8. Variable Annuity and Insurance Guarantees

The majority of the variable annuity contracts offered by the Company contain guaranteed minimum death benefit (“GMDB”) provisions. The Company also offers variable annuities with death benefit provisions that gross up the amount payable by a certain percentage of contract earnings, which are referred to as gain gross-up (“GGU”) benefits. In addition, the Company offers contracts with GMWB and GMAB provisions. The Company previously offered contracts containing guaranteed minimum income benefit (“GMIB”) provisions.

Certain UL policies offered by the Company provide secondary guarantee benefits. The secondary guarantee ensures that, subject to specified conditions, the policy will not terminate and will continue to provide a death benefit even if there is insufficient policy value to cover the monthly deductions and charges.

The following table provides information related to variable annuity guarantees for which the Company has established additional liabilities:

	March 31, 2013							December 31, 2012
Variable Annuity Guarantees by Benefit Type(1)	Total Contract Value		Contract Value in Separate Accounts		Net Amount at Risk(2)		Weighted Average Attained Age	Total Contract Value		Contract Value in Separate Accounts		Net Amount at Risk(2)		Weighted Average Attained Age
	(in millions, except age)
GMDB:
Return of premium	$	48,049	$	46,289	$	41	63	$	45,697	$	43,942	$	61	63
Five/six-year reset	11,382		8,874		78		63	11,233		8,722		115		63
One-year ratchet	7,552		7,126		61		65	7,367		6,933		106		65
Five-year ratchet	1,681		1,627		2		61	1,616		1,563		3		61
Other	978		952		48		68	912		885		62		68
Total — GMDB	$	69,642	$	64,868	$	230	63	$	66,825	$	62,045	$	347	63

GGU death benefit	$	990	$	939	$	104	63	$	958	$	907	$	93	63

GMIB	$	432	$	406	$	56	66	$	425	$	399	$	72	66

GMWB:
GMWB	$	3,980	$	3,962	$	15	66	$	3,898	$	3,880	$	34	66
GMWB for life	30,330		30,199		140		65	28,588		28,462		263		64
Total — GMWB	$	34,310	$	34,161	$	155	65	$	32,486	$	32,342	$	297	64

GMAB	$	3,936	$	3,924	$	2	57	$	3,773	$	3,762	$	5	57

(1) Individual variable annuity contracts may have more than one guarantee and therefore may be included in more than one benefit type. Variable annuity contracts for which the death benefit equals the account value are not shown in this table.

(2) Represents the current guaranteed benefit amount in excess of the current contract value. GMIB, GMWB and GMAB benefits are subject to waiting periods and payment periods specified in the contract.

Changes in additional liabilities for variable annuity and insurance guarantees were as follows:

	GMDB & GGU			GMIB			GMWB			GMAB			UL
	(in millions)
Balance at January 1, 2012	$	5		$	9		$	1,377		$	237		$	111
Incurred claims	—			(2		)	(624		)	(119		)	17
Paid claims	(2		)	—			—			—			(4		)
Balance at March 31, 2012	$	3		$	7		$	753		$	118		$	124

Balance at January 1, 2013	$	4		$	9		$	799		$	103		$	155
Incurred claims	1			—			(480		)	(80		)	17
Paid claims	(1		)	—			—			—			(3		)
Balance at March 31, 2013	$	4		$	9		$	319		$	23		$	169

The liabilities for guaranteed benefits are supported by general account assets.

The following table summarizes the distribution of separate account balances by asset type for variable annuity contracts providing guaranteed benefits:

	March 31, 2013		December 31, 2012
	(in millions)
Mutual funds:
Equity	$	33,375	$	32,054
Bond	26,477		26,165
Other	4,209		3,991
Total mutual funds	$	64,061	$	62,210