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Fair Value of Assets and Liabilities
 9 Months Ended
Sep. 30, 2024
Fair Value Disclosures [Abstract]  
Fair Value of Assets and Liabilities FAIR VALUE OF ASSETS AND LIABILITIES
Fair Value Measurement - Fair value represents the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The authoritative fair value guidance establishes a framework for measuring fair value that includes a hierarchy used to classify the inputs used in measuring fair value. The level in the fair value hierarchy within which the fair value measurement falls is determined based on the lowest level input that is significant to the fair value measurement. The levels of the fair value hierarchy are as follows:

Level 1 – Fair value is based on unadjusted quoted prices in active markets that are accessible to the Company for identical assets or liabilities.

Level 2 – Fair value is based on significant inputs, other than quoted prices included in Level 1, that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset or liability through corroboration with observable market data. Level 2 inputs include quoted prices in active markets for similar assets and liabilities, quoted prices in markets that are not active for identical or similar assets or liabilities, and other market observable inputs.

Level 3 – Fair value is based on at least one significant unobservable input for the asset or liability. The assets and liabilities in this category may require significant judgment or estimation in determining the fair value.

For a discussion of the Company's valuation methodologies for assets and liabilities measured at fair value and the fair value hierarchy, see Note 5 to the Consolidated Financial Statements included in the Company's Annual Report on Form 10-K for the year ended December 31, 2023.
Assets and Liabilities by Hierarchy Level – The tables below present the balances of assets and liabilities reported at fair value on a recurring basis, as of the dates indicated.
 September 30, 2024
 Level 1Level 2Level 3Netting(1)Total
 (in thousands)
Fixed maturities, available-for-sale:
U.S. Treasury securities and obligations of U.S. government authorities and agencies$0 $1,429,055 $0 $$1,429,055 
Obligations of U.S. states and their political subdivisions0 587,630 0 587,630 
Foreign government securities0 382,865 657 383,522 
U.S. corporate public securities0 13,061,196 0 13,061,196 
U.S. corporate private securities0 5,021,603 850,609 5,872,212 
Foreign corporate public securities0 3,462,127 7,177 3,469,304 
Foreign corporate private securities0 4,928,028 462,829 5,390,857 
Asset-backed securities(2)0 2,879,198 610,842 3,490,040 
Commercial mortgage-backed securities0 815,182 80,254 895,436 
Residential mortgage-backed securities0 377,554 0 377,554 
Subtotal0 32,944,438 2,012,368 34,956,806 
Market risk benefit assets0 0 2,499,234 2,499,234 
Fixed maturities, trading0 3,454,406 52,863 3,507,269 
Equity securities506,870 16,439 29,240 552,549 
Short-term investments0 399,350 105,198 504,548 
Cash equivalents0 1,695,500 118 1,695,618 
Other invested assets(4)7,030 11,606,879 794 (11,606,316)8,387 
Other assets0 0 509,723 509,723 
Reinsurance recoverables0 0 201,559 201,559 
Receivables from parent and affiliates0 152,105 339,041 491,146 
Subtotal excluding separate account assets513,900 50,269,117 5,750,138 (11,606,316)44,926,839 
Separate account assets(5)(6)280,132 116,410,586 10,117 116,700,835 
Total assets$794,032 $166,679,703 $5,760,255 $(11,606,316)$161,627,674 
Market risk benefit liabilities$0 $0 $4,915,163 $ $4,915,163 
Policyholders' account balances0 0 11,854,608 11,854,608 
Payables to parent and affiliates0 22,036,023 0 (20,037,749)1,998,274 
Other liabilities(7)1,708 26,546 693 (1,695)27,252 
Total liabilities$1,708 $22,062,569 $16,770,464 $(20,039,444)$18,795,297 

 
 December 31, 2023
 Level 1Level 2Level 3Netting(1)Total
 (in thousands)
Fixed maturities, available-for-sale:
U.S. Treasury securities and obligations of U.S. government authorities and agencies$0 $975,287 $0 $$975,287 
Obligations of U.S. states and their political subdivisions0 776,627 0 776,627 
Foreign government securities0 281,304 682 281,986 
U.S. corporate public securities0 9,495,912 0 9,495,912 
U.S. corporate private securities0 4,476,258 513,236 4,989,494 
Foreign corporate public securities0 1,698,965 7,129 1,706,094 
Foreign corporate private securities0 4,137,004 493,978 4,630,982 
Asset-backed securities(2)0 1,928,428 99,122 2,027,550 
Commercial mortgage-backed securities0 773,663 78,115 851,778 
Residential mortgage-backed securities0 396,070 0 396,070 
Subtotal0 24,939,518 1,192,262 26,131,780 
Market risk benefit assets0 0 2,367,243 2,367,243 
Fixed maturities, trading0 2,762,398 34,048 2,796,446 
Equity securities(3)790,346 11,285 28,709 830,340 
Short-term investments31,879 280,228 1,759 313,866 
Cash equivalents447,396 1,196,729 0 1,644,125 
Other invested assets(4)23,432 9,022,304 1 (9,028,019)17,718 
Other assets0 0 224,019 224,019 
Reinsurance recoverables0 0 69,745 69,745 
Receivables from parent and affiliates0 147,984 0 147,984 
Subtotal excluding separate account assets1,293,053 38,360,446 3,917,786 (9,028,019)34,543,266 
Separate account assets(5)(6)176,239 113,747,569 5,985 113,929,793 
Total assets$1,469,292 $152,108,015 $3,923,771 $(9,028,019)$148,473,059 
Market risk benefit liabilities$0 $0 $5,144,401 $ $5,144,401 
Policyholders' account balances0 0 7,689,929 7,689,929 
Payables to parent and affiliates0 21,239,770 0 (18,588,647)2,651,123 
Other liabilities(7)8,032 6,340 0 (8,032)6,340 
Total liabilities$8,032 $21,246,110 $12,834,330 $(18,596,679)$15,491,793 
(1)“Netting” amounts represent cash collateral of $(8,433) million and $(9,569) million as of September 30, 2024 and December 31, 2023, respectively, and the impact of offsetting asset and liability positions held with the same counterparty, subject to master netting agreements.
(2)Includes credit-tranched securities collateralized by loan obligations, education loans, auto loans and home equity loans.
(3)Equity securities excluded from the fair value hierarchy include a fund for which fair value is measured at net asset value ("NAV") per share (or its equivalent) as a practical expedient. As of December 31, 2023, the fair value of this investment was $14.6 million.
(4)Other invested assets excluded from the fair value hierarchy include certain hedge funds, private equity funds and other funds for which fair value is measured at NAV per share (or its equivalent) as a practical expedient. As of September 30, 2024 and December 31, 2023, the fair value of such investments was $48 million and $67 million, respectively.
(5)Separate account assets represent segregated funds that are invested for certain customers. Investment risks associated with market value changes are borne by the customers, except to the extent of minimum guarantees made by the Company with respect to certain accounts. Separate account liabilities are not included in the above table as they are reported at contract value and not fair value in the Company's Unaudited Interim Consolidated Statements of Financial Position.
(6)Separate account assets included in the fair value hierarchy exclude investments in entities that calculate NAV per share (or its equivalent) as a practical expedient. Such investments excluded from the fair value hierarchy include investments in real estate, hedge funds and a corporate owned life insurance fund. As of September 30, 2024 and December 31, 2023, the fair value of such investments was $6,078 million and $5,259 million, respectively.
(7)Other liabilities includes embedded derivatives associated with reinsurance agreements.
Quantitative Information Regarding Internally Priced Level 3 Assets and Liabilities – The tables below present quantitative information regarding significant internally-priced Level 3 assets and liabilities.
 September 30, 2024
 Fair Value  Valuation  
Techniques		Unobservable InputsMinimum  MaximumWeighted Average  Impact of 
Increase in 
Input on 
Fair Value(1)(2)
 (in thousands)
Assets:
Corporate securities(3)$1,255,960 Discounted cash flowDiscount rate6.66 %20 %11.66 %Decrease
Market comparablesEBITDA multiples(4)5.0 X5.0 X5.0 XIncrease
Commercial mortgage-backed securities$80,254 Discounted cash flowLiquidity premium1.00 %1.00 %1.00 %Decrease
Market risk benefit assets(5)$2,499,234 Discounted cash flowLapse rate(6)1 %20 %Increase
Spread over SOFR(7)0.37 %1.85 %Increase
Utilization rate(8)37 %94 %Decrease
Withdrawal rateSee table footnote (9) below.
Mortality rate(10)0 %16 %Increase
Equity volatility curve15 %25 %Decrease
Other assets(11)$509,723 Discounted cash flowLapse rate(6)1 %50 %Decrease
Spread over SOFR(7)0.37 %1.84 %Decrease
Option budget(13)0 %6 %Increase
Reinsurance Recoverables$201,559 Discounted cash flowLapse rate(6)0 %80 %Decrease
Spread over SOFR(7)0.37 %1.84 %Decrease
Option budget(13)(1)%7 %Increase
Receivables from parent and affiliates$319,181 LiquidationLiquidation value100 %100 %100 %Increase
Liabilities:
Market risk benefit liabilities(5)$4,915,163 Discounted cash flowLapse rate(6)1 %20 %Decrease
Spread over SOFR(7)0.37 %1.85 %Decrease
Utilization rate(8)37 %94 %Increase
Withdrawal rateSee table footnote (9) below.
Mortality rate(10)0 %16 %Decrease
Equity volatility curve15 %25 %Increase
Policyholders' account balances(12)$11,854,608 Discounted cash flowLapse rate(6)0 %80 %Decrease
Spread over SOFR(7)0.37 %1.85 %Decrease
Mortality rate(10)0 %23 %Decrease
Option budget(13)(1)%7 %Increase
 December 31, 2023
 Fair Value     Valuation  
Techniques		  Unobservable
Inputs  		Minimum  Maximum    Weighted  Average  Impact of 
Increase in 
Input on 
Fair Value(1)(2)
 (in thousands)
Assets:
Corporate securities(3)$81,635 Discounted cash flowDiscount rate6.98 %20 %9.73 %Decrease
LiquidationLiquidation value63.62 %63.62 %63.62 %Increase
Commercial mortgage-backed securities$78,115 Discounted cash flowLiquidity premium0.60 %0.75 %0.71 %Decrease
Market risk benefit assets(5)$2,367,243 Discounted cash flowLapse rate(6)1 %20 %Increase
Spread over SOFR(7)0.41 %1.91 %Increase
Utilization rate(8)38 %95 %Decrease
Withdrawal rateSee table footnote (9) below.
Mortality rate(10)0 %15 %Increase
Equity volatility curve15 %25 %Decrease
Other assets(11)$224,019 Discounted cash flowLapse rate(6)1 %80 %Increase
Spread over SOFR(7)0.41 %1.85 %Increase
Mortality rate(10)0 %23 %Increase
Option budget(13)(1)%7 %Decrease
Liabilities:
Market risk benefit liabilities(5)$5,144,401 Discounted cash flowLapse rate(6)1 %20 %Decrease
Spread over SOFR(7)0.41 %1.91 %Decrease
Utilization rate(8)38 %95 %Increase
Withdrawal rateSee table footnote (9) below.
Mortality rate(10)0 %15 %Decrease
Equity volatility curve15 %25 %Increase
Policyholders' account balances(12)$7,689,929 Discounted cash flowLapse rate(6)1 %80 %Decrease
Spread over SOFR(7)0.41 %1.85 %Decrease
Mortality rate(10)0 %23 %Decrease
Option budget(13)(1)%7 %Increase
(1)Conversely, the impact of a decrease in input would have the opposite impact on fair value as that presented in the table.
(2)Directional impacts for MRB assets and liabilities are associated with the directional impacts of direct and assumed MRBs.
(3)Includes assets classified as fixed maturities, available-for-sale.
(4)Represents multiples of earnings before interest, taxes, depreciation and amortization ("EBITDA"), and are amounts used when the Company has determined that market participants would use such multiples when valuing the investments.
(5)Market risk benefits primarily represent fair value for all living benefit guarantees including accumulation, withdrawal and income benefits. Since the valuation methodology for these assets and liabilities uses a range of inputs that vary at the contract level over the cash flow projection period, presenting a range, rather than weighted average, is a more meaningful representation of the unobservable inputs used in the valuation.
(6)Lapse rates for contracts with living benefit guarantees are adjusted at the contract level based on the in-the-moneyness of the living benefit and reflect other factors, such as the applicability of any surrender charges. Lapse rates are reduced when contracts are more in-the-money. Lapse rates for contracts with index-linked crediting guarantees may be adjusted at the contract level based on the applicability of any surrender charges, product type, and market related factors such as interest rates. Lapse rates are also generally assumed to be lower for the period where surrender charges apply. For any given contract, lapse rates vary throughout the period over which cash flows are projected for the purposes of valuing these balances.
(7)The spread over the Secured Overnight Financing Rate (“SOFR”) swap curve represents the premium added to the proxy for the risk-free rate (SOFR) to reflect the Company’s estimates of rates that a market participant would use to value the living benefits in both the accumulation and payout phases and index-linked interest crediting guarantees as of September 30, 2024 and December 31, 2023, respectively. This spread includes an estimate of non-performance risk ("NPR"), which is the risk that the obligation will not be fulfilled by the Company. NPR is primarily estimated by utilizing the credit spreads associated with issuing funding agreements, adjusted for any illiquidity risk premium. In order to reflect the financial strength ratings of the Company, credit spreads associated with funding agreements, as opposed to credit spread associated with debt, are utilized in developing this estimate because funding agreements are insurance liabilities and are therefore senior to debt. Effective April 2023, the Company entered into an agreement with The Ohio National Life Insurance Company, now known as AuguStar Life Insurance Company ("AuguStar"), an affiliate of Constellation Insurance Holdings, Inc., to reinsure approximately $10 billion of account values of Prudential Defined Income ("PDI") traditional variable annuity contracts with guaranteed living and death benefits. See Note 11 for additional information regarding this transaction. As a result of this transaction, a ceded MRB asset balance was established to fair value the reinsurance reimbursements to the Company. The establishment of the fair value also required an estimate of NPR for AuguStar, which may differ from the Company's; however, the NPR spreads for AuguStar were developed using a methodology similar to that of the Company.
(8)The utilization rate assumption estimates the percentage of contracts that will utilize the benefit during the contract duration and begin lifetime withdrawals at various time intervals from contract inception. The remaining contractholders are assumed to either begin lifetime withdrawals immediately or never utilize the benefit. Utilization assumptions may vary by product type, tax status and age. The impact of changes in these assumptions is highly dependent on the product type, the age of the contractholder at the time of the sale, and the timing of the first lifetime income withdrawal. Range reflects the utilization rate for the vast majority of business with living benefits.
(9)The withdrawal rate assumption estimates the magnitude of annual contractholder withdrawals relative to the maximum allowable amount under the contract. These assumptions vary based on the age of the contractholder, the tax status of the contract and the duration since the contractholder began lifetime withdrawals. As of September 30, 2024 and December 31, 2023, the minimum withdrawal rate assumption is 78% and 81%, respectively. As of September 30, 2024 and December 31, 2023 the maximum withdrawal rate assumption may be greater than 100%. The fair value of the liability will generally increase the closer the withdrawal rate is to 100% and decrease as the withdrawal rate moves further away from 100%.
(10)The range reflects the mortality rates for the vast majority of business with living benefits and other contracts, with policyholders ranging from 50 to 90 years old. While the majority of living benefits have a minimum age requirement, certain other contracts do not have an age restriction. This results in contractholders with mortality rates approaching 0% for certain benefits. Mortality rates may vary by product, age, and duration. A mortality improvement assumption is also incorporated into the overall mortality table.
(11)Includes deposit assets related to reinsurance agreements using deposit method of accounting, which include amounts representing the fair value of embedded derivative instruments associated with the index-linked features of certain annuity products.
(12)Policyholders’ account balances primarily represent general account liabilities for the index-linked interest credited on certain of the Company’s life and annuity products that are accounted for as embedded derivatives. Since the valuation methodology for these liabilities uses a range of inputs that vary at the contract level over the cash flow projection period, presenting a range, rather than a weighted average, is a more meaningful representation of the unobservable inputs used in the valuation.
(13)Option budget estimates the expected long-term cost of options used to hedge exposures associated with equity price and interest rate changes. The level of option budget determines future costs of the options, which impacts the growth in account value and the valuation of embedded derivatives.

Interrelationships Between Unobservable Inputs – In addition to the sensitivities of fair value measurements to changes in each unobservable input in isolation, as reflected in the table above, interrelationships between these inputs may also exist, such that a change in one unobservable input may give rise to a change in another or multiple inputs. Examples of such interrelationships for significant internally-priced Level 3 assets and liabilities are as follows:

Corporate Securities – The rate used to discount future cash flows reflects current risk-free rates plus credit and liquidity spread requirements that market participants would use to value an asset. The discount rate may be influenced by many factors, including market cycles, expectations of default, collateral, term, and asset complexity. Each of these factors can influence discount rates, either in isolation, or in response to other factors. During weaker economic cycles, as the expectations of default increase, credit spreads widen, which results in a decrease in fair value.

Commercial Mortgage-backed Securities – Interrelationships may exist between the prepayment rate, the default rate and/or loss severity, depending on specific market conditions. In stronger economic cycles, prepayment rates are generally driven by underlying property appreciation and subsequent cash-out refinances, while default rates and loss severity may be lower. During weaker economic cycles, prepayment rates may decline, while default rates and loss severity increase. Generally, a change in the assumption used for the probability of default would be accompanied by a directionally similar change in the assumption used for the loss severity and a directionally opposite change in the assumption used for prepayment rates. The impact of these factors on average life and economics varies with the deal structure and tranche subordination.

Market Risk Benefits – The Company expects efficient benefit utilization and withdrawal rates to generally be correlated with lapse rates. However, behavior is generally highly dependent on the facts and circumstances surrounding the individual contractholder, such as their liquidity needs or tax situation, which could drive lapse behavior independent of other contractholder behavior assumptions. To the extent more efficient contractholder behavior results in greater in-the-moneyness at the contract level, lapse rates may decline for those contracts. Similarly, to the extent that increases in equity volatility are correlated with overall declines in the capital markets, lapse rates may decline as contracts become more in-the-money.
Changes in Level 3 Assets and Liabilities – The following tables describe changes in fair values of Level 3 assets and liabilities as of the dates indicated, as well as the portion of gains or losses included in income attributable to unrealized gains or losses related to those assets and liabilities still held at the end of their respective periods (excluding MRBs disclosed in Note 10). When a determination is made to classify assets and liabilities within Level 3, the determination is based on significance of the unobservable inputs in the overall fair value measurement. All transfers are based on changes in the observability of the valuation inputs, including the availability of pricing service information that the Company can validate. Transfers into Level 3 are generally the result of unobservable inputs utilized within valuation methodologies and the use of indicative broker quotes for assets that were previously valued using observable inputs. Transfers out of Level 3 are generally due to the use of observable inputs in valuation methodologies as well as the availability of pricing service information for certain assets that the Company can validate.
Three Months Ended September 30, 2024(6)
Fair Value, beginning of periodTotal realized and unrealized gains (losses)PurchasesSalesIssuancesSettlementsOther(1)Transfers into Level 3(7)Transfers out of Level 3(7)Fair Value, end of periodUnrealized gains (losses) for assets still held(2)
(in thousands)
Fixed maturities, available-for-sale:
Foreign government$664 $(7)$0 $0 $0 $0 $0 $0 $0 $657 $(9)
Corporate securities(3)1,005,175 (4,778)540,137 (223,172)0 (28,144)12 31,385 0 1,320,615 (1,374)
Structured securities(4)668,035 6,232 40,941 0 0 (20,113)0 0 (3,999)691,096 6,710 
Other assets:
Fixed maturities, trading240,820 158 7,252 0 0 0 0 18,842 (214,209)52,863 184 
Equity securities28,330 910 0 0 0 0 0 0 0 29,240 910 
Other invested assets763 31 0 0 0 0 0 0 0 794 31 
Short-term investments2,674 (41)102,151 0 0 (62)476 0 0 105,198 (41)
Cash equivalents605 0 2 0 0 0 (489)0 0 118 0 
Other assets363,440 9,774 62,471 0 0 (14,009)88,047 0 0 509,723 (4,234)
Receivables from parent and affiliates181,319 19 157,703 0 0 0 0 0 0 339,041 19 
Reinsurance recoverables(5)127,289 17,856 51,231 0 0 0 5,183 0 0 201,559 (26,796)
Separate account assets9,799 230 820 (732)0 0 0 0 0 10,117 231 
Liabilities:
Policyholders' account balances(5)(10,083,258)(1,098,107)0 0 (718,242)0 44,999 0 0 (11,854,608)269,505 
Other liabilities(207)(486)0 0 0 0 0 0 0 (693)(486)
Three Months Ended September 30, 2024
Total realized and unrealized gains (losses)Unrealized gains (losses) for assets still held(2)
Realized investment gains (losses), netOther income (loss)Interest credited to policyholders' account balancesIncluded in other comprehensive income (loss)Net investment incomeRealized investment gains (losses), netOther income (loss)Interest credited to policyholders' account balancesIncluded in other comprehensive income (loss)
(in thousands)
Fixed maturities, available-for-sale$(15,515)$0 $0 $17,745 $(783)$(12,047)$0 $0 $17,374 
Other assets:
Fixed maturities, trading0 183 0 0 (25)0 184 0 0 
Equity securities0 910 0 0 0 0 910 0 0 
Other invested assets31 0 0 0 0 31 0 0 0 
Short-term investments(41)0 0 0 0 (41)0 0 0 
Cash equivalents0 0 0 0 0 0 0 0 0 
Other assets9,774 0 0 0 0 (4,234)0 0 0 
Receivables from parent and affiliates0 0 0 19 0 0 0 0 19 
Reinsurance recoverables17,856 0 0 0 0 (26,796)0 0 0 
Separate account assets0 0 230 0 0 0 0 231 0 
Liabilities:
Policyholders' account balances(1,098,107)0 0 0 0 269,505 0 0 0 
Other liabilities(486)0 0 0 0 (486)0 0 0 
Nine Months Ended September 30, 2024(6)
Fair Value, beginning of periodTotal realized and unrealized gains (losses)PurchasesSalesIssuancesSettlementsOther
(1)		Transfers into Level 3(7)Transfers out of Level 3(7)Fair Value, end of periodUnrealized gains (losses) for assets still held(2)
(in thousands)
Fixed maturities, available-for-sale:
Foreign government$682 $(25)$0 $0 $0 $0 $0 $0 $0 $657 $(32)
Corporate securities(3)1,014,343 (21,696)868,927 (353,874)0 (153,944)(65,468)32,327 0 1,320,615 (18,051)
Structured securities(4)177,237 5,839 562,469 0 0 (73,308)65,480 34,578 (81,199)691,096 6,810 
Other assets:
Fixed maturities, trading34,048 (740)232,379 0 0 (2,261)0 18,842 (229,405)52,863 (706)
Equity securities28,709 258 273 0 0 0 0 0 0 29,240 258 
Other invested assets1 793 0 0 0 0 0 0 0 794 793 
Short-term investments1,759 (37)104,457 (8)0 (1,449)476 0 0 105,198 (49)
Cash equivalents0 0 607 0 0 0 (489)0 0 118 0 
Other assets224,019 61,199 176,503 0 0 (40,045)88,047 0 0 509,723 21,154 
Receivables from parent and affiliates0 19 390,221 (51,199)0 0 0 0 0 339,041 19 
Reinsurance recoverables69,745 (7,851)134,482 0 0 0 5,183 0 0 201,559 (105,511)
Separate account assets5,985 531 5,258 (1,990)0 (125)0 458 0 10,117 533 
Liabilities:
Policyholders' account balances(5)(7,689,929)(2,387,292)0 0 (1,824,316)0 46,929 0 0 (11,854,608)1,100,681 
Other liabilities0(693)0000000(693)(693)
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Nine Months Ended September 30, 2024
Total realized and unrealized gains (losses)Unrealized gains (losses) for assets still held(2)
Realized investment gains (losses), netOther income (loss)Interest credited to policyholders' account balancesIncluded in other comprehensive income (loss)Net investment incomeRealized investment gains (losses), netOther income (loss)Interest credited to policyholders' account balancesIncluded in other comprehensive income (loss)
(in thousands)
Fixed maturities, available-for-sale$(19,778)$0 $0 $3,157 $739 $(12,822)$0 $0 $1,549 
Other assets:
Fixed maturities, trading0 (715)0 0 (25)0 (706)0 0 
Equity securities0 258 0 0 0 0 258 0 0 
Other invested assets793 0 0 0 0 793 0 0 0 
Short-term investments(49)0 0 0 12 (49)0 0 0 
Cash equivalents0 0 0 0 0 0 0 0 0 
Other assets61,199 0 0 0 0 21,154 0 0 0 
Receivables from parent and affiliates0 0 0 19 0 0 0 0 19 
Reinsurance recoverables(7,851)0 0 0 0 (105,511)0 0 0 
Separate account assets0 0 531 0 0 0 0 533 0 
Liabilities:
Policyholders' account balances(2,387,292)0 0 0 0 1,100,681 0 0 0 
Other liabilities(693)0 0 0 0 (693)0 0 0 
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Three Months Ended September 30, 2023(6)
Fair Value, beginning of periodTotal realized and unrealized gains (losses)PurchasesSalesIssuancesSettlementsOther(1)Transfers into Level 3(7)Transfers out of Level 3(7)Fair Value, end of periodUnrealized gains (losses) for assets still held(2)
(in thousands)
Fixed maturities, available-for-sale:
Foreign government$701 $(15)$0 $0 $0 $0 $0 $0 $0 $686 $(17)
Corporate securities(3)721,247 (27,838)182,465 (10,882)0 (27,762)(708)117,152 (9,088)944,586 (28,256)
Structured securities(4)146,339 (3,871)53,352 0 0 (339)0 2,297 (7,600)190,178 (3,836)
Other assets:
Fixed maturities, trading0 18 0 0 0 0 707 0 0 725 18 
Equity securities43,374 (1,219)2,531 0 0 0 0 0 0 44,686 (1,219)
Short-term investments1,209 0 802 0 0 (1,427)0 0 0 584 0 
Other assets217,613 25,539 33,850 0 0 (6,512)0 0 0 270,490 19,028 
Reinsurance recoverables1,465 14,079 0 0 0 0 0 0 0 15,544 14,079 
Separate account assets4,982 (7)1,049 (524)0 0 0 0 0 5,500 (6)
Liabilities:
Policyholders' account balances(5)(5,513,449)(107,528)0 0 (413,219)0 28,467 0 0 (6,005,729)(273,135)
Three Months Ended September 30, 2023
Total realized and unrealized gains (losses)Unrealized gains (losses) for assets still held(2)
Realized investment gains (losses), netOther income (loss)Interest credited to policyholders' account balancesIncluded in other comprehensive income (loss)Net investment incomeRealized investment gains (losses), netOther income (loss)Interest credited to policyholders' account balancesIncluded in other comprehensive income (loss)
(in thousands)
Fixed maturities, available-for-sale$(1,048)$0 $0 $(31,183)$507 $(674)$0 $0 $(31,435)
Other assets:
Fixed maturities, trading0 18 0 0 0 0 18 0 0 
Equity securities0 (1,219)0 0 0 0 (1,219)0 0 
Short-term investments0 0 0 0 0 0 0 0 0 
Other assets25,539 0 0 0 0 19,028 0 0 0 
Reinsurance recoverables14,079 0 0 0 0 14,079 0 0 0 
Separate account assets0 0 (7)0 0 0 0 (6)0 
Liabilities:
Policyholders' account balances(107,528)0 0 0 0 (273,135)0 0 0 
Nine Months Ended September 30, 2023(6)
Fair Value, beginning of periodTotal realized and unrealized gains (losses)PurchasesSalesIssuancesSettlementsOther(1)Transfers into Level 3(7)Transfers out of Level 3(7)Fair Value, end of periodUnrealized gains (losses) for assets still held(2)
(in thousands)
Fixed maturities, available-for-sale:
Foreign government$724 $(38)$0 $0 $0 $0 $0 $0 $0 $686 $(46)
Corporate securities(3)507,496 (20,639)493,339 (39,721)0 (104,604)651 117,152 (9,088)944,586 (21,842)
Structured securities(4)104,724 (7,070)200,659 (27)0 (1,677)0 4,537 (110,968)190,178 (6,965)
Other assets:
Fixed maturities, trading0 18 6,250 0 0 0 707 0 (6,250)725 18 
Equity securities28,593 (2,030)2,531 0 0 0 15,592 0 0 44,686 (2,030)
Short-term investments16,945 2,573 3,490 0 0 (21,065)(1,359)0 0 584 51 
Other assets141,041 33,559 107,453 0 0 (11,563)0 0 0 270,490 21,997 
Reinsurance recoverables0 15,544 0 0 0 0 0 0 0 15,544 15,544 
Separate account assets4,645 250 1,889 (1,124)0 (160)0 0 0 5,500 249 
Liabilities:
Policyholders' account balances(5)(3,502,096)(1,355,011)0 0 (1,251,457)0 102,835 0 0 (6,005,729)(508,105)
Nine Months Ended September 30, 2023
Total realized and unrealized gains (losses)Unrealized gains (losses) for assets still held(2)
Realized investment gains (losses), netOther income (loss)Interest credited to policyholders' account balancesIncluded in other comprehensive income (loss)Net investment incomeRealized investment gains (losses), netOther income (loss)Interest credited to policyholders' account balancesIncluded in other comprehensive income (loss)
(in thousands)
Fixed maturities, available-for-sale$(1,861)$0 $0 $(26,743)$857 $(2,693)$0 $0 $(26,160)
Other assets:
Fixed maturities, trading0 18 0 0 0 0 18 0 0 
Equity securities0 (2,030)0 0 0 0 (2,030)0 0 
Short-term investments1,857 0 0 (73)789 0 0 0 51 
Other assets33,559 0 0 0 0 21,997 0 0 0 
Reinsurance recoverables15,544 0 0 0 0 15,544 0 0 0 
Separate account assets0 0 250 0 0 0 0 249 0 
Liabilities:
Policyholders' account balances(1,355,011)0 0 0 0 (508,105)0 0 0 
(1)"Other" includes additional activity not allocated to the specific categories within the rollforward of Level 3 Assets and Liabilities.
(2)Unrealized gains or losses related to assets still held at the end of the period do not include amortization or accretion of premiums and discounts.
(3)Includes U.S. corporate private, foreign corporate public, and foreign corporate private securities.
(4)Includes asset-backed and commercial mortgage-backed securities.
(5)Purchases/issuances and settlements for Policyholders' account balances and Reinsurance recoverables are presented net in the rollforward.
(6)Excludes MRB assets of $2,499 million and $2,519 million and MRB liabilities of $4,915 million and $4,371 million for the periods ended September 30, 2024 and 2023, respectively. See Note 10 for additional information.
(7)Transfers into or out of Level 3 are generally reported at the value as of the beginning of the quarter in which the transfers occur for any such positions still held at the end of the quarter.
Fair Value of Financial Instruments

The tables below present the carrying amount and fair value by fair value hierarchy level of certain financial instruments that are not reported at fair value. The financial instruments presented below are reported at carrying value on the Company’s Unaudited Interim Consolidated Statements of Financial Position. In some cases, as described below, the carrying amount equals or approximates fair value.
 September 30, 2024
 Fair ValueCarrying
Amount(1)
 Level 1Level 2Level 3TotalTotal
 (in thousands)
Assets:
Commercial mortgage and other loans$0 $0 $7,166,012 $7,166,012 $7,223,568 
Policy loans0 0 1,524,636 1,524,636 1,524,636 
Short-term investments34,101 0 0 34,101 34,101 
Cash and cash equivalents1,343,092 275,000 0 1,618,092 1,618,092 
Accrued investment income0 444,591 0 444,591 444,591 
Reinsurance recoverables0 0 23,875 23,875 25,147 
Receivables from parent and affiliates0 127,113 0 127,113 127,113 
Other assets0 39,144 2,152,332 2,191,476 2,191,476 
Total assets$1,377,193 $885,848 $10,866,855 $13,129,896 $13,188,724 
Liabilities:
Policyholders’ account balances - investment contracts$0 $836,916 $9,050,023 $9,886,939 $9,899,498 
Cash collateral for loaned securities0 330,370 0 330,370 330,370 
Payables to parent and affiliates0 70,009 0 70,009 70,009 
Other liabilities0 3,024,889 31,606 3,056,495 3,056,495 
Total liabilities$0 $4,262,184 $9,081,629 $13,343,813 $13,356,372 
 December 31, 2023
 Fair ValueCarrying
Amount(1)
 Level 1Level 2Level 3TotalTotal
 (in thousands)
Assets:
Commercial mortgage and other loans$0 $0 $5,918,386 $5,918,386 $6,122,721 
Policy loans0 0 1,472,677 1,472,677 1,472,677 
Short-term investments66,500 0 0 66,500 66,500 
Cash and cash equivalents470,668 24,999 0 495,667 495,667 
Accrued investment income0 333,838 0 333,838 333,838 
Reinsurance recoverables0 0 22,155 22,155 23,537 
Receivables from parent and affiliates0 184,599 0 184,599 184,599 
Other assets0 80,646 1,489,983 1,570,629 1,570,629 
Total assets$537,168 $624,082 $8,903,201 $10,064,451 $10,270,168 
Liabilities:
Policyholders’ account balances - investment contracts$0 $955,647 $5,396,885 $6,352,532 $6,368,061 
Cash collateral for loaned securities0 218,310 0 218,310 218,310 
Short-term debt to affiliates0 176,110 0 176,110 180,411 
Payables to parent and affiliates0 16,573 0 16,573 16,573 
Other liabilities0 2,121,861 32,423 2,154,284 2,154,283 
Total liabilities$0 $3,488,501 $5,429,308 $8,917,809 $8,937,638 
(1) Carrying values presented herein differ from those in the Company’s Unaudited Interim Consolidated Statements of Financial Position because certain items within the respective financial statement captions are not considered financial instruments or are out of scope under authoritative guidance relating to disclosures of the fair value of financial instruments.