Market Risk Benefits (Tables)

9 Months Ended

Sep. 30, 2023

The following tables show a rollforward of MRB balances for variable annuity products, along with a reconciliation to the Company’s total net MRB positions as of the following dates:


	Nine Months Ended September 30, 2023
	Variable Annuities		Less: Reinsured Market Risk Benefits		Total, Net of Reinsurance
	(in thousands)
Balance, beginning of period	$	4,550,625	$	(422,261)	$	4,128,364
Effect of cumulative changes in non-performance risk	1,727,910		0		1,727,910
Balance, beginning of period, before effect of changes in non-performance risk	6,278,535		(422,261)		5,856,274
Attributed fees collected	878,381		(179,211)		699,170
Claims paid	(62,128)		5,903		(56,225)
Interest accrual	235,979		(38,016)		197,963
Actual in force different from expected	52,753		(6,588)		46,165
Effect of changes in interest rates	(2,869,989)		484,168		(2,385,821)
Effect of changes in equity markets	(940,654)		90,742		(849,912)
Effect of assumption update	330,769		(54,067)		276,702
Issuances	21,271		8,206		29,477
Other adjustments(1)	(17,436)		(638,198)		(655,634)
Effect of changes in current period counterparty non-performance risk	0		(75,594)		(75,594)

Balance, end of period, before effect of changes in non-performance risk	3,907,481		(824,916)		3,082,565
Effect of cumulative changes in non-performance risk	(1,230,621)		0		(1,230,621)
Balance, end of period	$	2,676,860	$	(824,916)	$	1,851,944


	Nine Months Ended September 30, 2022
	Variable Annuities		Less: Reinsured Market Risk Benefits		Total, Net of Reinsurance
	(in thousands)
Balance, beginning of period	$	8,884,362	$	(906,484)	$	7,977,878
Effect of cumulative changes in non-performance risk	287,605		0		287,605
Balance, beginning of period, before effect of changes in non-performance risk	9,171,967		(906,484)		8,265,483
Attributed fees collected	958,638		(113,016)		845,622
Claims paid	(36,684)		1,567		(35,117)
Interest accrual	71,646		(6,801)		64,845
Actual in force different from expected	77,474		(6,817)		70,657
Effect of changes in interest rates	(6,853,674)		715,370		(6,138,304)
Effect of changes in equity markets	3,966,792		(416,593)		3,550,199
Effect of assumption update	(160,596)		23,170		(137,426)

Effect of changes in current period counterparty non-performance risk	0		226,717		226,717
Balance, end of period, before effect of changes in non-performance risk	7,195,563		(482,887)		6,712,676
Effect of cumulative changes in non-performance risk	(2,073,958)		0		(2,073,958)
Balance, end of period	$	5,121,605	$	(482,887)	$	4,638,718

(1) Other adjustments for September 30, 2023 primarily includes $638 million related to the reinsurance transaction with Ohio National. See Note 11 for additional information.

The following table presents accompanying information to the rollforward table above.


	September 30, 2023		September 30, 2022
	Variable Annuities
	($ in thousands)
Net amount at risk(1)	$	12,504,440	$	14,124,120
Weighted-average attained age of contractholders	70		69

(1)For contracts with multiple benefit features, the highest net amount at risk for each contract is included.

The table below reconciles MRB asset and liability positions as of the following dates:


	September 30, 2023		September 30, 2022
	Variable Annuities
	(in thousands)
Market risk benefit assets	$	2,519,234	$	1,306,404
Market risk benefit liabilities	4,371,178		5,945,122
Net liability	$	1,851,944	$	4,638,718