6. Sales Inducements

9 Months Ended

Sep. 30, 2012

Notes to Financial Statements

Sales Inducements

The Company currently offers bonus payments to contract owners on certain of its individual life and annuity products. Expenses incurred related to bonus payments are deferred and amortized over the life of the related contracts in a pattern consistent with the amortization of deferred policy acquisition costs. The Company unlocks the assumption used in the amortization of the deferred sales inducement asset consistent with the unlock of assumptions used in determining EGPs. Deferred sales inducements are included in other assets on the balance sheets and amortization of deferred sales inducements is included in other operating expense on the statements of comprehensive income.

Changes in Deferred Sales Inducement Activity:	Three Months Ended							Nine Months Ended
($ in millions)	September 30,							September 30,
	2012			2011				2012			2011
				As restated and amended							As restated and amended
Deferred asset, beginning of period	$	47.3			$	40.1		$	49.6			$	20.4
Sales inducements deferred		2.9				12.2			12.6				38.1
Amortization charged to income		(2.3	)			(0.5	)		(6.2	)			(6.7	)
Offsets to net unrealized investment gains or losses   included in AOCI		10.2				(11.1	)		2.1				(11.1	)
Deferred asset, end of period	$	58.1			$	40.7		$	58.1			$	40.7