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Equity
 6 Months Ended
Jun. 30, 2019
Equity [Abstract]  
Equity

Accumulated Other Comprehensive Income (Loss)

AOCI represents the cumulative OCI items that are reported separate from net income and detailed on the Consolidated Statements of Comprehensive Income. The balance of and changes in each component of AOCI as of and for the six months ended June 30, 2019 and 2018, are as follows:
 
Accumulated Other Comprehensive Income (Loss)
 
Foreign
Currency
Translation
Adjustment
 
Net Unrealized
Investment Gains
(Losses)(1)
 
Total Accumulated
Other
Comprehensive
Income (Loss)
 
(in thousands)
Balance, December 31, 2018
$
(17,448
)
 
$
(10,848
)
 
$
(28,296
)
Change in OCI before reclassifications
7,007

 
332,927

 
339,934

Amounts reclassified from AOCI
0

 
10,672

 
10,672

Income tax benefit (expense)
2

 
(72,147
)
 
(72,145
)
Balance, June 30, 2019
$
(10,439
)
 
$
260,604

 
$
250,165

 
 
Accumulated Other Comprehensive Income (Loss)
 
Foreign
Currency
Translation
Adjustment
 
Net Unrealized
Investment Gains
(Losses)(1)
 
Total Accumulated
Other
Comprehensive
Income (Loss)
 
(in thousands)
Balance, December 31, 2017
$
(234
)
 
$
165,580

 
$
165,346

Change in OCI before reclassifications
(6,590
)
 
(223,420
)
 
(230,010
)
Amounts reclassified from AOCI
0

 
(3,634
)
 
(3,634
)
Income tax benefit (expense)
1,384

 
47,679

 
49,063

Cumulative effect of adoption of ASU 2016-01
0

 
(1,539
)
 
(1,539
)
Cumulative effect of adoption of ASU 2018-02
(50
)
 
30,499

 
30,449

Balance, June 30, 2018
$
(5,490
)
 
$
15,165

 
$
9,675


(1)
Includes cash flow hedges of $29 million and $(18) million as of June 30, 2019 and December 31, 2018, respectively, and $(9) million and $41 million as of June 30, 2018 and December 31, 2017, respectively.

Reclassifications out of Accumulated Other Comprehensive Income (Loss)
 
Three Months Ended June 30,
 
Six Months Ended June 30,
 
2019
 
2018
 
2019
 
2018
 
(in thousands)
Amounts reclassified from AOCI (1)(2):
 
 
 
 
 
 
 
Net unrealized investment gains (losses):
 
 
 
 
 
 
 
Cash flow hedges - Currency/Interest rate(3)
$
(4,393
)
 
$
7,442

 
$
(3,999
)
 
$
7,761

Net unrealized investment gains (losses) on available-for-sale securities
(2,489
)
 
(3,318
)
 
(6,673
)
 
(4,127
)
Total net unrealized investment gains (losses)(4)
(6,882
)
 
4,124

 
(10,672
)
 
3,634

Total reclassifications for the period
$
(6,882
)
 
$
4,124

 
$
(10,672
)
 
$
3,634


(1)
All amounts are shown before tax.
(2)
Positive amounts indicate gains/benefits reclassified out of AOCI. Negative amounts indicate losses/costs reclassified out of AOCI.
(3)
See Note 4 for additional information on cash flow hedges.
(4)
See table below for additional information on unrealized investment gains (losses), including the impact on deferred policy acquisition and other costs, future policy benefits, policyholders’ account balances and other liabilities. 

Net Unrealized Investment Gains (Losses)

Net unrealized investment gains (losses) on securities classified as available-for-sale and certain other invested assets and other assets are included in the Company’s Unaudited Interim Consolidated Statements of Financial Position as a component of AOCI. Changes in these amounts include reclassification adjustments to exclude from OCI those items that are included as part of “Net income” for a period that had been part of OCI in earlier periods. The amounts for the periods indicated below, split between amounts related to fixed maturity securities on which an OTTI loss has been recognized, and all other net unrealized investment gains (losses), are as follows:

Net Unrealized Investment Gains (Losses) on Fixed Maturity Securities on which an OTTI loss has been recognized
 
Net Unrealized
Gains (Losses)
on Investments
 
Deferred Policy Acquisition Costs and Other Costs(2)
 
Future Policy Benefits, Policyholders' Account Balances and Other Liabilities(3)
 
Deferred
Income Tax
(Liability)
Benefit
 
Accumulated
Other
Comprehensive
Income (Loss)
Related To Net
Unrealized
Investment
Gains (Losses)
 
(in thousands)
Balance, December 31, 2018
$
(689
)
 
$
(152
)
 
$
37

 
$
(192
)
 
$
(996
)
Net investment gains (losses) on investments arising during the period
1,568

 
0

 
0

 
(329
)
 
1,239

Reclassification adjustment for (gains) losses included in net income
(137
)
 
0

 
0

 
29

 
(108
)
Reclassification adjustment for OTTI (gains) losses excluded from net income(1)
(207
)
 
0

 
0

 
43

 
(164
)
Impact of net unrealized investment (gains) losses on deferred policy acquisition costs and other costs
0

 
105

 
0

 
(22
)
 
83

Impact of net unrealized investment (gains) losses on future policy benefits, policyholders' account balances and other liabilities
0

 
0

 
(127
)
 
27

 
(100
)
Balance, June 30, 2019
$
535

 
$
(47
)
 
$
(90
)
 
$
(444
)
 
$
(46
)

(1)
Represents "transfers in" related to the portion of OTTI losses recognized during the period that were not recognized in earnings for securities with no prior OTTI loss.
(2)
"Other costs" primarily includes reinsurance recoverables and deferred reinsurance losses.
(3)
"Other liabilities" primarily includes reinsurance payables.

All Other Net Unrealized Investment Gains (Losses) in AOCI
 
Net Unrealized
Gains (Losses)
on Investments(2)
 
Deferred Policy Acquisition Costs and Other Costs(3)
 
Future Policy Benefits, Policyholders' Account Balances and Other Liabilities(4)
 
Deferred
Income Tax
(Liability)
Benefit
 
Accumulated
Other
Comprehensive
Income (Loss)
Related To Net
Unrealized
Investment
Gains (Losses)
 
(in thousands)
Balance, December 31, 2018
$
(16,632
)
 
$
(65,743
)
 
$
68,005

 
$
4,518

 
$
(9,852
)
Net investment gains (losses) on investments arising during the period
375,628

 
0

 
0

 
(78,873
)
 
296,755

Reclassification adjustment for (gains) losses included in net income
10,809

 
0

 
0

 
(2,270
)
 
8,539

Reclassification adjustment for OTTI (gains) losses excluded from net income(1)
207

 
0

 
0

 
(43
)
 
164

Impact of net unrealized investment (gains) losses on deferred policy acquisition costs and other costs
0

 
176,301

 
0

 
(37,019
)
 
139,282

Impact of net unrealized investment (gains) losses on future policy benefits, policyholders' account balances and other liabilities
0

 
0

 
(220,548
)
 
46,310

 
(174,238
)
Balance, June 30, 2019
$
370,012

 
$
110,558

 
$
(152,543
)
 
$
(67,377
)
 
$
260,650


(1)
Represents "transfers out" related to the portion of OTTI losses recognized during the period that were not recognized in earnings for securities with no prior OTTI loss.
(2)
Includes cash flow hedges. See Note 4 for information on cash flow hedges.
(3)
"Other costs" primarily includes reinsurance recoverables and deferred reinsurance losses.
(4)
"Other liabilities" primarily includes reinsurance payables.