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Reinsurance (Notes)
 12 Months Ended
Dec. 31, 2012
Insurance [Abstract]  
Reinsurance
Reinsurance

At December 31, 2012, the Company had reinsurance treaties with 6 unaffiliated reinsurers covering a significant portion of the mortality risks and guaranteed death benefits under its variable contracts.  As of December 31, 2012, the Company had one outstanding cession and a reinsurance treaty with its affiliate, Security Life of Denver International Limited ("SLDI"), to manage the reserve and capital requirements in connection with a portion of its deferred annuities business. The agreement is accounted for under the deposit method of accounting.

On October 1, 1998, the Company disposed of its individual life insurance business under an indemnity reinsurance arrangement with a subsidiary of Lincoln for $1.0 billion in cash.  Under the agreement, the Lincoln subsidiary contractually assumed from the Company certain policyholder liabilities and obligations, although the Company remains obligated to contract owners.  The Lincoln subsidiary established a trust to secure its obligations to the Company under the reinsurance transaction.

The Company assumed $25.0 of premium revenue from Aetna Life for the purchase and administration of a life contingent single premium variable payout annuity contract. In addition, the Company is also responsible for administering fixed annuity payments that are made to annuitants receiving variable payments. Reserves of $10.1 and $10.3 were maintained for this contract as of December 31, 2012 and 2011, respectively.

Reinsurance ceded in force for life mortality risks were $15.1 billion and $16.2 billion at December 31, 2012 and 2011, respectively. At December 31, 2012 and 2011, net receivables were comprised of the following:
 
2012
 
2011
Claims recoverable from reinsurers
$
2,153.8

 
$
2,276.3

Reinsured amounts due to reinsurers
(0.3
)
 
(0.3
)
Other
0.2

 
0.3

Total
$
2,153.7

 
$
2,276.3



Premiums were reduced by the following amounts for reinsurance ceded for the years ended December 31, 2012, 2011 and 2010.
 
2012
 
2011
 
2010
Premiums:
 
 
 
 
 
Direct premiums
$
36.2

 
$
34.0

 
$
67.6

Reinsurance assumed
—

 
0.1

 
—

Reinsurance ceded
(0.2
)
 
(0.2
)
 
(0.3
)
Net premiums
$
36.0

 
$
33.9

 
$
67.3