Financial Services, Insurance (Tables)

12 Months Ended

Dec. 31, 2023

Liability for Future Policy Benefit, Activity

The following tables summarize balances and changes in the present value of expected net premiums, present value of expected future policyholder benefits and net liability for future policyholder benefits as of and for the years ended December 31, 2023, 2022 and 2021 was:


DOLLARS IN MILLIONS		Year Ended
		Dec 31, 2023		Dec 31, 2022		Dec 31, 2021
Present Value of Expected Net Premiums	Balance, Beginning of Period	$	688.6	$	669.0	$	396.0

	Beginning Balance at Original Discount Rate	$	728.9	$	599.8	$	325.6
	Effect of Changes in Cash Flow Assumptions	(35.7)		68.5		124.3
	Effect of Actual Variances from Expected Experience	(38.5)		(6.4)		64.7
	Adjusted Beginning of Period Balance	654.7		661.9		514.6
	Issuances	105.2		133.2		133.2
	Interest Accrual	29.7		21.9		17.4
	Net Premiums Collected	(94.9)		(88.1)		(65.4)
	Ending Balance at Original Discount Rate	694.7		728.9		599.8
	Effect of Changes in Discount Rate Assumptions	(19.3)		(40.3)		69.2
	Balance, End of Period	$	675.4	$	688.6	$	669.0
Present Value of Expected Future Policyholder Benefits	Balance, Beginning of Period	$	3,561.0	$	4,933.1	$	4,924.9

	Beginning Balance at Original Discount Rate	$	3,906.2	$	3,788.1	$	3,550.3
	Effect of Changes in Cash Flow Assumptions	(59.0)		77.2		130.0
	Effect of Actual Variances From Expected Experience	(45.5)		(7.0)		65.1
	Adjusted Beginning of Period Balance	3,801.7		3,858.3		3,745.4
	Issuances	104.6		133.2		134.4
	Interest Accrual	171.0		164.0		162.1
	Benefit Payments	(241.4)		(249.3)		(253.8)
	Ending Balance at Original Discount Rate	3,835.9		3,906.2		3,788.1
	Effect of Changes in Discount Rate Assumptions	(222.7)		(345.2)		1,145.0
	Balance, End of Period	$	3,613.2	$	3,561.0	$	4,933.1
	Net Liability for Future Policyholder Benefits	$	2,937.8	$	2,872.4	$	4,264.1
	Less: Reinsurance Recoverable	—		—		—
	Net Liability for Future Policyholder Benefits, After Reinsurance Recoverable	$	2,937.8	$	2,872.4	$	4,264.1

Weighted-Average Liability Duration

The weighted-average liability duration of the liability for future policyholder benefits as calculated under current rates is as follows:


	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021
Weighted-Average Liability Duration of the Liability for Future Policyholder Benefits (Years)	15.3	14.6	18.2

NOTE 7. LIABILITY FOR FUTURE POLICYHOLDER BENEFITS (Continued)

Reconciliation of Net Liability for Future Policyholder Benefits

The reconciliation of the net liability for future policyholder benefits to Life and Health Insurance Reserves in the Consolidated Balance Sheets is as follows:


DOLLARS IN MILLIONS	Dec 31, 2023		Dec 31, 2022


Net Liability for Future Policyholder Benefits	$	2,937.8	$	2,872.4
Deferred Profit Liability	337.8		253.6
Other1	146.8		150.2
Total Life and Health Insurance Reserves	$	3,422.4	$	3,276.2

1Other primarily consists of Accident and Health and Universal Life reserves

Undiscounted Expected Gross Premiums and Expected Future Benefit Payments

The amounts of expected undiscounted future benefit payments, expected undiscounted future gross premiums and expected discounted future gross premiums, were as follows:


DOLLARS IN MILLIONS	Dec 31, 2023		Dec 31, 2022
Expected Future Benefit Payments, undiscounted	$	10,185.2	$	10,137.2
Expected Future Gross Premiums, undiscounted	$	4,107.9	$	4,436.8
Expected Future Gross Premiums, discounted	$	2,800.6	$	2,844.4

Liability for Future Policy Benefits Interest Expense and Premiums

The amount of revenue and interest recognized in the Consolidated Statements of Loss is as follows:


	Year Ended
DOLLARS IN MILLIONS	Dec 31, 2023		Dec 31, 2022		Dec 31, 2021
Gross Premiums or Assessments	$	399.0	$	392.1	$	380.3
Interest Expense	$	141.3	$	142.1	$	144.9

Weighted Average Interest Rate for Future Policyholder Benfits

The weighted-average interest rate is as follows:


	Dec 31, 2023		Dec 31, 2022
Interest Accretion Rate	4.57	%	4.60	%
Current Discount Rate	5.08	%	5.30	%

Policyholder Account Balance

The balances of and changes in Deferred Profit Liability as of and for the years indicated are as follows:


DOLLARS IN MILLIONS	Dec 31, 2023		Dec 31, 2022		Dec 31, 2021
Balance, beginning of period	$	253.6	$	193.4	$	112.7
Annual assumption changes	15.0		(12.7)		(4.6)
Profits deferred	163.1		164.7		176.3
Interest accrual	13.2		10.4		6.8
Amortization	(111.2)		(101.6)		(97.6)
Effect of actual variances from expected experience and other changes	4.1		(0.6)		(0.2)
Balance, end of period	$	337.8	$	253.6	$	193.4