INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2019

Income Tax Disclosure [Abstract]

Schedule of reconciliation of effective income tax rate related to continuing operations

The Company’s effective income tax rate related to continuing operations varied from the maximum federal income tax rate as follows:

	For The Year Ended December 31,
	2019		2018		2017
Statutory federal income tax rate applied to pre-tax income	21.0	%	21.0	%	35.0	%
State income taxes	0.4		4.2		0.3
Investment income not subject to tax	(1.6)		(4.5)		(4.7)
Prior period adjustments	0.1		1.6		(1.1)
Federal Tax law changes	—		—		(184.8)
Other	(0.8)		(0.6)		0.5
	19.1	%	21.7	%	(154.8)	%

Schedule of components of income tax

The components of the Company’s income tax are as follows:

	For The Year Ended December 31,
	2019		2018		2017
	(Dollars In Thousands)
Current income tax expense:
Federal	$	381,202	$	113,925	$	39,042
State	9,112		9,699		(2,477)
Total current	$	390,314	$	123,624	$	36,565
Deferred income tax expense:
Federal	$	(254,184)	$	(73,364)	$	(757,748)
State	(5,666)		3,401		2,774
Total deferred	$	(259,850)	$	(69,963)	$	(754,974)

Schedule of components of the Company's net deferred income tax liability

The components of the Company’s net deferred income tax liability are as follows:

	As of December 31,
	2019		2018
	(Dollars In Thousands)
Deferred income tax assets:
Loss and credit carryforwards	$	132,295	$	127,168
Deferred compensation	55,559		58,533
Deferred policy acquisition costs	217,967		113,959
Premium on non-recourse funding obligations	784		905
Net unrealized loss on investments	—		373,292
Valuation allowance	(9,153)		(8,629)
	397,452		665,228
Deferred income tax liabilities:
Premium receivables and policy liabilities	211,458		339,555
VOBA and other intangibles	596,756		478,561
Invested assets (other than unrealized gains (losses))	557,763		720,108
Net unrealized gains on investments	376,288		—
Other	27,157		25,343
	1,769,422		1,563,567
Net deferred income tax liability	$	(1,371,970)	$	(898,339)

Schedule of reconciliation of the beginning and ending amount of unrecognized tax benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

	For The Year Ended December 31,
	2019		2018		2017
	(Dollars In Thousands)
Balance, beginning of period	$	7,134	$	11,353	$	9,856
Additions for tax positions of the current year	—		—		1,857
Additions for tax positions of prior years	—		—		70
Reductions of tax positions of prior years:
Changes in judgment	—		(4,219)		(430)
Settlements during the period	(5,343)		—		—
Lapses of applicable statute of limitations	—		—		—
Balance, end of period	$	1,791	$	7,134	$	11,353