XML 50 R36.htm IDEA: XBRL DOCUMENT v3.24.0.1
Insurance Liabilities (Tables)
 12 Months Ended
Dec. 31, 2023
Insurance [Abstract]  
Schedule of Liability for Future Policy Benefits, by Product Segment
Information regarding LFPBs for non-participating traditional and limited-payment contracts was as follows:
Years Ended December 31,
202320222021
Term and Whole Life InsuranceIncome AnnuitiesStructured Settlement and Pension Risk Transfer AnnuitiesTerm and Whole Life InsuranceIncome AnnuitiesStructured Settlement and Pension Risk Transfer AnnuitiesTerm and Whole Life InsuranceIncome AnnuitiesStructured Settlement and Pension Risk Transfer Annuities
(Dollars in millions)
Present value of expected net premiums:
Balance, beginning of year$2,804 $— $— $3,212 $— $— $3,274 $— $— 
Beginning balance at original discount rate3,146 — — 2,964 — — 2,868 — — 
Effect of model refinements— — — 121 — — — — — 
Effect of changes in cash flow assumptions206 — — 159 — — 100 — — 
Effect of actual variances from expected experience(17)— — 114 — — 158 — — 
Adjusted beginning of year balance3,335 — — 3,358 — — 3,126 — — 
Issuances93 — — 93 — — 112 — — 
Interest accrual108 — — 112 — — 107 — — 
Net premiums collected(374)— — (417)— — (381)— — 
Ending balance at original discount rate3,162 — — 3,146 — — 2,964 — — 
Effect of changes in discount rate assumptions(263)— — (342)— — 248 — — 
Balance, end of year$2,899 $— $— $2,804 $— $— $3,212 $— $— 
Present value of expected future policy benefits:
Balance, beginning of year$5,172 $3,469 $6,793 $6,253 $4,283 $10,171 $6,606 $4,636 $11,301 
Beginning balance at original discount rate5,816 3,848 7,410 5,682 3,817 8,165 5,678 3,889 8,531 
Effect of model refinements— — — 134 — (278)— — — 
Effect of changes in cash flow assumptions296 — — 179 55 (157)100 (40)(41)
Effect of actual variances from expected experience(15)(21)(47)150 (21)(23)158 (6)(16)
Adjusted beginning of year balance6,097 3,827 7,363 6,145 3,851 7,707 5,936 3,843 8,474 
Issuances99 369 — 101 220 — 128 193 — 
Interest accrual211 139 314 216 144 327 214 149 359 
Benefit payments(502)(342)(592)(646)(367)(624)(596)(368)(668)
Ending balance at original discount rate5,905 3,993 7,085 5,816 3,848 7,410 5,682 3,817 8,165 
Effect of changes in discount rate assumptions(520)(274)(388)(644)(379)(617)571 466 2,006 
Balance, end of year$5,385 $3,719 $6,697 $5,172 $3,469 $6,793 $6,253 $4,283 $10,171 
Net liability for future policy benefits, end of year$2,486 $3,719 $6,697 $2,368 $3,469 $6,793 $3,041 $4,283 $10,171 
Less: Reinsurance recoverable, end of year24 30 65 32 25 68 42 28 93 
Net liability for future policy benefits, after reinsurance recoverable$2,462 $3,689 $6,632 $2,336 $3,444 $6,725 $2,999 $4,255 $10,078 
Weighted-average duration of liability
8.8 years8.2 years11.6 years8.5 years8.5 years11.6 years8.5 years8.5 years12.7 years
Weighted-average interest accretion rate3.91 %3.99 %4.46 %3.94 %3.89 %4.45 %3.94 %3.98 %4.45 %
Current discount rate
4.94 %4.95 %5.03 %5.26 %5.27 %5.32 %2.53 %2.55 %2.81 %
Gross premiums or assessments recognized during period
$595 $472 $— $625 $243 $— $648 $240 $— 
Expected future gross premiums, undiscounted$5,999 $— $— $6,535 $— $— $6,736 $— $— 
Expected future gross premiums, discounted$4,535 $— $— $4,875 $— $— $5,014 $— $— 
Expected future benefit payments, undiscounted$8,148 $5,616 $13,767 $8,015 $5,434 $14,418 $7,877 $5,446 $17,241 
Expected future benefit payments, discounted$5,905 $3,993 $7,085 $5,816 $3,848 $7,410 $5,682 $3,817 $8,165 
Information regarding the additional insurance liabilities for universal life-type contracts with secondary guarantees was as follows:
Years Ended December 31,
202320222021
(Dollars in millions)
Balance, beginning of year$6,935 $7,168 $6,743 
Beginning balance before the effect of unrealized gains and losses7,175 6,731 6,203 
Effect of changes in cash flow assumptions52 (37)153 
Effect of actual variances from expected experience145 179 (124)
Adjusted beginning of year balance7,372 6,873 6,232 
Interest accrual357 333 308 
Net assessments collected414 416 475 
Benefit payments(359)(447)(286)
Effect of realized capital gains (losses)— — 2 
Ending balance before the effect of unrealized gains and losses7,784 7,175 6,731 
Effect of unrealized gains and losses(177)(240)437 
Balance, end of year7,607 6,935 7,168 
Less: Reinsurance recoverable, end of year1,438 1,384 1,294 
Net additional liability, after reinsurance recoverable$6,169 $5,551 $5,874 
Weighted-average duration of liability
6.7 years6.7 years6.7 years
Weighted-average interest accretion rate
4.92 %4.90 %4.90 %
Gross assessments recognized during period
$1,064 $1,070 $1,255 
A reconciliation of the net LFPBs for nonparticipating traditional and limited-payment contracts and the additional insurance liabilities for universal life-type contracts with secondary guarantees reported in the preceding rollforward tables to LFPBs on the consolidated balance sheets was as follows at:
December 31,
20232022
(In millions)
Liabilities reported in the preceding rollforward tables$20,509 $19,565 
Long-term care insurance (1)5,581 5,686 
ULSG liabilities, including liability for profits followed by losses
2,427 2,449 
Participating whole life insurance (2)2,849 2,689 
Deferred profit liabilities
475 369 
Other308 388 
Total liability for future policy benefits$32,149 $31,146 
_______________
(1)Includes liabilities related to fully reinsured individual long-term care insurance. See Note 8.
(2)Participating whole life insurance uses an interest assumption based on the non-forfeiture interest rate, ranging from 3.5% to 4.0%, and mortality rates guaranteed in calculating the cash surrender values described in such contracts, and also includes a liability for terminal dividends. Participating whole life insurance represented 3% of the Company’s life insurance in-force at both December 31, 2023 and 2022, and 40% and 41% of gross traditional life insurance premiums for the years ended December 31, 2023 and 2022, respectively.
Policyholder Account Balance
Information regarding policyholder account balances was as follows:
Universal Life InsuranceVariable Annuities (1)Index-linked AnnuitiesFixed Rate AnnuitiesULSGCompany-Owned Life Insurance (1)
(Dollars in millions)
Year Ended December 31, 2023
Balance, beginning of year$2,100 $4,664 $33,897 $14,274 $5,307 $641 
Premiums and deposits210 75 7,183 2,694 660 — 
Surrenders and withdrawals(129)(647)(3,732)(2,405)(23)— 
Benefit payments(59)(101)(240)(377)(85)(8)
Net transfers from (to) separate account18 14 — — — 1 
Interest credited40 129 445 486 208 28 
Policy charges(200)(23)(11)— (1,015)(9)
Changes related to embedded derivatives— — 4,085 — — — 
Balance, end of year$1,980 $4,111 $41,627 $14,672 $5,052 $653 
Weighted-average crediting rate (2)2.03 %2.91 %1.47 %3.31 %4.02 %4.33 %
Year Ended December 31, 2022
Balance, beginning of year$2,134 $4,475 $32,000 $11,849 $5,569 $646 
Premiums and deposits199 145 6,632 3,676 697 — 
Surrenders and withdrawals(49)(453)(2,220)(904)(32)— 
Benefit payments(59)(104)(180)(345)(84)(8)
Net transfers from (to) separate account21 131 — — — (13)
Interest credited56 493 392 (2)197 23 
Policy charges(202)(23)(8)— (1,040)(7)
Changes related to embedded derivatives— — (2,719)— — — 
Balance, end of year$2,100 $4,664 $33,897 $14,274 $5,307 $641 
Weighted-average crediting rate (2)2.65 %10.91 %1.16 %(0.02)%3.62 %3.41 %
Year Ended December 31, 2021
Balance, beginning of year$2,110 $4,605 $23,274 $12,349 $5,823 $679 
Premiums and deposits290 194 7,054 114 687 — 
Surrenders and withdrawals(48)(566)(1,419)(610)(46)— 
Benefit payments(55)(95)(151)(342)(77)(10)
Net transfers from (to) separate account17 238 — — — (35)
Interest credited84 140 365 338 186 24 
Policy charges(264)(41)(6)— (1,004)(12)
Changes related to embedded derivatives— — 2,883 — — — 
Balance, end of year$2,134 $4,475 $32,000 $11,849 $5,569 $646 
Weighted-average crediting rate3.97 %3.07 %1.12 %2.79 %3.27 %3.66 %
_______________
(1)Includes liabilities related to separate account products where the contract holder elected a general account investment option.
(2)Excludes the effects of embedded derivatives related to index-linked crediting rates.
A reconciliation of policyholder account balances reported in the preceding rollforward table to the liability for policyholder account balances on the consolidated balance sheets was as follows at:
December 31,
20232022
(In millions)
Policyholder account balances reported in the preceding rollforward table$68,095 $60,883 
Funding agreements classified as investment contracts
11,115 10,689 
Other investment contract liabilities
983 1,030 
Total policyholder account balances$80,193 $72,602 
Policyholder Account Balance, Guaranteed Minimum Crediting Rate
The balance of account values by range of guaranteed minimum crediting rates and the related range of difference, in basis points, between rates being credited to policyholders and the respective guaranteed minimums was as follows at:
Range of Guaranteed Minimum Crediting RateAt Guaranteed Minimum1 to 50 Basis Points Above51 to 150 Basis Points AboveGreater than 150 Basis Points AboveTotal
(In millions)
December 31, 2023
Annuities (1):
Less than 2.00%$645 $204 $301 $7,632 $8,782 
2.00% to 3.99%8,125 233 201 307 8,866 
Greater than 3.99%872 — — — 872 
Total$9,642 $437 $502 $7,939 $18,520 
Life insurance (2) (3):
Less than 2.00%$— $— $— $236 $236 
2.00% to 3.99%— 441 49 132 622 
Greater than 3.99%1,077 — — — 1,077 
Total
$1,077 $441 $49 $368 $1,935 
ULSG (3):
Less than 2.00%$— $— $— $— $— 
2.00% to 3.99%1,134 1,485 1,663 254 4,536 
Greater than 3.99%506 — — — 506 
Total
$1,640 $1,485 $1,663 $254 $5,042 
December 31, 2022
Annuities (1):
Less than 2.00%$805 $293 $356 $5,805 $7,259 
2.00% to 3.99%5,224 4,871 594 8 10,697 
Greater than 3.99%470 — — — 470 
Total$6,499 $5,164 $950 $5,813 $18,426 
Life insurance (2) (3):
Less than 2.00%$— $— $— $172 $172 
2.00% to 3.99%— 462 87 150 699 
Greater than 3.99%1,148 — — — 1,148 
Total
$1,148 $462 $87 $322 $2,019 
ULSG (3):
Less than 2.00%$— $— $— $— $— 
2.00% to 3.99%1,224 1,581 1,729 266 4,800 
Greater than 3.99%527 — — — 527 
Total
$1,751 $1,581 $1,729 $266 $5,327 
_______________
(1)Includes policyholder account balances for fixed rate annuities and the fixed account portion of variable annuities.
(2)Includes policyholder account balances for retained asset accounts, universal life policies and the fixed account portion of universal variable life insurance policies.
(3)Amounts are gross of policy loans.