Business and Basis of Presentation (Tables)

12 Months Ended

Dec. 31, 2023

Dec. 31, 2022

New Accounting Pronouncements or Change in Accounting Principle [Line Items]

Effects of Reinsurance

Reinsurance amounts, included in the Company’s Consolidated Statements of Operations and Comprehensive Income (Loss) for the years ended December 31, were as follows:

	2023		2022		2021
	(in thousands)
Premiums:
Direct(1)	$	1,853,184	$	1,868,709	$	1,903,865
Assumed	(61)		776		162
Ceded(1)	(1,524,226)		(1,604,277)		(1,719,569)
Net premiums(1)	328,897		265,208		184,458
Policy charges and fee income:
Direct(1)	2,995,595		3,034,193		3,348,259
Assumed(1)	604,311		594,622		565,814
Ceded(1)	(2,063,300)		(2,398,214)		(2,613,978)
Net policy charges and fee income(1)	1,536,606		1,230,601		1,300,095
Net investment income:
Direct	1,700,684		920,674		555,404
Assumed	1,364		1,513		1,049
Ceded	(26,526)		(38,186)		(6,218)
Net investment income(2)	1,675,522		884,001		550,235
Asset administration fees:
Direct	323,444		351,600		403,359
Assumed	0		0		0
Ceded	(90,494)		(67,418)		(201,182)
Net asset administration fees	232,950		284,182		202,177
Other income (loss):
Direct	636,930		(731,796)		227,035
Assumed	(475)		271		(66)
Ceded(1)	108,173		80,056		35,451
Net other income(1)(2)	744,628		(651,469)		262,420

	2023	2022	2021
Realized investment gains (losses), net:
Direct(1)	(1,195,753)	497,016	(388,914)
Assumed(1)	162,291	(244,000)	12,592
Ceded(1)	(50,198)	83,366	(10,572)
Realized investment gains (losses), net(1)(2)	(1,083,660)	336,382	(386,894)
Change in value of market risk benefits, net of related hedging gain (loss):
Direct(1)	298,425	(181,260)	9,096,963
Assumed	(2,199)	0	0
Ceded(1)	(390,594)	(519,321)	(13,319,493)
Net change in value of market risk benefits, net of related hedging gain (loss)(1)	(94,368)	(700,581)	(4,222,530)
Policyholders’ benefits (including change in reserves):
Direct(1)	3,354,306	3,362,353	3,215,531
Assumed(1)	1,258,651	1,107,436	905,325
Ceded(1)	(4,109,168)	(4,011,416)	(4,038,146)
Net policyholders’ benefits (including change in reserves)(1)(2)	503,789	458,373	82,710
Change in estimates of liability for future policy benefits:
Direct(1)	(18,361)	1,716,983	99,202
Assumed(1)	8,644	679,863	(16,166)
Ceded(1)	13,669	(2,341,747)	(56,028)
Net change in estimates of liability for future policy benefits(1)	3,952	55,099	27,008
Interest credited to policyholders’ account balances:
Direct(1)	918,327	805,411	525,038
Assumed	136,725	74,402	138,202
Ceded(1)	(399,607)	(434,598)	(814,629)
Net interest credited to policyholders’ account balances(1)	655,445	445,215	(151,389)
Reinsurance expense allowances and general and administrative expenses, net of capitalization and amortization(1)	(399,870)	(150,374)	(2,195,677)

(1)Prior period amounts reflect the implementation of ASU 2018-12: Targeted Improvements to the Accounting for Long-Duration Contracts.

(2)Amounts include reinsurance agreements using the deposit method of accounting.

Unaffiliated reinsurance assumed and ceded amounts included in the table above and in the Company's Consolidated Statements of Operations and Comprehensive Income (Loss) for the years ended December 31, were as follows:

	2023		2022		2021
	(in thousands)
Premiums:
Assumed(1)	$	(69)	$	149	$	162
Ceded(1)	(70,169)		(42,721)		(26,143)
Policy charges and fee income:
Assumed	1,563		2,113		0
Ceded	(143,764)		(81,781)		(65,451)
Net investment income(2):
Ceded	23,023		10,802		687
Asset administration fees:
Ceded	(22,415)		0		0
Other income (loss)(2):
Assumed	(211)		270		(68)
Ceded(1)	37,526		3,243		0
Realized investment gains (losses), net(2):
Assumed(1)	162,291		778,620		0
Ceded(1)	(45,711)		82,386		80,540
Change in value of market risk benefits, net of related hedging gain (loss):
Assumed(1)	(2,199)		0		0
Ceded(1)	(186,996)		(120,663)		(130,654)
Policyholders' benefits (including change in reserves)(2):
Assumed	804		2,566		429
Ceded(1)	(157,344)		(94,402)		(186,927)
Change in estimates of liability for future policy benefits:
Ceded(1)	(1,367)		(6,824)		0
Interest credited to policyholders' account balances:
Assumed	16,243		(95,285)		0

(1)Prior period amounts reflect the implementation of ASU 2018-12: Targeted Improvements to the Accounting for Long-Duration Contracts.

(2)Amounts include reinsurance agreements using the deposit method of accounting.

Deferred Policy Acquisition Costs

The following table shows a rollforward for the lines of business that contain DAC balances, along with a reconciliation to the Company's total DAC balance: 

	Fixed Annuities		Variable Annuities		Term Life		Variable / Universal Life		Total
	(in thousands)
Balance, January 1, 2021	$	0	$	0	$	462,099	$	2,030,983	$	2,493,082
Capitalization	576		32,590		168,760		653,864		855,790
Amortization expense	(1,008)		(146,952)		(53,775)		(123,860)		(325,595)
Other(1)	84,913		3,921,094		0		24		4,006,031
Balance, December 31, 2021	84,481		3,806,732		577,084		2,561,011		7,029,308
Capitalization	31,494		270,864		127,541		532,678		962,577
Amortization expense	(13,724)		(341,142)		(55,423)		(109,987)		(520,276)
Other(2)	0		0		(365)		(540,819)		(541,184)
Balance, December 31, 2022	102,251		3,736,454		648,837		2,442,883		6,930,425
Capitalization	117,851		241,136		159,000		576,920		1,094,907
Amortization expense	(22,165)		(326,444)		(63,949)		(121,877)		(534,435)
Other(3)	0		(393,385)		0		(1)		(393,386)
Balance, December 31, 2023	$	197,937	$	3,257,761	$	743,888	$	2,897,925	$	7,097,511

(1)    Includes the impact of the 2021 Variable Annuities Recapture as well as the assuming of DAC upon Affiliated reinsurance agreement with FLIAC within Fixed Annuities. See Note 1 and Note 11 for additional information.

(2)    Includes the impact of the reinsurance agreement with Lotus Re. See Note 11 for additional information.

(3)    Includes the impact of the reinsurance agreement with AuguStar. See Note 11 for additional information.

Liability for Future Policy Benefit (DRL, DRG, Benefit Reserves, DPL, and Additional Insurance Reserves)

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.

	Year Ended December 31, 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	(200,513)		(989)		(201,502)
Adjusted balance, beginning of period	11,265,387		(989)		11,264,398
Issuances	712,495		36,646		749,141
Net premiums / considerations collected	(1,345,514)		(35,657)		(1,381,171)
Interest accrual	521,176		0		521,176
Balance at original discount rate, end of period	11,153,544		0		11,153,544
Effect of cumulative changes in discount rate assumptions, end of period	(225,711)		0		(225,711)
Balance, end of period	$	10,927,833	$	0	$	10,927,833

	Year Ended December 31, 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	962,035		24,876		986,911
Balance at original discount rate, beginning of period	18,797,286		229,603		19,026,889
Effect of assumption update	(1,044)		0		(1,044)
Effect of actual variances from expected experience and other activity	(263,243)		6,991		(256,252)
Adjusted balance, beginning of period	18,532,999		236,594		18,769,593
Issuances	712,495		36,646		749,141
Interest accrual	895,023		8,440		903,463
Benefit payments	(1,386,583)		(33,287)		(1,419,870)
Other adjustments	3,844		(84)		3,760
Balance at original discount rate, end of period	18,757,778		248,309		19,006,087
Effect of cumulative changes in discount rate assumptions, end of period	(331,571)		(19,521)		(351,092)
Balance, end of period	$	18,426,207	$	228,788	$	18,654,995
Other, end of period					1,765
Total balance, end of period					$	18,656,760

	Year Ended December 31, 2023
	Net Liability for Future Policy Benefits (Benefit Reserves)
	Term Life		Fixed Annuities		Total
	(in thousands)
Balance, end of period, pre-flooring	$	7,498,374	$	228,788	$	7,727,162
Flooring impact, end of period	44		0		44
Balance, end of period, post-flooring	7,498,418		228,788		7,727,206
Less: Reinsurance recoverable	6,817,488		18,489		6,835,977
Balance after reinsurance recoverable, end of period, post-flooring	$	680,930	$	210,299	$	891,229

	Year Ended December 31, 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	(112,661)		(1,143)		(113,804)
Adjusted balance, beginning of period	11,841,569		(1,143)		11,840,426
Issuances	439,874		30,469		470,343
Net premiums / considerations collected	(1,339,902)		(29,326)		(1,369,228)
Interest accrual	525,149		0		525,149
Balance at original discount rate, end of period	11,466,690		0		11,466,690
Effect of cumulative changes in discount rate assumptions, end of period	(554,896)		0		(554,896)
Balance, end of period	$	10,911,794	$	0	$	10,911,794

	Year Ended December 31, 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	(206,175)		(1,639)		(207,814)
Adjusted balance, beginning of period	18,880,642		218,722		19,099,364
Issuances	439,874		30,469		470,343
Interest accrual	888,525		7,836		896,361
Benefit payments	(1,416,823)		(27,138)		(1,443,961)
Other adjustments	5,068		(286)		4,782
Balance at original discount rate, end of period	18,797,286		229,603		19,026,889
Effect of cumulative changes in discount rate assumptions, end of period	(962,035)		(24,876)		(986,911)
Balance, end of period	$	17,835,251	$	204,727	$	18,039,978
Other, end of period					2,127
Total balance, end of period					$	18,042,105

	Year Ended December 31, 2022
	Net Liability for Future Policy Benefits (Benefit Reserves)
	Term Life		Fixed Annuities		Total
	(in thousands)
Balance, end of period, pre-flooring	$	6,923,457	$	204,727	$	7,128,184
Flooring impact, end of period	0		0		0
Balance, end of period, post-flooring	6,923,457		204,727		7,128,184
Less: Reinsurance recoverable	6,497,257		16,460		6,513,717
Balance after reinsurance recoverable, end of period, post-flooring	$	426,200	$	188,267	$	614,467

	Year Ended December 31, 2021
	Present Value of Expected Net Premiums
	Term Life		Fixed Annuities		Total
	(in thousands)
Balance, beginning of period	$	12,791,701	$	0	$	12,791,701
Effect of cumulative changes in discount rate assumptions, beginning of period	(2,461,823)		0		(2,461,823)
Balance at original discount rate, beginning of period	10,329,878		0		10,329,878
Effect of assumption update	39,089		0		39,089
Effect of actual variances from expected experience and other activity	246,712		0		246,712
Adjusted balance, beginning of period	10,615,679		0		10,615,679
Issuances	747,703		29,700		777,403
Net premiums / considerations collected	(1,193,642)		(29,700)		(1,223,342)
Interest accrual	489,196		0		489,196
Balance at original discount rate, end of period	10,658,936		0		10,658,936
Effect of cumulative changes in discount rate assumptions, end of period	1,826,120		0		1,826,120
Balance, end of period	$	12,485,056	$	0	$	12,485,056

	Year Ended December 31, 2021
	Present Value of Expected Future Policy Benefits
	Term Life		Fixed Annuities		Total
	(in thousands)
Balance, beginning of period	$	21,897,943	$	237,094	$	22,135,037
Effect of cumulative changes in discount rate assumptions, beginning of period	(4,893,834)		(27,090)		(4,920,924)
Balance at original discount rate, beginning of period	17,004,109		210,004		17,214,113
Effect of assumption update	40,236		0		40,236
Effect of actual variances from expected experience and other activity	268,005		(1,422)		266,583
Adjusted balance, beginning of period	17,312,350		208,582		17,520,932
Issuances	747,703		29,700		777,403
Interest accrual	832,663		7,454		840,117
Benefit payments	(1,566,091)		(25,328)		(1,591,419)
Other adjustments	3,197		(47)		3,150
Balance at original discount rate, end of period	17,329,822		220,361		17,550,183
Effect of cumulative changes in discount rate assumptions, end of period	3,607,275		16,704		3,623,979
Balance, end of period	$	20,937,097	$	237,065	$	21,174,162
Other, end of period					2,902
Total balance, end of period					$	21,177,064

	Year Ended December 31, 2021
	Net Liability for Future Policy Benefits (Benefit Reserves)
	Term Life		Fixed Annuities		Total
	(in thousands)
Balance, end of period, pre-flooring	$	8,452,041	$	237,065	$	8,689,106
Flooring impact, end of period	951		0		951
Balance, end of period, post-flooring	8,452,992		237,065		8,690,057
Less: Reinsurance recoverable	7,855,802		19,314		7,875,116
Balance after reinsurance recoverable, end of period, post-flooring	$	597,190	$	217,751	$	814,941

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:

	Year Ended December 31, 2023
	Term Life			Fixed Annuities
	($ in thousands)
Undiscounted expected future gross premiums	$	21,871,767		$	0
Discounted expected future gross premiums (at original discount rate)	$	15,027,611		$	0
Discounted expected future gross premiums (at current discount rate)	$	14,748,999		$	0
Undiscounted expected future benefits and expenses	$	29,118,532		$	332,902
Interest accrual	$	373,845		$	8,440
Gross premiums	$	1,804,955		$	41,111
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)	5.17		%	3.70		%
Weighted-average interest rate (at current discount rate)	4.99		%	4.95		%

	Year Ended December 31, 2022
	Term Life			Fixed Annuities
	($ in thousands)
Undiscounted expected future gross premiums	$	22,223,836		$	0
Discounted expected future gross premiums (at original discount rate)	$	15,322,180		$	0
Discounted expected future gross premiums (at current discount rate)	$	14,587,657		$	0
Undiscounted expected future benefits and expenses	$	29,330,574		$	306,286
Interest accrual	$	363,375		$	7,836
Gross premiums	$	1,831,360		$	32,105
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)	5.23		%	3.60		%
Weighted-average interest rate (at current discount rate)	5.39		%	5.33		%

	Year Ended December 31, 2021
	Term Life			Fixed Annuities
	($ in thousands)
Undiscounted expected future gross premiums	$	24,005,621		$	0
Discounted expected future gross premiums (at original discount rate)	$	16,246,950		$	0
Discounted expected future gross premiums (at current discount rate)	$	19,102,730		$	0
Undiscounted expected future benefits and expenses	$	27,127,403		$	293,095
Interest accrual	$	343,467		$	7,454
Gross premiums	$	1,822,261		$	35,672
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)	11			7
Weighted-average interest rate (at original discount rate)	5.30		%	3.47		%
Weighted-average interest rate (at current discount rate)	2.55		%	2.49		%

For additional information regarding observable market information and the techniques used to determine the interest rate assumptions seen above, see Note 2.

The balances of and changes in Deferred Profit Liability for the years ended December 31, are as follows:

	2023		2022		2021
	Fixed Annuities
	(in thousands)
Balance, beginning of period	$	18,193	$	15,765	$	9,959
Effect of actual variances from expected experience and other activity	(6,978)		1,250		1,247
Adjusted balance, beginning of period	11,215		17,015		11,206
Profits deferred	5,191		2,511		5,823
Interest accrual	552		616		529
Amortization	(2,129)		(1,909)		(1,793)
Other adjustments	(11)		(40)		0
Balance, end of period	14,818		18,193		15,765
Less: Reinsurance recoverable	1,365		1,684		1,726
Balance after reinsurance recoverable	$	13,453	$	16,509	$	14,039

    

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, for the years ended December 31,:

	2023		2022		2021
	Fixed Annuities
	(in thousands)
Revenue(1)	$	3,375	$	(2,428)	$	(5,805)
Interest accrual	552		616		529

(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 years ended December 31,:

	2023		2022		2021
	(in thousands)
Balance, including amounts in AOCI, beginning of period, post-flooring	$	12,664,445	$	11,660,527	$	10,878,087
Flooring impact and amounts in AOCI	1,269,236		(896,931)		(1,169,972)
Balance, excluding amounts in AOCI, beginning of period, pre-flooring	13,933,681		10,763,596		9,708,115
Effect of assumption update	22,910		2,197,592		(1,243)
Effect of actual variances from expected experience and other activity	34,021		(223,185)		53,125
Adjusted balance, beginning of period	13,990,612		12,738,003		9,759,997
Assessments collected(1)	929,709		961,924		848,263
Interest accrual	486,253		433,631		344,789
Benefits paid	(294,199)		(199,877)		(189,453)
Balance, excluding amounts in AOCI, end of period, pre-flooring	15,112,375		13,933,681		10,763,596
Flooring impact and amounts in AOCI	(831,583)		(1,269,236)		896,931
Balance, including amounts in AOCI, end of period, post-flooring	14,280,792		12,664,445		11,660,527
Less: Reinsurance recoverable	14,054,600		12,458,184		11,419,340
Balance after reinsurance recoverable, including amounts in AOCI, end of period	$	226,192	$	206,261	$	241,187

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

	2023			2022			2021
	($ in thousands)
Interest accrual	$	486,253		$	433,631		$	344,789
Gross assessments	$	1,405,696		$	1,367,796		$	1,674,305
Weighted-average duration of the liability in years (at original discount rate)	22			23			22
Weighted-average interest rate (at original discount rate)	3.39		%	3.37		%	3.37		%

The following table presents the reconciliation of the ending balances from the above rollforwards, Benefit Reserves, Deferred Profit Liability and Additional Insurance Reserves including other liabilities, gross of related reinsurance recoverables, to the total liability for Future Policy Benefits as reported on the Company's Consolidated Statements of Financial Position for the years ended December 31,:

	2023		2022		2021
	(in thousands)
Benefit reserves, end of period, post-flooring	$	7,727,206	$	7,128,184	$	8,690,057
Deferred profit liability, end of period, post-flooring	14,818		18,193		15,765
Additional insurance reserves, including amounts in AOCI, end of period, post-flooring	14,280,792		12,664,445		11,660,527
Subtotal of amounts disclosed above	22,022,816		19,810,822		20,366,349
Other Future policy benefits reserves(1)	1,182,389		1,018,211		1,144,400
Total Future policy benefits	$	23,205,205	$	20,829,033	$	21,510,749

(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, Deferred Profit Liability and Additional Insurance Reserves, 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:

	Year Ended December 31, 2023
	Revenues(1)
	Term Life		Variable/ Universal Life		Fixed Annuities		Total
	(in thousands)
Benefit reserves	$	1,804,955	$	0	$	41,111	$	1,846,066
Deferred profit liability	0		0		3,375		3,375
Additional insurance reserves	0		1,405,696		0		1,405,696
Total	$	1,804,955	$	1,405,696	$	44,486	$	3,255,137

	Year Ended December 31, 2022
	Revenues(1)
	Term Life		Variable/ Universal Life		Fixed Annuities		Total
	(in thousands)
Benefit reserves	$	1,831,360	$	0	$	32,105	$	1,863,465
Deferred profit liability	0		0		(2,428)		(2,428)
Additional insurance reserves	0		1,367,796		0		1,367,796
Total	$	1,831,360	$	1,367,796	$	29,677	$	3,228,833

	Year Ended December 31, 2021
	Revenues(1)
	Term Life		Variable/ Universal Life		Fixed Annuities		Total
	(in thousands)
Benefit reserves	$	1,822,261	$	0	$	35,672	$	1,857,933
Deferred profit liability	0		0		(5,805)		(5,805)
Additional insurance reserves	0		1,674,305		0		1,674,305
Total	$	1,822,261	$	1,674,305	$	29,867	$	3,526,433

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

	Year Ended December 31, 2023
	Interest Expense
	Term Life		Variable/ Universal Life		Fixed Annuities		Total
	(in thousands)
Benefit reserves	$	373,845	$	0	$	8,440	$	382,285
Deferred profit liability	0		0		552		552
Additional insurance reserves	0		486,253		0		486,253
Total	$	373,845	$	486,253	$	8,992	$	869,090

	Year Ended December 31, 2022
	Interest Expense
	Term Life		Variable/ Universal Life		Fixed Annuities		Total
	(in thousands)
Benefit reserves	$	363,375	$	0	$	7,836	$	371,211
Deferred profit liability	0		0		616		616
Additional insurance reserves	0		433,631		0		433,631
Total	$	363,375	$	433,631	$	8,452	$	805,458

	Year Ended December 31, 2021
	Interest Expense
	Term Life		Variable/ Universal Life		Fixed Annuities		Total
	(in thousands)
Benefit reserves	$	343,467	$	0	$	7,454	$	350,921
Deferred profit liability	0		0		529		529
Additional insurance reserves	0		344,789		0		344,789
Total	$	343,467	$	344,789	$	7,983	$	696,239

Additional Liability, Long-Duration Insurance (URR and Cost of Reinsurance)

The balances of and changes in URR as of and for the periods ended are as follows:

	Years Ended December 31,
	2023		2022		2021
	Variable Life / Universal Life
	(in thousands)
Balance, beginning of period	$	3,067,336	$	2,398,788	$	1,745,269
Unearned revenue	827,960		799,185		760,153
Amortization expense	(153,779)		(129,525)		(106,634)
Other adjustments	(91)		(1,112)		0
Balance, end of period	3,741,426		3,067,336		2,398,788
Less: Reinsurance recoverables	1,690,255		1,542,900		939,798
Unearned revenue reserve net of reinsurance recoverables	$	2,051,171	$	1,524,436	$	1,458,990

Market Risk Benefits

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:

	Year Ended December 31, 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	1,158,879		(246,747)		912,132
Claims paid	(85,898)		9,952		(75,946)
Interest accrual	293,205		(53,016)		240,189
Actual in force different from expected	79,030		(13,338)		65,692
Effect of changes in interest rates	(1,438,873)		455,062		(983,811)
Effect of changes in equity markets	(1,845,207)		180,953		(1,664,254)
Effect of assumption update	330,769		(54,067)		276,702
Issuances	29,433		7,680		37,113
Other adjustments(1)	(36,888)		(635,011)		(671,899)
Effect of changes in current period counterparty non-performance risk	0		(146,999)		(146,999)
Balance, end of period, before effect of changes in non-performance risk	4,762,985		(917,792)		3,845,193
Effect of cumulative changes in non-performance risk	(1,068,035)		0		(1,068,035)
Balance, end of period	$	3,694,950	$	(917,792)	$	2,777,158

	Year Ended December 31, 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	1,249,956		(147,727)		1,102,229
Claims paid	(64,406)		3,456		(60,950)
Interest accrual	143,483		(13,438)		130,045
Actual in force different from expected	105,996		(9,968)		96,028
Effect of changes in interest rates	(7,271,427)		767,394		(6,504,033)
Effect of changes in equity markets	3,103,563		(326,575)		2,776,988
Effect of assumption update	(160,597)		23,171		(137,426)
Effect of changes in current period counterparty non-performance risk	0		187,910		187,910
Balance, end of period, before effect of changes in non-performance risk	6,278,535		(422,261)		5,856,274
Effect of cumulative changes in non-performance risk	(1,727,910)		0		(1,727,910)
Balance, end of period	$	4,550,625	$	(422,261)	$	4,128,364

	Year Ended December 31, 2021
	Variable Annuities		Less: Reinsured Market Risk Benefits		Total, Net of Reinsurance
	(in thousands)
Balance, beginning of period	$	13,577,543	$	(13,589,575)	$	(12,032)
Effect of cumulative changes in non-performance risk	722,837		0		722,837
Balance, beginning of period, before effect of changes in non-performance risk	14,300,380		(13,589,575)		710,805
Attributed fees collected	1,368,434		(759,997)		608,437
Claims paid	(29,401)		14,648		(14,753)
Interest accrual	24,824		(16,593)		8,231
Actual in force different from expected	(19,290)		22,687		3,397
Effect of changes in interest rates	(3,461,436)		3,240,588		(220,848)
Effect of changes in equity markets	(2,789,777)		2,070,833		(718,944)
Effect of assumption update	(221,767)		221,767		0
Other adjustments(1)	0		8,223,470		8,223,470
Effect of changes in current period counterparty non-performance risk	0		(334,312)		(334,312)
Balance, end of period, before effect of changes in non-performance risk	9,171,967		(906,484)		8,265,483
Effect of cumulative changes in non-performance risk	(287,605)		0		(287,605)
Balance, end of period	$	8,884,362	$	(906,484)	$	7,977,878

(1)     Other adjustments for December 31, 2023 primarily includes $638 million related to the reinsurance transaction with AuguStar. See Note 11 for additional information. Other adjustments for December 31, 2021 includes the impact of the 2021 Variable Annuities Recapture. See Note 1 for additional information.

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

	December 31, 2023		December 31, 2022		December 31, 2021
	Variable Annuities
	($ in thousands)
Net amount at risk(1)	$	9,041,651	$	12,141,947	$	2,566,157
Weighted-average attained age of contractholders	70		68		66

(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:

	December 31, 2023		December 31, 2022		December 31, 2021
	Variable Annuities
	(in thousands)
Market risk benefit assets	$	2,367,243	$	1,393,237	$	1,786,565
Market risk benefit liabilities	5,144,401		5,521,601		9,764,443
Net liability	$	2,777,158	$	4,128,364	$	7,977,878

Impacts of Recapture

New Accounting Pronouncements or Change in Accounting Principle [Line Items]

Effects of Reinsurance

Affiliated Asset Transfers

Affiliate	Period	Transaction	Security Type	Fair Value		Book Value		APIC/ Retained Earnings Increase/(Decrease)		Realized Investment Gain/(Loss), Net		Derivative Gain/(Loss)
				(in millions)
PALAC	July 1, 2021	Purchase	Derivatives, Fixed Maturities, Equity Securities, Commercial Mortgages and JV/LP Investments	$	4,908	$	4,908	$	0	$	0	$	0
Prudential Insurance	July 1, 2021	Contributed Capital	Fixed Maturities	$	3,420	$	3,420	$	3,420	$	0	$	0

Transition adjustment from the adoption of ASU 2018-12

New Accounting Pronouncements or Change in Accounting Principle [Line Items]

Accounting Standards of New Guidance on Financial Statements

Consolidated Statements of Financial Position:

	December 31, 2022
IMPACTED LINES ONLY	As Originally Reported		Effect of Change		As Currently Reported
	(in thousands)
Deferred policy acquisition costs	$	6,616,097	$	314,328	$	6,930,425
Reinsurance recoverables	34,561,825		2,534,737		37,096,562
Deferred sales inducements	275,574		105,930		381,504
Income tax assets	1,873,740		(178,989)		1,694,751
Market risk benefit assets	0		1,393,237		1,393,237
Other assets	1,327,393		4,034		1,331,427
TOTAL ASSETS	$	189,299,841	$	4,173,277	$	193,473,118
Policyholders’ account balances	$	41,748,241	$	164,295	$	41,912,536
Future policy benefits	23,204,533		(2,375,500)		20,829,033
Market risk benefit liabilities	0		5,521,601		5,521,601
Other liabilities	3,407,156		190,217		3,597,373
Total liabilities	184,936,310		3,500,613		188,436,923
Retained earnings / (accumulated deficit)	(95,583)		(898,571)		(994,154)
Accumulated other comprehensive income (loss)	(1,581,300)		1,571,235		(10,065)
Total equity	4,363,531		672,664		5,036,195
TOTAL LIABILITIES AND EQUITY	$	189,299,841	$	4,173,277	$	193,473,118

Consolidated Statements of Operations and Comprehensive Income (Loss):

	Year Ended December 31, 2022
IMPACTED LINES ONLY	As Originally Reported		Effect of Change		As Currently Reported
	(in thousands)
REVENUES
Premiums	$	274,783	$	(9,575)	$	265,208
Policy charges and fee income	1,731,957		(501,356)		1,230,601
Other income (loss)	(661,860)		10,391		(651,469)
Realized investment gains (losses), net	1,041,435		(705,053)		336,382
Change in value of market risk benefits, net of related hedging gain (loss)	0		(700,581)		(700,581)
TOTAL REVENUES	3,554,498		(1,906,174)		1,648,324
BENEFITS AND EXPENSES
Policyholders’ benefits	609,392		(151,019)		458,373
Change in estimates of liability for future policy benefits	0		55,099		55,099
Interest credited to policyholders’ account balances	517,488		(72,273)		445,215
Amortization of deferred policy acquisition costs	857,385		(337,109)		520,276
General, administrative and other expenses	1,154,229		2,235		1,156,464
TOTAL BENEFITS AND EXPENSES	3,138,494		(503,067)		2,635,427
INCOME (LOSS) FROM OPERATIONS BEFORE INCOME TAXES AND EQUITY IN EARNINGS OF OPERATING JOINT VENTURE	416,004		(1,403,107)		(987,103)
Income tax expense (benefit)	(882)		(294,653)		(295,535)
INCOME (LOSS) FROM OPERATIONS BEFORE EQUITY IN EARNINGS OF OPERATING JOINT VENTURE	416,886		(1,108,454)		(691,568)
NET INCOME (LOSS)	$	341,749	$	(1,108,454)	$	(766,705)
Other comprehensive income (loss), before tax:
Net unrealized investment gains (losses)	(2,430,238)		176,201		(2,254,037)
Interest rate remeasurement of future policy benefits	0		310,353		310,353
Gain (loss) from changes in non-performance risk on market risk benefits	0		1,440,305		1,440,305
Total	(2,439,575)		1,926,859		(512,716)
Less: Income tax expense (benefit) related to other comprehensive income (loss)	(510,840)		404,643		(106,197)
Other comprehensive income (loss), net of taxes	(1,928,735)		1,522,216		(406,519)
Comprehensive income (loss)	$	(1,586,986)	$	413,762	$	(1,173,224)

	Year Ended December 31, 2021
IMPACTED LINES ONLY	As Originally Reported		Effect of Change		As Currently Reported
	(in thousands)
REVENUES
Premiums	$	203,676	$	(19,218)	$	184,458
Policy charges and fee income	1,529,757		(229,662)		1,300,095
Other income (loss)	267,208		(4,788)		262,420
Realized investment gains (losses), net	(5,295,406)		4,908,512		(386,894)
Change in value of market risk benefits, net of related hedging gain (loss)	0		(4,222,530)		(4,222,530)
TOTAL REVENUES	(2,542,353)		432,314		(2,110,039)
BENEFITS AND EXPENSES
Policyholders’ benefits	655,910		(573,200)		82,710
Change in estimates of liability for future policy benefits	0		27,008		27,008
Interest credited to policyholders’ account balances	(114,585)		(36,804)		(151,389)
Amortization of deferred policy acquisition costs	342,118		(16,523)		325,595
General, administrative and other expenses	(523,925)		151		(523,774)
TOTAL BENEFITS AND EXPENSES	359,518		(599,368)		(239,850)
INCOME (LOSS) FROM OPERATIONS BEFORE INCOME TAXES AND EQUITY IN EARNINGS OF OPERATING JOINT VENTURE	(2,901,871)		1,031,682		(1,870,189)
Income tax expense (benefit)	(691,439)		216,653		(474,786)
INCOME (LOSS) FROM OPERATIONS BEFORE EQUITY IN EARNINGS OF OPERATING JOINT VENTURE	(2,210,432)		815,029		(1,395,403)
NET INCOME (LOSS)	$	(2,209,730)	$	815,029	$	(1,394,701)
Other comprehensive income (loss), before tax:
Net unrealized investment gains (losses)	(247,176)		36,690		(210,486)
Interest rate remeasurement of future policy benefits	0		37,274		37,274
Gain (loss) from changes in non-performance risk on market risk benefits	0		(435,232)		(435,232)
Total	(251,067)		(361,268)		(612,335)
Less: Income tax expense (benefit) related to other comprehensive income (loss)	(52,374)		(75,867)		(128,241)
Other comprehensive income (loss), net of taxes	(198,693)		(285,401)		(484,094)
Comprehensive income (loss)	$	(2,408,423)	$	529,628	$	(1,878,795)

Consolidated Statements of Cash Flows:

	Year Ended December 31, 2022
IMPACTED LINES ONLY	As Originally Reported		Effect of Change		As Currently Reported
	(in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	341,749	$	(1,108,454)	$	(766,705)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Policy charges and fee income	(78,754)		210,690		131,936
Interest credited to policyholders’ account balances	517,488		(72,273)		445,215
Realized investment (gains) losses, net	(1,041,435)		705,053		(336,382)
Change in value of market risk benefits, net of related hedging (gains) losses	0		700,581		700,581
Change in:
Future policy benefits and other insurance liabilities	2,407,887		1,335,893		3,743,780
Reinsurance recoverables	(1,181,692)		(1,072,598)		(2,254,290)
Deferred policy acquisition costs	(105,194)		(337,109)		(442,303)
Income taxes	(40,095)		(294,674)		(334,769)
Other, net	1,635,056		(67,109)		1,567,947
Cash flows from (used in) operating activities	$	1,824,964	$	0	$	1,824,964

	Year Ended December 31, 2021
IMPACTED LINES ONLY	As Originally Reported		Effect of Change		As Currently Reported
	(in thousands)
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$	(2,209,730)	$	815,029	$	(1,394,701)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Policy charges and fee income	(21,763)		187,438		165,675
Interest credited to policyholders’ account balances	(114,585)		(36,804)		(151,389)
Realized investment (gains) losses, net	5,295,406		(4,908,512)		386,894
Change in value of market risk benefits, net of related hedging (gains) losses	0		4,222,530		4,222,530
Change in:
Future policy benefits and other insurance liabilities	2,080,967		(249,447)		1,831,520
Reinsurance recoverables	(1,304,306)		169,623		(1,134,683)
Deferred policy acquisition costs	(3,926,121)		(141,825)		(4,067,946)
Income taxes	(1,082,459)		240,352		(842,107)
Other, net	1,674,972		(298,384)		1,376,588
Cash flows from (used in) operating activities	$	(883,941)	$	0	$	(883,941)

The following tables detail the January 1, 2021 transition adjustments by providing a rollforward of the ending reported balances as of December 31, 2020 to the opening balances as of January 1, 2021 for retained earnings, accumulated other comprehensive income (“AOCI”) and the impacted insurance-related balances.

	January 1, 2021
	Retained Earnings
	(in thousands)
Balance after-tax, prior to transition	$	1,772,398
Reclassification of market risk benefits non-performance risk to accumulated other comprehensive income(1)	(722,837)
Updates to certain universal life contract liabilities(2)	(116,120)
Other(3)	72,950
Total pre-tax adjustments	(766,007)
Tax impacts	160,861
Balance after-tax, after transition	$	1,167,252

(1)    Reflects the cumulative impact of changes in the fair value of market risk benefits (“MRBs”) non-performance risk (“NPR”) from the date of contract issuance to January 1, 2021. These amounts were previously recorded in retained earnings but are now reflected in AOCI under the new guidance.

(2)    Reflects the impact on additional insurance reserves ("AIR") and other related balances primarily related to the no-lapse guarantee features on certain universal life contracts. For additional information, see Note 2.

(3)    Primarily reflects the reassessment of deferred reinsurance gains ("DRG") and losses ("DRL").

	January 1, 2021
	Accumulated Other Comprehensive Income
	(in thousands)
Balance after-tax, prior to transition	$	546,128
Interest rate remeasurement of future policy benefits	(196,526)
Reclassification of market risk benefits non-performance risk to accumulated other comprehensive income(1)	722,837
Unwinding amounts related to unrealized investment gains and losses(2)	(102,042)
Change in operating joint ventures	(753)
Total pre-tax adjustments	423,516
Tax impacts	(89,096)
Balance after-tax, after transition	$	880,548

(1)    Reflects the cumulative impact of changes in NPR on the fair value of market risk benefits from the date of contract issuance to January 1, 2021. These amounts were previously recorded in retained earnings but are now reflected in AOCI under the new guidance.

(2)    Primarily reflects amounts related to DAC and other balances as unrealized investment gains or losses no longer impact the amortization pattern of such balances under the new guidance. Also includes the impacts from updates to reserves and other related balances for certain universal life contracts. For additional information, see Note 2.

Deferred Policy Acquisition Costs

	January 1, 2021
	Deferred Policy Acquisition Costs
	Term Life		Variable/Universal Life		Total
	(in thousands)
Balance prior to transition	$	462,098	$	1,971,838	$	2,433,936
Unwinding amounts related to unrealized investment gains and losses	0		74,702		74,702
Other(1)	1		(15,557)		(15,556)
Balance after transition	$	462,099	$	2,030,983	$	2,493,082

(1)    Represents miscellaneous model refinements.

Liability for Future Policy Benefit (DRL, DRG, Benefit Reserves, DPL, and Additional Insurance Reserves)

	January 1, 2021
	Deferred Reinsurance Losses(1)
	Variable Annuities		Term Life		Variable/Universal Life		Total
	(in thousands)
Balance prior to transition	$	118,579	$	87,932	$	27,167	$	233,678
Unwinding amounts related to unrealized investment gains and losses	14,804		0		0		14,804
Effect of change in reserve basis to market risk benefits	141,032		0		0		141,032
Effect of change in SOP 03-1 reserve basis	0		0		(27,167)		(27,167)
Balance after transition	$	274,415	$	87,932	$	0	$	362,347

(1)    Deferred reinsurance losses are included in “Other assets”.

	January 1, 2021
	Deferred Reinsurance Gains(1)
	Variable/Universal Life
	(in thousands)
Balance prior to transition	$	134,213
Effect of change in SOP 03-1 reserve basis	40,046
Balance after transition	$	174,259

(1)    Deferred reinsurance gains are included in “Other liabilities”.

	January 1, 2021
	Benefit Reserves(1)
	Term Life		Life Insurance - Taiwan		Other(2)		Total
	(in thousands)
Balance prior to transition	$	6,674,490	$	1,592,329	$	219,744	$	8,486,563
Changes in cash flow assumptions and other activity	(259)		43,233		(7,283)		35,691
Balance after transition, at original discount rate	6,674,231		1,635,562		212,461		8,522,254
Cumulative changes in discount rate assumptions	2,432,010		3,316,991		27,818		5,776,819
Balance after transition, at current discount rate	9,106,241		4,952,553		240,279		14,299,073
Less: Reinsurance recoverable	8,536,200		4,952,553		239,874		13,728,627
Balance after transition, net of reinsurance recoverable	$	570,041	$	0	$	405	$	570,446

(1)    Benefit reserves, excluding amounts for reinsurance recoverable, are included in "Future policy benefits". For additional information on the liability for

    future policy benefits, see Note 8.

(2)    Other includes fixed annuities and retirement products.

	January 1, 2021
	Deferred Profit Liability(1)
	Life Insurance - Taiwan		Other(2)		Total
	(in thousands)
Balance prior to transition	$	49,127	$	1,689	$	50,816
Changes in benefit reserves	(6,671)		8,521		1,850
Balance after transition	42,456		10,210		52,666
Less: Reinsurance recoverable	42,456		10,210		52,666
Balance after transition, net of reinsurance recoverable	$	0	$	0	$	0

(1)    Deferred profit liability ("DPL"), excluding amounts for reinsurance recoverable, is included in "Future policy benefits". For additional information regarding the liability for future policy benefits, see Note 8.

(2)    Other includes fixed annuities and retirement products.

	January 1, 2021
	Additional Insurance Reserves(1)
	Variable/Universal Life		Variable Annuities		Total
	(in thousands)
Balance prior to transition	$	9,363,585	$	588,311	$	9,951,896
Unwinding amounts related to unrealized investment gains and losses	(1,426,811)		(53,889)		(1,480,700)
Balance prior to transition, excluding amounts related to unrealized investment gains and losses	7,936,774		534,422		8,471,196
Reclassification of future policy benefits additional insurance reserves to market risk benefits	0		(534,422)		(534,422)
Updates to certain universal life contract liabilities(2)	1,771,341		0		1,771,341
Balance after transition, excluding amounts related to unrealized investment gains and losses	9,708,115		0		9,708,115
Amounts related to unrealized investment gains and losses after transition	1,169,972		0		1,169,972
Balance after transition	10,878,087		0		10,878,087
Less: Reinsurance recoverable	10,685,150		0		10,685,150
Balance after transition, net of reinsurance recoverable	$	192,937	$	0	$	192,937

(1)    AIR, excluding amounts for reinsurance recoverable, are included in "Future policy benefits". For additional information regarding the liability for future policy benefits, see Note 8.

(2)    For additional information regarding updates to reserves and other related balances for certain universal life contracts, see Note 2.

Additional Liability, Long-Duration Insurance (URR and Cost of Reinsurance)

	January 1, 2021
	Unearned Revenue Reserves(1)
	Variable/Universal Life
	(in thousands)
Balance prior to transition	$	1,377,669
Unwinding amounts related to unrealized investment gains and losses and other activity	367,599
Balance after transition	1,745,268
Less: Reinsurance recoverable	751,517
Balance after transition, net of reinsurance recoverable	$	993,751

(1)    Unearned revenue reserves ("URR") are included in "Policyholders' account balances". For additional information regarding the liability for policyholders' account balances, see Note 9.

	January 1, 2021
	Cost of Reinsurance(1)
	Variable/Universal Life
	(in thousands)
Balance prior to transition	$	602,294
Unwinding amounts related to unrealized investment gains and losses	(246,899)
Balance prior to transition, excluding amounts related to unrealized investment gains and losses	355,395
Impact from updates to certain universal life contract liabilities(2)	81,920
Balance after transition, excluding amounts related to unrealized investment gains and losses	437,315
Amounts related to unrealized investment gains and losses after transition	191,098
Balance after transition	$	628,413

(1)    Cost of reinsurance is included in "Other liabilities".

(2)    For additional information regarding updates to reserves and other related balances for certain universal life contracts, see Note 2.

Market Risk Benefits

	January 1, 2021
	Market Risk Benefits(1)
	Variable Annuities
	(in thousands)
Liability for guaranteed benefits recorded at fair value, prior to transition	$	13,227,814
Additional insurance reserves to be reclassed to market risk benefits, prior to transition, excluding amounts related to unrealized investment gains and losses	534,422
Total liability prior to transition	13,762,236
Change in reserve basis to market risk benefits framework	(184,693)
Market risk benefits after transition, at current non-performance risk value	13,577,543
Less: Reinsured market risk benefits	13,589,575
Market risk benefits after transition, net of reinsurance	(12,032)
Market risk benefits after transition, at contract inception non-performance risk value	14,300,380
Cumulative change in non-performance risk	722,837
Market risk benefits after transition, at current non-performance risk value	$	13,577,543

(1)    For additional information regarding market risk benefits, see Note 10.