Deferred Policy Acquisition Costs, Deferred Reinsurance Losses, Deferred Reinsurance Gains And Deferred Sales Inducements

3 Months Ended

Mar. 31, 2024

Deferred Charges, Insurers [Abstract]

Deferred Policy Acquisition Costs, Deferred Reinsurance Losses, Deferred Reinsurance Gains And Deferred Sales Inducements

DEFERRED POLICY ACQUISITION COSTS, DEFERRED REINSURANCE AND DEFERRED SALES INDUCEMENTS

Deferred Policy Acquisition Costs ("DAC")

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

	Three Months Ended March 31, 2024
	Fixed Annuities		Variable Annuities		Term Life		Variable / Universal Life		Total
	(in thousands)
Balance, beginning of period	$	197,937	$	3,257,761	$	743,888	$	2,897,925	$	7,097,511
Capitalization	64,744		78,335		43,874		144,813		331,766
Amortization expense	(8,725)		(84,320)		(18,180)		(34,581)		(145,806)
Other(1)	0		0		0		(38,017)		(38,017)
Balance, end of period	$	253,956	$	3,251,776	$	769,582	$	2,970,140	$	7,245,454

(1)    Other includes the impact of the Universal Life reinsurance transaction with Prudential Arizona Reinsurance Universal Company (“PAR U”) and PURE. See Note 11 for additional information.

	Three Months Ended March 31, 2023
	Fixed Annuities		Variable Annuities		Term Life		Variable / Universal Life		Total
	(in thousands)
Balance, beginning of period	$	102,250	$	3,736,456	$	648,836	$	2,442,883	$	6,930,425
Capitalization	22,902		56,875		33,006		133,955		246,738
Amortization expense	(4,474)		(87,864)		(15,304)		(29,904)		(137,546)
Other	0		0		0		52		52
Balance, end of period	$	120,678	$	3,705,467	$	666,538	$	2,546,986	$	7,039,669

Deferred Reinsurance Losses ("DRL")

The following tables show a rollforward for the lines of business that contain DRL balances, along with a reconciliation to the Company's total DRL balance:

	Three Months Ended March 31, 2024
	Variable Annuities		Term Life		Total
	(in thousands)
Balance, beginning of period	$	194,110	$	61,003	$	255,113
Amortization expense	(7,040)		(1,971)		(9,011)
Other	1		0		1
Balance, end of period	$	187,071	$	59,032	$	246,103

	Three Months Ended March 31, 2023
	Variable Annuities		Term Life		Total
	(in thousands)
Balance, beginning of period	$	223,515	$	69,377	$	292,892
Amortization expense	(7,828)		(2,162)		(9,990)
Balance, end of period	$	215,687	$	67,215	$	282,902

Deferred Reinsurance Gains ("DRG")

The following tables show a rollforward for the lines of business that contain DRG balances, along with a reconciliation to the Company's total DRG balance:

	Three Months Ended March 31, 2024
	Fixed Annuities		Variable Annuities		Variable / Universal Life		Total
	(in thousands)
Balance, beginning of period	$	48,073	$	261,721	$	1,363,496	$	1,673,290
Amortization	(2,688)		(5,056)		(30,644)		(38,388)
Other(1)	(9)		(40)		1,069,315		1,069,266
Balance, end of period	$	45,376	$	256,625	$	2,402,167	$	2,704,168

(1)Other includes the impact of the Universal Life reinsurance transaction with PAR U, PURE and Prudential Insurance, including $1,186 million of DRG, partially offset by a $116 million write-off. See Note 11 for additional information.

	Three Months Ended March 31, 2023
	Fixed Annuities		Variable Annuities		Variable / Universal Life		Total
	(in thousands)
Balance, beginning of period	$	57,898	$	0	$	1,434,958	$	1,492,856
Amortization	(1,622)		0		(18,096)		(19,718)
Balance, end of period	$	56,276	$	0	$	1,416,862	$	1,473,138

Deferred Sales Inducements ("DSI")

The following table shows a rollforward of DSI balances for variable annuity products, which is the only line of business that contains a DSI balance, along with a reconciliation to the Company's total DSI balance:

	Three Months Ended March 31,
	2024		2023
	Variable Annuities
	(in thousands)
Balance, beginning of period	$	351,424	$	381,504
Capitalization	1,253		1,540
Amortization expense	(7,784)		(8,218)
Balance, end of period	$	344,893	$	374,826