DERIVATIVE FINANCIAL INSTRUMENTS (Tables)

12 Months Ended

Dec. 31, 2019

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of realized investment gains (losses) - derivative financial instruments

The following table sets forth realized investments gains and losses for the periods shown:

Realized investment gains (losses) - derivative financial instruments

	For The Year Ended December 31,
	2019		2018		2017
	(Dollars In Thousands)
Derivatives related to VA contracts:
Interest rate futures	$	(20,012)	$	(25,473)	$	26,015
Equity futures	5,069		(88,208)		(91,776)
Currency futures	3,095		10,275		(23,176)
Equity options	(149,700)		38,083		(94,791)
Currency options	(94)		—		—
Interest rate swaptions	—		(14)		(2,490)
Interest rate swaps	229,641		(45,185)		27,981
Total return swaps	(78,014)		77,225		(32,240)
Embedded derivative - GLWB	(107,108)		(27,761)		(8,526)
Funds withheld derivative	145,140		(25,541)		138,228
Total derivatives related to VA contracts	28,017		(86,599)		(60,775)
Derivatives related to FIA contracts:
Embedded derivative	(85,573)		35,397		(55,878)
Equity futures	1,717		330		642
Equity options	84,079		(38,885)		44,585
Total derivatives related to FIA contracts	223		(3,158)		(10,651)
Derivatives related to IUL contracts:
Embedded derivative	(12,894)		9,062		(14,117)
Equity futures	420		261		(818)
Equity options	14,882		(6,338)		9,580
Total derivatives related to IUL contracts	2,408		2,985		(5,355)
Embedded derivative - Modco reinsurance treaties	(187,004)		166,757		(103,009)
Derivatives with PLC(1)	27,038		(902)		42,699
Other derivatives	(2,141)		14		50
Total realized gains (losses) - derivatives	$	(131,459)	$	79,097	$	(137,041)

(1)These derivatives include an interest support, YRT premium support, and portfolio maintenance agreements between certain of the Company’s subsidiaries and PLC.

Schedule of gain (loss) on derivatives in cash flow hedging relationship

The following tables present the components of the gain or loss on derivatives that qualify as a cash flow hedging relationship:

Gain (Loss) on Derivatives in Cash Flow Relationship

	Amount of Gains (Losses) Deferred in Accumulated Other Comprehensive Income (Loss) on Derivatives		Amount and Location of Gains (Losses) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (Loss)		Amount and Location of (Losses) Recognized in Income (Loss) on Derivatives
	(Effective Portion)		(Effective Portion)		(Ineffective Portion)
			Benefits and settlement expenses		Realized investment gains (losses)
	(Dollars In Thousands)
For The Year Ended December 31, 2019
Foreign currency swaps	$	(9,638)	$	(1,031)	$	—
Interest rate swaps	(2,743)		(1,247)		—
Total	$	(12,381)	$	(2,278)	$	—
For The Year Ended December 31, 2018
Foreign currency swaps	$	(812)	$	(798)	$	—
Interest rate swaps	(1,574)		(633)		—
Total	$	(2,386)	$	(1,431)	$	—
For The Year Ended December 31, 2017
Foreign currency swaps	$	(867)	$	(694)	$	—
Total	$	(867)	$	(694)	$	—

Notional amounts and fair values of derivative financial instruments

The table below presents information about the nature and accounting treatment of the Company’s primary derivative financial instruments and the location in and effect on the consolidated financial statements for the periods presented below:

	As of December 31,
	2019				2018
	Notional Amount		Fair Value		Notional Amount		Fair Value
	(Dollars In Thousands)
Other long-term investments
Derivatives not designated as hedging instruments:
Interest rate swaps	$	2,228,000	$	98,655	$	1,515,500	$	28,501
Total return swaps	269,772		941		138,070		3,971
Derivatives with PLC(1)	2,830,889		115,379		2,856,351		90,049
Embedded derivative - Modco reinsurance treaties	1,280,189		31,926		585,294		7,072
Embedded derivative - GLWB	1,147,436		62,538		1,919,861		54,221
Interest rate futures	896,073		7,557		286,208		10,302
Equity futures	159,901		2,109		12,633		483
Currency futures	72,593		131		—		—
Equity options	6,685,670		676,257		5,624,081		220,092
Other	—		—		157		136
	$	15,570,523	$	995,493	$	12,938,155	$	414,827
Other liabilities
Cash flow hedges:
Interest rate swaps	$	350,000	$	—	$	350,000	$	—
Foreign currency swaps	117,178		11,373		117,178		904
Derivatives not designated as hedging instruments:
Interest rate swaps	50,000		—		775,000		11,367
Total return swaps	579,675		3,229		768,177		23,054
Embedded derivative - Modco reinsurance treaties	2,263,685		231,516		1,795,287		32,828
Funds withheld derivative	1,845,649		70,583		1,992,562		95,142
Embedded derivative - GLWB	2,892,926		248,577		4,071,322		97,528
Embedded derivative - FIA	2,892,803		332,869		2,576,033		217,288
Embedded derivative - IUL	301,598		151,765		233,550		90,231
Interest rate futures	669,223		10,375		863,706		20,100
Equity futures	174,743		2,376		659,357		33,753
Currency futures	192,306		1,836		202,747		2,163
Equity options	4,827,714		429,434		4,199,687		34,178
Other	199,387		53,245		3,288		252
	$	17,356,887	$	1,547,178	$	18,607,894	$	658,788

(1)These derivatives include an interest support, YRT premium support, and portfolio maintenance agreements between certain of the Company’s subsidiaries and PLC.