Derivatives and Hedging Activities (Tables)

3 Months Ended

Mar. 31, 2024

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of notional value and gross fair value of derivative instruments, including embedded derivatives

Generally, the Company uses derivatives as economic hedges and accounting hedges. The following table presents the notional value and gross fair value of derivative instruments, including embedded derivatives:

	March 31, 2024						December 31, 2023
	Notional		Gross Fair Value				Notional		Gross Fair Value
			Assets (1)		Liabilities (2)				Assets (1)		Liabilities (2)
	(in millions)
Derivatives designated as hedging instruments
Foreign exchange contracts – net investment hedges	$	—	$	—	$	—	$	61	$	—	$	3
Total qualifying hedges	—		—		—		61		—		3
Derivatives not designated as hedging instruments
Interest rate contracts	42,005		189		347		42,523		185		305
Equity contracts	90,473		6,823		4,592		83,080		5,034		3,464
Credit contracts	3,119		—		16		3,436		4		107
Foreign exchange contracts	3,257		25		4		3,262		22		4
Total non-designated hedges	138,854		7,037		4,959		132,301		5,245		3,880
Embedded derivatives
IUL	N/A		—		888		N/A		—		873
Fixed deferred indexed annuities and deposit receivables	N/A		54		56		N/A		51		52
Structured variable annuities (3)	N/A		—		1,620		N/A		—		1,011
SMC	N/A		—		9		N/A		—		9
Total embedded derivatives	N/A		54		2,573		N/A		51		1,945
Total derivatives	$	138,854	$	7,091	$	7,532	$	132,362	$	5,296	$	5,828

N/A  Not applicable.

(1) The fair value of freestanding derivative assets is included in Other assets and the fair value of ceded embedded derivative assets related to deposit receivables is included in Receivables.

(2) The fair value of freestanding derivative liabilities is included in Other liabilities. The fair value of IUL, fixed deferred indexed annuity and structured variable annuity embedded derivatives is included in Policyholder account balances, future policy benefits and claims. The fair value of the SMC embedded derivative liability is included in Customer deposits.

(3) The fair value of the structured variable annuity embedded derivatives as of March 31, 2024 included $1.6 billion of individual contracts in a liability position and $1 million of individual contracts in an asset position. The fair value of the structured variable annuity embedded derivatives as of December 31, 2023 included $1.0 billion of individual contracts in a liability position and $15 million of individual contracts in an asset position.

Summary of impact of derivatives not designated as hedging instruments, including embedded derivatives

The following table presents a summary of the impact of derivatives not designated as hedging instruments, including embedded derivatives, on the Consolidated Statements of Operations:

	Net Investment Income		Banking and Deposit Interest Expense		Distribution Expenses		Interest Credited to Fixed Accounts		Benefits, Claims, Losses and Settlement Expenses		Change in Fair Value of Market Risk Benefits		General and Administrative Expense
	(in millions)
Three Months Ended March 31, 2024
Interest rate contracts	$	—	$	—	$	—	$	—	$	(8)	$	(533)	$	—
Equity contracts	(2)		1		66		32		598		(559)		6
Credit contracts	—		—		(1)		—		—		65		—
Foreign exchange contracts	—		—		—		—		—		34		(3)
IUL embedded derivatives	—		—		—		(9)		—		—		—
Fixed deferred indexed annuity and deposit receivables embedded derivatives	—		—		—		(1)		—		—		—
Structured variable annuity embedded derivatives	—		—		—		—		(628)		—		—
SMC embedded derivatives	—		(1)		—		—		—		—		—
Total gain (loss)	$	(2)	$	—	$	65	$	22	$	(38)	$	(993)	$	3
Three Months Ended March 31, 2023
Interest rate contracts	$	—	$	—	$	—	$	—	$	6	$	247	$	—
Equity contracts	(1)		1		43		19		164		(462)		3
Credit contracts	—		—		1		—		—		(33)		—
Foreign exchange contracts	—		—		—		—		—		(8)		3
IUL embedded derivatives	—		—		—		(8)		—		—		—
Fixed deferred indexed annuity and deposit receivables embedded derivatives	—		—		—		(1)		—		—		—
Structured variable annuity embedded derivatives	—		—		—		—		(263)		—		—
SMC embedded derivatives	—		(2)		—		—		—		—		—
Total gain (loss)	$	(1)	$	(1)	$	44	$	10	$	(93)	$	(256)	$	6

Summary of payments to make and receive for options

The following is a summary of the payments the Company is scheduled to make and receive for these options as of March 31, 2024:

	Premiums Payable		Premiums Receivable
	(in millions)
2024 (1)	$	98	$	7
2025	120		20
2026	246		88
2027	20		—
2028	30		—
2029 - 2031	368		—
Total	$	882	$	115

(1) 2024 amounts represent the amounts payable and receivable for the period from April 1, 2024 to December 31, 2024.