Deferred Policy Acquisition Costs

3 Months Ended

Mar. 31, 2013

Deferred Policy Acquisition Costs Disclosures [Abstract]

Deferred Policy Acquisition Costs

Deferred Policy Acquisition Costs

A progression of deferred policy acquisition costs is presented below (in millions):

	P&C			Annuity and Other (*)
	Deferred			Deferred			Sales			Present Value									Consolidated
	Costs			Costs			Inducements			of Future Profits			Unrealized			Total			Total
Balance at December 31, 2012	$	204		$	787		$	170		$	99		$	(710	)	$	346		$	550
Additions	119			34			2			—			—			36			155
Amortization:
Periodic amortization	(120		)	(27		)	(7		)	(4		)	—			(38		)	(158		)
Included in realized gains	—			(1		)	—			—			—			(1		)	(1		)
Change in unrealized	—			—			—			—			19			19			19
Balance at March 31, 2013	$	203		$	793		$	165		$	95		$	(691	)	$	362		$	565
Balance at December 31, 2011	$	189		$	916		$	189		$	144		$	(537	)	$	712		$	901
Additions	103			59			5			—			—			64			167
Periodic amortization	(101		)	(36		)	(8		)	(5		)	—			(49		)	(150		)
Change in unrealized	—			—			—			—			(2		)	(2		)	(2		)
Balance at March 31, 2012	$	191		$	939		$	186		$	139		$	(539	)	$	725		$	916

(*) Includes AFG’s run-off long-term care and life segment and Medicare supplement and critical illness segment (sold in August 2012).

The PVFP amounts in the table above are net of $188 million and $184 million of accumulated amortization at March 31, 2013 and December 31, 2012, respectively.