Liability For Future Policy Benefits (Tables)

6 Months Ended

Jun. 30, 2024

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, 2024
	Present Value of Expected Net Premiums
	Term Life		Fixed Annuities		Total
	(in thousands)
Balance, beginning of period	$	10,927,833	$	0	$	10,927,833
Effect of cumulative changes in discount rate assumptions, beginning of period	225,711		0		225,711
Balance at original discount rate, beginning of period	11,153,544		0		11,153,544
Effect of assumption update	21,466		0		21,466
Effect of actual variances from expected experience and other activity	(127,507)		(380)		(127,887)
Adjusted balance, beginning of period	11,047,503		(380)		11,047,123
Issuances	403,742		18,328		422,070
Net premiums / considerations collected	(661,611)		(17,948)		(679,559)
Interest accrual	254,945		0		254,945
Other adjustments	(78)		0		(78)
Balance at original discount rate, end of period	11,044,501		0		11,044,501
Effect of cumulative changes in discount rate assumptions, end of period	(577,768)		0		(577,768)
Balance, end of period	$	10,466,733	$	0	$	10,466,733

	Six Months Ended June 30, 2024
	Present Value of Expected Future Policy Benefits
	Term Life		Fixed Annuities		Total
	(in thousands)
Balance, beginning of period	$	18,426,207	$	228,788	$	18,654,995
Effect of cumulative changes in discount rate assumptions, beginning of period	331,571		19,521		351,092
Balance at original discount rate, beginning of period	18,757,778		248,309		19,006,087
Effect of assumption update	21,480		(3,643)		17,837
Effect of actual variances from expected experience and other activity	(153,025)		(130)		(153,155)
Adjusted balance, beginning of period	18,626,233		244,536		18,870,769
Issuances	403,742		18,328		422,070
Interest accrual	444,536		4,453		448,989
Benefit payments	(721,798)		(15,519)		(737,317)
Other adjustments	1,103		(150)		953
Balance at original discount rate, end of period	18,753,816		251,648		19,005,464
Effect of cumulative changes in discount rate assumptions, end of period	(1,064,363)		(24,870)		(1,089,233)
Balance, end of period	$	17,689,453	$	226,778	$	17,916,231
Other, end of period					1,633
Total balance, end of period					$	17,917,864

	Six Months Ended June 30, 2024
	Net Liability for Future Policy Benefits (Benefit Reserves)
	Term Life		Fixed Annuities		Total
	(in thousands)
Balance, end of period, pre-flooring	$	7,222,720	$	226,778	$	7,449,498
Flooring impact, end of period	44		0		44
Balance, end of period, post-flooring	7,222,764		226,778		7,449,542
Less: Reinsurance recoverables	6,518,048		18,453		6,536,501
Balance after reinsurance recoverables, end of period, post-flooring	$	704,716	$	208,325	$	913,041

	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, pre-flooring	$	7,145,646	$	220,094	$	7,365,740
Flooring impact, end of period	0		0		0
Balance, end of period, post-flooring	$	7,145,646	$	220,094	$	7,365,740
Less: Reinsurance recoverables	6,614,071		17,835		6,631,906
Balance after reinsurance recoverables, end of period, post-flooring	$	531,575	$	202,259	$	733,834

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, 2024
	Term Life			Fixed Annuities
	($ in thousands)
Undiscounted expected future gross premiums	$	21,795,982		$	0
Discounted expected future gross premiums (at original discount rate)	$	14,920,888		$	0
Discounted expected future gross premiums (at current discount rate)	$	14,173,894		$	0
Undiscounted expected future benefits and expenses	$	29,155,998		$	337,236
Interest accrual	$	189,591		$	4,453
Gross premiums	$	901,158		$	21,461
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)	9			6
Weighted-average interest rate (at original discount rate)	5.15		%	3.83		%
Weighted-average interest rate (at current discount rate)	5.53		%	5.47		%

	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		%

The balances of and changes in DPL as of and for the periods indicated are as follows:

	Six Months Ended June 30,
	2024		2023
	Fixed Annuities
	(in thousands)
Balance, beginning of period, post-flooring	$	14,818	$	18,193
Effect of assumption update	2,110		0
Effect of actual variances from expected experience and other activity	412		(5,092)
Adjusted balance, beginning of period	17,340		13,101
Profits deferred	3,389		2,088
Interest accrual	319		294
Amortization	(1,025)		(973)
Other adjustments	(16)		(8)
Balance, end of period, post-flooring	20,007		14,502
Less: Reinsurance recoverables	1,439		1,558
Balance after reinsurance recoverables, end of period	$	18,568	$	12,944

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

	Six Months Ended June 30,
	2024		2023
	(in thousands)
Balance, including amounts in AOCI, beginning of period, post-flooring	$	14,280,793	$	12,664,445
Flooring impact and amounts in AOCI	831,583		1,269,237
Balance, excluding amounts in AOCI, beginning of period, pre-flooring	15,112,376		13,933,682
Effect of assumption update	154,058		22,910
Effect of actual variances from expected experience and other activity	161,320		26,204
Adjusted balance, beginning of period	15,427,754		13,982,796
Assessments collected(1)	586,734		513,593
Interest accrual	261,019		237,869
Benefits paid	(158,757)		(151,097)
Balance, excluding amounts in AOCI, end of period, pre-flooring	16,116,750		14,583,161
Flooring impact and amounts in AOCI	(1,642,621)		(1,094,298)
Balance, including amounts in AOCI, end of period, post-flooring	14,474,129		13,488,863
Less: Reinsurance recoverables	14,286,902		13,268,534
Balance after reinsurance recoverables, including amounts in AOCI, end of period	$	187,227	$	220,329

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

	Six Months Ended June 30,
	2024			2023
	($ in thousands)
Interest accrual	$	261,019		$	237,869
Gross assessments	$	903,426		$	785,370
Weighted-average duration of the liability in years (at original discount rate)	22			22
Weighted-average interest rate (at original discount rate)	3.40		%	3.39		%

The following table presents the reconciliation of the ending balances from the above rollforwards, Benefit Reserves, DPL, and AIR, 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,
	2024		2023
	(in thousands)
Benefit reserves, end of period, post-flooring	$	7,449,542	$	7,365,740
Deferred profit liability, end of period, post-flooring	20,007		14,502
Additional insurance reserves, including amounts in AOCI, end of period, post-flooring	14,474,129		13,488,863
Subtotal of amounts disclosed above	21,943,678		20,869,105
Other Future policy benefits reserves(1)	1,086,901		1,108,889
Total Future policy benefits	$	23,030,579	$	21,977,994

(1)Primarily 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, DPL, and AIR, 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, 2024
	Revenues(1)
	Term Life		Variable/ Universal Life		Fixed Annuities		Total
	(in thousands)
Benefit reserves	$	901,158	$	0	$	21,461	$	922,619
Deferred profit liability	0		0		(5,187)		(5,187)
Additional insurance reserves	0		903,426		0		903,426
Total	$	901,158	$	903,426	$	16,274	$	1,820,858

	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

(1)Represents "Gross premiums" for benefit reserves; "Revenue" for DPL and "Gross assessments" for AIR.

	Six Months Ended June 30, 2024
	Interest Expense
	Term Life		Variable/ Universal Life		Fixed Annuities		Total
	(in thousands)
Benefit reserves	$	189,591	$	0	$	4,453	$	194,044
Deferred profit liability	0		0		319		319
Additional insurance reserves	0		261,019		0		261,019
Total	$	189,591	$	261,019	$	4,772	$	455,382

	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