Deferred Policy Acquisition and Sales Inducement Costs

12 Months Ended

Dec. 31, 2017

Deferred Policy Acquisition and Sales Inducement Costs

10. Deferred Policy Acquisition and Sales Inducement Costs

Deferred policy acquisition costs for the years ended December 31 are as follows:

($ in thousands)	2017			2016			2015
Balance, beginning of year	$	137,358		$	141,189		$	135,282
Acquisition costs deferred		24,522			16,939			15,611
Amortization charged to income		(16,992	)		(16,127	)		(16,603	)
Effect of unrealized gains and losses		1,445			(4,643	)		6,899
Balance, end of year	$	146,333		$	137,358		$	141,189

DSI activity, which primarily relates to interest-sensitive life contracts, for the years ended December 31 was as follows:

($ in thousands)	2017			2016			2015
Balance, beginning of year	$	2,265		$	2,349		$	2,059
Sales inducements deferred		167			170			285
Amortization charged to income		(188	)		(126	)		(192	)
Effect of unrealized gains and losses		34			(128	)		197
Balance, end of year	$	2,278		$	2,265		$	2,349