DERIVATIVES (Tables)

3 Months Ended

Mar. 31, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments by Category

The tables below present quantitative disclosures about the Company’s derivative instruments, including those embedded in other contracts required to be accounted for as derivative instruments:

The following table presents the gross notional amount and estimated fair value of the Company’s derivatives:

Derivative Instruments by Category

	March 31, 2023						December 31, 2022
			Fair Value						Fair Value
	Notional Amount		Derivative Assets		Derivative Liabilities		Notional Amount		Derivative Assets		Derivative Liabilities
	(in millions)
Derivatives: (1)
Equity contracts:
Futures	$	944	$	—	$	—	$	394	$	—	$	—
Options	751		194		78		209		34		16
Interest rate contracts:
Futures	306		—		—		282		—		—
Other contracts:
Margin	—		62		—		—		29		—
Collateral	—		—		99		—		—		3
Total:	2,001		256		177		885		63		19
Embedded derivatives:
MSO, SCS and IUL indexed features (2)	—		—		288		—		—		87
Total embedded derivatives	—		—		288		—		—		87
Total derivative instruments	$	2,001	$	256	$	465	$	885	$	63	$	106

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(1)Reported in other invested assets in the balance sheets.

(2)Reported in policyholders’ account balances in the balance sheets.

The following table presents the effects of derivative instruments on the statements of income and comprehensive income (loss).

	Three Months Ended March 31,
	2023		2022
	Net Derivatives Gain (Losses)		Net Derivatives Gain (Losses)
	(in millions)
Derivatives:
Equity contracts:
Futures	$	16	$	(9)
Options	6		—
Interest rate contracts:
Futures	20		(12)
Total:	42		(21)
Embedded derivatives:
MSO, SCS and IUL indexed features	(36)		13
Total Embedded Derivatives	(36)		13
Total Derivatives instruments (1)	$	6	$	(8)

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(1)Reported in net derivative gains (losses) in the statements of income (loss).

Schedule of Offsetting Financial Assets and Liabilities and Derivative Instruments

The following tables presents information about the Company’s offsetting of financial assets and liabilities and derivative instruments as of March 31, 2023 and December 31, 2022:

Offsetting of Financial Assets and Liabilities and Derivative Instruments

As of March 31, 2023

	Gross Amount Recognized		Gross Amount Offset in the Balance Sheets		Net Amount Presented in the Balance Sheets		Gross Amount not Offset in the Balance Sheets (1)		Net Amount
	(in millions)
Assets:
Derivative assets	$	256	$	177	$	79	$	—	$	79
Other financial assets	3		—		3		—		3
Other invested assets	$	259	$	177	$	82	$	—	$	82
Liabilities:
Derivative liabilities	$	177	$	177	$	—	$	—	$	—
Other financial liabilities	182		—		182		—		182
Other liabilities	$	359	$	177	$	182	$	—	$	182

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(1)Financial instruments sent (held).

As of December 31, 2022

	Gross Amount Recognized		Gross Amount Offset in the Balance Sheets		Net Amount Presented in the Balance Sheets		Gross Amount not Offset in the Balance Sheets (1)		Net Amount
	(in millions)
Assets:
Derivative assets	$	63	$	18	$	45	$	—	$	45
Other financial assets	2		—		2		—		2
Other invested assets	$	65	$	18	$	47	$	—	$	47
Liabilities:
Derivative liabilities	$	19	$	18	$	1	$	—	$	1
Other financial liabilities	72		—		72		—		72
Other liabilities	$	91	$	18	$	73	$	—	$	73

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(1)Financial instruments sent (held).