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LIABILITIES FOR FUTURE POLICYHOLDER BENEFITS (Tables)
 3 Months Ended
Mar. 31, 2024
Insurance [Abstract]  
Schedule of Policyholder Account Balance and Liability for Unpaid Claims and Claims Adjustment Expense
The following tables reconcile the net liability for future policy benefits and liability of death benefits to the liability for future policy benefits in the consolidated balance sheets:
March 31, 2024December 31, 2023
(in millions)
Reconciliation
Payout - Legacy$447 $340 
UL (1)347 344 
Other (2)371 365 
Subtotal1,165 1,049 
Other policy funds (3)
636 604 
Grand total$1,801 $1,653 
______________
(1)Represents the SOP NLG Rider on UL contracts assumed from Equitable Financial.
(2)Primarily future policy benefits related to Protective Life & Annuity and Employee Benefits.
(3)Includes $439 million of URL of which $436 million is covered in Note 5 of the Notes to these Consolidated Financial Statements.
Schedule of Policyholder Account Balance
The following tables summarize balances and changes in the liability for future policy benefits for nonparticipating traditional and limited pay contracts.
The payout annuities result from annuitization of current contracts. Inflows are the liquidation of the account values not premiums:
Three Months Ended March 31,
Payout-Legacy
20242023
(Dollars in millions)
Present Value of Expected Future Policy Benefits
Balance, beginning of period$340 $— 
Beginning balance of original discount rate333 — 
Effect of changes in cash flow assumptions— — 
Effect of actual variances from expected experience— — 
Adjusted beginning of period balance333 — 
Issuances119 — 
Interest accrual4 — 
Benefits payments(8)— 
Ending balance at original discount rate448 — 
Effect of changes in discount rate assumptions(1)— 
Balance, end of period$447 $— 
Net liability for future policy benefits$447 $— 
Less: Reinsurance recoverable— — 
Net liability for future policy benefits, after reinsurance recoverable$447 $— 
Weighted-average duration of liability for future policyholder benefits (years)7.7— 
The following tables reconcile the policyholders account balances to the policyholders’ account balance liability in the consolidated balance sheets:
March 31, 2024December 31, 2023
(in millions)
Policyholders’ account balance reconciliation
UL$1,180 $1,186 
IUL 2,460 2,431 
EI 1,893 1,964 
EG6,544 6,619 
SCS44,594 40,353 
Other (1)(28,415)(27,590)
Total$28,256 $24,963 
______________
(1)Includes $(31.3) billion of assumed fair value of the modco reinsurance with Equitable Financial.
The following tables summarize the balances and changes in policyholders’ account balances:
Three Months Ended March 31, 2024
ULIUL EI EGSCS (1)
(Dollars in millions)
Balance, beginning of period$1,186$2,431$1,964$6,61940,353
Issuances
—————
Premiums received115613781
Policy charges(121)(49)—(1)(3)
Surrenders and withdrawals(4)(31)(78)(249)(777)
Benefit payments(5)(5)(6)(4)(62)
Net transfers from (to) separate account——(4)432,483
Interest credited (2)
95314582,599
Balance, end of period$1,180$2,460$1,893$6,544$44,594
Weighted-average crediting rate3.56%2.46%2.89%2.37%—%
Net amount at risk (3)
$15,806$18,940$94$4$—
Cash surrender value$1,034$1,872$1,889$6,496$41,487
    
______________
(1)SCS sales are recorded in a Separate Account holding account until they are swept into the General Account. This sweep is recorded as Net Transfers from (to) separate.
(2)SCS includes amounts related to the change in embedded derivative.
(3)For life insurance products, the net amount at risk is death benefit less account value for the policyholder. For variable annuity products, the net amount at risk is the maximum GMxB NAR for the policyholder.
Three Months Ended March 31, 2023
IULVUL GMxB CoreIESCS (1)Reinsured (2)
(Dollars in millions)
Balance, beginning of period$1,962$655$27$7$242$819
Issuances——————
Premiums received58529——6
Policy charges(44)(9)(2)——(9)
Surrenders and withdrawals(7)———(1)(23)
Benefit payments(3)(2)———(2)
Net transfers from (to) separate account—11(26)771,031—
Three Months Ended March 31, 2023
IULVUL GMxB CoreIESCS (1)Reinsured (2)
(Dollars in millions)
Interest credited (3)309—1248
Other—————1
Balance, end of period$1,996$669$28$85$1,296$800
Weighted-average crediting rate2.23%3.52%1.00%1.00%1.00%4.12%
Net amount at risk (4)$18,004$30,589$9$—$—$4,011
Cash surrender value$1,505$535$32$81$1,208$799
___________
(1)SCS sales are recorded in a Separate Account holding account until they are swept into the General Account. This sweep is recorded as Net Transfers from (to) separate account.
(2)Reinsured primarily reflects Protective Life reinsured business.
(3)SCS includes amounts related to the change in embedded derivative.
(4)For life insurance products, the net amount at risk is death benefit less account value for the policyholder. For variable annuity products, the net amount at risk is the maximum GMxB NAR for the policyholder.
Separate Account - Summary
The following tables reconcile the Separate Account liabilities to the Separate Account liability balance in the consolidated balance sheets:
March 31, 2024December 31, 2023
(in millions)
Separate Account Reconciliation
VUL$2,317 $2,128 
GMxB Core2,710 2,166 
IE 319 226 
Reinsured1,085 1,022 
Other 399 212 
Total $6,830 $5,754 
The following tables present the balances of and changes in Separate Account liabilities:
Three Months Ended March 31, 2024
VULGMxB CoreIEReinsured (2)
(in millions)
Balance, beginning of period$2,128 $2,166 $226 $1,022 
Premiums and deposits105 388 245 5 
Policy charges (36)(4)— (7)
Surrenders and withdrawals(13)(17)(4)(22)
Benefit payments(5)(2)— (4)
Investment performance (1)151 129 14 — 
Net transfers from (to) general account(13)50 (162)91 
Other charges — — — — 
Balance, end of period$2,317 $2,710 $319 $1,085 
Cash surrender value$1,982 $2,522 $305 $— 
_______________
(1)Investment performance is reflected net of mortality and expense fees.
(2)Reinsured primarily reflects Protective Life reinsured ceded business.
Three Months Ended March 31, 2023
VULGMxB CoreIE Reinsured (1)
(in millions)
Balance, beginning of period$1,653 $756 $26 $913 
Premiums and deposits96 139 138 5 
Policy charges(32)(2)— (8)
Surrenders and withdrawals(10)(5)— (14)
Benefit payments(2)(2)— (4)
Investment performance (2)98 38 1 74 
Net transfers from (to) general account(11)26 (77)— 
Other charges— — — — 
Balance, end of period$1,792 $950 $88 $966 
Cash surrender value$1,468 $874 $84 $— 
______________
(1)Reinsured primarily reflects Protective Life reinsured ceded business.
(2)Investment performance is reflected net of mortality and expense fees.
Schedule of Liability for Future Policy Benefits, Undiscounted and Discounted Expected Gross Premiums and Expected Future Benefits and Expenses
The following table provides the amount of undiscounted and discounted expected gross premiums and expected future benefits and expenses related to nonparticipating traditional and limited payment contracts:
March 31, 2024December 31, 2023
(in millions)
Payout-Legacy
Expected future benefit payments and expenses (undiscounted)$686 $508 
Expected future gross premiums (undiscounted)— — 
Expected future benefit payments and expenses (discounted)447 340 
Expected future gross premiums (discounted)— — 
Schedule of Liability for Future Policy Benefits, Revenue and Interest Accretion
The following table provides the revenue, interest and weighted average interest rates, related to the additional insurance liabilities :
Three Months Ended March 31,
2024202320242023
Gross PremiumInterest Accretion
(in millions)
Revenue and Interest Accretion
Payout - Legacy (1)$27 $— $6 $— 
Total$27 $— $6 $— 
______________
(1)Gross premium reflected is the liquidation of Account Value at time of annuitization.
Schedule of Liability for Future Policy Benefits, Weighted Average Interest Rates
The following table provides the weighted average interest rates for the liability for future policy benefits:
March 31, 2024December 31, 2023
Weighted Average Interest Rate
Payout-Legacy
Interest accretion rate5.1 %5.3 %
Current discount rate5.2 %5.0 %
Three Months Ended March 31,
20242023
Universal Life
Weighted Average Interest Rate
UL4.5 %5.5 %
 Interest accretion rate
4.5 %5.5 %
Schedule of Balances of and Changes in Additional Liabilities Related to Insurance Guarantees
The following table provides the balance, changes in and the weighted average durations of the additional insurance liabilities:
Three Months Ended March 31,
20242023
UL (1)Universal Life (2)
(Dollars in millions)
Balance, beginning of period$344 $58 
Beginning balance before AOCI adjustments344 66 
Effect of changes in interest rate and cash flow assumptions and model changes— — 
Effect of actual variances from expected experience(1)(1)
Adjusted beginning of period balance343 65 
Issuances
— — 
Interest accrual4 1 
Net assessments collected4 2 
Benefit payments(4)— 
Ending balance before shadow reserve adjustments347 68 
Effect of shadow reserve adjustment— (6)
Balance, end of period$347 $62 
Net liability for additional liability$347 $62 
Effect of reserve adjustment recorded in AOCI— — 
Net liability for additional liability, after reinsurance recoverable$347 $62 
Weighted-average duration of additional liability - death benefit (years)17.532.3
______________
(1)The 2024 additional insurance liabilities represent the SOP NLG Rider on UL contracts assumed from Equitable Financial.
(2)The 2023 additional insurance liabilities represent the SOP LTC Rider on all Universal Life contracts inclusive of VL and UL sold by the Company. Subsequent to the Reinsurance Treaty described further in Note 16 of the Notes to these Consolidated Financial Statements, these are no longer material and are not disclosed separately.
The following tables provide the revenue, interest and weighted average interest rates, related to the additional insurance liabilities:
Three Months Ended March 31, 2024Three Months Ended March 31, 2023
AssessmentsInterest AccretionAssessmentsInterest Accretion
(in millions)
Revenue and Interest Accretion
UL (1)$124 $4 $5 $— 
Total$124 $4 $5 $— 
_____________
(1)The 2023 additional insurance liabilities represent the SOP NLG Rider on UL contracts assumed from Equitable Financial.