Deferred Policy Acquisition Costs (Tables)

12 Months Ended

Dec. 31, 2023

The table below shows the deferred policy acquisition costs and asset reconciliation:


(Dollars in millions)	Years ended December 31,
	2023		2022		2021
Property casualty:
Deferred policy acquisition costs asset, January 1	$	682	$	602	$	542
Capitalized deferred policy acquisition costs	1,488		1,383		1,211
Amortized deferred policy acquisition costs	(1,421)		(1,303)		(1,151)
Deferred policy acquisition costs asset, December 31	$	749	$	682	$	602

Life:
Deferred policy acquisition costs asset, January 1	$	331	$	314	$	296
Capitalized deferred policy acquisition costs	42		44		43
Amortized deferred policy acquisition costs	(29)		(27)		(25)

Deferred policy acquisition costs asset, December 31	$	344	$	331	$	314

Consolidated:
Deferred policy acquisition costs asset, January 1	$	1,013	$	916	$	838
Capitalized deferred policy acquisition costs	1,530		1,427		1,254
Amortized deferred policy acquisition costs	(1,450)		(1,330)		(1,176)

Deferred policy acquisition costs asset, December 31	$	1,093	$	1,013	$	916

The table below shows the life deferred policy acquisition costs asset by product:


(Dollars in millions)
Year ended December 31, 2023	Term		Whole life		Deferred annuity		Universal life		Total
Balance, beginning of period	$	228	$	43	$	7	$	53	$	331
Capitalized deferred policy acquisition costs	30		8		2		2		42
Amortized deferred policy acquisition costs	(22)		(3)		(1)		(3)		(29)
Balance, end of period	$	236	$	48	$	8	$	52	$	344

Year ended December 31, 2022
Balance, beginning of period	$	215	$	38	$	7	$	54	$	314
Capitalized deferred policy acquisition costs	34		7		1		2		44
Amortized deferred policy acquisition costs	(21)		(2)		(1)		(3)		(27)
Balance, end of period	$	228	$	43	$	7	$	53	$	331

Year ended December 31, 2021
Balance, beginning of period	$	201	$	35	$	6	$	54	$	296
Capitalized deferred policy acquisition costs	35		5		1		2		43
Amortized deferred policy acquisition costs	(21)		(2)		—		(2)		(25)
Balance, end of period	$	215	$	38	$	7	$	54	$	314