Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

The provision for income taxes is comprised of the following:

The following table presents a reconciliation between the statutory federal income tax rate and the Company’s effective federal income tax rate:



	Year Ended December 31,
	2015		2014		2013
Statutory federal income tax rate	35.0	%	35.0	%	35.0	%
Income tax effect of:
Investment income not subject to federal tax	(3.0	)%	(1.8	)%	(4.6	)%
Tax credits	(0.2	)%	(0.3	)%	(2.0	)%
State income taxes, net of federal benefit	3.2	%	1.0	%	3.3	%
Income tax contingency provisions	—	%	(1.2	)%	(0.4	)%
Other, net	(0.9	)%	0.2	%	—	%
Effective federal income tax rate	34.1	%	32.9	%	31.3	%

A reconciliation of unrecognized tax benefits is as follows:



	Year Ended December 31,
	2015			2014			2013
Balance, beginning of year	$	26,890		$	21,154		$	25,850
Additions to tax positions in the current year	1,383			13,931			—
Additions to tax positions in the prior year	50			—			1,497
Reductions to tax positions in the prior year	—			—			(180		)
Reductions to tax positions from statutes expiring	(5,230		)	(8,195		)	(6,013		)
Balance, end of year	$	23,093		$	26,890		$	21,154

The tax effect of temporary differences, which give rise to the deferred tax assets and liabilities, is as follows:



	December 31,
	2015				2014
	Deferred		Deferred		Deferred		Deferred
	tax asset		tax liability		tax asset		tax liability
Policyholder reserves	$	—	$	262,822	$	—	$	255,926
Deferred acquisition costs	—		8,533		2,467		—
Investment assets	—		221,303		—		426,477
Policyholder dividends	8,919		—		10,002		—
Net operating loss carryforward	113,637		—		122,177		—
Pension plan accrued benefit liability	79,945		—		84,351		—
Goodwill	—		33,034		—		26,022
Experience rated refunds	12,673		—		13,431		—
Tax credits	154,017		—		149,516		—
Other	19,385		—		11,865		—
Total deferred taxes	$	388,576	$	525,692	$	393,809	$	708,425

As of December 31, 2015, the subsidiary had net operating loss carry forwards expiring as follows: