Income Taxes (Tables)

12 Months Ended

Dec. 31, 2018

Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]

A reconciliation of federal income tax expense computed by applying the federal income tax rate of 21% in 2018 and 35% in 2017 and 2016 to income (loss) before federal income tax expense is as follows:



	Years Ended December 31,
	2018					2017					2016
	Amount			%		Amount			%		Amount			%
	(In thousands)
Expected tax expense (benefit)	$	420		21.0	%	$	(1,045	)	35.0	%	$	1,919		35.0	%
Foreign income tax rate differential	(8,133		)	(406.3	)	—			—		—			—
Taxable stock sales	—			—		—			—		263			4.8
Tax-exempt interest and dividends-received deduction	(227		)	(11.3	)	(360		)	12.1		(553		)	(10.1	)
Adjustment of prior year taxes	113			5.6		68			(2.3	)	29			0.5
Effect of graduated rates	—			—		(140		)	4.7		(57		)	(1.0	)
Effect of uncertain tax position	2,612			130.5		(355		)	11.9		1,672			30.5
Nondeductible costs to remediate tax compliance issue	(366		)	(18.3	)	(384		)	12.9		241			4.4
Subpart F income	18,403			919.2		—			—		—			—
Tax reform re-measurement	68			3.4		35,718			(1,196.2	)	—			—
Goodwill impairment	—			—		1,621			(54.3	)	—			—
Other	174			8.8		18			(0.7	)	—			—
Total income tax expense	$	13,064		652.6	%	$	35,141		(1,176.9	)%	$	3,514		64.1	%

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]

Income tax expense consists of:



	Years Ended December 31,
	2018			2017	2016
	(In thousands)
Current	$	(49,569	)	14,454	13,348
Deferred	62,633			20,687	(9,834	)
Total income tax expense	$	13,064		35,141	3,514

Schedule of Deferred Tax Assets and Liabilities [Table Text Block]

The components of deferred federal income taxes are as follows:



	December 31,
	2018			2017
	(In thousands)
Deferred tax assets:
Future policy benefit reserves	$	2,795		78,372
Net operating and capital loss carryforwards	191			485
Accrued expenses	30			65
Investments	1,841			6,002
Deferred intercompany loss	5,190			—
Other	309			276
Total gross deferred tax assets	10,356			85,200
Deferred tax liabilities:
Deferred policy acquisition costs, cost of customer relationships acquired and intangible assets	(8,745		)	(25,518	)
Unrealized gains on investments available-for-sale	(1,968		)	(8,297	)
Accrued policyholder dividends	—			(441	)
Tax reserves transition liability	(4,864		)	—
Other	(488		)	(147	)
Total gross deferred tax liabilities	(16,065		)	(34,403	)
Net deferred tax asset (liability)	$	(5,709	)	50,797

Change in Deferred Tax Liability [Table Text Block]

A summary of the changes in the components of deferred federal and state income taxes is as follows:



	December 31,
	2018			2017
	(In thousands)
Deferred federal and state income taxes:
Balance January 1,	$	50,797		76,869
Deferred tax benefit	(62,633		)	(20,687	)
Investments available-for-sale	6,153			(5,570	)
Effects of unrealized gains on DAC, CCRA and reserves	(26		)	(103	)
Reclassification of MGLIC NOL from current taxes payable	—			288
Balance December 31,	$	(5,709	)	50,797

Schedule of Unrecognized Tax Benefits Roll Forward [Table Text Block]

A reconciliation of unrecognized tax benefits is as follows:



	Years ended December 31,
	2018			2017	2016
	(In thousands)

Balance at January 1,	$	95,831		85,762	78,079
Additions based on tax positions related to the current year	—			7,384	3,546
Additions for tax positions of prior years	2,268			2,685	4,706
Reductions for tax positions of prior years	(53,258		)	—	(569	)
Balance December 31,	$	44,841		95,831	85,762