legacy		GMxB Core		EI (4)		IE (5)		SCS		EG (6)		Momentum		Total
	(in millions)
Balance, December 31, 2020	$	403	$	—	$	—	$	—	$	192	$	1,635	$	141	$	95	$	645	$	581	$	79	$	3,771
Adjustment for reversal of balances recorded in Accumulated Other Comprehensive Income	—		5		6		—		8		11		13		(1)		210		53		22		327
Balance, January 1, 2020 (7)	$	403	$	5	$	6	$	—	$	200	$	1,646	$	154	$	94	$	855	$	634	$	101	$	4,098

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(1)    “UL” defined as Universal Life

(2)    “VUL” defined as Variable Universal Life

(3)    “IUL” defined as Indexed Universal Life

(4)    “EI” defined as EQUI-VEST Individual

(5)    “IE” defined as Investment Edge

(6)    “EG” defined as EQUI-VEST Group

(7)     DAC transition table not inclusive of Closed Block of $136 million and Protection Solutions of $3 million transition adjustment.

Changes in the DAC asset were as follows:

	Nine Months Ended September 30, 2023
	Term		UL		VUL		GMxB Core		EI		IE		SCS		GMxB Legacy		EG		Momentum		CB		Total
	(in millions)
Balance, beginning of period	$	362	$	20	$	112	$	1,585	$	156	$	147	$	1,266	$	213	$	711	$	89	$	127	$	4,788
Capitalization	11		3		54		39		8		16		167		19		51		7		—		375
Amortization (1)	(29)		(1)		(6)		(103)		(9)		(10)		(143)		(18)		(31)		(13)		(8)		(371)
Recovery of acquisition cost (2)	—		—		—		(12)		(4)		(3)		(9)		(4)		(13)		—		—		(45)
Balance, end of period	$	344	$	22	$	160	$	1,509	$	151	$	150	$	1,281	$	210	$	718	$	83	$	119	$	4,747

______________

(1)     DAC amortization of $2 million related to Other not reflected in table above.

(2)     Related to the Internal Reinsurance Transaction and is recorded in other income.

	Nine Months Ended September 30, 2022
	Term		UL		VUL		GMxB Core		EI		IE		SCS		GMxB Legacy		EG		Momentum		CB		Total
	(in millions)
Balance, beginning of period	$	385	$	14	$	50	$	1,639	$	156	$	121	$	1,070	$	209	$	678	$	94	$	138	$	4,554
Capitalization	14		5		49		67		10		31		287		25		55		10		—		553
Amortization	(31)		—		(3)		(101)		(10)		(10)		(124)		(18)		(31)		(14)		(9)		(351)
Balance, end of period	$	368	$	19	$	96	$	1,605	$	156	$	142	$	1,233	$	216	$	702	$	90	$	129	$	4,756

Changes in the Sales Inducement Assets were as follows:

	Nine Months Ended September 30,
	2023				2022
	GMxB Core		GMxB Legacy		GMxB Core		GMxB Legacy
	(in millions)
Balance, beginning of period	$	137	$	200	$	147	$	222
Capitalization	1		—		1		—
Amortization	(9)		(16)		(9)		(17)
Balance, end of period	$	129	$	184	$	139	$	205

Changes in the Unearned Revenue Liability were as follows:

	Nine Months Ended September 30,
	2023				2022
	UL		VUL		UL		VUL
	(in millions)
Balance, beginning of period	$	95	$	525	$	80	$	501
Capitalization	14		45		16		41
Amortization	(5)		(26)		(4)		(24)
Recovery of unearned revenue	(2)		—		—		—
Balance, end of period	$	102	$	544	$	92	$	518

Schedule of Reconciliation of Deferred Acquisition Cost

The following table presents a reconciliation of DAC to the consolidated balance sheets:

	September 30, 2023		December 31, 2022
	(in millions)
Term	$	344	$	362
UL	22		20
VUL	160		112
GMxB Core	1,509		1,585
EQUI-VEST Individual	151		156
Investment Edge	150		147
SCS	1,281		1,266
GMxB Legacy	210		213
EQUI-VEST Group	718		711
Momentum	83		89
Closed Block	119		127
Other	24		26
Total	$	4,771	$	4,814