DAC AND OTHER DEFERRED ASSETS/LIABILITIES (Tables)

3 Months Ended

Mar. 31, 2023

Contract holder Bonus Interest Credits [Abstract]

Schedule of Deferred Policy Acquisition Costs

The following table summarizes the balance of and changes in DAC on January 1, 2021 resulting from the adoption of ASU 2018-12:

	Variable Universal Life		Indexed Universal Life		Total
	(in millions)
Balance, December 31, 2020	$	230	$	247	$	477
Adjustment for reversal of balances recorded in Accumulated Other Comprehensive Income	70		40		110
Balance, January 1, 2021	$	300	$	287	$	587

Changes in the DAC asset for the three months ended March 31, 2023 and 2022 were as follows:

	VUL (1)		IUL (2)		GMxB Core		Investment Edge		SCS		Total
	(in millions)
Balance, beginning of the period	$	410	$	296	$	40	$	1	$	13	$	760
Capitalization	17		3		9		5		42		76
Amortization	(6)		(4)		(1)		—		(1)		(12)
Balance, March 31, 2023	$	421	$	295	$	48	$	6	$	54	$	824

______________

(1)    “VUL” defined as Variable Universal Life.

(2)    “IUL” defined as Indexed Universal Life.

	VUL (1)		IUL (2)		GMxB Core		Investment Edge		SCS		Total
	(in millions)
Balance, beginning of the period	$	361	$	297	$	14	$	—	$	—	$	672
Capitalization	17		5		4		—		—		26
Amortization	(5)		(5)		—		—		—		(10)
Balance, March 31, 2022	$	373	$	297	$	18	$	—	$	—	$	688

______________

(1)    “VUL” defined as Variable Universal Life.

(2)    “IUL” defined as Indexed Universal Life.

Changes in the Sales Inducement Assets for the three months ended March 31, 2023 and 2022 were as follows:

	Three Months Ended March 31,
	2023		2022
	GMxB Core
	(in millions)
Balance, beginning of the period	$	1	$	—
Capitalization	—		—
Amortization	—		—
Balance, end of the period	$	1	$	—

Changes in the Unearned Revenue Liability for the three months ended March 31, 2023 and 2022 were as follows:

	Three Months Ended March 31,
	2023				2022
	VUL		IUL		VUL		IUL
	(in millions)
Balance, beginning of the period	$	159	$	157	$	118	$	94
Capitalization	13		17		12		18
Amortization	(2)		(3)		(2)		(2)
Balance, end of the period	$	170	$	171	$	128	$	110

Schedule of Reconciliation of Deferred Acquisition Cost

The following table presents a reconciliation of DAC to the balance sheet.

	March 31, 2023		December 31, 2022
	(in millions)
VUL	$	421	$	410
IUL	295		296
GMxB Core	48		40
Investment Edge	6		1
SCS	54		13
Total	$	824	$	760