Future Policy Benefits (Tables)

3 Months Ended

Mar. 31, 2024

Liability for Future Policy Benefit, Activity

The following tables present the balances and changes in the liability for future policy benefits and a reconciliation of the net liability for future policy benefits to the liability for future policy benefits in the Condensed Consolidated Balance Sheets:


Three Months Ended March 31, 2024	Individual Retirement		Group Retirement		Life Insurance		Institutional Markets		Corporate and Other		Total
(in millions, except for liability durations)


Present value of expected net premiums
Balance, beginning of year	$	—	$	—	$	8,379	$	—	$	973	$	9,352
Effect of changes in discount rate assumptions (AOCI)	—		—		1,482		—		44		1,526
Reclassified to Liabilities held-for-sale	—		—		4,287		—		—		4,287
Beginning balance at original discount rate	—		—		14,148		—		1,017		15,165

Effect of actual variances from expected experience	—		—		(13)		—		—		(13)
Adjusted beginning of year balance	—		—		14,135		—		1,017		15,152
Issuances	—		—		353		—		—		353
Interest accrual	—		—		117		—		11		128
Net premium collected	—		—		(381)		—		(29)		(410)
Foreign exchange impact	—		—		(46)		—		—		(46)
Other	—		—		(4)		—		—		(4)
Ending balance at original discount rate	—		—		14,174		—		999		15,173
Effect of changes in discount rate assumptions (AOCI)	—		—		(1,621)		—		(57)		(1,678)
Reclassified to Liabilities held-for-sale	—		—		(4,247)		—		—		(4,247)
Balance, end of period	$	—	$	—	$	8,306	$	—	$	942	$	9,248

Present value of expected future policy benefits
Balance, beginning of year	$	1,353	$	217	$	17,531	$	18,482	$	20,654	$	58,237
Effect of changes in discount rate assumptions (AOCI)	132		(3)		2,745		1,906		437		5,217
Reclassified to Liabilities held-for-sale	—		—		5,119		—		—		5,119
Beginning balance at original discount rate	1,485		214		25,395		20,388		21,091		68,573

Effect of actual variances from expected experience(a)	(6)		(1)		(7)		—		(9)		(23)
Adjusted beginning of year balance	1,479		213		25,388		20,388		21,082		68,550
Issuances	34		5		350		1,726		2		2,117
Interest accrual	16		3		236		217		252		724
Benefit payments	(33)		(7)		(458)		(283)		(370)		(1,151)
Foreign exchange impact	—		—		(61)		(82)		—		(143)
Other	—		—		(3)		—		(3)		(6)
Ending balance at original discount rate	1,496		214		25,452		21,966		20,963		70,091
Effect of changes in discount rate assumptions (AOCI)	(153)		—		(3,149)		(2,347)		(959)		(6,608)
Reclassified to Liabilities held-for-sale	—		—		(5,078)		—		—		(5,078)
Balance, end of period	$	1,343	$	214	$	17,225	$	19,619	$	20,004	$	58,405
Net liability for future policy benefits, end of period	1,343		214		8,919		19,619		19,062		49,157
Liability for future policy benefits for certain participating contracts	—		—		13		—		1,289		1,302
Liability for universal life policies with secondary guarantees and similar features(b)	—		—		3,917		—		55		3,972


Deferred profit liability	78		9		20		1,595		850		2,552
Other reconciling items(c)	31		—		477		—		96		604
Future policy benefits for life and accident and health insurance contracts	1,452		223		13,346		21,214		21,352		57,587
Less: Reinsurance recoverable:	(4)		—		(714)		(37)		(21,352)		(22,107)
Net liability for future policy benefits after reinsurance recoverable	$	1,448	$	223	$	12,632	$	21,177	$	—	$	35,480

Weighted average liability duration of the liability for future policy benefits(d)(e)	7.7		6.7		12.6		12.2		11.2


Three Months Ended March 31, 2023	Individual Retirement		Group Retirement		Life Insurance		Institutional Markets		Corporate and Other		Total
(in millions, except for liability durations)


Present value of expected net premiums
Balance, beginning of year	$	—	$	—	$	11,654	$	—	$	991	$	12,645
Effect of changes in discount rate assumptions (AOCI)	—		—		1,872		—		66		1,938
Beginning balance at original discount rate	—		—		13,526		—		1,057		14,583

Effect of actual variances from expected experience	1		—		12		—		3		16
Adjusted beginning of year balance	1		—		13,538		—		1,060		14,599
Issuances	6		—		322		—		—		328
Interest accrual	—		—		106		—		12		118
Net premium collected	(7)		—		(352)		—		(30)		(389)
Foreign exchange impact	—		—		96		—		—		96
Other	—		—		3		—		—		3
Ending balance at original discount rate	—		—		13,713		—		1,042		14,755
Effect of changes in discount rate assumptions (AOCI)	—		—		(1,648)		—		(48)		(1,696)
Balance, end of period	$	—	$	—	$	12,065	$	—	$	994	$	13,059

Present value of expected future policy benefits
Balance, beginning of year	$	1,223	$	211	$	21,179	$	12,464	$	20,429	$	55,506
Effect of changes in discount rate assumptions (AOCI)	167		2		3,424		2,634		1,083		7,310
Beginning balance at original discount rate	1,390		213		24,603		15,098		21,512		62,816

Effect of actual variances from expected experience(a)	(3)		(1)		26		(5)		—		17
Adjusted beginning of year balance	1,387		212		24,629		15,093		21,512		62,833
Issuances	70		2		318		1,450		3		1,843
Interest accrual	12		3		224		139		257		635
Benefit payments	(32)		(7)		(476)		(228)		(379)		(1,122)
Foreign exchange impact	—		—		277		125		—		402
Other	—		—		1		—		(3)		(2)
Ending balance at original discount rate	1,437		210		24,973		16,579		21,390		64,589
Effect of changes in discount rate assumptions (AOCI)	(141)		3		(3,081)		(2,302)		(492)		(6,013)
Balance, end of period	$	1,296	$	213	$	21,892	$	14,277	$	20,898	$	58,576
Net liability for future policy benefits, end of period	1,296		213		9,827		14,277		19,904		45,517
Liability for future policy benefits for certain participating contracts	—		—		14		—		1,326		1,340
Liability for universal life policies with secondary guarantees and similar features(b)	—		—		3,457		—		55		3,512


Deferred profit liability	83		10		16		1,415		871		2,395
Other reconciling items(c)	39		3		493		—		107		642
Future policy benefits for life and accident and health insurance contracts	1,418		226		13,807		15,692		22,263		53,406
Less: Reinsurance recoverable:	(4)		—		(1,187)		(37)		(22,263)		(23,491)
Net liability for future policy benefits after reinsurance recoverable	$	1,414	$	226	$	12,620	$	15,655	$	—	$	29,915

Weighted average liability duration of the liability for future policy benefits(d)	7.7		7.1		12.4		11.5		11.6

(a) Effect of changes in cash flow assumptions and variances from actual experience are partially offset by changes in the deferred profit liability.

(b) Additional details can be found in the table that presents the balances and changes in the liability for universal life policies with secondary guarantees and similar features.

(c) Other reconciling items primarily include the Accident and Health as well as Group Benefits (short-duration) contracts.

(d) The weighted average liability durations are calculated as the modified duration using projected future net liability cashflows that are aggregated at the segment level, utilizing the segment level weighted average interest rates and current discount rate, which can be found in the table below.

(e) Includes balances that were reclassified to Liabilities held-for-sale in the Condensed Consolidated Balance Sheets. See Note 4 for additional information.

The following table presents the amount of undiscounted expected future benefit payments and undiscounted and discounted expected gross premiums for future policy benefits for nonparticipating contracts:


		Three Months Ended March 31,
(in millions)		2024		2023

Individual Retirement	Undiscounted expected future benefits and expense	$	2,156	$	2,048
	Undiscounted expected future gross premiums	$	—	$	—



Group Retirement	Undiscounted expected future benefits and expense	$	309	$	317
	Undiscounted expected future gross premiums	$	—	$	—



Life Insurance(a) (b)	Undiscounted expected future benefits and expense	$	40,741	$	39,028
	Undiscounted expected future gross premiums	$	30,656	$	28,964



Institutional Markets	Undiscounted expected future benefits and expense	$	42,519	$	29,029
	Undiscounted expected future gross premiums	$	—	$	—


Corporate and other (c)(d)	Undiscounted expected future benefits and expense	$	42,701	$	44,148
	Undiscounted expected future gross premiums	$	2,106	$	2,225

(a) Includes balances that have been reclassified to Liabilities held-for-sale in the Condensed Consolidated Balance Sheets. See Note 4 for additional information.

(b) Life insurance discounted expected future gross premiums (at current discount rate) for three months ended March 31, 2024 were $20.0 billion.

(c) Corporate and other discounted expected future gross premiums (at current discount rate) for three months ended March 31, 2024 were $1.4 billion

(d) Represents activity ceded to Fortitude Re.

The following table presents the amount of revenue and interest recognized in the Condensed Consolidated Statements of Income (Loss) for future policy benefits for nonparticipating contracts:


	Gross Premiums				Interest Accretion
	Three Months Ended March 31,				Three Months Ended March 31,
(in millions)	2024		2023			2024		2023

Individual Retirement	$	39	$	75		$	16	$	12

Group Retirement	5		6			3		3

Life Insurance	618		575			119		118

Institutional Markets	1,805		1,581			217		139
Corporate and Other	52		54			241		245
Total	$	2,519	$	2,291		$	596	$	517

The following table presents the weighted-average interest rate for future policy benefits for nonparticipating contracts:


	Individual Retirement		Group Retirement		Life Insurance		Institutional Markets		Corporate and Other



March 31, 2024
Weighted-average interest rate, original discount rate *	3.79	%	5.13	%	4.12	%	4.25	%	4.86	%
Weighted-average interest rate, current discount rate *	5.27	%	5.24	%	5.28	%	5.19	%	5.32	%

March 31, 2023
Weighted-average interest rate, original discount rate	3.65	%	5.19	%	4.11	%	3.76	%	4.88	%
Weighted-average interest rate, current discount rate	5.33	%	4.91	%	5.08	%	5.04	%	5.10	%

* Weighted-average interest rates for Life Insurance include balances that have been reclassified to Liabilities held-for-sale.

The following table presents the balances and changes in the liability for universal life policies with secondary guarantees and similar features:


	Three Months Ended March 31,
	2024						2023
	Life Insurance		Corporate and Other		Total		Life Insurance		Corporate and Other		Total
(in millions, except duration of liability)


Balance, beginning of year	$	3,731	$	55	$	3,786	$	3,300	$	55	$	3,355

Effect of changes in experience	109		(1)		108		74		(1)		73
Adjusted beginning balance	$	3,840	$	54	$	3,894	$	3,374	$	54	$	3,428

Assessments	145		—		145		179		—		179
Excess benefits paid	(232)		—		(232)		(238)		—		(238)
Interest accrual	38		1		39		28		1		29
Other	—		—		—		(5)		—		(5)
Changes related to unrealized appreciation (depreciation) of investments	126		—		126		119		—		119
Balance, end of period	$	3,917	$	55	$	3,972	$	3,457	$	55	$	3,512
Less: Reinsurance recoverable	(172)		(55)		(227)		(192)		—		(192)
Balance, end of period, net of Reinsurance recoverable	$	3,745	$	—	$	3,745	$	3,265	$	55	$	3,320

Weighted average duration of liability *	25.3		9.1				26.4		9.4

* The weighted average duration of liabilities is calculated as the modified duration using projected future net liability cashflows that are aggregated at the segment level, utilizing the segment level weighted average interest rates, which can be found in the table below.

The following table presents the amount of revenue and interest recognized in the Condensed Consolidated Statements of Income (Loss) for the liability for universal life policies with secondary guarantees and similar features:


	Gross Assessments Three Months Ended March 31,				Interest Accretion Three Months Ended March 31,

(in millions)	2024		2023			2024		2023





Life Insurance	$	248	$	299		$	38	$	28

Corporate and Other	10		10			1		1
Total	$	258	$	309		$	39	$	29

The following table presents the calculation of weighted average interest rate for the liability for universal life policies with secondary guarantees and similar features:


March 31,	2024				2023
	Life Insurance		Corporate and Other		Life Insurance		Corporate and Other



Weighted-average interest rate	3.92	%	4.20	%	3.76	%	4.24	%

The weighted average interest rates are calculated using projected future net liability cash flows that are aggregated to the segment level, and are represented as an annual rate.

The following table presents details concerning our universal life policies with secondary guarantees and similar features:


	Three Months Ended March 31,
(in millions, except for attained age of contract holders)	2024		2023
Account value	$	3,773	$	3,556
Net amount at risk	$	73,092	$	70,014
Average attained age of contract holders	53		53

The following table presents the balances and changes in Policyholder contract deposits account balances(a):


	Individual Retirement			Group Retirement			Life Insurance			Institutional Markets			Corporate and other			Total
(in millions, except for average crediting rate)
Three Months Ended March 31, 2024
Policyholder contract deposits account balance, beginning of year	$	94,896		$	41,299		$	10,231		$	13,649		$	3,333		$	163,408
Deposits	4,878			1,349			407			798			11			7,443
Policy charges	(186)			(122)			(377)			(17)			(15)			(717)
Surrenders and withdrawals	(4,600)			(2,466)			(73)			(31)			(21)			(7,191)
Benefit payments	(761)			(494)			(79)			(181)			(79)			(1,594)
Net transfers from (to) separate account	1,248			1,024			5			(27)			—			2,250
Interest credited	816			303			121			157			40			1,437
Other	(3)			2			6			(11)			3			(3)
Policyholder contract deposits account balance, end of period	96,288			40,895			10,241			14,337			3,272			165,033
Other reconciling items(b)	(1,225)			(192)			134			33			—			(1,250)
Policyholder contract deposits	$	95,063		$	40,703		$	10,375		$	14,370		$	3,272		$	163,783

Weighted average crediting rate	2.86		%	3.05		%	4.39		%	4.59		%	4.98		%
Cash surrender value(c)	$	89,795		$	39,746		$	9,042		$	2,585		$	1,696		$	142,864

Three Months Ended March 31, 2023
Policyholder contract deposits account balance, beginning of year	$	89,554		$	43,395		$	10,224		$	11,734		$	3,587		$	158,494
Deposits	4,864			1,326			414			595			11			7,210
Policy charges	(244)			(110)			(384)			(17)			(16)			(771)
Surrenders and withdrawals	(3,171)			(2,016)			(56)			(403)			(20)			(5,666)
Benefit payments	(1,036)			(557)			(49)			(167)			(88)			(1,897)
Net transfers from (to) separate account	728			592			(1)			443			—			1,762
Interest credited	377			270			88			105			43			883
Other	(2)			3			(16)			4			(1)			(12)
Policyholder contract deposits account balance, end of period	91,070			42,903			10,220			12,294			3,516			160,003
Other reconciling items(b)	(1,889)			(279)			116			74			—			(1,978)
Policyholder contract deposits	$	89,181		$	42,624		$	10,336		$	12,368		$	3,516		$	158,025

Weighted average crediting rate	2.52		%	2.78		%	4.24		%	3.55		%	4.95		%
Cash surrender value(c)	$	84,906		$	41,361		$	8,874		$	2,545		$	1,781		$	139,467

(a) Transactions between the general account and the separate account are presented in this table on a gross basis (e.g., a policyholder's funds are initially deposited into the general account and then simultaneously transferred to the separate account), and thus, did not impact the ending balance of policyholder contract deposits.

(b) Reconciling items principally relate to MRBs that are bifurcated and reported separately, net of embedded derivatives that are recorded in policyholder contract deposits.

(c) Cash surrender value is related to the portion of policyholder contract deposits that have a defined cash surrender value (e.g. GICs do not have a cash surrender value).

For information related to net amount at risk, refer to the table that presents the balances of and changes in MRBs in Note 15.

The following table presents Policyholder contract deposits account balance by range of guaranteed minimum crediting rates and the related range of difference, in basis points, between rates being credited to policyholders and the respective guaranteed minimums:


March 31, 2024		At Guaranteed Minimum		1 Basis Point - 50 Basis Points Above		More than 50 Basis Points Above Minimum Guarantee		Total
(in millions, except percentage of total)
Individual Retirement	Range of Guaranteed Minimum Credited Rate
	<=1%	$	6,251	$	1,917	$	28,202	$	36,370
	> 1% - 2%	3,556		21		1,490		5,067
	> 2% - 3%	7,653		11		1,407		9,071
	> 3% - 4%	6,342		36		5		6,383
	> 4% - 5%	424		—		4		428
	> 5%	32		—		3		35
	Total	$	24,258	$	1,985	$	31,111	$	57,354








Group Retirement	Range of Guaranteed Minimum Credited Rate
	<=1%	$	2,133	$	1,895	$	7,672	$	11,700
	> 1% - 2%	3,597		1,126		670		5,393
	> 2% - 3%	11,686		215		110		12,011
	> 3% - 4%	603		—		—		603
	> 4% - 5%	6,579		—		—		6,579
	> 5%	141		—		—		141
	Total	$	24,739	$	3,236	$	8,452	$	36,427

Life Insurance	Range of Guaranteed Minimum Credited Rate
	<=1%	$	—	$	—	$	—	$	—
	> 1% - 2%	—		110		365		475
	> 2% - 3%	9		1,072		856		1,937
	> 3% - 4%	1,190		482		7		1,679
	> 4% - 5%	2,820		—		—		2,820
	> 5%	214		—		—		214
	Total	$	4,233	$	1,664	$	1,228	$	7,125

Total*		$	53,230	$	6,885	$	40,791	$	100,906
Percentage of total		53%		7%		40%		100%


March 31, 2023		At Guaranteed Minimum		1 Basis Point - 50 Basis Points Above		More than 50 Basis Points Above Minimum Guarantee		Total
(in millions, except percentage of total)
Individual Retirement	Range of Guaranteed Minimum Credited Rate
	<=1%	$	7,776	$	2,562	$	23,263	$	33,601
	> 1% - 2%	3,994		24		2,163		6,181
	> 2% - 3%	9,155		1		390		9,546
	> 3% - 4%	7,359		40		6		7,405
	> 4% - 5%	452		—		4		456
	> 5%	32		—		4		36
	Total	$	28,768	$	2,627	$	25,830	$	57,225









Group Retirement	Range of Guaranteed Minimum Credited Rate
	<=1%	$	2,063	$	2,713	$	6,049	$	10,825
	> 1% - 2%	5,005		908		353		6,266
	> 2% - 3%	13,561		40		—		13,601
	> 3% - 4%	658		—		—		658
	> 4% - 5%	6,821		—		—		6,821
	> 5%	153		—		—		153
	Total	$	28,261	$	3,661	$	6,402	$	38,324

Life Insurance	Range of Guaranteed Minimum Credited Rate
	<=1%	$	—	$	—	$	—	$	—
	> 1% - 2%	—		131		349		480
	> 2% - 3%	28		862		1,079		1,969
	> 3% - 4%	1,417		118		198		1,733
	> 4% - 5%	2,946		—		—		2,946
	> 5%	222		—		—		222
	Total	$	4,613	$	1,111	$	1,626	$	7,350

Total*		$	61,642	$	7,399	$	33,858	$	102,899
Percentage of total		60%		7%		33%		100%

* Excludes policyholder contract deposits account balances that are not subject to guaranteed minimum crediting rates.

The following table presents a rollforward of the unearned revenue reserve for the three months ended March 31, 2024 and 2023:


Three Months Ended March 31, 2024	Life Insurance		Institutional Markets		Corporate and Other		Total
(in millions)


Balance, beginning of year	$	1,770	$	1	$	94	$	1,865
Revenue deferred	40		—		—		40


Amortization	(28)		—		(2)		(30)

Balance, end of period	$	1,782	$	1	$	92	$	1,875
Other reconciling items*							989
Other policyholder funds							$	2,864
Three Months Ended March 31, 2023
Balance, beginning of year	$	1,727	$	2	$	105	$	1,834
Revenue deferred	38		—		—		38


Amortization	(27)		(1)		(2)		(30)

Balance, end of period	$	1,738	$	1	$	103	$	1,842
Other reconciling items*							1,055
Other policyholder funds							$	2,897

* Other reconciling items include policyholders' dividend accumulations, provisions for future dividends to participating policyholders, dividends to policyholders and any similar items.