Fair Value Measurement – Fair value represents the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The authoritative fair value guidance establishes a framework for measuring fair value that includes a hierarchy used to classify the inputs used in measuring fair value. The level in the fair value hierarchy within which the fair value measurement falls is determined based on the lowest level input that is significant to the fair value measurement. The levels of the fair value hierarchy are as follows:

Level 2 - Fair value is based on significant inputs, other than quoted prices included in Level 1, that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset or liability through corroboration with observable market data. Level 2 inputs include quoted market prices in active markets for similar assets and liabilities, quoted market prices in markets that are not active for identical or similar assets or liabilities, and other market observable inputs.


	March 31, 2022
	Level 1		Level 2		Level 3		Netting(1)		Total
	(in thousands)
Fixed maturities, available-for-sale:
U.S Treasury securities and obligations of U.S. government authorities and agencies	$	0	$	880,317	$	0	$		$	880,317
Obligations of U.S. states and their political subdivisions	0		256,606		0				256,606
Foreign government bonds	0		98,501		0				98,501
U.S. corporate public securities	0		2,376,486		0				2,376,486
U.S. corporate private securities	0		1,430,005		87,993				1,517,998
Foreign corporate public securities	0		812,500		183				812,683
Foreign corporate private securities	0		715,954		91,587				807,541
Asset-backed securities(2)	0		1,014,001		8,678				1,022,679
Commercial mortgage-backed securities	0		662,003		28,708				690,711
Residential mortgage-backed securities	0		48,554		9,964				58,518
Subtotal	0		8,294,927		227,113				8,522,040
Fixed maturities, trading	0		26,302		0				26,302
Equity securities	200,639		0		592				201,231
Short-term investments	104,989		34,632		0				139,621
Cash equivalents	0		545,711		0				545,711
Other invested assets(3)	22,170		1,447,898		0		(1,098,964)		371,104
Other assets	0		0		376,898				376,898
Reinsurance recoverables	0		0		1,866,253				1,866,253

Subtotal excluding separate account assets	327,798		10,349,470		2,470,856		(1,098,964)		12,049,160
Separate account assets(4)	0		29,426,455		0				29,426,455
Total assets	$	327,798	$	39,775,925	$	2,470,856	$	(1,098,964)	$	41,475,615
Future policy benefits(5)	$	0	$	0	$	3,392,954	$		$	3,392,954
Policyholders' account balances	0		0		1,933,466				1,933,466
Payables to parent and affiliates	0		1,809,791		0		(1,809,791)		0

Other liabilities	0		0		0		0		0
Total liabilities	$	0	$	1,809,791	$	5,326,420	$	(1,809,791)	$	5,326,420


	December 31, 2021
	Level 1		Level 2		Level 3		Netting(1)		Total
	(in thousands)
Fixed maturities, available-for-sale:
U.S Treasury securities and obligations of U.S. government authorities and agencies	$	0	$	726,825	$	0	$		$	726,825
Obligations of U.S. states and their political subdivisions	0		295,660		0				295,660
Foreign government bonds	0		114,366		0				114,366
U.S. corporate public securities	0		2,459,968		0				2,459,968
U.S. corporate private securities	0		1,555,501		89,071				1,644,572
Foreign corporate public securities	0		794,821		202				795,023
Foreign corporate private securities	0		790,915		100,802				891,717
Asset-backed securities(2)	0		1,038,978		23,380				1,062,358
Commercial mortgage-backed securities	0		673,894		32,426				706,320
Residential mortgage-backed securities	0		54,152		20,005				74,157
Subtotal	0		8,505,080		265,886				8,770,966
Fixed maturities, trading	0		27,237		0				27,237
Equity securities	321,366		0		515				321,881
Short-term investments	518,912		262,960		12,554				794,426
Cash equivalents	371,971		1,359,279		7,776				1,739,026
Other invested assets(3)	926		1,476,983		0		(1,474,780)		3,129
Other assets	0		0		400,441				400,441
Reinsurance recoverables	0		0		1,881,030				1,881,030

Subtotal excluding separate account assets	1,213,175		11,631,539		2,568,202		(1,474,780)		13,938,136
Separate account assets(4)	0		32,266,921		0				32,266,921
Total assets	$	1,213,175	$	43,898,460	$	2,568,202	$	(1,474,780)	$	46,205,057
Future policy benefits(5)	$	0	$	0	$	4,060,214	$		$	4,060,214
Policyholders' account balances	0		0		2,040,532				2,040,532
Payables to parent and affiliates	0		1,366,789		0		(1,152,421)		214,368
Other liabilities	1,424		0		0		(1,189)		235
Total liabilities	$	1,424	$	1,366,789	$	6,100,746	$	(1,153,610)	$	6,315,349

(3)Other invested assets excluded from the fair value hierarchy include certain hedge funds, private equity funds and other funds for which fair value is measured at net asset value ("NAV") per share (or its equivalent) as a practical expedient. At March 31, 2022 and December 31, 2021, the fair values of such investments were $9.8 million and $9.9 million, respectively.

(4)Separate account assets represent segregated funds that are invested for certain customers. Investment risks associated with market value changes are borne by the customers, except to the extent of minimum guarantees made by the Company with respect to certain accounts. Separate account liabilities are not included in the above table as they are reported at contract value and not fair value in the Company’s Unaudited Interim Statements of Financial Position.

(5)As of March 31, 2022, the net embedded derivative liability position of $3,393 million includes $62 million of embedded derivatives in an asset position and $3,455 million of embedded derivatives in a liability position. As of December 31, 2021, the net embedded derivative liability position of $4,060 million includes $62 million of embedded derivatives in an asset position and $4,122 million of embedded derivatives in a liability position.


	March 31, 2022
	Fair Value		Valuation Techniques	Unobservable Inputs	Minimum		Maximum		Weighted Average		Impact of Increase in Input on Fair Value(1)
	(in thousands)
Assets:
Corporate securities(2)	$	154,669	Discounted cash flow	Discount rate	3.05	%	20	%	3.79	%	Decrease
			Market Comparables	EBITDA multiples(3)	6.5X		12.4X		9.2X		Increase
			Liquidation	Liquidation value	62.58	%	62.58	%	62.58	%	Increase
Other assets	$	376,898	Fair values are determined using the same unobservable inputs as policyholders' account balances
Reinsurance recoverables	$	1,866,253	Fair values are determined using the same unobservable inputs as future policy benefits and policyholders' account balances.
Liabilities:
Future policy benefits(4)	$	3,392,954	Discounted cash flow	Lapse rate(6)	1	%	20	%			Decrease
				Spread over LIBOR(7)	0.20	%	1.52	%			Decrease
				Utilization rate(8)	39	%	96	%			Increase
				Withdrawal rate	See table footnote (9) below.
				Mortality rate(10)	0	%	15	%			Decrease
				Equity volatility curve	18	%	26	%			Increase
Policyholders' account balances(5)	$	1,933,466	Discounted cash flow	Lapse rate(6)	1	%	42	%			Decrease
				Spread over LIBOR(7)	0.20	%	1.52	%			Decrease
				Equity volatility curve	6	%	33	%			Increase


	December 31, 2021
	Fair Value		Valuation Techniques	Unobservable Inputs	Minimum		Maximum		Weighted Average		Impact of Increase in Input on Fair Value(1)
	(in thousands)
Assets:
Corporate securities(2)	$	163,312	Discounted cash flow	Discount rate	2.34	%	10.17	%	2.82	%	Decrease
			Market Comparables	EBITDA multiples(3)	6.5X		12.4X		8.8X		Increase
			Liquidation	Liquidation value	62.58	%	62.58	%	62.58	%	Increase
Other assets	$	400,441	Fair values are determined using the same unobservable inputs as policyholders' account balances
Reinsurance recoverables	$	1,881,030	Fair values are determined using the same unobservable inputs as future policy benefits and policyholders' account balances.
Liabilities:
Future policy benefits(4)	$	4,060,214	Discounted cash flow	Lapse rate(6)	1	%	20	%			Decrease
				Spread over LIBOR(7)	0.03	%	1.13	%			Decrease
				Utilization rate(8)	39	%	96	%			Increase
				Withdrawal rate	See table footnote (9) below.
				Mortality rate(10)	0	%	15	%			Decrease
				Equity volatility curve	16	%	25	%			Increase
Policyholders' account balances(5)	$	2,040,532	Discounted cash flow	Lapse rate(6)	1	%	42	%			Decrease
				Spread over LIBOR(7)	0.03	%	1.13	%			Decrease
				Equity volatility curve	6	%	31	%			Increase

(4)Future policy benefits primarily represent general account liabilities for the living benefit features of the Company’s variable annuity contracts which are accounted for as embedded derivatives. Since the valuation methodology for these liabilities uses a range of inputs that vary at the contract level over the cash flow projection period, presenting a range, rather than weighted average, is a more meaningful representation of the unobservable inputs used in the valuation.

(5)Policyholders’ account balances primarily represent general account liabilities for the index-linked interest credited on certain of the Company’s annuity products that are accounted for as embedded derivatives. Since the valuation methodology for these liabilities uses a range of inputs that vary at the contract level over the cash flow projection period, presenting a range, rather than a weighted average, is a more meaningful representation of the unobservable inputs used in the valuation.

(6)Lapse rates for contracts with living benefit guarantees are adjusted at the contract level based on the in-the-moneyness of the living benefit and reflect other factors, such as the applicability of any surrender charges. Lapse rates are reduced when contracts are more in-the-money. Lapse rates for contracts with index-linked crediting guarantees may be adjusted at the contract level based on the applicability of any surrender charges, product type, and market related factors such as interest rates. Lapse rates are also generally assumed to be lower for the period where surrender charges apply. For any given contract, lapse rates vary throughout the period over which cash flows are projected for the purposes of valuing these embedded derivatives.

(7)The spread over the London Inter-Bank Offered Rate ("LIBOR") swap curve represents the premium added to the proxy for the risk-free rate (LIBOR) to reflect the Company's estimates of rates that a market participant would use to value the living benefits in both the accumulation and payout phases and index-linked interest crediting guarantees. This spread includes an estimate of NPR, which is the risk that the obligation will not be fulfilled by the Company. NPR is primarily estimated by utilizing the credit spreads associated with issuing funding agreements, adjusted for any illiquidity risk premium. In order to reflect the financial strength ratings of the Company, credit spreads associated with funding agreements, as opposed to credit spread associated with debt, are utilized in developing this estimate because funding agreements, living benefit guarantees, and index-linked interest crediting guarantees are insurance liabilities and are therefore senior to debt.

(8)The utilization rate assumption estimates the percentage of contracts that will utilize the benefit during the contract duration and begin lifetime withdrawals at various time intervals from contract inception.The remaining contractholders are assumed to either begin lifetime withdrawals immediately or never utilize the benefit. Utilization assumptions may vary by product type, tax status and age. The impact of changes in these assumptions is highly dependent on the product type, the age of the contractholder at the time of the sale, and the timing of the first lifetime income withdrawal. Range reflects the utilization rate for the vast majority of business with living benefits.

(9)The withdrawal rate assumption estimates the magnitude of annual contractholder withdrawals relative to the maximum allowable amount under the contract. These assumptions vary based on the age of the contractholder, the tax status of the contract and the duration since the contractholder began lifetime withdrawals. As of March 31, 2022 and December 31, 2021, the minimum withdrawal rate assumption is 76% and the maximum withdrawal rate assumption may be greater than 100%. The fair value of the liability will generally increase the closer the withdrawal rate is to 100% and decrease as the withdrawal rate moves further away from 100%.

(10)The range reflects the mortality rates for the vast majority of business with living benefits, with policyholders ranging from 45 to 90 years old. While the majority of living benefits have a minimum age requirement, certain other contracts do not have an age restriction. This results in contractholders with mortality rates approaching 0% for certain benefits. Mortality rates may vary by product, age, and duration. A mortality improvement assumption is also incorporated into the overall mortality table.

Interrelationships Between Unobservable Inputs – In addition to the sensitivities of fair value measurements to changes in each unobservable input in isolation, as reflected in the table above, interrelationships between these inputs may also exist, such that a change in one unobservable input may give rise to a change in another, or multiple, inputs. Examples of such interrelationships for significant internally-priced Level 3 assets and liabilities are as follows:

Corporate Securities – The rate used to discount future cash flows reflects current risk-free rates plus credit and liquidity spread requirements that market participants would use to value an asset. The discount rate may be influenced by many factors, including market cycles, expectations of default, collateral, term and asset complexity. Each of these factors can influence discount rates, either in isolation, or in response to other factors. During weaker economic cycles, as the expectations of default increases, credit spreads widen, which results in a decrease in fair value.

Future Policy Benefits – The Company expects efficient benefit utilization and withdrawal rates to generally be correlated with lapse rates. However, behavior is highly dependent on the facts and circumstances surrounding the individual contractholder, such as their liquidity needs or tax situation, which could drive lapse behavior independent of other contractholder behavior assumptions. To the extent that more efficient contractholder behavior results in greater in-the-moneyness at the contract level, lapse rates may decline for those contracts. Similarly, to the extent that increases in equity volatility are correlated with overall declines in the capital markets, lapse rates may decline as contracts become more in-the-money.

Changes in Level 3 Assets and Liabilities – The following tables describe changes in fair values of Level 3 assets and liabilities as of the dates indicated, as well as the portion of gains or losses included in income attributable to unrealized gains or losses related to those assets and liabilities still held at the end of their respective periods. When a determination is made to classify assets and liabilities within Level 3, the determination is based on significance of the unobservable inputs in the overall fair value measurement. All transfers are based on changes in the observability of the valuation inputs, including the availability of pricing service information that the Company can validate. Transfers into Level 3 are generally the result of unobservable inputs utilized within valuation methodologies and the use of indicative broker quotes for assets that were previously valued using observable inputs. Transfers out of Level 3 are generally due to the use of observable inputs in valuation methodologies as well as the availability of pricing service information for certain assets that the Company can validate.


	Three Months Ended March 31, 2022
	Fair Value, beginning of period		Total realized and unrealized gains (losses)(1)		Purchases		Sales		Issuances		Settlements		Other(2)		Transfers into Level 3		Transfers out of Level 3		Fair Value, end of period		Unrealized gains (losses) for assets still held(3)
	(in thousands)
Fixed maturities, available-for-sale:
U.S. government	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	0

Corporate securities(4)	190,075		(8,918)		5,000		(4,060)		0		(2,334)		0		0		0		179,763		(8,948)
Structured securities(5)	75,811		(3,805)		0		(10,000)		0		(1,656)		0		0		(13,000)		47,350		(3,853)
Other assets:
Fixed maturities, trading	0		0		0		0		0		0		0		0		0		0		0
Equity securities	515		62		15		0		0		0		0		0		0		592		62

Short term investments	12,554		0		0		0		0		(12,554)		0		0		0		0		0
Cash equivalents	7,776		0		0		0		0		(7,776)		0		0		0		0		0
Other assets	400,441		(21,277)		13,292		0		0		(15,558)		0		0		0		376,898		(5,720)
Reinsurance recoverables	1,881,030		200,858		4,097		0		0		19,290		(239,022)		0		0		1,866,253		222,445

Liabilities:
Future policy benefits	(4,060,214)		714,837		0		0		(47,577)		0		0		0		0		(3,392,954)		685,633
Policyholders' account balances(6)	(2,040,532)		124,492		0		0		0		(17,426)		0		0		0		(1,933,466)		89,242


	Three Months Ended March 31, 2022
	Total realized and unrealized gains (losses)								Unrealized gains (losses) for assets still held(3)
	Realized investment gains (losses), net(1)		Other income (loss)		Included in other comprehensive income (loss)		Net investment income			Realized investment gains (losses), net		Other income (loss)		Included in other comprehensive income (loss)
	(in thousands)
Fixed maturities, available-for-sale	$	(303)	$	0	$	(12,455)	$	35		$	(352)	$	0	$	(12,449)
Other assets:
Fixed maturities, trading	0		0		0		0			0		0		0
Equity securities	0		62		0		0			0		62		0



Other assets	(21,277)		0		0		0			(5,720)		0		0
Reinsurance recoverables	200,858		0		0		0			222,445		0		0

Liabilities:
Future policy benefits	714,837		0		0		0			685,633		0		0
Policyholders' account balances	124,492		0		0		0			89,242		0		0


	Three Months Ended March 31, 2021
	Fair Value, beginning of period		Total realized and unrealized gains (losses)(1)		Purchases		Sales		Issuances		Settlements		Other		Transfers into Level 3		Transfers out of Level 3		Fair Value, end of period		Unrealized gains (losses) for assets still held(3)
	(in thousands)
Fixed maturities, available-for-sale:
U.S. government	$	15,000	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	15,000	$	0

Corporate securities(4)	148,687		(931)		10,634		0		0		(7,627)		0		15,147		0		165,910		(1,031)
Structured securities(5)	18,542		(107)		0		0		0		(1,479)		0		0		0		16,956		(106)
Other assets:
Fixed maturities, trading	5,045		82		0		0		0		0		0		0		0		5,127		87
Equity securities	4,153		13		0		0		0		0		0		0		0		4,166		13

Short term investments	10,000		0		2,349		0		0		0		0		0		0		12,349		0
Cash equivalents	0		0		100		0		0		0		0		0		0		100		0
Other assets	53,980		8,572		2,653		0		0		(2,133)		0		0		0		63,072		6,439
Reinsurance recoverables	409,013		(141,885)		4,262		0		0		0		0		0		0		271,390		(135,675)

Liabilities:
Future policy benefits	(17,314,004)		7,093,338		0		0		(291,149)		0		0		0		0		(10,511,815)		6,900,120
Policyholders' account balances(6)	(580,184)		(267,770)		0		0		(138,525)		0		0		0		0		(986,479)		(252,703)


	Three Months Ended March 31, 2021
	Total realized and unrealized gains (losses)								Unrealized gains (losses) for assets still held(3)
	Realized investment gains (losses), net(1)		Other income (loss)		Included in other comprehensive income (loss)		Net investment income			Realized investment gains (losses), net		Other income (loss)		Included in other comprehensive income (loss)
	(in thousands)
Fixed maturities, available-for-sale	$	(44)	$	0	$	(987)	$	(7)		$	(37)	$	0	$	(1,100)
Other assets:
Fixed maturities, trading	0		88		0		(6)			0		87		0
Equity securities	0		13		0		0			0		13		0



Other assets	8,572		0		0		0			6,439		0		0
Reinsurance recoverables	(141,885)		0		0		0			(135,675)		0		0

Liabilities:
Future policy benefits	7,093,338		0		0		0			6,900,120		0		0
Policyholders' account balances	(267,770)		0		0		0			(252,703)		0		0

The table below presents the carrying amount and fair value by fair value hierarchy level of certain financial instruments that are not reported at fair value. The financial instruments presented below are reported at carrying value on the Company’s Unaudited Interim Statements of Financial Position. In some cases, as described below, the carrying amount equals or approximates fair value.


	March 31, 2022
	Fair Value								Carrying Amount(1)
	Level 1		Level 2		Level 3		Total		Total
	(in thousands)
Assets:
Commercial mortgage and other loans	$	0	$	0	$	1,408,009	$	1,408,009	$	1,476,226
Policy loans	0		0		11,352		11,352		11,352

Short-term investments	34,000		0		0		34,000		34,000
Cash and cash equivalents	1,032,100		0		0		1,032,100		1,032,100
Accrued investment income	0		60,283		0		60,283		60,283
Reinsurance recoverables	0		0		10,470		10,470		9,893
Receivables from parent and affiliates	0		25,948		0		25,948		25,948
Other assets	0		1,675		2,262,826		2,264,501		2,264,501
Total assets	$	1,066,100	$	87,906	$	3,692,657	$	4,846,663	$	4,914,303
Liabilities:
Policyholders’ account balances - investment contracts	$	0	$	0	$	2,373,087	$	2,373,087	$	2,367,118
Cash collateral for loaned securities	0		205,301		0		205,301		205,301



Payables to parent and affiliates	0		19,665		0		19,665		19,665
Other liabilities	0		93,918		0		93,918		93,918
Separate account liabilities - investment contracts	0		0		0		0		0
Total liabilities	$	0	$	318,884	$	2,373,087	$	2,691,971	$	2,686,002


	December 31, 2021
	Fair Value								Carrying Amount(1)
	Level 1		Level 2		Level 3		Total		Total
	(in thousands)
Assets:
Commercial mortgage and other loans	$	0	$	0	$	1,516,375	$	1,516,375	$	1,503,602
Policy loans	0		0		11,554		11,554		11,554
Short-term investments	81,000		0		0		81,000		81,000
Cash and cash equivalents	276,859		0		0		276,859		276,859
Accrued investment income	0		61,117		0		61,117		61,117
Reinsurance recoverables	0		0		8,958		8,958		8,153
Receivables from parent and affiliates	0		5,240		0		5,240		5,240
Other assets	0		4,170		2,275,214		2,279,384		2,279,384
Total assets	$	357,859	$	70,527	$	3,812,101	$	4,240,487	$	4,226,909
Liabilities:
Policyholders’ account balances - investment contracts	$	0	$	0	$	2,390,978	$	2,390,978	$	2,380,766
Cash collateral for loaned securities	0		0		0		0		0



Payables to parent and affiliates	0		35,581		0		35,581		35,581
Other liabilities	0		104,979		0		104,979		104,979
Separate account liabilities - investment contracts	0		5		0		5		5
Total liabilities	$	0	$	140,565	$	2,390,978	$	2,531,543	$	2,521,331