Liability For Future Policy Benefits (Tables)

6 Months Ended

Jun. 30, 2023

Insurance [Abstract]

Liability for Future Policy Benefit

The balances of and changes in Benefit Reserves as of and for the periods indicated consist of the three tables presented below: Present Value of Expected Net Premiums rollforward, Present Value of Expected Future Policy Benefits rollforward, and Net Liability for Future Policy Benefits.

	Six Months Ended June 30, 2023
	Present Value of Expected Net Premiums
	Term Life		Fixed Annuities		Total
	(in thousands)
Balance, beginning of period	$	10,911,794	$	0	$	10,911,794
Effect of cumulative changes in discount rate assumptions, beginning of period	554,896		0		554,896
Balance at original discount rate, beginning of period	11,466,690		0		11,466,690
Effect of assumption update	(790)		0		(790)
Effect of actual variances from expected experience and other activity	(65,230)		(1,257)		(66,487)
Adjusted balance, beginning of period	11,400,670		(1,257)		11,399,413
Issuances	318,867		23,211		342,078
Net premiums / considerations collected	(674,147)		(21,954)		(696,101)
Interest accrual	261,862		0		261,862
Balance at original discount rate, end of period	11,307,252		0		11,307,252
Effect of cumulative changes in discount rate assumptions, end of period	(484,287)		0		(484,287)
Balance, end of period	$	10,822,965	$	0	$	10,822,965

	Six Months Ended June 30, 2023
	Present Value of Expected Future Policy Benefits
	Term Life		Fixed Annuities		Total
	(in thousands)
Balance, beginning of period	$	17,835,251	$	204,727	$	18,039,978
Effect of cumulative changes in discount rate assumptions, beginning of period	962,034		24,876		986,910
Balance at original discount rate, beginning of period	18,797,285		229,603		19,026,888
Effect of assumption update	(1,044)		0		(1,044)
Effect of actual variances from expected experience and other activity	(87,110)		4,195		(82,915)
Adjusted balance, beginning of period	18,709,131		233,798		18,942,929
Issuances	318,867		23,211		342,078
Interest accrual	447,387		4,201		451,588
Benefit payments	(716,919)		(14,838)		(731,757)
Other adjustments	1,558		(33)		1,525
Balance at original discount rate, end of period	18,760,024		246,339		19,006,363
Effect of cumulative changes in discount rate assumptions, end of period	(791,413)		(26,245)		(817,658)
Balance, end of period	$	17,968,611	$	220,094	$	18,188,705
Other, end of period					1,941
Total balance, end of period					$	18,190,646

	Six Months Ended June 30, 2023
	Net Liability for Future Policy Benefits (Benefit Reserves)
	Term Life		Fixed Annuities		Total
	(in thousands)
Balance, end of period, post-flooring	$	7,145,646	$	220,094	$	7,365,740
Less: Reinsurance recoverable	6,614,071		17,835		6,631,906
Balance after reinsurance recoverable, end of period, post-flooring	$	531,575	$	202,259	$	733,834

	Six Months Ended June 30, 2022
	Present Value of Expected Net Premiums
	Term Life		Fixed Annuities		Total
	(in thousands)
Balance, beginning of period	$	12,485,056	$	0	$	12,485,056
Effect of cumulative changes in discount rate assumptions, beginning of period	(1,826,120)		0		(1,826,120)
Balance at original discount rate, beginning of period	10,658,936		0		10,658,936
Effect of assumption update	1,295,294		0		1,295,294
Effect of actual variances from expected experience and other activity	(84,412)		(78)		(84,490)
Adjusted balance, beginning of period	11,869,818		(78)		11,869,740
Issuances	187,092		17,356		204,448
Net premiums / considerations collected	(657,195)		(17,278)		(674,473)
Interest accrual	257,706		0		257,706
Balance at original discount rate, end of period	11,657,421		0		11,657,421
Effect of cumulative changes in discount rate assumptions, end of period	22,765		0		22,765
Balance, end of period	$	11,680,186	$	0	$	11,680,186

	Six Months Ended June 30, 2022
	Present Value of Expected Future Policy Benefits
	Term Life		Fixed Annuities		Total
	(in thousands)
Balance, beginning of period	$	20,937,097	$	237,065	$	21,174,162
Effect of cumulative changes in discount rate assumptions, beginning of period	(3,607,275)		(16,704)		(3,623,979)
Balance at original discount rate, beginning of period	17,329,822		220,361		17,550,183
Effect of assumption update	1,756,995		0		1,756,995
Effect of actual variances from expected experience and other activity	(167,637)		351		(167,286)
Adjusted balance, beginning of period	18,919,180		220,712		19,139,892
Issuances	187,092		17,357		204,449
Interest accrual	436,119		3,809		439,928
Benefit payments	(738,715)		(13,658)		(752,373)
Other adjustments	1,781		(285)		1,496
Balance at original discount rate, end of period	18,805,457		227,935		19,033,392
Effect of cumulative changes in discount rate assumptions, end of period	144,406		(16,737)		127,669
Balance, end of period	$	18,949,863	$	211,198	$	19,161,061
Other, end of period					2,235
Total balance, end of period					$	19,163,296

	Six Months Ended June 30, 2022
	Net Liability for Future Policy Benefits (Benefit Reserves)
	Term Life		Fixed Annuities		Total
	(in thousands)
Balance, end of period, post-flooring	$	7,269,677	$	211,198	$	7,480,875
Less: Reinsurance recoverable	6,847,216		16,488		6,863,704
Balance after reinsurance recoverable, end of period, post-flooring	$	422,461	$	194,710	$	617,171

The following tables provide supplemental information related to the balances of and changes in Benefit Reserves included in the disaggregated tables above, on a gross (direct and assumed) basis, as of and for the periods indicated:

	Six Months Ended June 30, 2023
	Term Life			Fixed Annuities
	($ in thousands)
Undiscounted expected future gross premiums	$	21,948,491		$	0
Discounted expected future gross premiums (at original discount rate)	$	15,125,847		$	0
Discounted expected future gross premiums (at current discount rate)	$	14,493,623		$	0
Undiscounted expected future benefits and expenses	$	29,156,389		$	328,414
Interest accrual	$	185,524		$	4,201
Gross premiums	$	900,634		$	24,200
Weighted-average duration of the liability in years (at original discount rate)	10			7
Weighted-average duration of the liability in years (at current discount rate)	10			6
Weighted-average interest rate (at original discount rate)	5.20		%	3.57		%
Weighted-average interest rate (at current discount rate)	5.28		%	5.27		%

	Six Months Ended June 30, 2022
	Term Life			Fixed Annuities
	($ in thousands)
Undiscounted expected future gross premiums	$	22,348,506		$	0
Discounted expected future gross premiums (at original discount rate)	$	15,414,984		$	0
Discounted expected future gross premiums (at current discount rate)	$	15,442,782		$	0
Undiscounted expected future benefits and expenses	$	29,470,523		$	302,195
Interest accrual	$	178,413		$	3,809
Gross premiums	$	925,202		$	19,545
Weighted-average duration of the liability in years (at original discount rate)	11			7
Weighted-average duration of the liability in years (at current discount rate)	10			6
Weighted-average interest rate (at original discount rate)	5.28		%	3.44		%
Weighted-average interest rate (at current discount rate)	4.63		%	4.54		%

The balances of and changes in Deferred Profit Liability as of and for the periods indicated are as follows:

	Six Months Ended June 30,
	2023		2022
	Fixed Annuities
	(in thousands)
Balance, beginning of period	$	18,193	$	15,765
Effect of actual variances from expected experience and other activity	(5,092)		(607)
Adjusted balance, beginning of period	13,101		15,158
Profits deferred	2,088		2,173
Interest accrual	294		276
Amortization	(973)		(950)
Other adjustments	(8)		(25)
Balance, end of period	14,502		16,632
Less: Reinsurance recoverable	1,558		1,722
Balance after reinsurance recoverable	$	12,944	$	14,910

The following table provides supplemental information related to the balances of and changes in Deferred Profit Liability, included in the disaggregated table above, on a gross (direct and assumed) basis, as of and for the period indicated:

	Six Months Ended June 30,
	2023		2022
	Fixed Annuities
	(in thousands)
Revenue(1)	$	3,691	$	(867)
Interest accrual	294		276

(1) Represents the gross premiums collected in changes in deferred profit liability.

The following table shows a rollforward of AIR balances for variable and universal life products for the periods indicated:

	Six Months Ended June 30,
	2023		2022
	(in thousands)
Balance, including amounts in AOCI, beginning of period, post-flooring	$	12,664,445	$	11,660,527
Flooring impact and amounts in AOCI	1,269,237		(896,930)
Balance, excluding amounts in AOCI, beginning of period, pre-flooring	13,933,682		10,763,597
Effect of assumption update	22,910		2,197,592
Effect of actual variances from expected experience and other activity	26,204		(157,782)
Adjusted balance, beginning of period	13,982,796		12,803,407
Assessments collected(1)	513,593		446,443
Interest accrual	237,869		203,986
Benefits paid	(151,097)		(100,856)
Balance, excluding amounts in AOCI, end of period, pre-flooring	14,583,161		13,352,980
Flooring impact and amounts in AOCI	(1,094,298)		(859,387)
Balance, including amounts in AOCI, end of period, post-flooring	13,488,863		12,493,593
Less: Reinsurance recoverable	13,268,534		12,282,253
Balance after reinsurance recoverable, including amounts in AOCI, end of period	$	220,329	$	211,340

(1) Represents the portion of gross assessments required to fund the future policy benefits.

	Six Months Ended June 30,
	2023			2022
	($ in thousands)
Interest accrual	$	237,869		$	203,986
Gross assessments	$	785,370		$	627,513
Weighted-average duration of the liability in years (at original discount rate)	22			23
Weighted-average interest rate (at original discount rate)	3.39		%	3.72		%

The following table presents the reconciliation of the ending balances from the above rollforwards, Benefit Reserves, Additional Insurance Reserves, and Deferred Profit Liability including other liabilities, gross of related reinsurance recoverables, to the total liability for Future Policy Benefits as reported on the Company's Unaudited Interim Consolidated Statements of Financial Position as of the periods indicated:

	Six Months Ended June 30,
	2023		2022
	(in thousands)
Benefit reserves, end of period, post-flooring	$	7,365,740	$	7,480,875
Deferred profit liability, end of period, post-flooring	14,502		16,632
Additional insurance reserves, including amounts in AOCI, end of period, post-flooring	13,488,863		12,493,593
Subtotal of amounts disclosed above	20,869,105		19,991,100
Other Future policy benefits reserves(1)	1,108,889		1,035,166
Total Future policy benefits	$	21,977,994	$	21,026,266

(1)Represents balances for which disaggregated rollforward disclosures are not required, including unpaid claims and claims expenses, and incurred but not reported and in course of settlement claim liabilities.

The following tables present revenue and interest expense related to Benefit Reserves, Additional Insurance Reserves, and Deferred Profit Liability, as well as related revenue and interest expense not presented in the above supplemental tables, in the Company's Consolidated Statement of Operations for the periods indicated:

	Six Months Ended June 30, 2023
	Revenues(1)
	Term Life		Variable/ Universal Life		Fixed Annuities		Total
	(in thousands)
Benefit reserves	$	900,634	$	0	$	24,200	$	924,834
Deferred profit liability	0		0		3,691		3,691
Additional insurance reserves	0		785,370		0		785,370
Total	$	900,634	$	785,370	$	27,891	$	1,713,895

	Six Months Ended June 30, 2022
	Revenues(1)
	Term Life		Variable/ Universal Life		Fixed Annuities		Total
	(in thousands)
Benefit reserves	$	925,202	$	0	$	19,545	$	944,747
Deferred profit liability	0		0		(867)		(867)
Additional insurance reserves	0		627,513		0		627,513
Total	$	925,202	$	627,513	$	18,678	$	1,571,393

(1)Represents "Gross premiums" for benefit reserves; "Revenue" for deferred profit liability and "Gross assessments" for additional insurance reserves.

	Six Months Ended June 30, 2023
	Interest Expense
	Term Life		Variable/ Universal Life		Fixed Annuities		Total
	(in thousands)
Benefit reserves	$	185,524	$	0	$	4,201	$	189,725
Deferred profit liability	0		0		294		294
Additional insurance reserves	0		237,869		0		237,869
Total	$	185,524	$	237,869	$	4,495	$	427,888

	Six Months Ended June 30, 2022
	Interest Expense
	Term Life		Variable/ Universal Life		Fixed Annuities		Total
	(in thousands)
Benefit reserves	$	178,413	$	0	$	3,809	$	182,222
Deferred profit liability	0		0		276		276
Additional insurance reserves	0		203,986		0		203,986
Total	$	178,413	$	203,986	$	4,085	$	386,484