Deferred Acquisition Costs and Deferred Sales Inducement Costs

3 Months Ended

Mar. 31, 2014

Deferred Acquisition Costs and Deferred Sales Inducement Costs

Deferred Acquisition Costs and Deferred Sales Inducement Costs

Deferred Acquisition Costs and Deferred Sales Inducement Costs

The balances of and changes in DAC were as follows:

	2014			2013
	(in millions)
Balance at January 1	$	2,663		$	2,399
Capitalization of acquisition costs	79			78
Amortization	(87		)	(75		)
Impact of change in net unrealized securities losses (gains)	(25		)	33
Balance at March 31	$	2,630		$	2,435

The balances of and changes in DSIC, which is included in other assets, were as follows:

	2014			2013
	(in millions)
Balance at January 1	$	409		$	404
Capitalization of sales inducement costs	1			2
Amortization	(13		)	(12		)
Impact of change in net unrealized securities losses (gains)	(5		)	3
Balance at March 31	$	392		$	397