Deferred Policy Acquisition Costs

12 Months Ended

Dec. 31, 2013

DeferredPolicyAcquisitionCostsDisclosuresAbstract

DeferredPolicyAcquisitionCostsTextBlock

4. DEFERRED POLICY ACQUISITION COSTSThe balances of and changes in DAC as of and for the years ended December 31,are as follows:

			2013		2012		2011
	(in thousands)
Balance, beginning of year		$	906,814	$	666,764	$	1,357,156
Capitalization of commissions, sales and issue expenses			4,050		25,081		41,994
Amortization - Impact of Assumption and experience unlocking and true-ups			31,666		274,503		(113,539)
Amortization - All Other			353,895		(86,461)		(602,550)
Changes in unrealized investment gains and losses			49,079		26,927		(62)
Other (1)			-		-		(16,235)
Balance, end of year		$	1,345,504	$	906,814	$	666,764

(1) Balance sheet reclassification between DAC and DSI relating to refinement in methodology for allocating DAC/DSI balances for cohorts with both DAC and DSI persistency credits. Refer to Note 7 for impact to DSI.