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Deferred Acquisition Costs and Deferred Sales Inducement Costs
 12 Months Ended
Dec. 31, 2021
Deferred Charges, Insurers [Abstract]  
Deferred Acquisition Costs and Deferred Sales Inducement Costs
Management updates market-related inputs on a quarterly basis and implements model changes related to the living benefit valuation. In addition, management conducts its annual review of life insurance and annuity valuation assumptions relative to current experience and management expectations including modeling changes. These aforementioned changes are collectively referred to as unlocking. The impact of unlocking to DAC for the year ended December 31, 2021 primarily reflected a favorable impact from lower surrenders on variable annuities with living benefits and UL and VUL insurance products. The impact of unlocking to DAC for the year ended December 31, 2020 primarily reflected updates to interest rate assumptions, partially offset by a favorable impact from lower surrenders on annuity contracts with a withdrawal benefit. The impact of unlocking to DAC for the year ended December 31, 2019 primarily reflected updated mortality assumptions on UL and VUL insurance products and lower surrender rate assumptions on variable annuities, partially offset by an unfavorable impact from updates to assumptions on utilization of guaranteed withdrawal benefits.
The balances of and changes in DAC were as follows:
202120202019
(in millions)
Balance at January 1$2,532 $2,698 $2,776 
Capitalization of acquisition costs280 228 291 
Amortization(184)(177)(165)
Amortization, impact of valuation assumptions review60 (100)(14)
Impact of change in net unrealized (gains) losses on securities94 (117)(175)
Disposal of business— — (15)
Balance at December 31$2,782 $2,532 $2,698 
The balances of and changes in DSIC, which is included in Other assets, were as follows:
202120202019
(in millions)
Balance at January 1$189 $218 $251 
Capitalization of sales inducement costs1 1 1 
Amortization(16)(13)(15)
Amortization, impact of valuation assumptions review2 (16)— 
Impact of change in net unrealized (gains) losses on securities13 (1)(19)
Balance at December 31$189 $189 $218