INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Provision for Income Taxes

The provision for income taxes consisted of the following for the years ended December 31, 2022, 2021 and 2020:

	2022		2021		2020
	(in millions)
Current provision:
Federal	$	755	$	466	$	1,019
States and Puerto Rico	107		4		93
Total current provision	862		470		1,112
Deferred (benefit) expense	(100)		15		195
Provision for income taxes	$	762	$	485	$	1,307

Provision for Income Taxes Using Federal Statutory Rate

The provision for income taxes was different from the amount computed using the federal statutory rate for the years ended December 31, 2022, 2021 and 2020 due to the following:

	2022		2021		2020
	(in millions)
Income tax provision at federal statutory rate	$	750	$	718	$	982
States, net of federal benefit, and Puerto Rico	49		18		63
Tax exempt investment income	(3)		(3)		(5)
Nondeductible executive compensation	30		33		19
Non-taxable KAH gain	—		(264)		—
Tax effect from sale of KAH Hospice	(72)		—		—
Health insurance industry fee	—		—		268
Other, net	8		(17)		(20)
Provision for income taxes	$	762	$	485	$	1,307

Principal Components of Net Deferred Tax Balances

Principal components of our net deferred tax balances at December 31, 2022 and 2021 were as follows:

	Assets (Liabilities)
	2022		2021
	(in millions)
Net operating loss carryforward	$	105	$	291
Compensation and other accrued expense	158		186
Benefits payable	103		67
Deferred acquisition costs	43		33
Jobs tax credits	22		33
Other	16		25
Unearned revenues	7		8
Investment securities	454		—
Total deferred income tax assets	908		643
Valuation allowance	(57)		(65)
Total deferred income tax assets, net of valuation allowance	851		578
Depreciable property and intangible assets	(740)		(1,072)
Prepaid expenses	(132)		(102)
Investment securities	—		(98)
Other	(6)		(4)
Total deferred income tax liabilities	(878)		(1,276)
Total net deferred income tax liabilities	$	(27)	$	(698)