|
Single Life |
| ||||||
|
Age of Covered Life on the date the application is signed |
| |
Initial Secure Income Percentages |
| |
Secure Income Deferral Credit
|
|
|
45 |
| |
4.00% |
| |
0.20% |
|
|
46 |
| |
4.10% |
| |
0.20% |
|
|
47 |
| |
4.20% |
| |
0.20% |
|
|
48 |
| |
4.30% |
| |
0.20% |
|
|
49 |
| |
4.40% |
| |
0.20% |
|
|
50 |
| |
4.50% |
| |
0.20% |
|
|
51 |
| |
4.60% |
| |
0.20% |
|
|
52 |
| |
4.70% |
| |
0.20% |
|
|
53 |
| |
4.80% |
| |
0.20% |
|
|
54 |
| |
4.90% |
| |
0.20% |
|
|
55 |
| |
5.00% |
| |
0.25% |
|
|
56 |
| |
5.10% |
| |
0.25% |
|
|
57 |
| |
5.20% |
| |
0.25% |
|
|
58 |
| |
5.30% |
| |
0.25% |
|
|
59 |
| |
5.40% |
| |
0.25% |
|
|
60 |
| |
5.50% |
| |
0.25% |
|
|
61 |
| |
5.60% |
| |
0.25% |
|
|
62 |
| |
5.70% |
| |
0.25% |
|
|
63 |
| |
5.80% |
| |
0.25% |
|
|
64 |
| |
5.90% |
| |
0.25% |
|
|
65 |
| |
6.00% |
| |
0.30% |
|
|
66 |
| |
6.10% |
| |
0.30% |
|
|
67 |
| |
6.20% |
| |
0.30% |
|
|
68 |
| |
6.30% |
| |
0.30% |
|
|
69 |
| |
6.40% |
| |
0.30% |
|
|
70 |
| |
6.50% |
| |
0.35% |
|
|
71 |
| |
6.60% |
| |
0.35% |
|
|
72 |
| |
6.70% |
| |
0.35% |
|
|
73 |
| |
6.80% |
| |
0.35% |
|
|
74 |
| |
6.90% |
| |
0.35% |
|
|
75 |
| |
7.00% |
| |
0.40% |
|
|
76 |
| |
7.00% |
| |
0.40% |
|
|
77 |
| |
7.00% |
| |
0.40% |
|
|
78 |
| |
7.00% |
| |
0.40% |
|
|
79 |
| |
7.00% |
| |
0.40% |
|
|
80 |
| |
7.00% |
| |
0.40% |
|
|
Joint Life |
| ||||||
|
Age of Covered Life on the date the application is signed* |
| |
Initial Secure Income Percentages |
| |
Secure Income Deferral Credit
|
|
|
45 |
| |
3.50% |
| |
0.20% |
|
|
46 |
| |
3.60% |
| |
0.20% |
|
|
47 |
| |
3.70% |
| |
0.20% |
|
|
48 |
| |
3.80% |
| |
0.20% |
|
|
49 |
| |
3.90% |
| |
0.20% |
|
|
50 |
| |
4.00% |
| |
0.20% |
|
|
51 |
| |
4.10% |
| |
0.20% |
|
|
52 |
| |
4.20% |
| |
0.20% |
|
|
53 |
| |
4.30% |
| |
0.20% |
|
|
54 |
| |
4.40% |
| |
0.20% |
|
|
55 |
| |
4.50% |
| |
0.25% |
|
|
56 |
| |
4.60% |
| |
0.25% |
|
|
57 |
| |
4.70% |
| |
0.25% |
|
|
58 |
| |
4.80% |
| |
0.25% |
|
|
59 |
| |
4.90% |
| |
0.25% |
|
|
60 |
| |
5.00% |
| |
0.25% |
|
|
61 |
| |
5.10% |
| |
0.25% |
|
|
62 |
| |
5.20% |
| |
0.25% |
|
|
63 |
| |
5.30% |
| |
0.25% |
|
|
64 |
| |
5.40% |
| |
0.25% |
|
|
65 |
| |
5.50% |
| |
0.30% |
|
|
66 |
| |
5.60% |
| |
0.30% |
|
|
67 |
| |
5.70% |
| |
0.30% |
|
|
68 |
| |
5.80% |
| |
0.30% |
|
|
69 |
| |
5.90% |
| |
0.30% |
|
|
70 |
| |
6.00% |
| |
0.35% |
|
|
71 |
| |
6.10% |
| |
0.35% |
|
|
72 |
| |
6.20% |
| |
0.35% |
|
|
73 |
| |
6.30% |
| |
0.35% |
|
|
74 |
| |
6.40% |
| |
0.35% |
|
|
75 |
| |
6.50% |
| |
0.40% |
|
|
76 |
| |
6.50% |
| |
0.40% |
|
|
77 |
| |
6.50% |
| |
0.40% |
|
|
78 |
| |
6.50% |
| |
0.40% |
|
|
79 |
| |
6.50% |
| |
0.40% |
|
|
80 |
| |
6.50% |
| |
0.40% |
|
Single Life |
| ||||||||||||
| | |
Initial Secure Income Percentages
|
| |
Secure Income Deferral Credit
|
| ||||||
Age of Covered Life on the date the application is signed |
| |
While Contract Accumulated Value is greater than $0 |
| |
When Contract Accumulated Value is Reduced to $0 |
| |
While Contract Accumulated Value is greater than $0 |
| |
When Contract Accumulated Value is Reduced to $0 |
|
45 |
| |
5.50% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
46 |
| |
5.60% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
47 |
| |
5.70% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
48 |
| |
5.80% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
49 |
| |
5.90% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
50 |
| |
6.00% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
51 |
| |
6.10% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
52 |
| |
6.20% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
53 |
| |
6.30% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
54 |
| |
6.40% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
55 |
| |
6.50% |
| |
2.50% |
| |
0.25% |
| |
0.20% |
|
56 |
| |
6.60% |
| |
2.60% |
| |
0.25% |
| |
0.20% |
|
57 |
| |
6.70% |
| |
2.70% |
| |
0.25% |
| |
0.20% |
|
58 |
| |
6.80% |
| |
2.80% |
| |
0.25% |
| |
0.20% |
|
59 |
| |
6.90% |
| |
2.90% |
| |
0.25% |
| |
0.20% |
|
60 |
| |
7.00% |
| |
3.00% |
| |
0.25% |
| |
0.20% |
|
61 |
| |
7.10% |
| |
3.10% |
| |
0.25% |
| |
0.20% |
|
62 |
| |
7.20% |
| |
3.20% |
| |
0.25% |
| |
0.20% |
|
63 |
| |
7.30% |
| |
3.30% |
| |
0.25% |
| |
0.20% |
|
64 |
| |
7.40% |
| |
3.40% |
| |
0.25% |
| |
0.20% |
|
65 |
| |
7.50% |
| |
3.50% |
| |
0.30% |
| |
0.25% |
|
66 |
| |
7.60% |
| |
3.60% |
| |
0.30% |
| |
0.25% |
|
67 |
| |
7.70% |
| |
3.70% |
| |
0.30% |
| |
0.25% |
|
68 |
| |
7.80% |
| |
3.80% |
| |
0.30% |
| |
0.25% |
|
69 |
| |
7.90% |
| |
3.90% |
| |
0.30% |
| |
0.25% |
|
70 |
| |
8.00% |
| |
4.00% |
| |
0.35% |
| |
0.30% |
|
71 |
| |
8.00% |
| |
4.00% |
| |
0.35% |
| |
0.30% |
|
72 |
| |
8.00% |
| |
4.00% |
| |
0.35% |
| |
0.30% |
|
73 |
| |
8.00% |
| |
4.00% |
| |
0.35% |
| |
0.30% |
|
74 |
| |
8.00% |
| |
4.00% |
| |
0.35% |
| |
0.30% |
|
75 |
| |
8.00% |
| |
4.00% |
| |
0.40% |
| |
0.35% |
|
76 |
| |
8.00% |
| |
4.00% |
| |
0.40% |
| |
0.35% |
|
77 |
| |
8.00% |
| |
4.00% |
| |
0.40% |
| |
0.35% |
|
78 |
| |
8.00% |
| |
4.00% |
| |
0.40% |
| |
0.35% |
|
79 |
| |
8.00% |
| |
4.00% |
| |
0.40% |
| |
0.35% |
|
80 |
| |
8.00% |
| |
4.00% |
| |
0.40% |
| |
0.35% |
|
Joint Life |
| ||||||||||||
| | |
Initial Secure Income Percentages
|
| |
Secure Income Deferral Credit
|
| ||||||
Age of Covered Life on the date the application is signed* |
| |
While Contract Accumulated Value is greater than $0 |
| |
When Contract Accumulated Value is Reduced to $0 |
| |
While Contract Accumulated Value is greater than $0 |
| |
When Contract Accumulated Value is Reduced to $0 |
|
45 |
| |
5.00% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
46 |
| |
5.10% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
47 |
| |
5.20% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
48 |
| |
5.30% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
49 |
| |
5.40% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
50 |
| |
5.50% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
51 |
| |
5.60% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
52 |
| |
5.70% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
53 |
| |
5.80% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
54 |
| |
5.90% |
| |
2.50% |
| |
0.20% |
| |
0.15% |
|
55 |
| |
6.00% |
| |
2.50% |
| |
0.25% |
| |
0.20% |
|
56 |
| |
6.10% |
| |
2.60% |
| |
0.25% |
| |
0.20% |
|
57 |
| |
6.20% |
| |
2.70% |
| |
0.25% |
| |
0.20% |
|
58 |
| |
6.30% |
| |
2.80% |
| |
0.25% |
| |
0.20% |
|
59 |
| |
6.40% |
| |
2.90% |
| |
0.25% |
| |
0.20% |
|
60 |
| |
6.50% |
| |
3.00% |
| |
0.25% |
| |
0.20% |
|
61 |
| |
6.60% |
| |
3.10% |
| |
0.25% |
| |
0.20% |
|
62 |
| |
6.70% |
| |
3.20% |
| |
0.25% |
| |
0.20% |
|
63 |
| |
6.80% |
| |
3.30% |
| |
0.25% |
| |
0.20% |
|
64 |
| |
6.90% |
| |
3.40% |
| |
0.25% |
| |
0.20% |
|
65 |
| |
7.00% |
| |
3.50% |
| |
0.30% |
| |
0.25% |
|
66 |
| |
7.10% |
| |
3.60% |
| |
0.30% |
| |
0.25% |
|
67 |
| |
7.20% |
| |
3.70% |
| |
0.30% |
| |
0.25% |
|
68 |
| |
7.30% |
| |
3.80% |
| |
0.30% |
| |
0.25% |
|
69 |
| |
7.40% |
| |
3.90% |
| |
0.30% |
| |
0.25% |
|
70 |
| |
7.50% |
| |
4.00% |
| |
0.35% |
| |
0.30% |
|
71 |
| |
7.50% |
| |
4.00% |
| |
0.35% |
| |
0.30% |
|
72 |
| |
7.50% |
| |
4.00% |
| |
0.35% |
| |
0.30% |
|
73 |
| |
7.50% |
| |
4.00% |
| |
0.35% |
| |
0.30% |
|
74 |
| |
7.50% |
| |
4.00% |
| |
0.35% |
| |
0.30% |
|
75 |
| |
7.50% |
| |
4.00% |
| |
0.40% |
| |
0.35% |
|
76 |
| |
7.50% |
| |
4.00% |
| |
0.40% |
| |
0.35% |
|
77 |
| |
7.50% |
| |
4.00% |
| |
0.40% |
| |
0.35% |
|
78 |
| |
7.50% |
| |
4.00% |
| |
0.40% |
| |
0.35% |
|
79 |
| |
7.50% |
| |
4.00% |
| |
0.40% |
| |
0.35% |
|
80 |
| |
7.50% |
| |
4.00% |
| |
0.40% |
| |
0.35% |
|
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
| | | | ||
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| | | | | |
FEES AND EXPENSES |
| | |
Location in Prospectus |
| | ||||||||||||||||
| | |
If you take a withdrawal during the first
If you take a withdrawal or other Surrender from
a Segment Option, the amount Surrendered may be subject to a Bond Adjustment. A negative Bond Adjustment will result in loss. For the
Index-Linked Segment Options, there is no limit on the potential loss. In
extreme circumstances, you could lose up to 100% of the amount Surrendered. Bond Adjustments
may apply to a withdrawal, death benefit payment or Annuitization, regardless of when it occurs, including a Segment End Date
|
If you take a withdrawal or other Surrender, or if a GLWB Fee is deducted, from an Index-Linked
Segment Option prior to the Segment End Date, an Equity Adjustment will apply. A negative Equity Adjustment will result in loss. The downside
protection level will not apply, so the loss could be beyond the protection provided by the buffer or floor, as applicable. In
extreme circumstances, you could lose up to 100% of your investment. Equity Adjustments apply
to any withdrawal, death benefit, Annuitization or deduction of a GLWB Fee occurring on any day during a Segment Term other than the Segment
End Date. An Equity Adjustment will also apply upon exercise of Segment Lock-In for an Index-Linked Segment Option.
Losses due to negative
Bond or Equity Adjustments will be greater if you also have to pay a Surrender Charge, taxes or tax penalties.
|
| | ||||||||||||||||||||||||||
| |
|
| | ||||||||||||||||||||||||
| | |
Under the Index-Linked Segment Options, there is an implicit ongoing investment opportunity
cost because we limit, through the use of caps and participation rates, the amount you can earn. In return for this limit on Index gains,
you receive some protection from Index losses.
The table below describes the fees and expenses that
you may pay each year, depending
on the options you choose. Please refer to your Data Page for information about the specific fees you will pay each year based on the
options you have elected. |
|||||||||||||||||||||||||
Base Contract |
||||||||||||||||||||||||||||
Investment options (Underlying Fund fees and expenses) |
||||||||||||||||||||||||||||
(1)
(2)
Because your Contract is customizable, the choices you make affect
how much you will pay. To help you understand the cost of owning the Contract, the following table shows the lowest and highest cost you
could pay each year, based on
current charges. This estimate assumes that your entire Accumulated Value is in the Variable Account (even though you cannot select it
for investment). It also assumes that you do not take withdrawals from the Contract. Surrender
Charges and negative Bond and Equity Adjustments could substantially increase costs. |
$ |
Highest Annual Cost:
$ |
|||||||||||||||||||||||||||
Assumes:
•
Investment
of $100,000 in the Variable Account
•
5%
annual appreciation
•
Current
GLWB Fee
•
Minimum
Underlying Fund fees and expenses
•
No
sales charges
•
No
Transfer or withdrawals
|
Assumes:
•
Investment
of $100,000 in the Variable Account
•
5%
annual appreciation
•
Current
GLWB Fee
•
Maximum
Underlying Fund fees and expenses
•
No
sales charges
• |
| | | | | | | | | | |||||||||||||||||
| | | | | |
|
Location in
Prospectus |
|||||||||||||||||||||
•
You can lose
money by investing in the Contract, including loss of principal and previous earnings.
•
Under
an Index-Linked Segment Option, the maximum amount of loss that you could experience due to negative Index performance at the end of a
Segment Term, after taking into account the minimum limits on Index loss currently provided under the Contract, would be: 90% loss for
a 10% Buffer Rate; 80% loss for a 20% Buffer Rate; 10% loss for a 10% Floor Rate; or 0% loss for a 0% Floor Rate. You could lose a significant
amount of money if an Index declines in value. The limits on Index loss offered under the Contract may change from one Segment Term to
the next; however, we will always offer an Index-Linked Segment Option with a 10% Buffer Rate.
•
Any
loss you experience will be greater if Surrender Charges, negative Bond Adjustments, negative Equity Adjustments or taxes or tax penalties
also apply.
|
||||||||||||||||||||||||||||
•
The Contract is not a short-term
investment and is not appropriate for an investor who needs ready access to cash.
•
The
Contract’s tax deferral and long-term income features are generally more beneficial to investors with a long time horizon.
•
Amounts
withdrawn or otherwise Surrendered under the Contract may be subject to Surrender Charges, negative Bond Adjustments, and taxes and tax
penalties. In addition, for Index-Linked Segment Options, withdrawals, other Surrenders and GLWB Fee deductions before the Segment End
Date may result in negative Equity Adjustments and loss of positive Index performance.
•
Withdrawals
and other Surrenders will reduce your Crediting Base in a Segment Option. Deductions for GLWB Fees also reduce the Crediting Base. Generally,
the Crediting Base will be proportionately reduced, and the proportionate reduction could be greater than the amount Surrendered or deducted.
Reductions to your Crediting Base will result in lower Segment Interim Values for the remainder of the Segment Term and less Segment Return
(if any) on the Segment End Date.
|
•
|
| | | | | | ||||||||||||||||||||||
| |
|
•
An investment in the Contract
is subject to the risk of poor investment performance and can vary depending on the performance of the investment options available under
the Contract (e.g., the Index-Linked
Segment Options and Variable Account). Each investment option (including the Fixed Segment Option) has its own unique risks. You should
review the available investment options before making an investment decision.
For Index-Linked
Segment Options
•
The
Participation Rate and Cap Rate, as applicable, may limit positive Index returns (i.e.,
limit upside), which may result in less earnings than the Index performance
at the end of the Segment Term. For example:
•
If
the Index Change is 5%, Participation Rate is 80% and Cap Rate is 10%, we would apply only 4% gain at the end of the Segment Term using
the Participation Rate (i.e., 5%
x 80% = 4%).
•
If
the Index Change were instead 15%, we would not apply the Participation Rate, as that would result in gain (12%) exceeding the Cap Rate
(10%). We would apply only 10% gain using the Cap Rate at the end of the Segment Term.
•
The
Buffer Rate or Floor Rate (except a 0% Floor Rate), as applicable, will provide only limited protection from negative Index performance
in the case of a market decline, which may result in loss at the end of the
Segment Term. For example:
•
If
the Index Change is -25% and the Buffer Rate is 10%, we will apply a 15% loss (the amount of negative Index performance that exceeds the
Buffer Rate) at the end of the Segment Term.
•
If
the Index Change is -25% and the Floor Rate is 10%, we will apply a 10% loss (the amount of negative Index performance up to the Floor
Rate) at the end of the Segment Term.
•
While
a Floor Segment Option with a 0% Floor Rate provides complete protection from negative Index performance at the end of a Segment Term,
like any other Index-Linked Segment Option, there may be losses due to Surrender Charges, Bond Adjustments, Equity Adjustments and taxes
and tax penalties.
•
While
a Peak Buffer Segment Option provides for potential gain in the event of negative Index performance that does not exceed the Buffer Rate,
a Peak Buffer Segment Option does not provide protection from any negative Index performance in excess of the Buffer Rate.
|
| |
An investment in the Contract is subject to the risks related to
the Company. Any obligations (including under the Fixed Segment Option and Index-Linked Segment Options), guarantees or benefits of the
Contract are subject to the claims-paying ability of the Company. More information about the Company, including its financial strength
ratings, is available upon request by calling 1-800-852-4450. |
| | ||||||||||||||||||||||||||
| | | | | |
RESTRICTIONS |
| | |
Location in Prospectus |
| | ||||||||||||||||
| | |
•
The Contract
is a single premium product. Additional premium payments will not be accepted.
•
There
are restrictions that limit the investment options you may choose, and there are significant limitations on Transfers.
•
Transfers
are permitted only on Segment End Dates (for Segment Options) or Segment Anniversaries (for the Variable Account).
•
Transfers
to the Fixed Segment Option cannot result in your Accumulated Value in the Fixed Segment Option being more than the greater of (a) 50%
of your total Accumulated Value or (b) your Secure Income Benefit Payment for the current Contract Year.
•
You
cannot instruct us to allocate your Premium Payment or Accumulated Value to the Variable Account.
•
Transfers
are not permitted into an Index-Linked Segment Option while there is an ongoing Segment Term for that Segment Option.
•
At
the end of a Segment Term, Accumulated Value in the ended Segment Option will be reinvested, Transferred, withdrawn or Annuitized based
on your instructions. In the absence of instructions, that amount will be re-invested in the same Segment Option for a new Segment Term
(with the Cap Rate and Participation Rate or annual interest rate applicable to a new Segment Term). If the same Segment Option is no
longer available, that amount will be automatically Transferred to the applicable default option.
•
We
reserve the right to add and remove Segment Options as available investment options. We guarantee that the following Segment Option will
be available (subject to our right of Index substitution) for the life of the Contract: Point-to-Point, S&P 500 Price Return
Index, Participation Rate and Cap Rate, 1-year Segment Term, 10% Buffer. If you are not comfortable with the possibility that could be
the only Segment Option available in the future, you should not buy this Contract, as we do not guarantee the availability of any other
Segment Option. In the future, we may not offer any Index-Linked Segment Options with a Floor, and we do not guarantee a minimum Floor
Rate for any new Index-Linked Segment Option with a Floor that we may decide to offer. After purchase, if you do not want to invest in
any available Segment Option under the Contract, you may fully Surrender the Contract, but doing so may cause you to incur Surrender Charges,
a negative Bond Adjustment, negative Equity Adjustments and taxes and tax penalties. If you purchase another investment vehicle, it may
have different features, fees and risks than this Contract.
|
• We reserve the right to substitute the Index
for an Index-Linked Segment Option during its Segment Term.
•
We
reserve the right to substitute the Underlying Fund for the Variable Account. We reserve the right to close the Variable Account and remove
it from the Contract.
•
There
are restrictions related to the Secure Income Protector (GLWB).
•
The
Contract is issued with the GLWB. You cannot voluntarily terminate the GLWB until your 6th
Contract Anniversary.
•
The
applicable Initial Secure Income Percentages and Secure Income Deferral Credit percentages are stated in the Rate Sheet Supplement
in effect when you sign your Contract application. Your Initial Secure Income Percentage and Secure Income Deferral Credit percentage
cannot be modified after purchase, except in limited circumstances.
•
If
the Covered Life (or oldest Covered Life, if applicable) is not at least age 591∕2
on the Contract Date, Secure Income Withdrawals are not available until the Covered Life (or oldest Annuitant, if applicable) attains
age 591∕2.
•
Excess
Withdrawals are subject to significant risk:
•
They
may affect the availability of the GLWB by reducing the benefit by an amount greater than the value withdrawn, and could terminate the
benefit and the Contract.
•
Excess
Withdrawals may be subject to Surrender Charges, negative Bond Adjustments, negative Equity Adjustments and taxes and tax penalties.
•
All
withdrawals before Secure Income Withdrawals are available, and all withdrawals in excess of the Secure Income Benefit Payment after Secure
Income Withdrawals become available, are Excess Withdrawals.
•
Secure
Income Withdrawals may be subject to negative Equity Adjustments and taxes.
• |
| | | | | | ||||||||||||||||||||||
| | | | | |
TAXES |
| | |
Location in Prospectus |
| | ||||||||||||||||
| |
|
•
You should consult with a tax
professional to determine the tax implications of an investment in and payments received under the Contract.
•
If
you purchase the Contract through a tax-qualified plan or individual retirement account (IRA), there is no additional tax benefit from
the Contract.
•
Withdrawals
will be subject to ordinary income tax. You also may have to pay a
|
| |
| | | | | |
CONFLICTS OF INTEREST |
| | |
Location in Prospectus |
| | ||||||||||||||||
| | |
Your investment professional may receive compensation for selling
the Contract to you in the form of commissions, other cash compensation (e.g.,
bonuses) and non-cash compensation. Your investment professional may have a financial incentive to offer or recommend the Contract to
you over another investment. |
| | |||||||||||||||||||||||
| |
|
| |
| |
Segment Options Available(1)
|
| | |
Segment Terms Available (Limit on Downside Loss / Guaranteed Minimum Interest Rate) |
| | ||||||||||||||||
| |
Crediting Method |
| | |
Indices |
| | |
Limits on Upside |
| | |
1-Year Segment Term |
| | |
2-Year Segment Term |
| | |
6-Year Segment Term |
| |
| | Point-to-Point | | | | S&P 500
(Price Return Index; SPX) |
| | | Participation Rate & Cap Rate | | | |
10% Buffer 20% Buffer 0% Floor 10% Floor |
| | |
10% Buffer |
| | |
10% Buffer 20% Buffer |
| |
| | Point-to-Point | | | | Russell 2000
(Price Return Index; RTY) |
| | | Participation Rate & Cap Rate | | | |
10% Buffer |
| | |
N/A |
| | |
10% Buffer |
| |
| | Point-to-Point | | | | SG Smart
Climate Index (SGIXSMAC) |
| | | Participation Rate & Cap Rate | | | |
N/A |
| | |
N/A |
| | |
10% Buffer |
| |
| | Point-to-Point | | | | S&P 500
(Price Return Index; SPX) |
| | | Participation Rate & Cap Rate | | | |
20% Peak Buffer
(10% Peak Buffer Midpoint) |
| | |
N/A |
| | |
20% Peak Buffer
(10% Peak Buffer Midpoint) |
| |
| | Fixed | | | | Fixed Segment | | | | Fixed Rate | | | |
0.05% Guaranteed
Minimum Interest Rate |
| | |
N/A |
| | |
N/A |
| |
|
Maximum Surrender Charge(1)
(as a percentage of the amount Surrendered) |
| | | | | | |
|
Maximum Potential Loss due to a Bond Adjustment(2)
(as a percentage of the amount Surrendered from an Index-Linked Segment Option) |
| | | | | | |
|
Maximum Potential Loss due to an Equity Adjustment(3)
(as a percentage of your investment in an Index-Linked Segment Option) |
| | | | | |
Contract Year |
| |
Surrender Charge (as a percentage of the amount Surrendered) |
| |||
1 |
| | | | 8% | | |
2 |
| | | | 8% | | |
3 |
| | | | 7% | | |
4 |
| | | | 6% | | |
5 |
| | | | 5% | | |
6 |
| | | | 4% | | |
7+ |
| | | | 0% | | |
|
Base Contract Expenses(1)
(as a percentage of the Secure Income Benefit Base) |
| | | | | |
| Annual
Underlying Fund Expenses (expenses that are deducted from Underlying Fund assets, including management fees, distribution and/or service (12b-1) fees, and other expenses) |
| | | | | |
|
1 year |
| |
3 years |
| |
5 years |
| |
10 years |
|
|
$ |
| |
$ |
| |
$ |
| |
$ |
|
|
1 year |
| |
3 years |
| |
5 years |
| |
10 years |
|
|
*
|
| |
$ |
| |
$ |
| |
$ |
|
|
1 year |
| |
3 years |
| |
5 years |
| |
10 years |
|
|
$ |
| |
$ |
| |
$ |
| |
$ |
|
Contract Year |
| |
Surrender Charge |
| |||
1 |
| | | | 8.00% | | |
2 |
| | | | 8.00% | | |
3 |
| | | | 7.00% | | |
4 |
| | | | 6.00% | | |
5 |
| | | | 5.00% | | |
6 |
| | | | 4.00% | | |
7+ |
| | | | 0.00% | | |
|
Crediting Base |
| | | $ | 100,000.00 | | |
|
Accumulated Value prior to withdrawal |
| | | $ | 100,000.00 | | |
|
Free Surrender Amount |
| | | $ | 10,000.00(1) | | |
|
Withdrawal Amount |
| | | $ | 20,000.00 | | |
|
Portion of Crediting Base Surrendered |
| | | $ | 20,000.00(2) | | |
|
Bond Adjustment Percentage |
| | | | -2.50% | | |
|
Bond Adjustment Amount |
| | | $ | -250.00(3) | | |
|
Withdrawal Amount after Bond Adjustment |
| | | $ | 19,750.00(4) | | |
|
Surrender Charge Percentage |
| | | | 8.00% | | |
|
Surrender Charge |
| | | $ | 780.00(5) | | |
|
Withdrawal Amount after Surrender Charge (excluding any tax withholding)
|
| | | $ | 18,970.00(6) | | |
|
Accumulated Value after Withdrawal |
| | | $ | 80,000.00(7) | | |
|
Premium Payment |
| | | $ | 100,000.00 | | |
|
Crediting Base |
| | | $ | 100,000.00 | | |
|
Equity Adjustment Percentage |
| | | | 0.00% | | |
|
Equity Adjustment Amount |
| | | $ | 0.00 | | |
|
Accumulated Value prior to withdrawal |
| | | $ | 100,000.00 | | |
|
Free Surrender Amount |
| | | $ | 10,000.00(1) | | |
|
Withdrawal Amount |
| | | $ | 10,000.00 | | |
|
Portion of Crediting Base Surrendered |
| | | $ | 10,000.00(2) | | |
|
Bond Adjustment Percentage |
| | | | N/A(3) | | |
|
Bond Adjustment Amount |
| | | | N/A(3) | | |
|
Withdrawal Amount after Bond Adjustment |
| | | $ | 10,000.00(4) | | |
|
Surrender Charge Percentage |
| | | | 8.00% | | |
|
Surrender Charge |
| | | $ | 0.00(5) | | |
|
Withdrawal Amount after Surrender Charges |
| | | $ | 10,000.00(6) | | |
|
Accumulated Value after Withdrawal |
| | | $ | 90,000.00(7) | | |
| |
Segment Options Available(1)
|
| | |
Segment Terms Available (Limit on Downside Loss / Guaranteed Minimum Interest Rate) |
| | ||||||||||||||||
| |
Crediting Method |
| | |
Indices |
| | |
Limits on Upside |
| | |
1-Year Segment Term |
| | |
2-Year Segment Term |
| | |
6-Year Segment Term |
| |
| | Point-to-Point | | | | S&P 500 (Price Return Index; SPX) | | | | Participation
Rate & Cap Rate(2) |
| | |
10% Buffer 20% Buffer 0% Floor 10% Floor |
| | |
10% Buffer |
| | |
10% Buffer 20% Buffer |
| |
| | Point-to-Point | | | | Russell 2000 (Price Return Index; RTY) | | | | Participation
Rate & Cap Rate(2) |
| | |
10% Buffer |
| | |
N/A |
| | |
10% Buffer |
| |
| | Point-to-Point | | | | SG Smart Climate Index (SGIXSMAC) |
| | | Participation
Rate & Cap Rate(2) |
| | |
N/A |
| | |
N/A |
| | |
10% Buffer |
| |
| | Point-to-Point | | | | S&P 500 (Price Return Index; SPX) | | | | Participation
Rate & Cap Rate(2) |
| | |
20% Peak Buffer
(10% Peak Buffer Midpoint) |
| | |
N/A |
| | |
20% Peak Buffer
(10% Peak Buffer Midpoint) |
| |
| | Fixed | | | | Fixed Segment | | | | Fixed Rate | | | |
0.05% Guaranteed
Minimum Interest Rate |
| | |
N/A |
| | |
N/A |
| |
Scenario |
| |
Crediting
Base on Segment Start Date |
| |
Beginning Index Value |
| |
Ending Index Value |
| |
Index Change |
| |
Segment Credit percentage |
| |
Crediting
Base on Segment End Date |
| |
Segment Credit dollar amount |
| |||||||||||||||||||||
1 |
| | | $ | 1,250 | | | | | | 100 | | | | | | 125 | | | | | | 25% | | | | | | 5% | | | | | $ | 1,000 | | | | | $ | 50 | | |
2 |
| | | $ | 1,250 | | | | | | 100 | | | | | | 105 | | | | | | 5% | | | | | | 3.75% | | | | | $ | 1,000 | | | | | $ | 37.50 | | |
3 |
| | | $ | 1,250 | | | | | | 100 | | | | | | 100 | | | | | | 0% | | | | | | 0% | | | | | $ | 1,000 | | | | | $ | 0 | | |
4 |
| | | $ | 1,250 | | | | | | 100 | | | | | | 95 | | | | | | -5% | | | | | | 0% | | | | | $ | 1,000 | | | | | $ | 0 | | |
5 |
| | | $ | 1,250 | | | | | | 100 | | | | | | 85 | | | | | | -15% | | | | | | 0% | | | | | $ | 1,000 | | | | | $ | 0 | | |
Scenario |
| |
Crediting
Base on Segment Start Date |
| |
Beginning Index Value |
| |
Ending Index Value |
| |
Index Change |
| |
Segment Credit percentage |
| |
Crediting
Base on Segment End Date |
| |
Segment Credit dollar amount |
| |||||||||||||||||||||
1 |
| | | $ | 1,250 | | | | | | 100 | | | | | | 125 | | | | | | 25% | | | | | | 10% | | | | | $ | 1,000 | | | | | $ | 100 | | |
2 |
| | | $ | 1,250 | | | | | | 100 | | | | | | 105 | | | | | | 5% | | | | | | 5% | | | | | $ | 1,000 | | | | | $ | 50 | | |
3 |
| | | $ | 1,250 | | | | | | 100 | | | | | | 100 | | | | | | 0% | | | | | | 0% | | | | | $ | 1,000 | | | | | $ | 0 | | |
4 |
| | | $ | 1,250 | | | | | | 100 | | | | | | 95 | | | | | | -5% | | | | | | -5% | | | | | $ | 1,000 | | | | | $ | -50 | | |
5 |
| | | $ | 1,250 | | | | | | 100 | | | | | | 85 | | | | | | -15% | | | | | | -10% | | | | | $ | 1,000 | | | | | $ | -100 | | |
Scenario |
| |
Crediting
Base on Segment Start Date |
| |
Beginning Index Value |
| |
Ending Index Value |
| |
Index Change |
| |
Segment Credit percentage |
| |
Crediting
Base on Segment End Date |
| |
Segment Credit dollar amount |
| |||||||||||||||||||||
1 |
| | | $ | 2,500 | | | | | | 100 | | | | | | 160 | | | | | | 60% | | | | | | 50% | | | | | $ | 1,000 | | | | | $ | 500 | | |
2 |
| | | $ | 2,500 | | | | | | 100 | | | | | | 125 | | | | | | 25% | | | | | | 27.5% | | | | | $ | 1,000 | | | | | $ | 275 | | |
3 |
| | | $ | 2,500 | | | | | | 100 | | | | | | 100 | | | | | | 0% | | | | | | 0% | | | | | $ | 1,000 | | | | | $ | 0 | | |
4 |
| | | $ | 2,500 | | | | | | 100 | | | | | | 95 | | | | | | -5% | | | | | | 0% | | | | | $ | 1,000 | | | | | $ | 0 | | |
5 |
| | | $ | 2,500 | | | | | | 100 | | | | | | 30 | | | | | | -60% | | | | | | -50% | | | | | $ | 1,000 | | | | | $ | -500 | | |
Scenario |
| |
Crediting
Base on Segment Start Date |
| |
Beginning Index Value |
| |
Ending Index Value |
| |
Index Change |
| |
Segment Credit percentage |
| |
Crediting
Base on Segment End Date |
| |
Segment Credit dollar amount |
| |||||||||||||||||||||
1 |
| | | $ | 1,250 | | | | | | 100 | | | | | | 125 | | | | | | 25% | | | | | | 5% | | | | | $ | 1,000 | | | | | $ | 50 | | |
2 |
| | | $ | 1,250 | | | | | | 100 | | | | | | 102 | | | | | | 2% | | | | | | 2% | | | | | $ | 1,000 | | | | | $ | 20 | | |
3 |
| | | $ | 1,250 | | | | | | 100 | | | | | | 100 | | | | | | 0% | | | | | | 0% | | | | | $ | 1,000 | | | | | $ | 0 | | |
4 |
| | | $ | 1,250 | | | | | | 100 | | | | | | 95 | | | | | | -5% | | | | | | 5% | | | | | $ | 1,000 | | | | | $ | 50 | | |
5 |
| | | $ | 1,250 | | | | | | 100 | | | | | | 90 | | | | | | -10% | | | | | | 10% | | | | | $ | 1,000 | | | | | $ | 100 | | |
6 |
| | | $ | 1,250 | | | | | | 100 | | | | | | 88 | | | | | | -12% | | | | | | 8% | | | | | $ | 1,000 | | | | | $ | 80 | | |
7 |
| | | $ | 1,250 | | | | | | 100 | | | | | | 75 | | | | | | -25% | | | | | | -5% | | | | | $ | 1,000 | | | | | $ | -50 | | |
Scenario |
| |
Crediting
Base on Segment Start Date |
| |
Beginning Index Value |
| |
Ending Index Value |
| |
Index Change |
| |
Segment Credit percentage |
| |
Crediting
Base on Segment End Date |
| |
Segment Credit dollar amount |
| |||||||||||||||||||||
1 |
| | | $ | 2,500 | | | | | | 100 | | | | | | 160 | | | | | | 60% | | | | | | 50% | | | | | $ | 1,000 | | | | | $ | 500 | | |
2 |
| | | $ | 2,500 | | | | | | 100 | | | | | | 125 | | | | | | 25% | | | | | | 25% | | | | | $ | 1,000 | | | | | $ | 250 | | |
3 |
| | | $ | 2,500 | | | | | | 100 | | | | | | 100 | | | | | | 0% | | | | | | 0% | | | | | $ | 1,000 | | | | | $ | 0 | | |
4 |
| | | $ | 2,500 | | | | | | 100 | | | | | | 95 | | | | | | -5% | | | | | | 5% | | | | | $ | 1,000 | | | | | $ | 50 | | |
5 |
| | | $ | 2,500 | | | | | | 100 | | | | | | 88 | | | | | | -12% | | | | | | 8% | | | | | $ | 1,000 | | | | | $ | 80 | | |
6 |
| | | $ | 2,500 | | | | | | 100 | | | | | | 30 | | | | | | -70% | | | | | | -50% | | | | | $ | 1,000 | | | | | $ | -500 | | |
|
•
Cred BasePrev
|
| | is the Segment Crediting Base on the previous day | |
|
•
Seg Fee
|
| | is the Segment Fee amount applied to the Segment Option on this date | |
|
•
Seg Credit
|
| | is the amount of Segment Credits credited to the Segment Option on this date | |
|
•
TransfersIn
|
| | is the amount transferred from other Segment Options to this Segment Option on this date | |
|
•
TransfersOut
|
| | is the amount transferred to other Segment Options from this Segment Option on this date | |
|
•
Surrenders
|
| |
is the Surrender amount deducted from this Segment Option on this
date |
|
Contract Year |
| |
Beginning Crediting Base |
| |
Segment Credit |
| |
Crediting Base After Segment Credit |
| |||||||||
1 |
| | | $ | 100,000.00 | | | | | $ | 5,000.00 | | | | | $ | 105,000.00 | | |
2 |
| | | $ | 105,000.00 | | | | | $ | -15,000.00 | | | | | $ | 90,000.00 | | |
3 |
| | | $ | 90,000.00 | | | | | $ | 2,000.00 | | | | | $ | 92,000.00 | | |
|
Premium Payment |
| | | $ | 100,000.00 | | |
|
Crediting Base |
| | | $ | 100,000.00 | | |
|
Index Change |
| | | | 0.00% | | |
|
Segment Credit |
| | | $ | 0.00 | | |
|
Accumulated Value prior to Withdrawal |
| | | $ | 100,000.00 | | |
|
Required Minimum Distribution |
| | | $ | 0.00 | | |
|
Free Surrender Amount |
| | | $ | 10,000.00(1) | | |
|
Withdrawal Amount |
| | | $ | 20,000.00 | | |
|
Portion of Crediting Base Surrendered |
| | | $ | 20,000.00(2) | | |
|
Bond Adjustment Percentage |
| | | | -2.50% | | |
|
Bond Adjustment Amount |
| | | $ | -250.00(3) | | |
|
Withdrawal Amount after Bond Adjustment |
| | | $ | 19,750.00(4) | | |
|
Surrender Charge Percentage |
| | | | 8.00% | | |
|
Surrender Charge |
| | | $ | 780.00(5) | | |
|
Withdrawal Amount after Surrender Charges |
| | | $ | 18,970.00(6) | | |
|
Crediting Base after Withdrawal |
| | | $ | 80,000.00(7) | | |
|
Accumulated Value after Withdrawal |
| | | $ | 80,000.00(8) | | |
|
Premium Payment |
| | | $ | 100,000.00 | | |
|
Crediting Base |
| | | $ | 100,000.00 | | |
|
Equity Adjustment Percentage |
| | | | -5.22% | | |
|
Equity Adjustment Amount |
| | | $ | -5,220.00 | | |
|
Accumulated Value (Segment Interim Value)(1)
prior to Withdrawal |
| | | $ | 94,780.00 | | |
|
Required Minimum Distribution |
| | | $ | 0.00 | | |
|
Free Surrender Amount |
| | | $ | 10,000.00(2) | | |
|
Withdrawal Amount |
| | | $ | 20,000.00 | | |
|
Portion of Crediting Base Surrendered |
| | | $ | 21,101.50(3) | | |
|
Bond Adjustment Percentage |
| | | | -1.56% | | |
|
Bond Adjustment Amount |
| | | $ | -173.18(4) | | |
|
Withdrawal Amount after Bond Adjustment |
| | | $ | 19,826.82(5) | | |
|
Surrender Charge Percentage |
| | | | 8.00% | | |
|
Surrender Charge |
| | | $ | 786.15(6) | | |
|
Withdrawal Amount after Surrender Charges |
| | | $ | 19,040.67(7) | | |
|
Crediting Base after Withdrawal |
| | | $ | 78,898.50(8) | | |
|
Accumulated Value after Withdrawal |
| | | $ | 74,780.00(9) | | |
|
Premium Payment |
| | | $ | 100,000.00 | | |
|
Crediting Base |
| | | $ | 100,000.00 | | |
|
Equity Adjustment Percentage |
| | | | -12.83% | | |
|
Equity Adjustment Amount |
| | | $ | -12,830.00 | | |
|
Accumulated Value (Segment Interim Value)(1)
prior to withdrawal |
| | | $ | 87,170.00 | | |
|
Required Minimum Distribution |
| | | $ | 4,500.00 | | |
|
Free Surrender Amount |
| | | $ | 4,500.00(2) | | |
|
Withdrawal Amount |
| | | $ | 4,500.00 | | |
|
Portion of Crediting Base Surrendered |
| | | $ | 5,162.33(3) | | |
|
Bond Adjustment Percentage |
| | | | N/A(4) | | |
|
Bond Adjustment Amount |
| | | | N/A(4) | | |
|
Withdrawal Amount after Bond Adjustment |
| | | $ | 4,500.00(5) | | |
|
Surrender Charge Percentage |
| | | | 8.00% | | |
|
Surrender Charge |
| | | $ | 0.00(6) | | |
|
Withdrawal Amount after Surrender Charges |
| | | $ | 4,500.00(7) | | |
|
Reduction to Crediting Base |
| | | $ | 4,500.00(8) | | |
|
Crediting Base after Withdrawal |
| | | $ | 95,500.00(9) | | |
|
Accumulated Value after Withdrawal |
| | | $ | 83,247.35(10) | | |
| |
Standard Benefits |
| | ||||||||||||
| |
Name of Benefit |
| | |
Purpose |
| | |
Maximum Fee |
| | |
Brief Description of Restrictions/Limitations
|
| |
| |
|
| | | |
| | |
(annualized, as a percentage of the Secure Income Benefit Base) |
| | |
Automatically included in Contract
at issue
•
You
cannot terminate until 6th
Contract Anniversary
•
See
Rate Sheet Supplement for terms applicable to new Contracts
•
Benefit
available only during the accumulation period
•
If
not at least age 591∕2
at issue, Secure Income Withdrawals cannot begin until age 591∕2
|
||
•
Secure Income Withdrawals may
be subject to negative Equity Adjustments and taxes
•
Excess
Withdrawals may significantly reduce or terminate the benefit and the Contract and may have other negative consequences
•
Excess
Withdrawals may be subject to Surrender Charges, negative Bond Adjustments, negative Equity Adjustments and taxes and tax penalties
•
Partial
Surrenders reduce potential for Step-Ups
•
Step-Ups
increase dollar amount of GLWB Fees
•
No
Secure Income Deferral Credits after taking first withdrawal
•
Partial
Annuitizations count against Secure Income Benefit Payment and may be treated like Excess Withdrawals
•
|
| |
| |
Standard Benefits |
| | ||||||||||||
| |
Name of Benefit |
| | |
Purpose |
| | |
Maximum Fee |
| | |
Brief Description of Restrictions/Limitations
|
| |
| | | | | | | | | | | | | |
Other involuntary termination
provisions apply
•
|
| |
| |
|
| | | |
| | |
|
| | |
Only available during the accumulation
period
•
Withdrawals
of Free Surrender Amount may be subject to negative Equity Adjustments and taxes and tax penalties
•
All
withdrawals count against Free Surrender Amount
•
Partial
Annuitizations count against Free Surrender Amount remaining, but are not treated as withdrawals of Free Surrender Amount
•
|
| |
| |
|
| | | |
| | |
Included in GLWB Fee |
| | |
Only available during the accumulation
period
•
If
insufficient Accumulated Value in the ended Index-Linked Segment Options, will Transfer only the amount available
•
No
automatic Transfer if no Index-Linked Segment Options ending on a Segment Anniversary
•
|
| |
| |
|
| | | |
| | |
Included in GLWB Fee |
| | |
Only available during the accumulation
period
•
Must
be eligible for and enroll in the program for excess RMD amounts to be treated as Secure Income Withdrawals (not Excess Withdrawals)
•
|
| |
| |
Standard Benefits |
| | ||||||||||||
| |
Name of Benefit |
| | |
Purpose |
| | |
Maximum Fee |
| | |
Brief Description of Restrictions/Limitations
|
| |
| | | | | | | | | | | | | |
•
Must elect scheduled withdrawal
payments to enroll
•
Unscheduled
withdrawals may be Excess Withdrawals
•
Enrollment
not necessary for RMD withdrawals to be treated as withdrawals of the Free Surrender Amount
|
| |
| |
|
| | |
|
| | |
|
| | |
We will not provide advice or
notify you regarding whether you should exercise Segment Lock-In or the optimal time for doing so (if any)
•
We
will not warn you if you exercise Segment Lock-In at a sub-optimal time
•
We
will not warn you if you set Lock-In Thresholds for Automatic Segment Lock-In at sub-optimal levels
•
You
will not know the locked-in Equity Adjustment in advance; the locked-in Equity Adjustment could be lower than you anticipated
•
We
are not responsible for any losses or forgone gains related to your decision whether or not to exercise Segment Lock-In
•
Only
available during the accumulation period
•
Only
available for the Index-Linked Segment Options
•
Will
not participate in Index performance (positive or negative) for the remainder of the Segment Term, including the Segment End Date
•
Floor
Rate, Buffer Rate, Peak Buffer Midpoint, Cap Rate and Participation Rate, as applicable, will not apply on the Segment End Date
•
Locking-in
a negative Equity Adjustment will result in loss, no downside protection under buffer or floor will apply, and the loss could be significant
•
For
multi-year Segment Terms, upon exercise, Segment End Date will always be next Segment Anniversary
•
|
| |
| |
Standard Benefits |
| | ||||||||||||
| |
Name of Benefit |
| | |
Purpose |
| | |
Maximum Fee |
| | |
Brief Description of Restrictions/Limitations
|
| |
| | | | | | | | | | | | | |
May be exercised once per Segment
Term for each Index-Linked Segment Option
•
May
only exercise for entire Accumulated Value in an Index-Linked Segment Option
•
|
| |
| |
|
| | | |
| | |
|
| | |
Only available during the accumulation
period
•
Accumulated
Value component reflects any applicable Equity Adjustment and is subject to a Bond Adjustment, which may be negative
•
Premium
Payment component subject to reductions for prior Surrenders
•
While
GLWB is active, Secure Income Withdrawals reduce Premium Payment dollar-for-dollar, while all other Surrenders result in proportionate
reductions
•
If
GLWB is terminated, all Surrenders result in proportionate reductions
•
Partial
withdrawals and Annuitizations could significantly reduce the benefit, perhaps by more than the amount withdrawn or Annuitized
•
Terminates
upon full Annuitization
•
|
| |
| |
|
| | | |
| | |
|
| | |
Automatically included in Contract
at issue
•
Only
available during the accumulation period
•
Owner
or Annuitant must have a “critical need” as defined by the benefit
•
Critical
need must not pre-exist the Contract Date
•
Withdrawals
under the benefit may be subject to negative Bond Adjustments, negative Equity Adjustments and taxes
and tax penalties
•
Withdrawals
count against the Free Surrender Amount
•
|
| |
| |
If… |
| | |
And… |
| | |
Then… |
| |
| | You are the sole Owner of the contract | | | | You direct us to take a withdrawal to satisfy a court order to pay a portion of the Contract to your former spouse | | | |
Any portion of such withdrawal that exceeds the available Secure Income Benefit Payment will
be deemed an Excess Withdrawal.
You will retain all rights and benefits of the rider.
Note: If the Excess Withdrawal causes the Secure Income Benefit Base
to go to zero, the GLWB and the Contract will terminate immediately. |
| |
| |
If… |
| | |
And… |
| | |
Then… |
| |
| | You are the sole Owner of the contract | | | | You direct us to change ownership of the Contract to your former spouse to satisfy a court order | | | |
The GLWB will terminate.
Your former spouse will become the new Owner of the Contract and will
retain all rights and benefits of the Contract. |
| |
| | Contract is jointly owned | | | | You direct us to take a withdrawal to satisfy a court order to pay a portion of the Contract to your former spouse | | | |
The spouse who retains ownership of the Contract will continue to be entitled to all rights
and benefits of the GLWB while the former spouse will no longer have any such rights or be entitled to any benefits under the GLWB.
Note: If the withdrawal is an Excess Withdrawal and causes the Secure
Income Benefit Base to go to zero, the GLWB and the Contract will terminate immediately.
If Joint Life has been elected, the Joint Life election will not be
changed and your Secure Income Percentage will not be adjusted. |
| |
| | Contract is jointly owned | | | | You direct us to remove one of the joint Owners to satisfy a court order | | | |
The spouse who retains ownership of the Contract will continue to be entitled to all rights
and benefits of the GLWB while the former spouse will no longer have any such rights or be entitled to any benefits under the GLWB.
If Joint Life has been elected, the Joint Life election will not be
changed and your Secure Income Percentage will not be adjusted. |
| |
| |
If you die and… |
| | |
And… |
| | |
Then if your spouse continues this Contract…
|
| |
| | No withdrawals have been taken since the Contract Date | | | | Your spouse meets the minimum Contract issue age requirement | | | |
Your spouse may continue the GLWB and take withdrawals until the earlier of your spouse’s
death or the Secure Income Benefit Base reduces to zero.
Secure Income Benefit Payments will automatically be calculated as “Single
Life” and your spouse will be the sole Covered Life. Your spouse may not add a new Covered Life or elect “Joint Life”.
The Initial Secure Income Percentage and Secure Income Deferral Credit percentage
will be based on your spouse’s age on the Contract Date.
All other provisions of the GLWB will continue as in effect on the date
of your death. |
| |
| | No withdrawals have been taken since the Contract Date | | | | Your spouse does not meet the Contract minimum issue age requirement | | | |
The GLWB terminates upon your death.
All other provisions of this Contract will continue as in effect on
the date of your death. |
| |
| |
If you die and… |
| | |
And… |
| | |
And… |
| | |
Then if your spouse continues this Contract…
|
| |
| | Withdrawals have been taken since the Contract Date | | | | You have elected “Single Life” Secure Income Benefit Payments | | | | N/A | | | |
The GLWB terminates upon the death of the first Covered Life to die.
All other provisions of this Contract will continue as in effect on
the date of your death. |
| |
| | Withdrawals have been taken since the Contract Date | | | | You have elected “Joint Life” Secure Income Benefit Payments | | | | Your spouse is the surviving Covered Life | | | |
Your spouse may continue the GLWB and take Secure Income Benefit Payments until the earlier
of your spouse’s death or the Secure Income Benefit Base reduces to zero.
Secure Income Benefit Payments will continue to be calculated as “Joint
Life”.
The Secure Income Percentage will remain locked in at the “Joint
Life” percentage applicable on the date of your first withdrawal and will not be reset to reflect your death.
All other provisions of the GLWB will continue as in effect on the date
of your death. |
| |
| | Withdrawals have been taken since the Contract Date | | | | You have elected “Joint Life” Secure Income Benefit Payments | | | | There is no surviving Covered Life | | | |
The GLWB terminates upon your death.
All other provisions of this Contract will continue as in effect on
the date of your death. |
| |
| |
If you die and… |
| | |
And… |
| | |
Then… |
| |
| | You are the sole Owner | | | | Your spouse is not named as a primary beneficiary | | | |
The primary beneficiary will receive the death benefit
All other rights and benefits under the rider and Contract will terminate.
|
| |
| | You are the sole Owner | | | | Your spouse is named as a primary beneficiary | | | |
Your spouse may continue the Contract with or without the GLWB or receive the death benefit.
All other primary beneficiaries will receive the death benefit.
Unless your spouse elects to continue the Contract with the GLWB, only
your spouse’s and any other beneficiary’s(ies’) rights to the selected payments will continue; all other rights and
benefits under the GLWB and Contract will terminate. |
| |
| | You are a joint Owner | | | | The surviving joint Owner is not your spouse | | | |
Your surviving Owner will receive the death benefit.
All other rights and benefits under the Contract will terminate.
|
| |
| | You are a joint Owner | | | | The surviving joint Owner is your spouse | | | |
Your spouse may continue the Contract with or without the GLWB or receive the death benefit.
Unless your surviving spouse Owner elects to continue the Contract with
the GLWB, upon your death, only your spouse’s right to the selected payments will continue; all other rights and benefits under
the GLWB and the Contract will terminate. |
| |
| |
If… |
| | |
And… |
| | |
Then… |
| |
| | If the Annuitant dies | | | | The Owner is not a natural person | | | |
The beneficiary(ies) receive the death benefit.
If a beneficiary dies before the Annuitant, on the Annuitant’s
death we will make equal payments to the surviving beneficiaries unless the Owner provided us with other written instructions. If no beneficiary(ies)
survive the Annuitant, the death benefit is paid to the Owner.
Upon the Annuitant’s death, only the beneficiary(ies) right to
the death benefit will continue; all other rights and benefits under the Contract will terminate. |
| |
| |
If you die and… |
| | |
And… |
| | |
Then… |
| |
| | You are the sole Owner | | | | You elected the “Single Life” Secure Income Benefit Payments | | | | All payments stop and all rights and benefits under the Contract terminate. | | |
| | You are the sole Owner | | | | You elected the “Joint Life” Secure Income Benefit Payments | | | |
We will continue payments to the surviving Covered Life according to the schedule established
when you made your election until the date of the surviving Covered Life’s death.
Upon the surviving Covered Life’s death, all payments stop and
all rights and benefits under the Contract terminate. |
| |
| | You are a joint Owner | | | | You elected the “Single Life” Secure Income Benefit Payments | | | | All payments stop and all rights and benefits under the Contract terminate. | | |
| | You are a joint Owner | | | | You elected the “Joint Life” Secure Income Benefit Payments | | | |
We will continue payments to the surviving Covered Life according to the schedule established
when you made your election until the date of the surviving Covered Life’s death.
Upon the surviving Covered Life’s death, all payments stop and
all rights and benefits under the Contract terminate. |
| |
Name |
| |
Title |
| |
Allocation Percentage |
|
Daniel Houston | | | President and Chief Executive Officer | | |
100% |
|
Deanna D. Strable-Soethout | | | Executive Vice President and Chief Financial Officer | | |
100% |
|
Christopher J. Littlefield | | | President – Retirement and Income Solutions | | |
64% |
|
Amy C. Friedrich | | | President-U.S. Insurance Solutions | | |
49% |
|
Teresa Hassara | | | Senior Vice President – Workplace Savings and Retirement Solutions | | |
96% |
|
Compensation Component |
| |
Objective |
| |
Description and 2023 Highlights
|
|
Base Salary | | | Provides fixed income based on the size, scope, and complexity of the Named Executive Officers’ role, performance, and relative position compared to market pay information. | | | In 2023, the Committee increased certain Named Executive Officers’ base salaries, as detailed on pages 177 to 178. | |
Annual Incentive (“PrinPay”) Compensation | | | Motivates and rewards overall corporate objectives as well as the Named Executive Officers’ contribution to achieving our annual objectives. | | |
A range of earnings opportunities, expressed as a percentage of base salary, is established
for each Named Executive Officer. Actual bonuses depend on individual employee results and overall Company performance and profitability.
Company performance and profitability are measured by performance to
goals on Non-GAAP Operating Earnings, Customer Driven Revenue Growth Metrics, Diversity Index Score, and a Free Capital Flow modifier.
Details of the program are outlined on pages 178 to 181.
Based on the Committee’s assessment of our 2023 PrinPay score,
the Named Executive Officers earned bonuses at 85% of target, with individual modifiers ranging between 100% and 110%, as detailed on
page 179 to 180. |
|
Compensation Component |
| |
Objective |
| |
Description and 2023 Highlights
|
|
Long-Term Incentive Compensation |
| | Motivates and rewards long-term corporate performance as well as the Named Executive Officers’ contribution to achieving our long-term objectives. Reinforces the link between the interests of the Named Executive Officers and shareholders. Encourages retention. | | |
Each year, the Human Resources Committee establishes the long-term award opportunity for each
Named Executive Officer. Through 2021, one half of the award was granted in stock options and the other half in PSUs. Commencing in 2022,
awards are granted 70% in PSUs and 30% in time-based RSUs.
PSUs are intended to incentivize participants to deliver on the Company’s
defined financial goals. The value to participants varies based on the degree of achievement against those goals. PSUs typically have
a three-year performance period and are measured on 50% average non-GAAP ROE and 50% Operating Margin1.
Through 2021, the non-GAAP ROE portion of the award was also subject to a non-GAAP Book Value per Share threshold. Commencing in 2022,
PSUs are subject to a Relative Total Shareholder Return2
(“RTSR”) metric with a range of 80% to 120%. We believe these are important metrics because Operating Margin measures profitability
across our businesses, and non-GAAP ROE measures our efficiency in managing capital. Non-GAAP ROE is also a key measure for our shareholders.
Time-based RSUs are intended to align participants with the Company’s
long term value appreciation. RSUs have a three-year cliff vesting.
Details of the program are outlined on pages 181 to 183.
|
|
Benefits | | | Protects against catastrophic expenses and provides retirement savings opportunities. | | | Our Named Executive Officers participate in most of the same benefit plans as the Company’s other U.S.-based employees, including health, life, disability income, vision and dental insurance, an employee stock purchase plan, 401(k) plan, and pension plan. Certain of the Named Executive Officers also participate in non-qualified retirement plans (defined benefit and defined contribution). | |
Perquisites | | | Modest additional benefits to help attract and retain Executive talent and enable Named | | | Named Executive Officers are eligible for one physical examination per year, business spousal travel, and gifts of nominal value given to all sales conference attendees. The Human Resources | |
Compensation Component |
| |
Objective |
| |
Description and 2023 Highlights
|
|
| | | Executive Officers to focus on Company business with minimal disruption. | | | Committee approved the ability of Named Executive Officers to participate in Principal Asset Management investment products on a reduced or no-fee basis. The Human Resources Committee also approved our CEO’s use of our corporate aircraft for limited personal travel. | |
Termination Benefits | | | Provides temporary income following a Named Executive Officer’s involuntary termination of employment, and, in the case of a change of control, helps ensure the continuity of management through the transition. | | | A discussion of our change of control and separation benefits is on page 184. These benefits do not include excise tax gross ups. | |
|
Financial Service and Insurance
|
| |
Asset Managers |
| ||||||
|
•
Ameriprise Financial
•
Equitable
Holdings
•
Lincoln
National
•
MetLife
|
| |
•
Prudential Financial
•
Unum
Group
•
Voya
Financial
|
| |
•
Affiliated Managers Group
•
Bank
of New York Mellon
•
Franklin
Resources
•
Invesco
|
| |
•
State Street
•
T.
Rowe Price
|
|
| | | | | | | | | | | |
Named Executive Officer |
| |
2021 |
| |
2022 |
| |
2023 |
| |
Percent Increase
2022 – 2023 |
| ||||||||||||
Houston |
| | | $ | 1,000,000 | | | | | $ | 1,000,000 | | | | | $ | 1,050,000 | | | | | | 5% | | |
Strable-Soethout |
| | | $ | 661,000 | | | | | $ | 694,000 | | | | | $ | 728,500 | | | | | | 5% | | |
Littlefield |
| | | | | | | | | $ | 400,000 | | | | | $ | 428,800 | | | | | | 7% | | |
Friedrich |
| | | $ | 283,710 | | | | | $ | 312,130 | | | | | $ | 327,810 | | | | | | 5% | | |
Hassara |
| | | | | | | | | $ | 508,800 | | | | | $ | 524,160 | | | | | | 3% | | |
Named Executive Officer |
| |
2023 |
| |||
Houston |
| | | | 375% | | |
Strable-Soethout |
| | | | 200% | | |
Littlefield |
| | | | 200% | | |
Friedrich |
| | | | 200% | | |
Hassara |
| | | | 125% | | |
Performance Measures |
| |
Threshold |
| |
Target |
| |
Maximum |
| |
Actual 2023 Performance |
| ||||||||||||
Adjusted(1)
Non-GAAP Operating Earnings ($Mil.) |
| | | $ | 1,200 | | | | | $ | 1,600 | | | | | $ | 2,000 | | | | | $ | 1,608 | | |
Customer Driven Growth Metrics | | | | | | | | | | | | | | | | | | | | | | | | | |
Customer revenue growth |
| | | | 0% | | | | | | 2.5% | | | | | | 3.8% | | | | | | 1.2% | | |
Managed net cash flow ($Bil.) |
| | | $ | 0 | | | | | $ | 8.4 | | | | | $ | 12.6 | | | | | $ | (9.4) | | |
Diversity index scores |
| | | | 90% | | | | | | 100% | | | | | | 110% | | | | | | 105% | | |
Performance Modifier |
| |
Threshold |
| |
Target |
| |
Maximum |
| |
Actual 2023 Performance |
| ||||||||||||
Free Capital Flow |
| | | | <40% | | | | | | 75 – 90% | | | | | | 75 – 90% | | | | | | 85% | | |
Named Executive Officer |
| |
Individual Performance Modifier
|
| |
Individual Performance Objectives
|
|
Houston | | | 100% | | |
•
Enterprise financial goals (including
profit margin, assets under management, net cash flows, revenue, and others);
•
Enterprise
value strategies in growth businesses;
•
International
and emerging markets strategies;
•
Business
Unit earnings growth strategies;
•
Enterprise
customer, digital, and data-driven experiences strategies;
•
Diversity
and inclusion objectives; and
•
Other
Company-wide strategic priorities.
|
|
Strable-Soethout | | | 100% | | |
•
Enterprise financial goals (including
profit margin, assets under management, net cash flows, revenue, and others);
•
Enterprise
operational effectiveness and efficiency goals;
•
Capital
efficiency and re-allocation objectives;
•
Enterprise
strategy objectives;
•
Diversity
and inclusion objectives; and
•
Other
Company-wide strategic priorities.
|
|
Littlefield | | | 100% | | |
•
Enterprise financial goals (including
profit margin, assets under management, net cash flows, revenue, and others);
•
Retirement
and Income Solutions financial goals (including business operating earnings, ROE, operating margin, cash flow, investment performance,
and others);
•
Retirement
and Income Solutions operating model objectives;
•
Capital
efficiency objectives;
•
Enterprise
business intersection strategies;
•
Diversity
and inclusion objectives; and
•
Other
Company-wide strategic priorities.
|
|
Named Executive Officer |
| |
Individual Performance Modifier
|
| |
Individual Performance Objectives
|
|
Friedrich | | | 110% | | |
•
Enterprise financial goals (including
profit margin, assets under management, net cash flows, revenue, and others);
•
Benefits
and Protection financial goals (including business operating earnings, ROE, operating margin, cash flow, investment performance, and others);
•
Benefits
and Protection group benefit growth strategies;
•
Benefits
and Protection customer engagement strategies;
•
Enterprise
business intersection strategies;
•
Diversity
and inclusion objectives; and
•
Other
Company-wide strategic priorities.
|
|
Hassara | | | 105% | | |
•
Enterprise financial goals (including
profit margin, assets under management, net cash flows, revenue, and others);
•
Workplace
Savings & Retirement Solutions operating model objectives;
•
Workplace
Savings & Retirement Solutions customer value and experience objectives;
•
Enterprise
business intersection strategies; and
•
Other
Company-wide strategic priorities.
|
|
Name |
| |
2023 Eligible Earnings |
| |
2023 Target |
| |
PrinPay Score |
| |
Individual Modifier |
| |
Final Award |
| |||||||||||||||
Houston |
| | | $ | 1,038,462 | | | | | | 375% | | | | | | 85% | | | | | | 100% | | | | | $ | 3,310,096 | | |
Strable-Soethout |
| | | $ | 720,538 | | | | | | 200% | | | | | | 85% | | | | | | 100% | | | | | $ | 1,224,915 | | |
Littlefield |
| | | $ | 644,231 | | | | | | 200% | | | | | | 85% | | | | | | 100% | | | | | $ | 700,923 | | |
Friedrich |
| | | $ | 324,192 | | | | | | 200% | | | | | | 85% | | | | | | 110% | | | | | $ | 606,238 | | |
Hassara |
| | | $ | 530,000 | | | | | | 125% | | | | | | 85% | | | | | | 105% | | | | | $ | 567,630 | | |
Named Executive Officer |
| |
Award Granted |
| |||
Houston |
| | | $ | 9,450,000 | | |
Strable-Soethout |
| | | $ | 3,278,250 | | |
Littlefield |
| | | $ | 1,456,000 | | |
Friedrich |
| | | $ | 1,147,335 | | |
Hassara |
| | | $ | 1,272,000 | | |
Performance Level |
| |
Threshold Award |
| |
Target Award |
| |
Maximum Award (150% of Target) |
| |
If neither the non-GAAP ROE nor the OI threshold performance objective is met, no PSUs will be earned or paid out. |
| |||||||||
Payout (% of Target)1
|
| | | | 50% | | | | | | 100% | | | | | | 150% | | | | ||
Average Non-GAAP ROE |
| | | | 7.6% | | | | | | 13.2% | | | | | | 17.2% | | | | ||
Operating Margin |
| | | | 14.3% | | | | | | 28.5% | | | | | | 37.1% | | | |
Executive Level |
| |
Retention Ratio |
| |
Multiple of Base Salary |
| |||
Chairman (Houston) |
| | | | 75% | | | |
7 times |
|
Division Presidents and Executive Vice Presidents
|
| | | | 50% | | | |
4 times |
|
Senior Vice Presidents |
| | | | 50% | | | |
2 times |
|
Name and Principal Position |
| |
Year |
| |
Salary(1)
|
| |
Bonus |
| |
Stock Awards(2)(3) |
| |
Option Awards(2) |
| |
Non Equity Incentive Plan Compensation(4) |
| |
Changes in Pension Value and Non- Qualified Deferred Compensation Earnings(5) |
| |
All Other Compensation(6) |
| |
Total(7)
|
| |||||||||||||||||||||||||||
Daniel
J. Houston, Chairman, President, and Chief Executive Officer |
| | | | 2023 | | | | | $ | 1,038,462 | | | | | $ | 0 | | | | | $ | 9,661,687 | | | | | $ | 0 | | | | | $ | 3,310,096 | | | | | $ | 765,298 | | | | | $ | 343,285 | | | | | $ | 15,118,828 | | |
| | | 2022 | | | | | $ | 1,000,000 | | | | | $ | 0 | | | | | $ | 8,540,764 | | | | | $ | 0 | | | | | $ | 3,150,000 | | | | | $ | 598,475 | | | | | $ | 514,910 | | | | | $ | 13,804,149 | | | ||
| | | 2021 | | | | | $ | 1,000,000 | | | | | $ | 0 | | | | | $ | 4,275,014 | | | | | $ | 4,275,011 | | | | | $ | 6,075,000 | | | | | $ | 1,699,323 | | | | | $ | 241,815 | | | | | $ | 17,566,163 | | | ||
Deanna
D. Strable-Soethout, Executive Vice President and Chief Financial Officer |
| | | | 2023 | | | | | $ | 720,538 | | | | | $ | 0 | | | | | $ | 3,351,666 | | | | | $ | 0 | | | | | $ | 1,224,915 | | | | | $ | 678,864 | | | | | $ | 131,969 | | | | | $ | 6,107,952 | | |
| | | 2022 | | | | | $ | 686,385 | | | | | $ | 0 | | | | | $ | 2,323,577 | | | | | $ | 0 | | | | | $ | 1,008,985 | | | | | $ | 0 | | | | | $ | 196,651 | | | | | $ | 4,215,598 | | | ||
| | | 2021 | | | | | $ | 657,308 | | | | | $ | 0 | | | | | $ | 1,008,005 | | | | | $ | 1,008,051 | | | | | $ | 2,236,161 | | | | | $ | 670,792 | | | | | $ | 110,389 | | | | | $ | 5,690,706 | | | ||
Christopher J. Littlefield, President – Retirement Income Solutions |
| | | | 2023 | | | | | $ | 412,308 | | | | | $ | 0 | | | | | $ | 1,488,613 | | | | | $ | 0 | | | | | $ | 700,923 | | | | | $ | 67,943 | | | | | $ | 50,774 | | | | | $ | 2,720,561 | | |
| | | 2022 | | | | | $ | 397,250 | | | | | $ | 0 | | | | | $ | 1,255,527 | | | | | $ | 0 | | | | | $ | 431,127 | | | | | $ | 36,869 | | | | | $ | 52,693 | | | | | $ | 2,173,467 | | | ||
Amy C. Friedrich, President Benefits and Protection |
| | | | 2023 | | | | | $ | 324,192 | | | | | $ | 0 | | | | | $ | 1,173,039 | | | | | $ | 0 | | | | | $ | 606,238 | | | | | $ | 181,807 | | | | | $ | 36,350 | | | | | $ | 2,321,626 | | |
| | | 2022 | | | | | $ | 367,933 | | | | | $ | 0 | | | | | $ | 1,161,498 | | | | | $ | 0 | | | | | $ | 509,955 | | | | | $ | 0 | | | | | $ | 27,688 | | | | | $ | 2,067,074 | | | ||
| | | 2021 | | | | | $ | 339,704 | | | | | $ | 0 | | | | | $ | 418,466 | | | | | $ | 418,489 | | | | | $ | 605,352 | | | | | $ | 301,950 | | | | | $ | 33,318 | | | | | $ | 2,117,279 | | | ||
Teresa
Hassara, Senior Vice President, Workplace Savings and Retirement Solutions |
| | | | 2023 | | | | | $ | 508,800 | | | | | $ | 0 | | | | | $ | 1,300,462 | | | | | $ | 0 | | | | | $ | 567,630 | | | | | $ | 78,259 | | | | | $ | 17,299 | | | | | $ | 2,472,450 | | |
| | | 2022 | | | | | $ | 195,692 | | | | | $ | 0 | | | | | $ | 1,920,000 | | | | | $ | 0 | | | | | $ | 507,528 | | | | | $ | 11,758 | | | | | $ | 9,231 | | | | | $ | 2,644,209 | | |
Named Executive Officer |
| |
401(k) Employee Contribution |
| |
Excess Plan Employee Contributions |
| |
Total Employee Contributions |
| |||||||||
Houston |
| | | $ | 22,385 | | | | | $ | 83,077 | | | | | $ | 105,462 | | |
Strable-Soethout |
| | | $ | 44,502(a) | | | | | $ | 72,054 | | | | | $ | 116,556 | | |
Littlefield |
| | | $ | 23,546 | | | | | $ | 32,984 | | | | | $ | 56,530 | | |
Friedrich |
| | | $ | 8,714 | | | | | $ | 25,935 | | | | | $ | 34,649 | | |
Hassara |
| | | $ | 25,989 | | | | | $ | 0 | | | | | $ | 25,989 | | |
Named Executive Officer |
| |
Grant Date Values Assuming
Payout at Maximum |
| |||
Houston |
| | | $ | 5,291,997 | | |
Strable-Soethout |
| | | $ | 1,835,818 | | |
Littlefield |
| | | $ | 815,368 | | |
Friedrich |
| | | $ | 642,516 | | |
Hassara |
| | | $ | 712,323 | | |
Named Executive Officer |
| |
Employee Contributions on Incentive Pay |
| |||
Houston |
| | | $ | 268,423 | | |
Strable-Soethout |
| | | $ | 372,453 | | |
Littlefield |
| | | $ | 75,914 | | |
Friedrich |
| | | $ | 5,218 | | |
Hassara |
| | | $ | 0 | | |
Named Executive Officer |
| |
Perquisites & Other Personal Benefits(a) |
| |
Principal
Contributions to Defined Contribution Plans(b) |
| |
Total |
| |||||||||
Houston |
| | | $ | 91,977 | | | | | $ | 251,308 | | | | | $ | 343,285 | | |
Strable-Soethout |
| | | $ | 28,198 | | | | | $ | 103,771 | | | | | $ | 131,969 | | |
Littlefield |
| | | $ | 566 | | | | | $ | 50,208 | | | | | $ | 50,774 | | |
Friedrich |
| | | $ | 8,957 | | | | | $ | 27,392 | | | | | $ | 36,349 | | |
Hassara |
| | | $ | 1,099 | | | | | $ | 16,200 | | | | | $ | 17,299 | | |
Named Executive Officer |
| |
401(k) Matching Contribution Made by Principal |
| |
Excess Plan Matching Contribution Made by Principal |
| |
Total |
| |||||||||
Houston |
| | | $ | 16,875 | | | | | $ | 234,433 | | | | | $ | 251,308 | | |
Strable-Soethout |
| | | $ | 16,875 | | | | | $ | 86,896 | | | | | $ | 103,771 | | |
Littlefield |
| | | $ | 10,800 | | | | | $ | 39,408 | | | | | $ | 50,208 | | |
Friedrich |
| | | $ | 8,269 | | | | | $ | 19,124 | | | | | $ | 27,392 | | |
Hassara |
| | | $ | 16,200 | | | | | $ | 0 | | | | | $ | 16,200 | | |
| | | | | | | | |
Estimated Future Payouts Under Non-Equity Incentive Plan Awards |
| |
Estimated Future Payouts Under Equity Incentive Plan Awards(3) |
| |
All Other Stock Awards: Number of Shares of Stock |
| |
Other Option Awards: Number of Securities Underlying Options(4) |
| |
Exercise Price or Base Price of Option Awards ($/Sh)(5) |
| |
Grant Date Fair Value of Stock and Option Awards(6) |
| ||||||||||||||||||||||||||||||||||||
Name |
| |
Grant Date(1)
|
| |
Threshold |
| |
Target |
| |
Maximum(2)
|
| |
Threshold |
| |
Target |
| |
Maximum |
| |||||||||||||||||||||||||||||||||||||||
Houston |
| | | | | | | | | $ | 0 | | | | | $ | 3,894,231 | | | | | $ | 11,682,693 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | 02/27/2023 | | | | | | | | | | | | | | | | | | | | | | | | 14,919 | | | | | | 74,594 | | | | | | 134,269 | | | | | | | | | | | | | | | | | $ | 6,614,996 | | | ||
| | | 02/27/2023 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 31,969 | | | | | | | | | | | $ | 2,835,011 | | | ||
Strable-Soethout
|
| | | | | | | | | $ | 0 | | | | | $ | 1,441,077 | | | | | $ | 4,323,231 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | 02/27/2023 | | | | | | | | | | | | | | | | | | | | | | | | 5,175 | | | | | | 25,877 | | | | | | 46,579 | | | | | | | | | | | | | | | | | $ | 2,294,772 | | | ||
| | | 02/27/2023 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 11,090 | | | | | | | | | | | $ | 983,461 | | | ||
Littlefield |
| | | | | | | | | $ | 0 | | | | | $ | 824,615 | | | | | $ | 2,473,846 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | 02/27/2023 | | | | | | | | | | | | | | | | | | | | | | | | 2,299 | | | | | | 11,493 | | | | | | 20,688 | | | | | | | | | | | | | | | | | $ | 1,019,210 | | | ||
| | | 02/27/2023 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 4,925 | | | | | | | | | | | $ | 436,788 | | |
| | | | | | | | |
Estimated Future Payouts Under Non-Equity Incentive Plan Awards |
| |
Estimated Future Payouts Under Equity Incentive Plan Awards(3) |
| |
All Other Stock Awards: Number of Shares of Stock |
| |
Other Option Awards: Number of Securities Underlying Options(4) |
| |
Exercise Price or Base Price of Option Awards ($/Sh)(5) |
| |
Grant Date Fair Value of Stock and Option Awards(6) |
| ||||||||||||||||||||||||||||||||||||
Name |
| |
Grant Date(1)
|
| |
Threshold |
| |
Target |
| |
Maximum(2)
|
| |
Threshold |
| |
Target |
| |
Maximum |
| |||||||||||||||||||||||||||||||||||||||
Friedrich |
| | | | | | | | | $ | 0 | | | | | $ | 648,383 | | | | | $ | 1,945,149 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | 02/27/2023 | | | | | | | | | | | | | | | | | | | | | | | | 1,811 | | | | | | 9,057 | | | | | | 16,302 | | | | | | | | | | | | | | | | | $ | 803,145 | | | ||
| | | 02/27/2023 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 3,881 | | | | | | | | | | | $ | 344,193 | | | ||
Hassara |
| | | | | | | | | $ | 0 | | | | | $ | 636,000 | | | | | $ | 1,908,000 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | 02/27/2023 | | | | | | | | | | | | | | | | | | | | | | | | 2,008 | | | | | | 10,041 | | | | | | 18,073 | | | | | | | | | | | | | | | | | $ | 890,404 | | | ||
| | | 02/27/2023 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 4,303 | | | | | | | | | | | $ | 381,565 | | |
| | | | | | | | |
Option Awards |
| | |
Stock Awards |
| ||||||||||||||||||||||||||||||||||||||||||
Name |
| |
Grant Date |
| |
Number of Securities Underlying Unexercised Options Exercisable(1) |
| |
Number of Securities Underlying Unexercised Options Unexercisable |
| |
Option Exercise Price |
| |
Option Expiration Date |
| | |
Number of Shares or Units of Stock That Have Not Vested(2) |
| |
Market Value of Shares or Units of Stock That Have Not Vested |
| |
Equity Incentive Plan Awards Number of Unearned Shares, Units, or Other Rights That Have Not Vested(3) |
| |
Equity Incentive Plan Awards, Market or Payout Value of Unearned Shares, Units or Other Rights That Have Not Vested(4) |
| |||||||||||||||||||||||||||
Houston |
| | | | 02/26/2018 | | | | | | 227,275 | | | | | | 0 | | | | | $ | 63.98 | | | | | | 02/26/2028 | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | 02/24/2020 | | | | | | 133,990 | | | | | | 0 | | | | | $ | 51.73 | | | | | | 02/24/2030 | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
| | | 03/05/2021 | | | | | | 181,877 | | | | | | 90,938 | | | | | $ | 58.68 | | | | | | 03/05/2031 | | | | | | | | | | | | | | | | | | | 91,515 | | | | | $ | 7,199,513 | | | ||
| | | 03/01/2022 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 38,222 | | | | | $ | 3,006,907 | | | | | | | | | | | | | | | ||
| | | 03/07/2022 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 97,854 | | | | | $ | 7,698,205 | | | ||
| | | 02/27/2023 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 33,090 | | | | | $ | 2,603,206 | | | | | | 77,210 | | | | | $ | 6,074,120 | | | ||
Strable-Soethout |
| | | | 02/23/2015 | | | | | | 21,780 | | | | | | 0 | | | | | $ | 51.33 | | | | | | 02/23/2025 | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | 02/22/2016 | | | | | | 68,040 | | | | | | 0 | | | | | $ | 37.38 | | | | | | 02/22/2026 | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
| | | 02/27/2017 | | | | | | 50,475 | | | | | | 0 | | | | | $ | 62.78 | | | | | | 02/27/2027 | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
| | | 02/26/2018 | | | | | | 55,140 | | | | | | 0 | | | | | $ | 63.98 | | | | | | 02/26/2028 | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
| | | 02/25/2019 | | | | | | 81,880 | | | | | | 0 | | | | | $ | 53.09 | | | | | | 02/25/2029 | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
| | | 02/24/2020 | | | | | | 92,000 | | | | | | 0 | | | | | $ | 51.73 | | | | | | 02/24/2030 | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
| | | 03/05/2021 | | | | | | 42,887 | | | | | | 21,443 | | | | | $ | 58.68 | | | | | | 03/05/2031 | | | | | | | | | | | | | | | | | | | 21,578 | | | | | $ | 1,697,572 | | | ||
| | | 02/28/2022 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 10,261 | | | | | $ | 807,264 | | | | | | | | | | | | | | | ||
| | | 03/07/2022 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 26,275 | | | | | $ | 2,067,080 | | | ||
| | | 02/27/2023 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 11,479 | | | | | $ | 903,048 | | | | | | 26,785 | | | | | $ | 2,107,140 | | | ||
Littlefield |
| | | | 02/24/2020 | | | | | | 32,822 | | | | | | 0 | | | | | $ | 51.73 | | | | | | 02/24/2030 | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | 03/05/2021 | | | | | | 13,461 | | | | | | 13,461 | | | | | $ | 58.68 | | | | | | 03/05/2031 | | | | | | | | | | | | | | | | | | | 6,773 | | | | | $ | 532,851 | | | ||
| | | 02/28/2022 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 5,459 | | | | | $ | 429,489 | | | | | | | | | | | | | | | ||
| | | 03/07/2022 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 13,979 | | | | | $ | 1,099,746 | | | ||
| | | 02/27/2023 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 5,098 | | | | | $ | 401,074 | | | | | | 11,896 | | | | | $ | 935,874 | | | ||
Friedrich |
| | | | 02/22/2016 | | | | | | 5,814 | | | | | | 0 | | | | | $ | 37.38 | | | | | | 02/22/2026 | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | 02/27/2017 | | | | | | 5,738 | | | | | | 0 | | | | | $ | 62.78 | | | | | | 02/27/2027 | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
| | | 02/26/2018 | | | | | | 17,483 | | | | | | 0 | | | | | $ | 63.98 | | | | | | 02/26/2028 | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
| | | 02/25/2019 | | | | | | 31,728 | | | | | | 0 | | | | | $ | 53.09 | | | | | | 02/25/2029 | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
| | | 02/24/2020 | | | | | | 35,897 | | | | | | 0 | | | | | $ | 51.73 | | | | | | 02/24/2030 | | | | | | | | | | | | | | | | | | | | | | | | | | | | ||
| | | 03/05/2021 | | | | | | 14,787 | | | | | | 7,393 | | | | | $ | 58.68 | | | | | | 03/05/2031 | | | | | | | | | | | | | | | | | | | 7,440 | | | | | $ | 585,289 | | | ||
| | | 02/28/2022 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 4,260 | | | | | $ | 335,145 | | | | | | | | | | | | | | | ||
| | | 03/07/2022 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 10,908 | | | | | $ | 858,139 | | | ||
| | | 02/27/2023 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 4,017 | | | | | $ | 316,050 | | | | | | 9,374 | | | | | $ | 737,476 | | | ||
Hassara |
| | | | 08/11/2022 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 26,070 | | | | | $ | 2,050,966 | | | | | | | | | | | | | | |
| | | 02/27/2023 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 4,454 | | | | | $ | 350,366 | | | | | | 10,393 | | | | | $ | 817,600 | | |
Name |
| |
Option Awards Number of Shares Acquired on Exercise |
| |
Value Realized on Exercise(1) |
| |
Stock Awards Number of Shares Acquired on Vesting |
| |
Value Realized on Vesting(2) |
| ||||||||||||
Houston |
| | | | 0 | | | | | $ | 0 | | | | | | 91,515 | | | | | $ | 7,331,295 | | |
Strable-Soethout |
| | | | 0 | | | | | $ | 0 | | | | | | 21,578 | | | | | $ | 1,728,645 | | |
Littlefield |
| | | | 0 | | | | | $ | 0 | | | | | | 0 | | | | | $ | 0 | | |
Friedrich |
| | | | 3,131 | | | | | $ | 105,460 | | | | | | 7,440 | | | | | $ | 596,002 | | |
Hassara |
| | | | 0 | | | | | $ | 0 | | | | | | 0 | | | | | $ | 0 | | |
| | |
Annual Pay Credit |
| |||||||||
Age + Service Years (Points) |
| |
Contribution on All Pay |
| |
Contribution on Pay Above Social Security Wage Limit |
| ||||||
<40 |
| | | | 3.00% | | | | | | 1.50% | | |
40-59 |
| | | | 4.00% | | | | | | 2.00% | | |
60-79 |
| | | | 5.50% | | | | | | 2.75% | | |
80 or more |
| | | | 7.00% | | | | | | 3.50% | | |
Named Executive Officer |
| |
Benefit Earned After 2022 |
| |
Legacy Pension |
| |
Benefit That Will Be Paid |
|
Houston | | |
Cash Balance |
| | Yes. Greater of the benefit under the Traditional Formula or Cash Balance Formula. | | | Cash Balance Benefit earned starting in 2023, plus the greater of the Traditional or Cash Balance Benefit earned prior to 2023. | |
Strable-Soethout | | |
Cash Balance |
| | Yes. Greater of the benefit under the Traditional Formula or Cash Balance Formula. | | | Cash Balance Benefit earned starting in 2023, plus the greater of the Traditional or Cash Balance Benefit earned prior to 2023. | |
Friedrich | | |
Cash Balance |
| | Yes. Greater of the benefit under the Traditional Formula or Cash Balance Formula. | | | Cash Balance Benefit earned starting in 2023, plus the greater of the Traditional or Cash Balance Benefit earned prior to 2023. | |
Littlefield | | |
Cash Balance |
| | N/A | | | Cash Balance Benefit. | |
Hassara | | |
Cash Balance |
| | N/A | | | Cash Balance Benefit. | |
Named Executive Officer |
| |
Plan Name |
| |
Number of Years Credited Service(1) |
| |
Present Value of Accumulated Benefit at Normal Retirement Age(2) |
| |
Payments During Last Fiscal Year |
|
Houston |
| |
Qualified Plan |
| |
39 |
| |
$1,530,193 |
| |
$0 |
|
| NQDB | | | | | |
$18,165,228 |
| | | | ||
Strable-Soethout
|
| |
Qualified Plan |
| |
33 |
| |
$913,945 |
| |
$0 |
|
| NQDB | | | | | |
$5,247,786 |
| | | | ||
Littlefield
|
| |
Qualified Plan |
| |
3 |
| |
$42,212 |
| |
$0 |
|
| NQDB | | | | | |
$117,181 |
| | | | ||
Friedrich |
| |
Qualified Plan |
| |
23 |
| |
$329,233 |
| |
$0 |
|
| NQDB | | | | | |
$1,126,062 |
| | | | ||
Hassara |
| |
Qualified Plan |
| |
1 |
| |
$33,778 |
| |
$0 |
|
| NQDB | | | | | |
$56,240 |
| | | |
Named Executive Officer |
| |
Named Executive Contributions in Last Fiscal Year(1) |
| |
Principal Contributions in Last Fiscal Year(2) |
| |
Aggregate Earnings in Last Fiscal Year |
| |
Aggregate Withdrawals/ Distributions |
| |
Aggregate Balance at Last Fiscal Year End(3) |
| |||||||||||||||
Houston |
| | | $ | 335,077 | | | | | $ | 234,433 | | | | | $ | 1,493,925 | | | | | $ | 0 | | | | | $ | 10,970,394 | | |
Strable-Soethout |
| | | $ | 374,749 | | | | | $ | 86,896 | | | | | $ | 1,229,532 | | | | | $ | 0 | | | | | $ | 7,086,201 | | |
Littlefield |
| | | $ | 66,944 | | | | | $ | 39,408 | | | | | $ | 46,495 | | | | | $ | 0 | | | | | $ | 363,689 | | |
Friedrich |
| | | $ | 25,935 | | | | | $ | 19,124 | | | | | $ | 37,589 | | | | | $ | 0 | | | | | $ | 353,417 | | |
Hassara |
| | | $ | 0 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 0 | | | | | $ | 0 | | |
Named Executive Officer |
| |
Employee
Deferral Prior to 1/1/2023 |
| |
Principal
Match Prior to 1/1/2023 |
| |
Total |
| |||||||||
Houston |
| | | $ | 3,174,202 | | | | | $ | 2,173,105 | | | | | $ | 5,347,307 | | |
Strable-Soethout |
| | | $ | 3,833,825 | | | | | $ | 797,205 | | | | | $ | 4,631,030 | | |
Littlefield |
| | | $ | 134,495 | | | | | $ | 75,315 | | | | | $ | 209,811 | | |
Friedrich |
| | | $ | 132,315 | | | | | $ | 87,791 | | | | | $ | 220,106 | | |
Hassara |
| | | $ | 0 | | | | | $ | 0 | | | | | $ | 0 | | |
Plan Feature |
| |
Qualified 401(k) Plan |
| |
Excess Plan |
|
Deferrals |
| | 1-50% of base salary and up to 100% of annual incentive compensation awards (1-100% of base pay if not contributing to the Excess Plan) up to the limits imposed by the Tax Code. Additionally, up to $20,000 in voluntary after-tax contributions can be contributed each calendar year. | | | 1-50% of base salary and up to 100% of annual incentive compensation awards. | |
Investment Options |
| | There are numerous investment options. Investment and investment return are based on the Named Executive Officer’s direction. | | | The investment options represent “phantom” units tied to the results of the reference funds listed on page 194. Investment and investment return are based on the Named Executive Officer’s direction. | |
Distributions |
| | Allowed at various times including termination, death, and disability. | | | Allowed at various times including termination, death, specified date, change of control, unforeseen emergency, and mandatory payment at age 65. | |
Vesting |
| | Three-year cliff | | | Immediate | |
Investment Option |
| |
1 Year Rate of Return (12/31/2023) |
| |||
Principal Blue Chip Fund (R6) |
| | | | 39.96% | | |
Principal Equity Income Fund (Institutional) |
| | | | 11.11% | | |
Principal LargeCap S&P 500 Index Fund (Institutional)
|
| | | | 26.03% | | |
Principal LargeCap Growth Fund I (R6) |
| | | | 40.6% | | |
Principal MidCap Fund (R6) |
| | | | 25.97% | | |
Principal MidCap S&P 400 Index Fund (R6) |
| | | | 16.33% | | |
Principal SmallCap Value II Fund (R6) |
| | | | 20.15% | | |
Principal SmallCap S&P 600 Index Fund (R6) |
| | | | 15.86% | | |
Principal SmallCap Growth I Fund (R6) |
| | | | 16.65% | | |
Principal Real Estate Securities Fund (R6) |
| | | | 1.12% | | |
Principal Origin Emerging Markets Fund (R6) |
| | | | 10.19% | | |
Principal Diversified International Fund (R6) |
| | | | 17.79% | | |
Principal International Equity Index Fund (R6) |
| | | | 17.94% | | |
Principal LifeTime Hybrid 2015 Fund (R6) |
| | | | 11.11% | | |
Principal LifeTime Hybrid 2020 Fund (R6) |
| | | | 12.21% | | |
Principal LifeTime Hybrid 2025 Fund (R6) |
| | | | 13.28% | | |
Principal LifeTime Hybrid 2030 Fund (R6) |
| | | | 14.98% | | |
Principal LifeTime Hybrid 2035 Fund (R6) |
| | | | 16.47% | | |
Principal LifeTime Hybrid 2040 Fund (R6) |
| | | | 18.28% | | |
Principal LifeTime Hybrid 2045 Fund (R6) |
| | | | 19.48% | | |
Principal LifeTime Hybrid 2050 Fund (R6) |
| | | | 20.35% | | |
Investment Option |
| |
1 Year Rate of Return (12/31/2023) |
| |||
Principal LifeTime Hybrid 2055 Fund (R6) |
| | | | 20.33% | | |
Principal LifeTime Hybrid 2060 Fund (R6) |
| | | | 20.33% | | |
Principal LifeTime Hybrid 2065 Fund (R6) |
| | | | 20.33% | | |
Principal LifeTime Hybrid 2070 Fund (R6) |
| | | | 15.61%* | | |
Principal LifeTime Hybrid Income Fund (R6) |
| | | | 10.78% | | |
Principal Core Plus Bond Fund (Institutional) |
| | | | 5.4% | | |
Principal Inflation Protection Fund (Institutional)
|
| | | | 3.49% | | |
Principal Government & High-Quality Bond Fund (Institutional)
|
| | | | 4.87% | | |
Principal Bond Market Index Fund (Institutional)
|
| | | | 5.55% | | |
Principal Financial Group, Inc. Employer Stock Fund
|
| | | | 15.59% | | |
Principal Diversified Real Asset Fund (R6) |
| | | | 3.3% | | |
Principal Select Stable Value Fund |
| | | | 0.01% | | |
Named Executive Officer |
| |
Lump sum severance payment calculated as follows:
|
|
Houston | | | The sum of the following three components: an amount equal to two times annual base salary; an amount equal to two times the average amount of the bonuses paid for the last three complete calendar years; and an amount equal to two years of health benefits premiums, intended to compensate the CEO for COBRA premiums. | |
Strable-Soethout | | | The sum of the following three components: an amount equal to one and a half times the annual base salary; an amount equal to one and a half times the average amount of the bonuses paid for the last three complete calendar years; and an amount equal to one and a half years of health benefits premiums, intended to compensate for COBRA premiums. | |
Littlefield | | | The sum of the following three components: an amount equal to one and a half times the annual base salary; an amount equal to one and a half times the average amount of the bonuses paid for the last three complete calendar years; and an amount equal to one and a half years of health benefits premiums, intended to compensate for COBRA premiums. | |
Friedrich | | | The sum of the following three components: an amount equal to one and a half times the annual base salary; an amount equal to one and a half times the average amount of the bonuses paid for the last three complete calendar years; and an amount equal to one and a half years of health benefits premiums, intended to compensate for COBRA premiums. | |
Hassara | | | The sum of the following three components: an amount equal to the annual base salary; an amount equal to the average amount of the bonuses paid for the last three complete calendar years; and an amount equal to one year of health benefits premiums, intended to compensate for COBRA premiums. | |
Named Executive Officer |
| |
Severance |
| |
Outplacement Services |
| |
COBRA Reimbursement |
| |
Total |
| ||||||||||||
Houston |
| | | $ | 10,030,769 | | | | | $ | 40,000 | | | | | $ | 37,538 | | | | | $ | 10,108,307 | | |
Strable-Soethout |
| | | $ | 3,127,569 | | | | | $ | 40,000 | | | | | $ | 23,873 | | | | | $ | 3,191,442 | | |
Littlefield |
| | | $ | 1,872,000 | | | | | $ | 25,600 | | | | | $ | 25,601 | | | | | $ | 1,923,201 | | |
Friedrich |
| | | $ | 1,065,894 | | | | | $ | 19,600 | | | | | $ | 19,601 | | | | | $ | 1,105,095 | | |
Hassara |
| | | $ | 1,144,800 | | | | | $ | 38,400 | | | | | $ | 22,831 | | | | | $ | 1,206,031 | | |
Named Executive Officer |
| |
Cash Severance(1) |
| |
Spread on Previously Unvested Options |
| |
Value of Previously Unvested Restricted Stock & Performance Shares(2) |
| |
Benefits Continuation(3) |
| |
Accelerated Pension Benefit(4) |
| |
Total Termination Benefits (before taxes) |
| ||||||||||||||||||
Houston |
| | | $ | 9,975,000 | | | | | $ | 1,817,851 | | | | | $ | 26,581,951 | | | | | $ | 83,606 | | | | | $ | 0 | | | | | $ | 38,458,408 | | |
Strable-Soethout |
| | | $ | 4,371,000 | | | | | $ | 428,646 | | | | | $ | 7,582,105 | | | | | $ | 79,609 | | | | | $ | 0 | | | | | $ | 12,461,360 | | |
Littlefield |
| | | $ | 2,572,800 | | | | | $ | 134,550 | | | | | $ | 3,399,034 | | | | | $ | 64,594 | | | | | $ | 0 | | | | | $ | 6,170,978 | | |
Friedrich |
| | | $ | 1,966,860 | | | | | $ | 301,609 | | | | | $ | 2,832,100 | | | | | $ | 49,455 | | | | | $ | 0 | | | | | $ | 4,996,203 | | |
Hassara |
| | | $ | 2,358,720 | | | | | $ | 0 | | | | | $ | 3,218,932 | | | | | $ | 73,684 | | | | | $ | 90,017 | | | | | $ | 5,741,353 | | |
|
Advisor Group AFLAC AgFirst AIG Alliant Credit Union Allianz Commercial Allianz Life Insurance Allianz Worldwide Partners Allied Solutions Allstate Ally Financial Alter Domus American National Insurance American Property and Casualty Insurance Association AmeriHealth Caritas Ameritas Life Amica Mutual Insurance AmTrust Aon Arthur J Gallagher & Company Ascot Group Aspen Insurance Associated Banc-Corp Assurant Auto Club Group AXA Group AXA Partners AXA XL AXIS Specialty U.S. Services Barclays BECU Blue Cross Blue Shield of Arizona Blue Cross Blue Shield of Florida Blue Cross Blue Shield of North Carolina Blue Shield of California Bread Financial Bremer Financial Brighthouse Financial Broadridge Financial Solutions Brookfield Asset Management Brotherhood Mutual Insurance Cambridge Associates Canadian Imperial Bank of Commerce Canopius Capital One Financial CardWorks IMT Insurance Independence Blue Cross Intact Insurance IQ-EQ Irvine |
| |
MAPFRE U.S.A. Marsh Marsh & McLennan Massachusetts Mutual Mastercard Medical Mutual of Ohio Mercury Insurance MetLife MoneyGram Moody’s Mortgage Guaranty Insurance Mr. Cooper Munich American Reassurance Company Munich Re Group Mutual of America Life Mutual of Omaha Nasdaq Nationwide Navy Federal Credit Union NCCI Holdings New York Life NJM Insurance Group Caterpillar Financial Services CBOE Global Markets CBRE Group Celsius Centene CFA Institute Chubb Cigna Cinch Citizens Property Insurance City National Bank CME Group CNA Financial Corporation CNO Financial Cobank Comerica Commerce Bancshares Compeer Financial Computershare Copper.co Corebridge Financial Country Financial Coverys CPP Investment Board Credit Suisse CSAA Insurance Group CTBC Bank Cullen Frost Bankers Delta Community Credit Union Delta Dental of California |
| |
Employers Mutual Casualty Company Empower Equifax Equitable Erie Insurance Experian Americas Farm Credit Foundations Farmers Group Federal Farm Credit Banks Funding Northern Trust Northwestern Mutual Nuclear Electric Insurance Limited (NEIL) Ohio National OneAmerica Financial Partners Pacific Life Pacific Life Re Pacific Premier Bancorp Pan-American Life PartnerRe Plymouth Rock Assurance PMA Companies Popular PRA Group Premera Blue Cross Primerica Life Principal Financial Group Progressive Progressive Leasing Prologis Protective Life Prudential Financial PSP Investments QBE Insurance Group R&Q Insurance Services Radian Group Realogy Regions Financial Reinsurance Group of America (RGA) Reliance Standard Life Resolution Life Rialto Capital Management Ryan LLC S&P Global SchoolsFirst FCU Federal Reserve Bank of Atlanta Federal Reserve Bank of Boston Federal Reserve Bank of Chicago Federal Reserve Bank of Cleveland Federal Reserve Bank of Minneapolis Federal Reserve Bank of Richmond Federal Reserve Bank of San Francisco Federal Reserve Bank of St. Louis |
|
|
Jackson National Life Kemper Services Group KeyCorp Liberty Mutual Insurance Lincoln Financial London Stock Exchange Group M&T Bank Manulife Financial First National of Nebraska Fiserv FNZ Ford Financial Foresters Financial Fortitude Re Freddie Mac Genworth Financial Global Payments GLP Capital Partners GM Financial GNY Insurance Grange Insurance Great American Insurance GreenStone GTE Financial Guardian Life Guy Carpenter Hartford Financial Services Group Health Care Services HF Management Services Highmark |
| |
Deutsche Bank Discover Financial Services East West Bank Edelman Financial Engines Edward Jones Element Fleet Management Elevance Health Emblem Health Hiscox Horace Mann Educators Horizon Blue Cross Blue Shield of New Jersey Hub International Humana Huntington Bancshares IA Financial Group ICW Group IMA Financial Group SCOR SE Securian Financial Group Society Insurance Southern Farm Bureau Life State Teachers Retirement System of Ohio Sun Life Financial Symetra Financial Synovus Financial Corporation T. Rowe Price Group Teacher Retirement System of Texas Texas Mutual Insurance Thrivent Financial for Lutherans |
| |
Federal Reserve Board Fidelity & Guaranty Life Fifth Third Bancorp FINRA First American First Banks First Citizens Bank First Financial Bancorp Tolio Marine Transamerica Transatlantic Holdings Travelers Two Harbors Investment Corp UBS UBS Global Asset Management UMB Financial Unum USAA Valley National Bank Verisk Analytics Visa Voya Financial Services Webster Bank Wellabe Western Alliance Bancorporation Western Union William Blair & Company Wintrust Financial Corporation World Bank Zurich North America |
|
| AFLAC AIG Allianz Life Insurance Allstate Brighthouse Financial Cigna CNO Financial Corebridge Financial Equitable Genworth Financial Guardian Life Hartford Financial Services Group John Hancock Lincoln Financial Massachusetts Mutual MetLife Nationwide |
| | New York Life Northwestern Mutual OneAmerica Financial Partners Pacific Life Principal Financial Group Protective Life Prudential Financial Securian Financial Group Sun Life Financial Symetra Financial Thrivent Financial for Lutherans Transamerica Unum USAA Voya Financial Services |
|
| abrdn plc Acadian Asset Management Aegon |
| | Empower Retirement Federated Hermes, Inc. Fidelity Investments |
|
| AGF Management AllianceBernstein Allianz Global Investors AlphaSimplex Group LLC American Century Investments Ameriprise Financial AMG Funds Amundi Pioneer Apollo Global Management Ares Management Ariel Investments Aristotle Arrowstreet Capital Artisan Partners Limited Partnership Ashmore AssetMark AXA Investment Managers Baillie Gifford Bank of America Bank of New York Mellon Barings BlackRock Blackstone Group BNP Paribas Asset Management Holding BOK Financial Corporation Brandes Investment Partners Brandywine Global Investment Management Bridgeway Capital Management Brown Advisory Brown Brothers Harriman Calamos Investments Capital Group Capital One Carlyle Group Causeway Capital Management CBRE Global Investors Chandler Asset Management Charles Schwab & Co. Clark Capital Management Group ClearBridge Investments CNL Financial Group Cohen & Steers Coho Partners Ltd. Conning and Company Crossmark Global Investments, Inc. Diamond Hill Capital Management Dimensional Fund Advisors DoubleLine Group Driehaus Capital Management LLC Duff & Phelps Investment Management LLC Sands Capital Management Santander Bank, N.A. Schroder Investment Management Security Benefit Corporation |
| | Fiera Capital Corporation Fifth Third Bank First Citizens Bank — NC First Eagle Investment Management First Sender Investors Fort Washington Investment Advisors Franklin Templeton Investments Fred Alger Management FS Investments Fuller & Thaler Asset Management Inc. Fund Evaluation Group GAM Geode Capital Management Glenmede Trust Company GMO Goldman Sachs & Co. GuideStone Financial Resources GW&K Investment Management, LLC HarbourVest Harding Loevner Hardman Johnston Global Advisors LLC Harris Associates Hartford Heitman HilltopSecurities Horizon Investments HSBC Impax Group Insight Investment Invesco Jackson National Life Insurance Company Jacobs Levy Equity Management Janus Henderson Investors Jefferies Jennison Associates JP Morgan Chase Kabouter Management Kayne Anderson Rudnick Investment Mgmt KKR & Co. Lazard Asset Management Legal & General Investment Management Lincoln Financial Group Loomis, Sayles & Company Lord, Abbett & Co. Sun Life Financial Sustainable Growth Advisers, LP Synovus Financial Corporation T. Rowe Price Associates TCW Group TD Securities Thornburg Investment Management Thrivent Financial TIAA LPL Financial Services |
|
| SEI Seix Investment Advisors LLC Southeastern Asset Management State Street Corporation Stone Harbor Investment Partners LP DuPont Capital Management DWS Eagle Capital Management, LLC Eastspring Investments Limited Edelman Financial Engines Edward Jones National Rural Electric Cooperative Assc Nationwide Natixis Investment Managers Neuberger Berman Group New York Life Insurance Company Nikko Asset Management Ninety One Nomura Securities Northern Trust Corporation Norwest Venture Partners Nuveen Investments Oaktree Capital Management OneAmerica Orbis Investment Management ORIX Pacific Investment Management Company Pacific Life Insurance Company PanAgora Asset Management Parametric Portfolio Associates Performance Trust Investment Advisors, L Perpetual Limited PGIM Pictet PineBridge Investments |
| | M&G Investments M&T Bank Corporation MacKay Shields Macquarie Bank Manulife MetLife MFS Investment Management Mondrian Investment Partners Morgan Stanley Morningstar National Life Group PNC Bank PPM America Principal Financial Group ProFund Advisors LLC Prudential Financial Putnam Investments Pzena Investment Management Raymond James & Associates Regions Financial Corporation Resolute Investment Managers, Inc. Robeco Group Rockefeller Capital Management L.P. Rothschild & Co. Royal Bank of Canada Ruffer Russell Investments RXR Realty Transamerica Truist U.S. Bancorp UBS University of Richmond Van Eck Associates Vanguard Group, Inc. |
|
| | |
For the year ended Dec. 31 |
| |||||||||||||||||||||||||||
(in millions, except as indicated) |
| |
2023 |
| |
2022 |
| |
2021 |
| |
2020 |
| |
2019 |
| |||||||||||||||
Net income attributable to PFG | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net income attributable to PFG |
| | | $ | 623.2 | | | | | $ | 4,756.9 | | | | | $ | 1,580.2 | | | | | $ | 1,395.8 | | | | | $ | 1,394.2 | | |
(Income) loss from exited business(1)
|
| | | | 891.7 | | | | | | (3,303.7) | | | | | | — | | | | | | — | | | | | | — | | |
Net realized capital (gains) losses, as adjusted(1)
|
| | | | 87.9 | | | | | | 165.6 | | | | | | 60.7 | | | | | | (29.4) | | | | | | 174.9 | | |
Non-GAAP operating earnings |
| | | $ | 1,602.8 | | | | | $ | 1,618.8 | | | | | $ | 1,640.9 | | | | | $ | 1,366.4 | | | | | $ | 1,569.1 | | |
| Net realized capital gains (losses) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
GAAP net realized capital gains (losses) |
| | | $ | (72.2) | | | | | $ | (182.1) | | | | | $ | 115.4 | | | | | $ | 302.6 | | | | | $ | (52.8) | | |
|
Recognition of front-end fee revenues |
| | | | — | | | | | | — | | | | | | — | | | | | | 11.4 | | | | | | 8.5 | | |
|
Market value adjustments to fee revenues |
| | | | 1.3 | | | | | | 0.7 | | | | | | (0.6) | | | | | | (1.6) | | | | | | — | | |
|
Net realized capital gains (losses) related to
equity method investments |
| | | | 8.8 | | | | | | (15.0) | | | | | | (24.0) | | | | | | (1.5) | | | | | | 2.6 | | |
|
Derivative and hedging-related revenue adjustments
|
| | | | 23.3 | | | | | | (91.3) | | | | | | (127.8) | | | | | | (132.9) | | | | | | (80.4) | | |
|
Certain variable annuity fees |
| | | | 73.3 | | | | | | 75.9 | | | | | | 80.5 | | | | | | — | | | | | | — | | |
|
Sponsored investment fund adjustments |
| | | | 23.4 | | | | | | 22.2 | | | | | | 21.3 | | | | | | 17.3 | | | | | | 23.6 | | |
|
Capital gains distributed – operating
expenses |
| | | | (26.3) | | | | | | 102.9 | | | | | | (69.4) | | | | | | (41.7) | | | | | | (31.6) | | |
|
Amortization of actuarial balances |
| | | | (0.2) | | | | | | (0.1) | | | | | | 9.7 | | | | | | (26.8) | | | | | | (40.8) | | |
|
Derivative and hedging-related expense adjustments
|
| | | | 1.8 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
|
Market value adjustments of embedded derivatives
|
| | | | 1.7 | | | | | | (40.9) | | | | | | (13.9) | | | | | | (55.0) | | | | | | 66.6 | | |
|
Market value adjustments of market risk benefits
|
| | | | (71.3) | | | | | | (157.2) | | | | | | (36.9) | | | | | | — | | | | | | — | | |
|
Capital gains distributed – cost
of interest credited |
| | | | (52.2) | | | | | | 33.5 | | | | | | (37.3) | | | | | | (8.2) | | | | | | (36.6) | | |
|
Net realized capital gains (losses) tax adjustments
|
| | | | 22.0 | | | | | | 56.6 | | | | | | 35.7 | | | | | | (28.2) | | | | | | (1.3) | | |
|
Net realized capital gains (losses) attributable
to noncontrolling interest, after-tax |
| | | | (21.3) | | | | | | 29.2 | | | | | | (13.4) | | | | | | (6.0) | | | | | | (32.7) | | |
|
Total net realized capital gains (losses) after-tax
adjustments |
| | | | (15.7) | | | | | | 16.5 | | | | | | (176.1) | | | | | | (273.2) | | | | | | (122.1) | | |
|
Net realized capital gains (losses), as adjusted |
| | | $ | (87.9) | | | | | $ | (165.6) | | | | | $ | (60.7) | | | | | $ | 29.4 | | | | | $ | (174.9) | | |
| Diluted earnings per common share | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
Net income |
| | | $ | 2.55 | | | | | $ | 18.63 | | | | | $ | 5.79 | | | | | $ | 5.05 | | | | | $ | 4.96 | | |
|
(Income) loss from exited business |
| | | | 3.64 | | | | | | (12.94) | | | | | | — | | | | | | — | | | | | | — | | |
|
Net realized capital (gains) losses, as adjusted
|
| | | | 0.36 | | | | | | 0.65 | | | | | | 0.22 | | | | | | (0.11) | | | | | | 0.62 | | |
|
Non-GAAP operating earnings |
| | | $ | 6.55 | | | | | $ | 6.34 | | | | | $ | 6.01 | | | | | $ | 4.94 | | | | | $ | 5.58 | | |
| Stockholders’ equity | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
Stockholders’ equity |
| | | $ | 10,961.7 | | | | | $ | 10,017.8 | | | | | $ | 12,140.5 | | | | | $ | 16,617.3 | | | | | $ | 14,685.8 | | |
|
Noncontrolling interest |
| | | | (45.7) | | | | | | (41.1) | | | | | | (56.4) | | | | | | (58.4) | | | | | | (67.8) | | |
|
Stockholders’ equity attributable to Principal
Financial Group, Inc. |
| | | | 10,916.0 | | | | | | 9,976.7 | | | | | | 12,084.1 | | | | | | 16,558.9 | | | | | | 14,618.0 | | |
|
Accumulated other comprehensive Income (AOCI),
other than foreign currency translation adjustment (FCTA) |
| | | | 3,847.3 | | | | | | 5,307.4 | | | | | | 535.4 | | | | | | (3,696.0) | | | | | | (2,379.7) | | |
|
Cumulative change in fair value of funds withheld
embedded derivative |
| | | | (2,027.9) | | | | | | (2,885.6) | | | | | | — | | | | | | — | | | | | | — | | |
|
Stockholders’ equity, excluding cumulative
change in fair value of funds withheld embedded derivative and AOCI other than FCTA |
| | | $ | 12,735.4 | | | | | $ | 12,398.5 | | | | | $ | 12,619.5 | | | | | $ | 12,862.9 | | | | | $ | 12,238.3 | | |
|
Net income ROE available to common stockholders
(including AOCI) |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
Net income ROE available to common stockholders
(including AOCI) |
| | | | 6.0% | | | | | | 43.1% | | | | | | 11.0% | | | | | | 9.0% | | | | | | 10.7% | | |
|
Cumulative change in fair value of funds withheld
embedded derivative and AOCI other than FCTA |
| | | | -1.0% | | | | | | -5.1% | | | | | | 1.4% | | | | | | 2.1% | | | | | | 1.0% | | |
|
Net income ROE available to common stockholders
(x-cumulative change in fair value of funds withheld embedded derivative and AOCI other than FCTA) |
| | | | 5.0% | | | | | | 38.0% | | | | | | 12.4% | | | | | | 11.1% | | | | | | 11.7% | | |
|
Net realized capital (gains) losses |
| | | | 0.7% | | | | | | 1.3% | | | | | | 0.5% | | | | | | -0.2% | | | | | | 1.4% | | |
|
(Income) loss from exited business |
| | | | 7.1% | | | | | | -26.4% | | | | | | 0.0% | | | | | | 0.0% | | | | | | 0.0% | | |
|
Non-GAAP operating earnings ROE (x-cumulative change in fair value of funds withheld embedded derivative and AOCI other than FCTA) |
| | | | 12.8% | | | | | | 12.9% | | | | | | 12.9% | | | | | | 10.9% | | | | | | 13.1% | | |
| | |
For the year ended Dec. 31 |
| |||||||||||||||||||||||||||
(in millions, except as indicated) |
| |
2023 |
| |
2022 |
| |
2021 |
| |
2020 |
| |
2019 |
| |||||||||||||||
Book value per common share including AOCI |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Book value per common share including AOCI
|
| | | $ | 46.18 | | | | | $ | 40.97 | | | | | $ | 46.18 | | | | | $ | 60.59 | | | | | $ | 52.85 | | |
Cumulative change in fair value of funds withheld
embedded derivative and AOCI, other than FCTA |
| | | | 7.69 | | | | | | 9.95 | | | | | | 2.04 | | | | | | (13.52) | | | | | | (8.60) | | |
Book value excluding cumulative change in fair
value of funds withheld embedded derivative and AOCI, other than FCTA |
| | | | 53.87 | | | | | | 50.92 | | | | | | 48.22 | | | | | | 47.07 | | | | | | 44.25 | | |
Foreign currency translation |
| | | | 6.34 | | | | | | 6.45 | | | | | | 5.92 | | | | | | 4.80 | | | | | | 4.85 | | |
Book value per common share excluding cumulative
change in fair value of funds withheld embedded derivative and AOCI |
| | | $ | 60.21 | | | | | $ | 57.37 | | | | | $ | 54.14 | | | | | $ | 51.87 | | | | | $ | 49.10 | | |
Total revenues | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total revenues |
| | | $ | 13,665.8 | | | | | $ | 17,536.1 | | | | | $ | 14,427.8 | | | | | $ | 14,741.7 | | | | | $ | 16,222.1 | | |
Net realized capital (gains) losses, net of related
revenue adjustments |
| | | | (57.9) | | | | | | 189.6 | | | | | | (64.8) | | | | | | (195.3) | | | | | | 98.5 | | |
Revenues from exited business |
| | | | 927.5 | | | | | | (4,414.8) | | | | | | — | | | | | | — | | | | | | — | | |
Adjustments related to equity method investments
|
| | | | 78.9 | | | | | | 54.5 | | | | | | 47.2 | | | | | | 33.5 | | | | | | 72.5 | | |
Market risk benefit derivative settlements |
| | | | 45.9 | | | | | | 35.0 | | | | | | 32.5 | | | | | | — | | | | | | — | | |
Operating revenues |
| | | $ | 14,660.2 | | | | | $ | 13,400.4 | | | | | $ | 14,442.7 | | | | | $ | 14,579.9 | | | | | $ | 16,393.1 | | |
Gross profit | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Income before income taxes |
| | | $ | 738.8 | | | | | $ | 5,987.0 | | | | | $ | 1,910.9 | | | | | $ | 1,693.5 | | | | | $ | 1,693.3 | | |
Operating expenses(1)
|
| | | | 4,949.7 | | | | | | 4,802.9 | | | | | | 5,000.6 | | | | | | 4,604.3 | | | | | | 4,456.6 | | |
Non-GAAP pre-tax operating earnings (losses) attributable
to noncontrolling interest(1)
|
| | | | 26.2 | | | | | | 70.1 | | | | | | 33.5 | | | | | | 26.5 | | | | | | 17.4 | | |
| | |
For the year ended Dec. 31 |
| |||||||||||||||||||||||||||
(in millions, except as indicated) |
| |
2023 |
| |
2022 |
| |
2021 |
| |
2020 |
| |
2019 |
| |||||||||||||||
Pre-tax net realized capital (gains) losses |
| | | | 88.6 | | | | | | 251.4 | | | | | | 83.0 | | | | | | (63.6) | | | | | | 140.9 | | |
Pre-tax (income) loss from exited business |
| | | | 1,129.8 | | | | | | (4,260.1) | | | | | | — | | | | | | — | | | | | | — | | |
Certain adjustments related to equity method investments and noncontrolling interest |
| | | | 52.7 | | | | | | (15.6) | | | | | | 13.7 | | | | | | 7.0 | | | | | | 55.1 | | |
Non-GAAP gross profit |
| | | $ | 6,985.8 | | | | | $ | 6,835.7 | | | | | $ | 7,041.7 | | | | | $ | 6,267.7 | | | | | $ | 6,363.3 | | |
Income before income taxes | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Income before income taxes |
| | | $ | 738.8 | | | | | $ | 5,987.0 | | | | | $ | 1,910.9 | | | | | $ | 1,693.5 | | | | | $ | 1,693.3 | | |
Net realized capital (gains) losses |
| | | | 72.2 | | | | | | 182.1 | | | | | | (115.4) | | | | | | (302.6) | | | | | | 52.8 | | |
Net realized capital (gains) losses pre-tax adjustments
|
| | | | 16.4 | | | | | | 69.3 | | | | | | 198.4 | | | | | | 239.0 | | | | | | 88.1 | | |
Non-GAAP pre-tax operating (earnings) losses attributable
to noncontrolling interest(1)
|
| | | | (26.2) | | | | | | (70.1) | | | | | | (33.5) | | | | | | (26.5) | | | | | | (17.4) | | |
Income taxes related to equity method investments
|
| | | | 78.9 | | | | | | 54.5 | | | | | | 47.2 | | | | | | 33.5 | | | | | | 72.5 | | |
Pre-tax (income) loss from exited business |
| | | | 1,129.8 | | | | | | (4,260.1) | | | | | | — | | | | | | — | | | | | | — | | |
Non-GAAP pre-tax operating earnings |
| | | $ | 2,009.9 | | | | | $ | 1,962.7 | | | | | $ | 2,007.6 | | | | | $ | 1,636.9 | | | | | $ | 1,889.3 | | |
|
|
Income from continuing operations before income
taxes |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
Income from continuing operations before income
taxes |
| | | $ | 738.8 | | | | | $ | 5,987.0 | | | | | $ | 1,910.9 | | | | | $ | 1,693.5 | | | | | $ | 1,693.3 | | |
|
Net realized capital (gains) losses |
| | | | 72.2 | | | | | | 182.1 | | | | | | (115.4) | | | | | | (302.6) | | | | | | 52.8 | | |
|
Net realized capital (gains) losses on funds withheld
assets |
| | | | (165.0) | | | | | | (749.4) | | | | | | — | | | | | | — | | | | | | — | | |
|
Change in fair value of funds withheld embedded
derivative |
| | | | 1,085.7 | | | | | | (3,652.8) | | | | | | — | | | | | | — | | | | | | — | | |
|
Non-GAAP pre-tax operating income |
| | | $ | 1,731.7 | | | | | $ | 1,766.9 | | | | | $ | 1,795.5 | | | | | $ | 1,390.9 | | | | | $ | 1,746.1 | | |
| Operating expenses | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
Total operating expenses |
| | | $ | 5,072.1 | | | | | $ | 4,962.2 | | | | | $ | 5,070.0 | | | | | $ | 4,646.5 | | | | | $ | 4,503.9 | | |
|
Net realized capital (gains) losses operating expense
adjustments |
| | | | (26.3) | | | | | | 102.9 | | | | | | (69.4) | | | | | | (42.2) | | | | | | (47.3) | | |
|
Expenses from exited business |
| | | | (96.1) | | | | | | (262.2) | | | | | | — | | | | | | — | | | | | | — | | |
|
Non-GAAP operating expenses |
| | | $ | 4,949.7 | | | | | $ | 4,802.9 | | | | | $ | 5,000.6 | | | | | $ | 4,604.3 | | | | | $ | 4,456.6 | | |
| Net income attributable to noncontrolling interest | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
Net income attributable to noncontrolling interest |
| | | $ | 46.9 | | | | | $ | 40.6 | | | | | $ | 46.8 | | | | | $ | 32.7 | | | | | $ | 49.9 | | |
|
Income taxes attributable to noncontrolling interest
|
| | | | 0.6 | | | | | | 0.3 | | | | | | 0.1 | | | | | | (0.2) | | | | | | 0.2 | | |
|
Net realized capital gains (losses) attributable
to noncontrolling interest, after-tax |
| | | | (21.3) | | | | | | 29.2 | | | | | | (13.4) | | | | | | (6.0) | | | | | | (32.7) | | |
|
Non-GAAP pre-tax operating earnings losses attributable
to noncontrolling interest |
| | | $ | 26.2 | | | | | $ | 70.1 | | | | | $ | 33.5 | | | | | $ | 26.5 | | | | | $ | 17.4 | | |
| Income (loss) from exited business | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
Strategic review costs and impacts |
| | | $ | — | | | | | $ | 40.4 | | | | | $ | — | | | | | $ | — | | | | | $ | — | | |
|
Amortization of reinsurance losses |
| | | | (68.7) | | | | | | (56.7) | | | | | | — | | | | | | — | | | | | | — | | |
|
Other impacts of reinsured business |
| | | | (140.4) | | | | | | (125.8) | | | | | | — | | | | | | — | | | | | | — | | |
|
Net realized capital gains (losses) on funds withheld
assets |
| | | | 165.0 | | | | | | 749.4 | | | | | | — | | | | | | — | | | | | | — | | |
| | |
For the year ended Dec. 31 |
| |||||||||||||||||||||||||||
(in millions, except as indicated) |
| |
2023 |
| |
2022(1)
|
| |
2021(1)
|
| |
2020 |
| |
2019 |
| |||||||||||||||
Change in fair value of funds withheld embedded
derivative |
| | | | (1,085.7) | | | | | | 3,652.8 | | | | | | — | | | | | | — | | | | | | — | | |
Pre-tax income (loss) from exited business |
| | | | (1,129.8) | | | | | | 4,260.1 | | | | | | — | | | | | | — | | | | | | — | | |
Tax impacts of exited business |
| | | | 238.1 | | | | | | (956.4) | | | | | | — | | | | | | — | | | | | | — | | |
Income (loss) from exited business |
| | | $ | (891.7) | | | | | $ | 3,303.7 | | | | | $ | — | | | | | $ | — | | | | | $ | — | | |
Net income attributable to PFG | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net income attributable to PFG |
| | | $ | 623.2 | | | | | $ | 4,811.6 | | | | | $ | 1,710.6 | | | | | $ | 1,395.8 | | | | | $ | 1,394.2 | | |
(Income)
loss from exited business(1)
|
| | | | 891.7 | | | | | | (3,304.0) | | | | | | — | | | | | | — | | | | | | — | | |
Net realized capital (gains) losses, as adjusted(1)
|
| | | | 87.9 | | | | | | 193.3 | | | | | | 137.0 | | | | | | (29.4) | | | | | | 174.9 | | |
Non-GAAP operating earnings |
| | | $ | 1,602.8 | | | | | $ | 1,700.9 | | | | | $ | 1,847.6 | | | | | $ | 1,366.4 | | | | | $ | 1,569.1 | | |
| Net realized capital gains (losses) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
GAAP net realized capital gains (losses) |
| | | $ | (72.2) | | | | | $ | (258.4) | | | | | $ | 2.5 | | | | | $ | 302.6 | | | | | $ | (52.8) | | |
|
Recognition of front-end fee revenues |
| | | | — | | | | | | (4.7) | | | | | | (2.9) | | | | | | 11.4 | | | | | | 8.5 | | |
|
Market value adjustments to fee revenues |
| | | | 1.3 | | | | | | 0.7 | | | | | | (0.6) | | | | | | (1.6) | | | | | | — | | |
|
Net realized capital gains (losses) related to
equity method investments |
| | | | 8.8 | | | | | | (15.0) | | | | | | (24.0) | | | | | | (1.5) | | | | | | 2.6 | | |
|
Derivative and hedging-related revenue adjustments |
| | | | 23.3 | | | | | | (126.3) | | | | | | (160.3) | | | | | | (132.9) | | | | | | (80.4) | | |
|
Certain variable annuity fees |
| | | | 73.3 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
|
Sponsored investment fund adjustments |
| | | | 23.4 | | | | | | 22.2 | | | | | | 21.3 | | | | | | 17.3 | | | | | | 23.6 | | |
|
Capital gains distributed – operating expenses
|
| | | | (26.3) | | | | | | 102.9 | | | | | | (69.4) | | | | | | (41.7) | | | | | | (31.6) | | |
|
Amortization of actuarial balances |
| | | | (0.2) | | | | | | 2.5 | | | | | | 11.1 | | | | | | (26.8) | | | | | | (40.8) | | |
|
Derivative and hedging-related expense adjustments |
| | | | 1.8 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
|
Market value adjustments of embedded derivatives
|
| | | | 1.7 | | | | | | (44.1) | | | | | | 79.8 | | | | | | (55.0) | | | | | | 66.6 | | |
|
Market value adjustments of market risk benefits
|
| | | | (71.3) | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
|
Capital gains distributed – cost of interest credited
|
| | | | (52.2) | | | | | | 33.5 | | | | | | (37.3) | | | | | | (8.2) | | | | | | (36.6) | | |
|
Net realized capital gains (losses) tax adjustments
|
| | | | 22.0 | | | | | | 64.2 | | | | | | 56.2 | | | | | | (28.2) | | | | | | (1.3) | | |
|
Net realized capital gains (losses) attributable
to noncontrolling interest, after-tax |
| | | | (21.3) | | | | | | 29.2 | | | | | | (13.4) | | | | | | (6.0) | | | | | | (32.7) | | |
|
Total net realized capital gains (losses) after-tax
adjustments |
| | | | (15.7) | | | | | | 65.1 | | | | | | (139.5) | | | | | | (273.2) | | | | | | (122.1) | | |
| Income (loss) from exited business | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
Strategic review costs and impacts |
| | | $ | — | | | | | $ | (91.0) | | | | | $ | — | | | | | $ | — | | | | | $ | — | | |
|
Amortization of reinsurance losses |
| | | | (68.7) | | | | | | (82.5) | | | | | | — | | | | | | — | | | | | | — | | |
|
Other impacts of reinsured business |
| | | | (140.4) | | | | | | 31.8 | | | | | | — | | | | | | — | | | | | | — | | |
|
Net realized capital gains (losses) on funds withheld assets
|
| | | | 165.0 | | | | | | 749.4 | | | | | | — | | | | | | — | | | | | | — | | |
|
Change in fair value of funds withheld embedded
derivative |
| | | | (1,085.7) | | | | | | 3,652.8 | | | | | | — | | | | | | — | | | | | | — | | |
|
Pre-tax income (loss) from exited business |
| | | | (1,129.8) | | | | | | 4,260.5 | | | | | | — | | | | | | — | | | | | | — | | |
|
Tax impacts of exited business |
| | | | 238.1 | | | | | | (956.5) | | | | | | — | | | | | | — | | | | | | — | | |
|
Income (loss) from exited business |
| | | $ | (891.7) | | | | | $ | 3,304.0 | | | | | $ | — | | | | | $ | — | | | | | $ | — | | |
|
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Retirement and Income Solutions |
| | |
$ |
53.4 |
| | | | $ | 1.8 | | | | | $ | (96.6) | | |
Benefits and Protection |
| | |
|
9.8 |
| | | | | 61.2 | | | | | | 3.4 | | |
| | |
For the year ended December 31,
|
| |
Increase (decrease) |
| ||||||||||||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |
2023 vs. 2022 |
| |
2022 vs. 2021 |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Revenues: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Premiums and other considerations |
| | |
$ |
6,396.7 |
| | | | $ | 5,264.3 | | | | | $ | 4,714.0 | | | | | $ | 1,132.4 | | | | | $ | 550.3 | | |
Fees and other revenues |
| | |
|
2,204.7 |
| | | | | 2,168.1 | | | | | | 2,708.2 | | | | | | 36.6 | | | | | | (540.1) | | |
Net investment income |
| | |
|
3,285.5 |
| | | | | 2,852.4 | | | | | | 3,633.7 | | | | | | 433.1 | | | | | | (781.3) | | |
Net realized capital gains (losses) |
| | |
|
(154.7) |
| | | | | 83.3 | | | | | | 112.1 | | | | | | (238.0) | | | | | | (28.8) | | |
Net realized capital gains on funds withheld assets
|
| | |
|
161.8 |
| | | | | 749.4 | | | | | | — | | | | | | (587.6) | | | | | | 749.4 | | |
Change in fair value of funds withheld embedded
derivative |
| | |
|
(1,326.7) |
| | | | | 3,652.8 | | | | | | — | | | | | | (4,979.5) | | | | | | 3,652.8 | | |
Total revenues |
| | |
|
10,567.3 |
| | | | | 14,770.3 | | | | | | 11,168.0 | | | | | | (4,203.0) | | | | | | 3,602.3 | | |
Expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Benefits, claims and settlement expenses |
| | |
|
7,226.2 |
| | | | | 5,882.7 | | | | | | 6,617.5 | | | | | | 1,343.5 | | | | | | (734.8) | | |
Liability for future policy benefits remeasurement
(gain) loss |
| | |
|
(52.5) |
| | | | | (259.8) | | | | | | 0.4 | | | | | | 207.3 | | | | | | (260.2) | | |
Market risk benefit remeasurement loss |
| | |
|
33.7 |
| | | | | 131.2 | | | | | | 114.1 | | | | | | (97.5) | | | | | | 17.1 | | |
Dividends to policyholders |
| | |
|
89.2 |
| | | | | 94.8 | | | | | | 94.8 | | | | | | (5.6) | | | | | | — | | |
Operating expenses |
| | |
|
3,121.5 |
| | | | | 3,135.9 | | | | | | 2,828.5 | | | | | | (14.4) | | | | | | 307.4 | | |
Total expenses |
| | |
|
10,418.1 |
| | | | | 8,984.8 | | | | | | 9,655.3 | | | | | | 1,433.3 | | | | | | (670.5) | | |
Income before income taxes |
| | |
|
149.2 |
| | | | | 5,785.5 | | | | | | 1,512.7 | | | | | | (5,636.3) | | | | | | 4,272.8 | | |
Income taxes (benefits) |
| | |
|
(87.4) |
| | | | | 1,106.0 | | | | | | 196.6 | | | | | | (1,193.4) | | | | | | 909.4 | | |
Net income |
| | |
|
236.6 |
| | | | | 4,679.5 | | | | | | 1,316.1 | | | | | | (4,442.9) | | | | | | 3,363.4 | | |
Net income attributable to noncontrolling interest
|
| | |
|
19.6 |
| | | | | 62.2 | | | | | | 24.3 | | | | | | (42.6) | | | | | | 37.9 | | |
Net income attributable to Principal Life Insurance
Company |
| | |
$ |
217.0 |
| | | | $ | 4,617.3 | | | | | $ | 1,291.8 | | | | | $ | (4,400.3) | | | | | $ | 3,325.5 | | |
| | |
For the year ended December 31,
|
| |
Increase (decrease) |
| ||||||||||||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |
2023 vs. 2022 |
| |
2022 vs. 2021 |
| |||||||||||||||
Net revenue (in millions) |
| | |
$ |
2,672.5 |
| | | | $ | 2,598.8 | | | | | $ | 2,611.4 | | | | | $ | 73.7 | | | | | $ | (12.6) | | |
Average monthly account values (in billions) |
| | |
$ |
476.5 |
| | | | $ | 477.2 | | | | | $ | 459.9 | | | | | $ | (0.7) | | | | | $ | 17.3 | | |
| | |
For the year ended December 31,
|
| |
Increase (decrease) |
| ||||||||||||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |
2023 vs. 2022 |
| |
2022 vs. 2021 |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Operating revenues: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Premiums and other considerations |
| | |
$ |
2,935.0 |
| | | | $ | 1,959.7 | | | | | $ | 1,883.6 | | | | | $ | 975.3 | | | | | $ | 76.1 | | |
Fees and other revenues |
| | |
|
1,675.0 |
| | | | | 1,647.6 | | | | | | 1,636.1 | | | | | | 27.4 | | | | | | 11.5 | | |
Net investment income |
| | |
|
2,584.7 |
| | | | | 2,274.1 | | | | | | 2,728.8 | | | | | | 310.6 | | | | | | (454.7) | | |
Total operating revenues |
| | |
|
7,194.7 |
| | | | | 5,881.4 | | | | | | 6,248.5 | | | | | | 1,313.3 | | | | | | (367.1) | | |
Expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Benefits, claims and settlement expenses, including
dividends to policyholders |
| | |
|
4,586.5 |
| | | | | 3,290.6 | | | | | | 3,547.0 | | | | | | 1,295.9 | | | | | | (256.4) | | |
Liability for future policy benefits remeasurement
gain |
| | |
|
(68.0) |
| | | | | (11.1) | | | | | | (3.8) | | | | | | (56.9) | | | | | | (7.3) | | |
| | |
For the year ended December 31,
|
| |
Increase (decrease) |
| ||||||||||||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |
2023 vs. 2022 |
| |
2022 vs. 2021 |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Market risk benefit remeasurement loss |
| | |
|
3.7 |
| | | | | 3.1 | | | | | | 93.9 | | | | | | 0.6 | | | | | | (90.8) | | |
Operating expenses |
| | |
|
1,610.4 |
| | | | | 1,570.2 | | | | | | 1,487.6 | | | | | | 40.2 | | | | | | 82.6 | | |
Total expenses |
| | |
|
6,132.6 |
| | | | | 4,852.8 | | | | | | 5,124.7 | | | | | | 1,279.8 | | | | | | (271.9) | | |
Pre-tax operating earnings |
| | |
$ |
1,062.1 |
| | | | $ | 1,028.6 | | | | | $ | 1,123.8 | | | | | $ | 33.5 | | | | | $ | (95.2) | | |
|
| | |
For the year ended December 31,
|
| |
Increase (decrease) |
| ||||||||||||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |
2023 vs. 2022 |
| |
2022 vs. 2021 |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Premium and fees: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Specialty Benefits |
| | |
$ |
3,051.8 |
| | | | $ | 2,801.8 | | | | | $ | 2,527.5 | | | | | $ | 250.0 | | | | | $ | 274.3 | | |
Life Insurance |
| | |
|
867.2 |
| | | | | 921.4 | | | | | | 1,278.6 | | | | | | (54.2) | | | | | | (357.2) | | |
| | |
For the year ended December 31,
|
| |
Increase (decrease) |
| ||||||||||||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |
2023 vs. 2022 |
| |
2022 vs. 2021 |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Operating revenues: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Premiums and other considerations |
| | |
$ |
3,481.7 |
| | | | $ | 3,306.8 | | | | | $ | 2,830.4 | | | | | $ | 174.9 | | | | | $ | 476.4 | | |
Fees and other revenues |
| | |
|
436.6 |
| | | | | 416.2 | | | | | | 975.6 | | | | | | 20.4 | | | | | | (559.4) | | |
Net investment income |
| | |
|
572.1 |
| | | | | 572.2 | | | | | | 973.4 | | | | | | (0.1) | | | | | | (401.2) | | |
Total operating revenues |
| | |
|
4,490.4 |
| | | | | 4,295.2 | | | | | | 4,779.4 | | | | | | 195.2 | | | | | | (484.2) | | |
Expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Benefits, claims and settlement expenses |
| | |
|
2,537.7 |
| | | | | 2,453.4 | | | | | | 3,065.1 | | | | | | 84.3 | | | | | | (611.7) | | |
Liability for future policy benefits remeasurement
(gain) loss |
| | |
|
16.0 |
| | | | | (43.8) | | | | | | 4.2 | | | | | | 59.8 | | | | | | (48.0) | | |
Dividends to policyholders |
| | |
|
89.0 |
| | | | | 94.6 | | | | | | 94.6 | | | | | | (5.6) | | | | | | — | | |
Operating expenses |
| | |
|
1,324.3 |
| | | | | 1,225.7 | | | | | | 1,257.8 | | | | | | 98.6 | | | | | | (32.1) | | |
Total expenses |
| | |
|
3,967.0 |
| | | | | 3,729.9 | | | | | | 4,421.7 | | | | | | 237.1 | | | | | | (691.8) | | |
Pre-tax operating earnings |
| | |
$ |
523.4 |
| | | | $ | 565.3 | | | | | $ | 357.7 | | | | | $ | (41.9) | | | | | $ | 207.6 | | |
| | |
For the year ended December 31,
|
| |
Increase (decrease) |
| ||||||||||||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |
2023 vs. 2022 |
| |
2022 vs. 2021 |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Operating revenues: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total operating revenues |
| | |
$ |
120.3 |
| | | | $ | 60.7 | | | | | $ | 67.5 | | | | | $ | 59.6 | | | | | $ | (6.8) | | |
Expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total expenses |
| | |
|
94.1 |
| | | | | 115.5 | | | | | | 84.0 | | | | | | (21.4) | | | | | | 31.5 | | |
Pre-tax operating earnings attributable to noncontrolling
interest |
| | |
|
19.6 |
| | | | | 62.2 | | | | | | 24.3 | | | | | | (42.6) | | | | | | 37.9 | | |
Pre-tax operating earnings (losses) |
| | |
$ |
6.6 |
| | | | $ | (117.0) | | | | | $ | (40.8) | | | | | $ | 123.6 | | | | | $ | (76.2) | | |
| | |
Contractholder funds |
| |
Percentage |
| ||||||
| | |
(in millions) |
| | | | | | | |||
Not subject to discretionary withdrawal |
| | |
$ |
15,746.6 |
| | | |
|
57.2% |
| |
Subject to discretionary withdrawal with adjustments: | | | | | | | | | | | | | |
Specified surrender charges |
| | |
|
7,084.7 |
| | | |
|
25.8 |
| |
Market value adjustments |
| | |
|
4,666.1 |
| | | |
|
17.0 |
| |
Subject to discretionary withdrawal without adjustments
|
| | |
|
0.7 |
| | | |
|
— |
| |
Total investment contracts |
| | |
$ |
27,498.1 |
| | | |
|
100.0% |
| |
Obligor/Applicant |
| |
Financing structure |
| |
Maturity |
| |
Capacity |
| |
Amount outstanding |
| ||||||
| | | | | | | | |
(in millions) |
| |||||||||
Principal Life(1)
|
| |
Credit facility |
| |
October 2027 |
| | |
$ |
800.0 |
| | | |
$ |
— |
| |
Total |
| | | | | | | | | $ | 800.0 | | | | | $ | — | | |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||
| | |
($ in millions) |
| |||||||||
Debt: | | | | | | | | | | | | | |
Long-term debt |
| | |
$ |
3.0 |
| | | | $ | 67.8 | | |
Total debt |
| | |
|
3.0 |
| | | | | 67.8 | | |
Total stockholder’s equity attributable to PLIC
|
| | |
|
8,115.8 |
| | | | | 7,666.6 | | |
Total capitalization |
| | |
$ |
8,118.8 |
| | | | $ | 7,734.4 | | |
Debt to equity |
| | |
|
—% |
| | | | | 1% | | |
Debt to capitalization |
| | |
|
—% |
| | | | | 1% | | |
| | |
A.M. Best |
| |
Fitch |
| |
Moody’s |
| |
S&P |
|
Last review date |
| |
March 2023 |
| |
June 2023 |
| |
January 2022 |
| |
April 2023 |
|
Current outlook |
| |
Stable |
| |
Stable |
| |
Stable |
| |
Stable |
|
Principal Life Insurance Company | | | | | | | | | | | | | |
Insurer Financial Strength |
| |
A+ |
| |
AA- |
| |
A1 |
| |
A+ |
|
Issuer Credit Rating |
| |
aa |
| | | | | | | | | |
Commercial Paper |
| |
AMB-1+ |
| | | | |
P-1 |
| |
A-1+ |
|
| | |
December 31, 2023 |
| |||||||||||||||
| | |
Investments
excluding funds withheld |
| |
Funds withheld |
| |
Total |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Fixed maturities |
| | |
$ |
43,708.0 |
| | | |
$ |
19,537.5 |
| | | |
$ |
63,245.5 |
| |
Equity securities |
| | |
|
42.7 |
| | | |
|
0.3 |
| | | |
|
43.0 |
| |
Mortgage loans |
| | |
|
16,395.2 |
| | | |
|
2,826.0 |
| | | |
|
19,221.2 |
| |
Real estate |
| | |
|
2,343.5 |
| | | |
|
— |
| | | |
|
2,343.5 |
| |
Policy loans |
| | |
|
793.2 |
| | | |
|
— |
| | | |
|
793.2 |
| |
Other investments |
| | |
|
3,497.4 |
| | | |
|
621.4 |
| | | |
|
4,118.8 |
| |
Total invested assets |
| | |
|
66,780.0 |
| | | |
|
22,985.2 |
| | | |
|
89,765.2 |
| |
Cash and cash equivalents |
| | |
|
2,696.0 |
| | | |
|
942.0 |
| | | |
|
3,638.0 |
| |
Total invested assets and cash |
| | |
$ |
69,476.0 |
| | | |
$ |
23,927.2 |
| | | |
$ |
93,403.2 |
| |
| | |
December 31, 2022 |
| |||||||||||||||
| | |
Investments
excluding funds withheld |
| |
Funds withheld |
| |
Total |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Fixed maturities |
| | | $ | 44,471.0 | | | | | $ | 15,794.3 | | | | | $ | 60,265.3 | | |
Equity securities |
| | | | 42.1 | | | | | | 11.0 | | | | | | 53.1 | | |
Mortgage loans |
| | | | 16,911.6 | | | | | | 2,810.8 | | | | | | 19,722.4 | | |
Real estate |
| | | | 2,237.4 | | | | | | — | | | | | | 2,237.4 | | |
Policy loans |
| | | | 770.2 | | | | | | — | | | | | | 770.2 | | |
Other investments |
| | | | 3,081.5 | | | | | | 179.8 | | | | | | 3,261.3 | | |
Total invested assets |
| | | | 67,513.8 | | | | | | 18,795.9 | | | | | | 86,309.7 | | |
Cash and cash equivalents |
| | | | 1,566.4 | | | | | | 1,762.9 | | | | | | 3,329.3 | | |
Total invested assets and cash |
| | | $ | 69,080.2 | | | | | $ | 20,558.8 | | | | | $ | 89,639.0 | | |
| | |
For the year ended December 31,
|
| |
Increase (decrease) |
| ||||||||||||||||||||||||||||||||||||||||||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |
2023 vs. 2022 |
| |
2022 vs. 2021 |
| |||||||||||||||||||||||||||||||||||||||||||||
| | |
Yield |
| |
Amount |
| |
Yield(1)
|
| |
Amount |
| |
Yield |
| |
Amount |
| |
Yield |
| |
Amount |
| |
Yield |
| |
Amount |
| ||||||||||||||||||||||||||||||
| | |
($ in millions) |
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fixed maturities |
| | |
|
4.5% |
| | | |
$ |
2,262.4 |
| | | | | 3.6% | | | | | $ | 1,754.0 | | | | | | 3.7% | | | | | $ | 2,492.5 | | | | | | 0.9% | | | | | $ | 508.4 | | | | | | (0.1)% | | | | | $ | (738.5) | | |
Equity securities |
| | |
|
8.2 |
| | | |
|
3.5 |
| | | | | (12.9) | | | | | | (35.4) | | | | | | 0.6 | | | | | | 1.7 | | | | | | 21.1 | | | | | | 38.9 | | | | | | (13.5) | | | | | | (37.1) | | |
Mortgage loans – commercial |
| | |
|
4.0 |
| | | |
|
548.7 |
| | | | | 4.0 | | | | | | 535.6 | | | | | | 4.2 | | | | | | 646.3 | | | | | | — | | | | | | 13.1 | | | | | | (0.2) | | | | | | (110.7) | | |
Mortgage loans – residential |
| | |
|
3.4 |
| | | |
|
112.8 |
| | | | | 2.7 | | | | | | 84.3 | | | | | | 2.1 | | | | | | 46.1 | | | | | | 0.7 | | | | | | 28.5 | | | | | | 0.6 | | | | | | 38.2 | | |
Real estate |
| | |
|
7.7 |
| | | |
|
177.2 |
| | | | | 12.9 | | | | | | 276.2 | | | | | | 10.1 | | | | | | 194.4 | | | | | | (5.2) | | | | | | (99.0) | | | | | | 2.8 | | | | | | 81.8 | | |
Policy loans |
| | |
|
5.0 |
| | | |
|
39.1 |
| | | | | 4.7 | | | | | | 34.4 | | | | | | 5.1 | | | | | | 36.2 | | | | | | 0.3 | | | | | | 4.7 | | | | | | (0.4) | | | | | | (1.8) | | |
Cash and cash equivalents |
| | |
|
6.8 |
| | | |
|
148.2 |
| | | | | 2.7 | | | | | | 37.6 | | | | | | 0.1 | | | | | | 1.7 | | | | | | 4.1 | | | | | | 110.6 | | | | | | 2.6 | | | | | | 35.9 | | |
Other investments |
| | |
|
8.2 |
| | | |
|
270.2 |
| | | | | 12.4 | | | | | | 366.1 | | | | | | 14.6 | | | | | | 390.2 | | | | | | (4.2) | | | | | | (95.9) | | | | | | (2.2) | | | | | | (24.1) | | |
Total |
| | |
|
4.7 |
| | | |
|
3,562.1 |
| | | | | 4.2 | | | | | | 3,052.8 | | | | | | 4.1 | | | | | | 3,809.1 | | | | | | 0.5 | | | | | | 509.3 | | | | | | 0.1 | | | | | | (756.3) | | |
Investment expenses |
| | |
|
(0.4) |
| | | |
|
(276.6) |
| | | | | (0.3) | | | | | | (200.4) | | | | | | (0.2) | | | | | | (175.4) | | | | | | (0.1) | | | | | | (76.2) | | | | | | (0.1) | | | | | | (25.0) | | |
Net investment income |
| | |
|
4.3% |
| | | |
$ |
3,285.5 |
| | | | | 3.9% | | | | | $ | 2,852.4 | | | | | | 3.9% | | | | | $ | 3,633.7 | | | | | | 0.4% | | | | | $ | 433.1 | | | | | | —% | | | | | $ | (781.3) | | |
| | |
For the year ended December 31,
|
| |
Increase (decrease) |
| ||||||||||||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |
2023 vs. 2022 |
| |
2022 vs. 2021 |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Fixed maturities, available-for-sale: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Gross gains |
| | |
$ |
46.8 |
| | | | $ | 38.9 | | | | | $ | 50.4 | | | | | $ | 7.9 | | | | | $ | (11.5) | | |
Gross losses |
| | |
|
(134.8) |
| | | | | (120.7) | | | | | | (26.9) | | | | | | (14.1) | | | | | | (93.8) | | |
Net credit losses(1)
|
| | |
|
(31.3) |
| | | | | (11.5) | | | | | | (34.5) | | | | | | (19.8) | | | | | | 23.0 | | |
Hedging, net |
| | |
|
2.2 |
| | | | | (0.7) | | | | | | (9.5) | | | | | | 2.9 | | | | | | 8.8 | | |
Fixed maturities, trading |
| | |
|
0.7 |
| | | | | (8.6) | | | | | | (6.6) | | | | | | 9.3 | | | | | | (2.0) | | |
Equity securities |
| | |
|
0.7 |
| | | | | (7.4) | | | | | | (0.5) | | | | | | 8.1 | | | | | | (6.9) | | |
Mortgage loans(2)
|
| | |
|
(133.8) |
| | | | | (74.1) | | | | | | 5.3 | | | | | | (59.7) | | | | | | (79.4) | | |
Derivatives |
| | |
|
(5.3) |
| | | | | 154.7 | | | | | | 126.4 | | | | | | (160.0) | | | | | | 28.3 | | |
Other |
| | |
|
100.1 |
| | | | | 112.7 | | | | | | 8.0 | | | | | | (12.6) | | | | | | 104.7 | | |
Net realized capital gains (losses)(3)
|
| | |
$ |
(154.7) |
| | | | $ | 83.3 | | | | | $ | 112.1 | | | | | $ | (238.0) | | | | | $ | (28.8) | | |
Impact of Falling Interest Rates or Sustained Low Interest Rates
|
| |
Impact of Rising Interest Rates |
|
Adverse Impacts: | | | Positive Impacts: | |
A reduction in investment income, which may be partially offset by a reduction in the interest we credit on contractholder account balances; however, our ability to lower crediting rates may be constrained by guaranteed minimum interest rates and competitive pressures | | | An increase in investment income, which may be partially or fully offset by an increase in the interest we credit on contractholder account balances | |
An increase in the cost of hedging our GMWB rider
|
| |
A decrease in the cost of hedging our GMWB rider
|
|
An increase in MRB liabilities and certain reserves | | | A decrease in MRB liabilities and certain reserves | |
A reduction in the discount rate used to measure reserves for long-duration insurance and annuity contracts, leading to an increase in our reserves | | | An increase in the discount rate used to measure reserves for long-duration insurance and annuity contracts, leading to a decrease in our reserves | |
A reduction in the discount rate used in valuing our OPEB obligations, leading to an increase in our Accumulated Postretirement Benefit Obligation and Net Periodic Benefit Cost | | | An increase in the discount rate used in valuing our OPEB obligations, leading to a decrease in our Accumulated Postretirement Benefit Obligation and Net Periodic Benefit Cost | |
An increase in statutory capital we are required to hold as well as the amount of assets we must maintain to support statutory reserves | | | A decrease in statutory capital we are required to hold as well as the amount of assets we must maintain to support statutory reserves | |
An increase in prepayments or redemptions on mortgages and bonds we own, which would force us to reinvest the proceeds at lower interest rates | | | A decrease in prepayments or redemptions on mortgages and bonds we own, which would reduce our opportunity to reinvest the proceeds at higher interest rates | |
Positive Impacts: | | | Adverse Impacts: | |
A decrease in the interest expense on our long-term borrowings, to the extent the borrowings have adjustable rates or we are able to refinance our obligations at lower interest rates | | | An increase in the interest expense on our long-term borrowings, to the extent the borrowings have adjustable rates or we refinance our obligations at higher interest rates | |
An increase in the fair value of certain financial assets held at fair value on our consolidated statements of financial position | | | A decrease in the fair value of certain financial assets held at fair value on our consolidated statements of financial position, as discussed below | |
| | | | | F-6 | | | |
| | | | | F-7 | | | |
| | | | | F-8 | | | |
| | | | | F-9 | | | |
| | | | | F-10 | | | |
| | | | | F-11 | | | |
| | | | | S-1 | | | |
| | | | | S-2 | | | |
| | | | | S-3 | | |
| | | | Valuation of investments in securities | |
|
Description of the Matter |
| |
A subset of the Company’s $63.2 billion fixed-income securities portfolio exhibits
higher estimation uncertainty when determining fair value. The fixed-income securities, which include bonds, asset-backed securities,
redeemable preferred stock and certain non-redeemable preferred securities, are classified as either available-for-sale or trading and,
accordingly, are carried at fair value in the consolidated statements of financial position. As discussed in Note 19 of the consolidated
financial statements, for certain securities the Company obtains prices from third party pricing vendors, a subset of which exhibit higher
estimation uncertainty given the characteristics of the security. In addition, the Company uses a matrix priced internal model to develop
the fair value for a subset of corporate bonds. The fair value is developed using a risk spread which creates higher estimation uncertainty.
Auditing the fair value of the securities that exhibit higher estimation
uncertainty was especially challenging because determining the fair value is complex and highly judgmental and involves using inputs and
assumptions that are not directly observable in the market. |
|
|
How We Addressed the Matter in Our Audit |
| |
We obtained an understanding, evaluated the design and tested the operating effectiveness of
controls over management’s valuation process for the fixed income securities portfolio that exhibits higher estimation uncertainty.
This included, among others, testing the review and approval process that management has in place over validating the fair value from
third party pricing sources and the assumptions used in determining the fair value for matrix priced securities.
To test the fair value calculation, we utilized the support of our valuation
specialists which included, among others, independently calculating a reasonable range of fair values for a sample of securities by using
a cash flow model and cash flow and yield assumptions based on independently obtained information or available transaction data for similar
securities. We compared these ranges to management’s estimates of fair value for the selected securities. |
|
| | | | Liability for future policy benefits and claims | |
|
Description of the Matter |
| |
At December 31, 2023, future policy benefits and claims related to traditional and limited
payment long-duration contracts totaled $42.5 billion.
The future policy benefits liability related to these products is based
on estimates of how much the Company will need to pay for future benefits and the amount of fees to be collected from policyholders for
these policy features. As described in Note 11, there is uncertainty inherent in estimating this liability because there is a significant
amount of management judgment involved in developing certain assumptions that impact the liability balance, which include mortality rates,
and lapse termination rates.
Auditing the valuation of future policy benefits liabilities related
to these products was complex and required the involvement of our actuarial specialist due to the high degree of judgment used by management
in setting the assumptions used in the estimate of the future policy benefits liability related to these products. |
|
|
How We Addressed the Matter in Our Audit |
| |
We obtained an understanding, evaluated the design and tested the operating effectiveness of
controls over the future policy benefits liability estimation processes, including among others, controls related to the review and approval
processes that management has in place for the assumptions used in the valuation of the future policy benefits liability. This included
testing controls related to management’s evaluation of the need to update assumptions based on the comparison of actual company
experience to previous assumptions.
We involved actuarial specialists to assist with our audit procedures
which included, among others, an evaluation of the methodology applied by management with those methods used in prior periods. To assess
the significant assumptions used by management, we compared the significant assumptions noted above to historical experience, industry
data or management’s estimates of prospective changes in these assumptions. In addition, we performed an independent recalculation
of cash flows related to the future policy benefit reserves for a sample of cohorts or contracts which we compared to the actuarial model
used by management. |
|
| | |
December 31, |
| |||||||||
| | |
2023 |
| |
2022 |
| ||||||
| | | | | | | | |
(As recast) |
| |||
| | |
(in millions)
|
| | | | | | | |||
Assets | | | | | | | | | | | | | |
Fixed maturities, available-for-sale |
| | |
$ |
62,530.2 |
| | | | $ | 59,631.3 | | |
Fixed maturities, trading
(2023 and 2022 include $45.2 million and $0.0 million related to consolidated variable interest entities) |
| | |
|
715.3 |
| | | | | 634.0 | | |
Equity securities |
| | |
|
43.0 |
| | | | | 53.1 | | |
Mortgage loans (2023 and 2022 include $871.9 million
and $1,179.7 million related to consolidated variable interest entities) |
| | |
|
19,221.2 |
| | | | | 19,722.4 | | |
Real estate (2023 and 2022 include $779.1 million
and $649.0 million related to consolidated variable interest entities) |
| | |
|
2,343.5 |
| | | | | 2,237.4 | | |
Policy loans |
| | |
|
793.2 |
| | | | | 770.2 | | |
Other investments (2023 and 2022 include $182.1 million
and $18.6 million related to consolidated variable interest entities and $163.2 million and $0.0 million measured at fair value under the fair value option) |
| | |
|
4,118.8 |
| | | | | 3,261.3 | | |
Total investments |
| | |
|
89,765.2 |
| | | | | 86,309.7 | | |
Cash and cash equivalents
(2023 and 2022 include $64.9 million and $14.2 million related to consolidated variable interest entities) |
| | |
|
3,638.0 |
| | | | | 3,329.3 | | |
Accrued investment income |
| | |
|
774.0 |
| | | | | 728.5 | | |
Reinsurance recoverable and deposit receivable |
| | |
|
24,424.7 |
| | | | | 21,442.3 | | |
Premiums due and other receivables |
| | |
|
4,076.9 |
| | | | | 3,846.4 | | |
Deferred acquisition costs |
| | |
|
3,926.5 |
| | | | | 3,939.2 | | |
Market risk benefit asset |
| | |
|
153.4 |
| | | | | 109.2 | | |
Property and equipment |
| | |
|
780.1 |
| | | | | 831.8 | | |
Goodwill |
| | |
|
48.3 |
| | | | | 48.3 | | |
Other intangibles |
| | |
|
10.6 |
| | | | | 11.6 | | |
Separate account assets |
| | |
|
131,641.7 |
| | | | | 120,279.6 | | |
Other assets |
| | |
|
530.7 |
| | | | | 727.0 | | |
Total assets |
| | |
$ |
259,770.1 |
| | | | $ | 241,602.9 | | |
Liabilities | | | | | | | | | | | | | |
Contractholder funds |
| | |
$ |
41,362.9 |
| | | | $ | 42,317.3 | | |
Future policy benefits and claims |
| | |
|
42,488.0 |
| | | | | 38,279.4 | | |
Market risk benefit liability |
| | |
|
111.9 |
| | | | | 181.4 | | |
Other policyholder funds |
| | |
|
909.5 |
| | | | | 867.0 | | |
Long-term debt |
| | |
|
3.0 |
| | | | | 67.8 | | |
Deferred income taxes |
| | |
|
1,541.0 |
| | | | | 1,296.9 | | |
Separate account liabilities |
| | |
|
131,641.7 |
| | | | | 120,279.6 | | |
Funds withheld payable |
| | |
|
23,744.9 |
| | | | | 20,436.1 | | |
Other
liabilities (2023 and 2022 include $83.9 million and $83.8 million related to consolidated variable interest entities)
|
| | |
|
9,843.6 |
| | | | | 10,207.0 | | |
Total liabilities |
| | |
|
251,646.5 |
| | | | | 233,932.5 | | |
Stockholder’s equity | | | | | | | | | | | | | |
Common stock, par value $1.00 per share; 5,000,000
shares authorized; 2,500,000 shares issued and outstanding (wholly owned indirectly by Principal Financial Group, Inc.)
|
| | |
|
2.5 |
| | | | | 2.5 | | |
Additional paid-in capital |
| | |
|
6,320.0 |
| | | | | 6,331.1 | | |
Retained earnings |
| | |
|
4,922.0 |
| | | | | 5,907.7 | | |
Accumulated other comprehensive loss |
| | |
|
(3,128.7) |
| | | | | (4,574.7) | | |
Total stockholder’s equity attributable to Principal Life
Insurance Company |
| | |
|
8,115.8 |
| | | | | 7,666.6 | | |
Noncontrolling interest |
| | |
|
7.8 |
| | | | | 3.8 | | |
Total stockholder’s equity |
| | |
|
8,123.6 |
| | | | | 7,670.4 | | |
Total liabilities and stockholder’s equity
|
| | |
$ |
259,770.1 |
| | | | $ | 241,602.9 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | | | | | | | |
(As recast) (in millions) |
| |
(As recast) |
| ||||||
Revenues | | | | | | | | | | | | | | | | | | | |
Premiums and other considerations |
| | |
$ |
6,396.7 |
| | | | $ | 5,264.3 | | | | | $ | 4,714.0 | | |
Fees and other revenues |
| | |
|
2,204.7 |
| | | | | 2,168.1 | | | | | | 2,708.2 | | |
Net investment income |
| | |
|
3,285.5 |
| | | | | 2,852.4 | | | | | | 3,633.7 | | |
Net realized capital gains (losses)(1)
|
| | |
|
(154.7) |
| | | | | 83.3 | | | | | | 112.1 | | |
Net realized capital gains on funds withheld assets(1)
|
| | |
|
161.8 |
| | | | | 749.4 | | | | | | — | | |
Change in fair value of funds withheld embedded derivative
|
| | |
|
(1,326.7) |
| | | | | 3,652.8 | | | | | | — | | |
Total revenues |
| | |
|
10,567.3 |
| | | | | 14,770.3 | | | | | | 11,168.0 | | |
Expenses | | | | | | | | | | | | | | | | | | | |
Benefits, claims and settlement expenses |
| | |
|
7,226.2 |
| | | | | 5,882.7 | | | | | | 6,617.5 | | |
Liability for future policy benefits remeasurement (gain) loss
|
| | |
|
(52.5) |
| | | | | (259.8) | | | | | | 0.4 | | |
Market risk benefit remeasurement loss |
| | |
|
33.7 |
| | | | | 131.2 | | | | | | 114.1 | | |
Dividends to policyholders |
| | |
|
89.2 |
| | | | | 94.8 | | | | | | 94.8 | | |
Operating expenses |
| | |
|
3,121.5 |
| | | | | 3,135.9 | | | | | | 2,828.5 | | |
Total expenses |
| | |
|
10,418.1 |
| | | | | 8,984.8 | | | | | | 9,655.3 | | |
Income before income taxes |
| | |
|
149.2 |
| | | | | 5,785.5 | | | | | | 1,512.7 | | |
Income taxes (benefits) |
| | |
|
(87.4) |
| | | | | 1,106.0 | | | | | | 196.6 | | |
Net income |
| | |
|
236.6 |
| | | | | 4,679.5 | | | | | | 1,316.1 | | |
Net income attributable to noncontrolling interest
|
| | |
|
19.6 |
| | | | | 62.2 | | | | | | 24.3 | | |
Net income attributable to Principal Life Insurance Company
|
| | |
$ |
217.0 |
| | | | $ | 4,617.3 | | | | | $ | 1,291.8 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | | | | | | | |
(As recast) (in millions) |
| |
(As recast) |
| ||||||
Net income |
| | |
$ |
236.6 |
| | | | $ | 4,679.5 | | | | | $ | 1,316.1 | | |
Other comprehensive income (loss), net: | | | | | | | | | | | | | | | | | | | |
Net unrealized gains (losses) on available-for-sale securities
|
| | |
|
1,909.3 |
| | | | | (9,751.4) | | | | | | (1,607.2) | | |
Net unrealized gains (losses) on derivative instruments
|
| | |
|
(41.8) |
| | | | | (23.1) | | | | | | 33.5 | | |
Liability for future policy benefits discount rate
remeasurement gain (loss) |
| | |
|
(392.2) |
| | | | | 4,973.4 | | | | | | 1,640.1 | | |
Market risk benefit nonperformance risk gain (loss)
|
| | |
|
(31.1) |
| | | | | 111.5 | | | | | | (2.2) | | |
Net unrecognized postretirement benefit obligation
|
| | |
|
1.8 |
| | | | | (2.0) | | | | | | 1.5 | | |
Other comprehensive income (loss) |
| | |
|
1,446.0 |
| | | | | (4,691.6) | | | | | | 65.7 | | |
Comprehensive income (loss) |
| | |
|
1,682.6 |
| | | | | (12.1) | | | | | | 1,381.8 | | |
Comprehensive income attributable to noncontrolling interest
|
| | |
|
19.6 |
| | | | | 62.2 | | | | | | 24.3 | | |
Comprehensive income (loss) attributable to Principal
Life Insurance Company |
| | |
$ |
1,663.0 |
| | | | $ | (74.3) | | | | | $ | 1,357.5 | | |
| | |
Common stock |
| |
Additional paid-in capital |
| |
Retained earnings |
| |
Accumulated other comprehensive income (loss) |
| |
Noncontrolling interest |
| |
Total stockholder’s equity |
| ||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||
Balances as of January 1, 2021
|
| | | $ | 2.5 | | | | | $ | 6,344.2 | | | | | $ | 2,799.7 | | | | | $ | 3,986.9 | | | | | $ | 15.2 | | | | | $ | 13,148.5 | | |
Capital distributions to parent |
| | | | — | | | | | | (16.3) | | | | | | — | | | | | | — | | | | | | — | | | | | | (16.3) | | |
Stock-based compensation |
| | | | — | | | | | | 27.6 | | | | | | (2.4) | | | | | | — | | | | | | — | | | | | | 25.2 | | |
Dividends to parent |
| | | | — | | | | | | — | | | | | | (1,250.0) | | | | | | — | | | | | | — | | | | | | (1,250.0) | | |
Distributions to noncontrolling interest |
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | (27.4) | | | | | | (27.4) | | |
Contributions from noncontrolling interest
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 7.4 | | | | | | 7.4 | | |
Purchase of subsidiary shares from noncontrolling
interest |
| | | | — | | | | | | (14.9) | | | | | | — | | | | | | — | | | | | | (1.7) | | | | | | (16.6) | | |
Net liabilities transferred to affiliate due to
change in benefit plan sponsorship |
| | | | — | | | | | | 0.3 | | | | | | — | | | | | | 2.0 | | | | | | — | | | | | | 2.3 | | |
Effects of implementation of accounting change
related to long-duration insurance contracts, net |
| | | | — | | | | | | — | | | | | | (120.9) | | | | | | (4,052.1) | | | | | | — | | | | | | (4,173.0) | | |
Net income |
| | | | — | | | | | | — | | | | | | 1,291.8 | | | | | | — | | | | | | 24.3 | | | | | | 1,316.1 | | |
Other comprehensive income |
| | | | — | | | | | | — | | | | | | — | | | | | | 65.7 | | | | | | — | | | | | | 65.7 | | |
Balances as of December 31,
2021 (As recast) |
| | | | 2.5 | | | | | | 6,340.9 | | | | | | 2,718.2 | | | | | | 2.5 | | | | | | 17.8 | | | | | | 9,081.9 | | |
Capital distributions to parent |
| | | | — | | | | | | (30.3) | | | | | | — | | | | | | — | | | | | | — | | | | | | (30.3) | | |
Stock-based compensation |
| | | | — | | | | | | 24.8 | | | | | | (2.8) | | | | | | — | | | | | | — | | | | | | 22.0 | | |
Dividends to parent |
| | | | — | | | | | | — | | | | | | (1,425.0) | | | | | | — | | | | | | — | | | | | | (1,425.0) | | |
Distributions to noncontrolling interest |
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | (81.1) | | | | | | (81.1) | | |
Contributions from noncontrolling interest
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 7.3 | | | | | | 7.3 | | |
Purchase of subsidiary shares from noncontrolling
interest |
| | | | — | | | | | | (4.3) | | | | | | — | | | | | | — | | | | | | (2.4) | | | | | | (6.7) | | |
Adjustment for reinsurance |
| | | | — | | | | | | — | | | | | | — | | | | | | 114.4 | | | | | | — | | | | | | 114.4 | | |
Net income |
| | | | — | | | | | | — | | | | | | 4,617.3 | | | | | | — | | | | | | 62.2 | | | | | | 4,679.5 | | |
Other comprehensive loss |
| | | | — | | | | | | — | | | | | | — | | | | | | (4,691.6) | | | | | | — | | | | | | (4,691.6) | | |
Balances as of December 31,
2022 (As recast) |
| | | | 2.5 | | | | | | 6,331.1 | | | | | | 5,907.7 | | | | | | (4,574.7) | | | | | | 3.8 | | | | | | 7,670.4 | | |
Capital distributions to parent |
| | |
|
— |
| | | |
|
(39.0) |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
(39.0) |
| |
Stock-based compensation |
| | |
|
— |
| | | |
|
27.9 |
| | | |
|
(2.7) |
| | | |
|
— |
| | | |
|
— |
| | | |
|
25.2 |
| |
Dividends to parent |
| | |
|
— |
| | | |
|
— |
| | | |
|
(1,200.0) |
| | | |
|
— |
| | | |
|
— |
| | | |
|
(1,200.0) |
| |
Distributions to noncontrolling interest |
| | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
(23.2) |
| | | |
|
(23.2) |
| |
Contributions from noncontrolling interest
|
| | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
7.6 |
| | | |
|
7.6 |
| |
Net income |
| | |
|
— |
| | | |
|
— |
| | | |
|
217.0 |
| | | |
|
— |
| | | |
|
19.6 |
| | | |
|
236.6 |
| |
Other comprehensive income |
| | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
1,446.0 |
| | | |
|
— |
| | | |
|
1,446.0 |
| |
Balances as of December 31, 2023 |
| | | $ | 2.5 | | | | | $ | 6,320.0 | | | | | $ | 4,922.0 | | | | | $ | (3,128.7) | | | | | $ | 7.8 | | | | | $ | 8,123.6 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | | | | | | | |
(As recast) (in millions) |
| |
(As recast) |
| ||||||
| | | | | |||||||||||||||
Operating activities | | | | | | | | | | | | | | | | | | | |
Net income |
| | |
$ |
236.6 |
| | | | $ | 4,679.5 | | | | | $ | 1,316.1 | | |
Adjustments to reconcile net income to net cash provided by operating activities: | | | | | | | | | | | | | | | | | | | |
Net realized capital (gains) losses |
| | |
|
154.7 |
| | | | | (83.3) | | | | | | (112.1) | | |
Net realized capital gains on funds withheld assets
|
| | |
|
(161.8) |
| | | | | (749.4) | | | | | | — | | |
Change in fair value of funds withheld embedded derivative
|
| | |
|
1,326.7 |
| | | | | (3,652.8) | | | | | | — | | |
Depreciation and amortization expense |
| | |
|
151.2 |
| | | | | 175.1 | | | | | | 149.5 | | |
Amortization of deferred acquisition costs and contract costs
|
| | |
|
396.3 |
| | | | | 393.3 | | | | | | 379.5 | | |
Additions to deferred acquisition costs and contract costs
|
| | |
|
(384.9) |
| | | | | (393.2) | | | | | | (471.9) | | |
Amortization of reinsurance loss |
| | |
|
20.4 |
| | | | | 19.3 | | | | | | 23.0 | | |
Market risk benefit remeasurement loss |
| | |
|
33.7 |
| | | | | 131.2 | | | | | | 114.1 | | |
Stock-based compensation |
| | |
|
25.1 |
| | | | | 22.1 | | | | | | 25.2 | | |
Income from equity method investments, net of dividends received
|
| | |
|
(27.5) |
| | | | | (42.9) | | | | | | (54.2) | | |
Changes in: | | | | | | | | | | | | | | | | | | | |
Accrued investment income |
| | |
|
(45.5) |
| | | | | (50.1) | | | | | | 9.3 | | |
Net cash flows for trading securities and equity securities with operating
intent |
| | |
|
(60.0) |
| | | | | (389.0) | | | | | | (7.9) | | |
Premiums due and other receivables |
| | |
|
(205.8) |
| | | | | (3,259.3) | | | | | | 7.3 | | |
Contractholder and policyholder liabilities and dividends
|
| | |
|
3,513.3 |
| | | | | 2,071.0 | | | | | | 1,798.1 | | |
Current and deferred income taxes (benefits) |
| | |
|
(191.2) |
| | | | | 893.6 | | | | | | 125.1 | | |
Real estate acquired through operating activities |
| | |
|
(130.8) |
| | | | | (164.4) | | | | | | (73.7) | | |
Real estate sold through operating activities |
| | |
|
164.8 |
| | | | | — | | | | | | 1.4 | | |
Funds withheld, net of reinsurance recoverable and deposit receivable
|
| | |
|
(338.3) |
| | | | | 2,904.5 | | | | | | (130.4) | | |
Other assets and liabilities |
| | |
|
176.1 |
| | | | | 417.2 | | | | | | 18.2 | | |
Other |
| | |
|
255.9 |
| | | | | 548.4 | | | | | | 428.2 | | |
Net adjustments |
| | |
|
4,672.4 |
| | | | | (1,208.7) | | | | | | 2,228.7 | | |
Net cash provided by operating activities |
| | |
|
4,909.0 |
| | | | | 3,470.8 | | | | | | 3,544.8 | | |
Investing activities | | | | | | | | | | | | | | | | | | | |
Fixed maturities available-for-sale and equity securities with intent to hold: | | | | | | | | | | | | | | | | | | | |
Purchases |
| | |
|
(10,704.4) |
| | | | | (18,288.2) | | | | | | (15,068.4) | | |
Sales |
| | |
|
4,871.3 |
| | | | | 12,685.1 | | | | | | 1,701.7 | | |
Maturities |
| | |
|
4,957.2 |
| | | | | 6,566.9 | | | | | | 10,475.1 | | |
Mortgage loans acquired or originated |
| | |
|
(1,998.7) |
| | | | | (3,633.2) | | | | | | (5,016.8) | | |
Mortgage loans sold or repaid |
| | |
|
2,011.4 |
| | | | | 2,513.2 | | | | | | 2,626.6 | | |
Real estate acquired |
| | |
|
(187.5) |
| | | | | (245.2) | | | | | | (281.4) | | |
Real estate sold |
| | |
|
130.8 |
| | | | | 373.9 | | | | | | 133.7 | | |
Net purchases of property and equipment |
| | |
|
(41.1) |
| | | | | (68.4) | | | | | | (91.9) | | |
Net change in other investments |
| | |
|
(781.8) |
| | | | | (218.1) | | | | | | (149.4) | | |
Net cash used in investing activities |
| | |
|
(1,742.8) |
| | | | | (314.0) | | | | | | (5,670.8) | | |
Financing activities | | | | | | | | | | | | | | | | | | | |
Payments for financing element derivatives |
| | |
|
(42.1) |
| | | | | (50.6) | | | | | | (39.9) | | |
Purchase of subsidiary shares from noncontrolling interest
|
| | |
|
— |
| | | | | (6.7) | | | | | | (16.6) | | |
Dividends paid to parent |
| | |
|
(1,200.0) |
| | | | | (1,425.0) | | | | | | (1,250.0) | | |
Distributions to parent |
| | |
|
(39.0) |
| | | | | (30.3) | | | | | | (16.3) | | |
Issuance of long-term debt |
| | |
|
— |
| | | | | 15.4 | | | | | | — | | |
Principal repayments of long-term debt |
| | |
|
(64.0) |
| | | | | (2.1) | | | | | | (1.8) | | |
Investment contract deposits |
| | |
|
8,152.2 |
| | | | | 6,881.3 | | | | | | 8,868.3 | | |
Investment contract withdrawals |
| | |
|
(9,326.3) |
| | | | | (7,524.6) | | | | | | (8,760.5) | | |
Net increase (decrease) in banking operation deposits
|
| | |
|
(338.6) |
| | | | | 1,086.3 | | | | | | 2,922.9 | | |
Other |
| | |
|
0.3 |
| | | | | 0.2 | | | | | | — | | |
Net cash provided by (used in) financing activities
|
| | |
|
(2,857.5) |
| | | | | (1,056.1) | | | | | | 1,706.1 | | |
Net increase (decrease) in cash and cash equivalents
|
| | |
|
308.7 |
| | | | | 2,100.7 | | | | | | (419.9) | | |
Cash and cash equivalents at beginning of period
|
| | |
|
3,329.3 |
| | | | | 1,228.6 | | | | | | 1,648.5 | | |
Cash and cash equivalents at end of period |
| | |
$ |
3,638.0 |
| | | | $ | 3,329.3 | | | | | $ | 1,228.6 | | |
Supplemental information: | | | | | | | | | | | | | | | | | | | |
Cash paid for interest |
| | |
$ |
1.3 |
| | | | $ | 2.6 | | | | | $ | 2.2 | | |
Cash paid for income taxes |
| | |
|
63.4 |
| | | | | 43.5 | | | | | | 46.3 | | |
Supplemental disclosure of non-cash activities: | | | | | | | | | | | | | | | | | | | |
Asset changes resulting from deconsolidation of residential whole loan securitizations: | | | | | | | | | | | | | | | | | | | |
Decrease in mortgage loans |
| | |
$ |
(389.7) |
| | | | $ | (220.7) | | | | | $ | — | | |
Increase in fixed maturities, available-for-sale |
| | |
|
286.2 |
| | | | | 167.6 | | | | | | — | | |
Increase in fixed maturities, trading |
| | |
|
10.8 |
| | | | | — | | | | | | — | | |
Assets transferred in kind for settlement to reinsurer
|
| | |
|
— |
| | | | | (428.5) | | | | | | — | | |
Changes from re-designation of other postretirement employee benefits (“OPEB”) plan assets to cover non-retiree benefits: | | | | | | | | | | | | | | | | | | | |
Increases in equity securities re-designated from funded status of
OPEB plan |
| | |
|
— |
| | | | | — | | | | | | 548.1 | | |
Increases in other investments re-designated from funded status of
OPEB plan |
| | |
|
— |
| | | | | — | | | | | | 117.5 | | |
Decrease in tax receivable re-designated from funded status of OPEB
plan |
| | |
|
— |
| | | | | — | | | | | | (9.1) | | |
Decrease in accumulated other comprehensive income (“AOCI”)
due to reclassifying excess assets out of funded status of OPEB plan |
| | |
|
— |
| | | | | — | | | | | | 9.1 | | |
Decrease in other assets due to reclassifying excess assets out of
funded status of OPEB plan |
| | |
|
— |
| | | | | — | | | | | | (665.6) | | |
Assets received in kind from pension risk transfer transactions
|
| | |
|
— |
| | | | | — | | | | | | 109.5 | | |
Description |
| |
Date of adoption |
| |
Effect on our consolidated financial statements or other significant matters |
|
Standards not yet adopted: | | | | | | | |
Improvements to reportable
segments disclosures This authoritative guidance enhances the disclosures about a public entity’s reportable segments and addresses requests from investors for additional, more detailed information about a reportable segment’s expenses. |
| | January 1, 2025 | | | We are currently evaluating the impact this guidance will have on our consolidated financial statements. | |
Improvements to income tax
disclosures This authoritative guidance provides improvements to income tax disclosures primarily related to the rate reconciliation and income taxes paid information. |
| | January 1, 2025 | | | We are currently evaluating the impact this guidance will have on our consolidated financial statements. | |
Standards adopted: | | | | | | | |
Targeted improvements to the
accounting for long-duration insurance contracts This authoritative guidance updated certain requirements in the accounting for long-duration insurance and annuity contracts. |
| | January 1, 2023 | | | We created a governance framework and a plan to support implementation of the standard. Our implementation and evaluation process included, but was not limited to the following: | |
Description |
| |
Date of adoption |
| |
Effect on our consolidated financial statements or other significant matters |
|
1.
The assumptions used to calculate
the liability for future policy benefits on traditional and limited-payment contracts are reviewed and updated periodically. Cash flow
assumptions are reviewed at least annually and updated when necessary with the impact recognized in net income. Discount rate assumptions
are prescribed as the current upper-medium grade (low credit risk) fixed income instrument yield and are updated quarterly with the impact
recognized in other comprehensive income (“OCI”).
2.
MRBs,
which are contracts or contract features that provide protection to the policyholder from capital market risk and expose us to other-than-nominal
capital market risk, are measured at fair value. The periodic change in fair value is recognized in net income with the exception of the
periodic change in fair value related to our own nonperformance risk, which is recognized in OCI.
3.
Deferred
acquisition costs (“DAC”) and other actuarial balances for all insurance and annuity contracts are amortized on a constant
basis over the expected term of the related contracts.
4.
Additional
disclosures are required, including disaggregated rollforwards of significant insurance liabilities and other account balances as well
as disclosures about significant inputs, judgments, assumptions and methods used in measurement.
The guidance for the liability for future policy benefits for traditional
and limited-payment contracts and DAC was applied on a modified retrospective basis; that is, to contracts in force as of the beginning
of the |
| | | | |
•
identifying and documenting contracts
and contract features in scope of the guidance;
•
identifying
the actuarial models, systems and processes to be updated;
•
evaluating
and selecting our systems solutions for implementing the new guidance;
•
building
models and evaluating preliminary output as models were developed;
•
evaluating
and finalizing our key accounting policies;
•
assessing
the impact to our chart of accounts;
•
developing
format and content of new disclosures;
•
conducting
financial dry runs using model output and updated chart of accounts;
•
evaluating
transition requirements and impacts and
•
establishing
and documenting appropriate internal controls.
This guidance changed how we account for many of our insurance and annuity
products.
The guidance did not have a material impact on our consolidated statements
of operations. Further details about transition impacts of the guidance are included under the caption “Adoption of Targeted Improvements
to the Accounting for Long-Duration Insurance Contracts Guidance.”
The additional disclosure requirements can be found in the following
notes:
•
Note
8, Deferred Acquisition Costs and Other Actuarial Balances
•
Note
9, Separate Account Balances
|
|
Description |
| |
Date of adoption |
| |
Effect on our consolidated financial statements or other significant matters |
|
earliest period presented (January 1, 2021, also referred to as the transition date) based on their existing carrying amounts. An entity could elect to apply the changes retrospectively. The guidance for market risk benefits was applied retrospectively. | | | | | |
•
Note 10, Contractholder Funds
•
Note
11, Future Policy Benefits and Claims
•
Note
12, Market Risk Benefits
|
|
Troubled debt restructurings
and vintage disclosures This authoritative guidance eliminated the accounting requirements for Troubled Debt Restructurings (“TDRs”) by creditors and enhanced the disclosure requirements for certain loan refinancing and restructuring by creditors when a borrower is experiencing financial difficulty. The update required entities to disclose current-period gross write-offs by year of origination for financing receivables and net investments in leases. The amendments in this update were applied prospectively, except for the transition method related to the recognition and measurement of troubled debt restructurings, for which an entity had the option to apply a modified retrospective transition method. Early adoption was permitted. |
| | January 1, 2023 | | | This guidance did not have a material impact on our consolidated financial statements. | |
Targeted improvements to
accounting for hedging activities — portfolio layer method This authoritative guidance is intended to further align the economics of a company’s risk management activities in its financial statements with hedge accounting requirements. The guidance expanded the current single-layer method to allow multiple hedge layers of a single closed portfolio. Non-prepayable assets can also be included in the same portfolio. This guidance also clarified the current guidance on accounting for fair value basis adjustments applicable to both a single hedged layer and multiple hedged layers. Upon adoption, the application of these hedge strategies was applied prospectively. Early adoption was permitted. |
| | January 1, 2023 | | | This guidance did not have a material impact on our consolidated financial statements. | |
Description |
| |
Date of adoption |
| |
Effect on our consolidated financial statements or other significant matters |
|
Simplifying the accounting
for income taxes This authoritative guidance simplifies the accounting for income taxes by removing certain exceptions, including exceptions related to the incremental approach for intraperiod tax allocation, calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. Also, the guidance clarifies the accounting for franchise taxes, transactions that result in a step-up in the tax basis of goodwill and enacted changes in tax laws or rates. It specifies that an entity is not required to allocate the consolidated amount of current and deferred tax expense to a legal entity that is not subject to tax in its separate financial statements, although an entity may elect to do so. The guidance was applied based on varying transition methods defined by amendment. Early adoption was permitted. |
| | January 1, 2021 | | | This guidance did not have a material impact on our consolidated financial statements. | |
Facilitation of the effects
of reference rate reform on financial reporting This authoritative guidance provided optional expedients and exceptions for contracts and hedging relationships affected by reference rate reform. An entity could elect not to apply certain modification accounting requirements to contracts affected by reference rate reform and instead account for the modified contract as a continuation of the existing contract. Also, an entity could apply optional expedients to continue hedge accounting for hedging relationships in which the critical terms changed due to reference rate reform. This guidance eased the financial reporting impacts of reference rate reform on contracts and hedging relationships and was effective until December 31, 2022. A subsequent amendment issued in December 2022 extended the relief date from December 31, 2022, to December 31, 2024, and was effective upon issuance. |
| | March 12, 2020 | | | We adopted the guidance upon issuance prospectively and elected the applicable optional expedients and exceptions for contracts and hedging relationships impacted by reference rate reform through December 31, 2024. The guidance did not have an impact on our consolidated financial statements upon adoption. | |
| | |
Retained earnings |
| |
Accumulated other comprehensive income |
| ||||||||||||||||||||||||||||||
| | |
Pre-Tax |
| |
Tax |
| |
After-Tax |
| |
Pre-Tax |
| |
Tax |
| |
After-Tax |
| ||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||
DAC and other actuarial balances: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Adjustment for reversal of unrealized loss from AOCI(1)(2)
|
| | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 421.5 | | | | | $ | (88.5) | | | | | $ | 333.0 | | |
Cost of reinsurance asset (liability): | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Cumulative effect of amortization basis change |
| | | | (9.0) | | | | | | 1.9 | | | | | | (7.1) | | | | | | — | | | | | | — | | | | | | — | | |
Adjustment of unrealized loss in AOCI |
| | | | — | | | | | | — | | | | | | — | | | | | | 16.1 | | | | | | (3.4) | | | | | | 12.7 | | |
Reinsurance recoverable: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Adjustment for reversal of unrealized gain from AOCI(2)
|
| | | | — | | | | | | — | | | | | | — | | | | | | (45.5) | | | | | | 9.5 | | | | | | (36.0) | | |
Adjustment under the modified retrospective approach(3)
|
| | | | 31.4 | | | | | | (6.6) | | | | | | 24.8 | | | | | | — | | | | | | — | | | | | | — | | |
Effect of remeasurement
of the recoverable at the current discount rate |
| | | | — | | | | | | — | | | | | | — | | | | | | 201.8 | | | | | | (42.4) | | | | | | 159.4 | | |
Liability for future policy benefits: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Adjustment for reversal of unrealized loss from AOCI(2)
|
| | | | — | | | | | | — | | | | | | — | | | | | | 1,330.7 | | | | | | (279.3) | | | | | | 1,051.4 | | |
Adjustment under the modified retrospective approach(3)
|
| | | | (39.5) | | | | | | 8.2 | | | | | | (31.3) | | | | | | — | | | | | | — | | | | | | — | | |
Effect of remeasurement of the liability at the
current discount rate |
| | | | — | | | | | | — | | | | | | — | | | | | | (6,947.1) | | | | | | 1,458.9 | | | | | | (5,488.2) | | |
Market risk benefits: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Cumulative effect of changes in the nonperformance
risk between the original contract issue date and the transition date |
| | | | — | | | | | | — | | | | | | — | | | | | | (4.8) | | | | | | 1.0 | | | | | | (3.8) | | |
Adjustments to the host contract for differences
between previous carrying amount and measurement of the MRB |
| | | | 20.9 | | | | | | (4.4) | | | | | | 16.5 | | | | | | — | | | | | | — | | | | | | — | | |
Retained earnings adjustment
for the valuation of contracts as MRBs (exclusive of nonperformance risk changes) |
| | | | (258.8) | | | | | | 54.4 | | | | | | (204.4) | | | | | | — | | | | | | — | | | | | | — | | |
Reclassification
of nonperformance risk changes between retained earnings and AOCI(4)
|
| | | | 102.0 | | | | | | (21.4) | | | | | | 80.6 | | | | | | (102.0) | | | | | | 21.4 | | | | | | (80.6) | | |
Total impact on opening balance as of January 1,
2021 |
| | | $ | (153.0) | | | | | $ | 32.1 | | | | | $ | (120.9) | | | | | $ | (5,129.3) | | | | | $ | 1,077.2 | | | | | $ | (4,052.1) | | |
| | |
Increase (decrease) |
| |||
| | |
(in millions) |
| |||
Assets | | | | | | | |
Reinsurance recoverable and deposit receivable |
| | | $ | 187.7 | | |
Premiums due and other receivables(1)
|
| | | | (24.4) | | |
Deferred acquisition costs |
| | | | 450.9 | | |
Market risk benefit asset(2)
|
| | | | 18.9 | | |
Other assets(3)
|
| | | | 19.3 | | |
Total assets |
| | | $ | 652.4 | | |
Liabilities | | | | | | | |
Contractholder funds(4)
|
| | | $ | (344.5) | | |
Future policy benefits and claims(5)
|
| | | | 5,620.3 | | |
Market risk benefit liability(2)
|
| | | | 610.2 | | |
Other policyholder funds(6)
|
| | | | 48.8 | | |
Deferred income taxes |
| | | | (1,109.4) | | |
Total liabilities |
| | | | 4,825.4 | | |
Stockholder’s equity | | | | | | | |
Retained earnings |
| | | | (120.9) | | |
Accumulated other comprehensive income |
| | | | (4,052.1) | | |
Total stockholder’s equity |
| | | | (4,173.0) | | |
Total liabilities and stockholder’s equity |
| | | $ | 652.4 | | |
| | |
Balance as of December 31, 2020 |
| |
Adjustment for reversal of unrealized loss from AOCI(1) |
| |
Balance as of January 1, 2021(2) |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Retirement and Income Solutions: | | | | | | | | | | | | | | | | | | | |
Workplace savings and retirement solutions |
| | | $ | 424.6 | | | | | $ | 52.6 | | | | | $ | 477.2 | | |
Individual variable annuities |
| | | | 281.7 | | | | | | 0.2 | | | | | | 281.9 | | |
Pension risk transfer(3)
|
| | | | — | | | | | | — | | | | | | — | | |
Individual fixed deferred annuities |
| | | | 11.5 | | | | | | 181.2 | | | | | | 192.7 | | |
Investment only |
| | | | 12.6 | | | | | | — | | | | | | 12.6 | | |
Total Retirement and Income Solutions |
| | | | 730.4 | | | | | | 234.0 | | | | | | 964.4 | | |
Benefits and Protection: | | | | | | | | | | | | | | | | | | | |
Specialty Benefits: |
| | | | | | | | | | | | | | | | | | |
Individual disability |
| | | | 529.8 | | | | | | — | | | | | | 529.8 | | |
Life Insurance: |
| | | | | | | | | | | | | | | | | | |
Universal life |
| | | | 1,443.0 | | | | | | 165.3 | | | | | | 1,608.3 | | |
Term life |
| | | | 607.9 | | | | | | — | | | | | | 607.9 | | |
Participating life |
| | | | 60.3 | | | | | | 51.6 | | | | | | 111.9 | | |
Total Benefits and Protection |
| | | | 2,641.0 | | | | | | 216.9 | | | | | | 2,857.9 | | |
Total |
| | | $ | 3,371.4 | | | | | $ | 450.9 | | | | | $ | 3,822.3 | | |
| | |
For the year ended December 31, 2021
|
| |||||||||||||||||||||||||||
| | |
Workplace savings and retirement solutions |
| |
Individual variable annuities |
| |
Pension risk transfer(1) |
| |
Individual
fixed deferred annuities |
| |
Investment only |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Balance at beginning of period |
| | | $ | 477.2 | | | | | $ | 281.9 | | | | | $ | — | | | | | $ | 192.7 | | | | | $ | 12.6 | | |
Costs deferred |
| | | | 50.1 | | | | | | 26.4 | | | | | | 2.7 | | | | | | 7.6 | | | | | | 9.1 | | |
Amortized to expense |
| | | | (38.3) | | | | | | (27.1) | | | | | | — | | | | | | (38.1) | | | | | | (3.6) | | |
Balance at end of period |
| | | $ | 489.0 | | | | | $ | 281.2 | | | | | $ | 2.7 | | | | | $ | 162.2 | | | | | $ | 18.1 | | |
| | |
For the year ended December 31, 2021
|
| |||||||||||||||||||||
| | |
Specialty Benefits |
| |
Life Insurance |
| ||||||||||||||||||
| | |
Individual disability |
| |
Universal life |
| |
Term life |
| |
Participating life |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Balance at beginning of period |
| | | $ | 529.8 | | | | | $ | 1,608.3 | | | | | $ | 607.9 | | | | | $ | 111.9 | | |
Costs deferred |
| | | | 89.8 | | | | | | 84.3 | | | | | | 126.5 | | | | | | 1.9 | | |
Amortized to expense |
| | | | (38.9) | | | | | | (96.4) | | | | | | (55.5) | | | | | | (11.5) | | |
Balance at end of period |
| | | $ | 580.7 | | | | | $ | 1,596.2 | | | | | $ | 678.9 | | | | | $ | 102.3 | | |
| | |
Balance as of December 31, 2020 |
| |
Adjustment for reversal of unrealized gain from AOCI(1) |
| |
Balance as of January 1, 2021(2) |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Benefits and Protection – Life Insurance: | | | | | | | | | | | | | | | | | | | |
Universal life |
| | | $ | 335.6 | | | | | $ | 48.8 | | | | | $ | 384.4 | | |
Total |
| | | $ | 335.6 | | | | | $ | 48.8 | | | | | $ | 384.4 | | |
| | |
For the year ended
December 31, 2021 |
| |||
| | |
(in millions) |
| |||
Balance at beginning of period |
| | | $ | 384.4 | | |
Deferrals |
| | | | 66.1 | | |
Revenue recognized |
| | | | (25.2) | | |
Balance at end of period |
| | | $ | 425.3 | | |
| | |
Balance as of
December 31, 2020 |
| |
Adjustment for reversal of unrealized loss from AOCI(1) |
| |
Adjustment
under the modified retrospective approach(2) |
| |
Effect of remeasurement of the liability at the current discount rate(3) |
| |
Balance as of January 1, 202(4) |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Retirement and Income Solutions: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Pension risk transfer |
| | | $ | 21,982.8 | | | | | $ | (947.0) | | | | | $ | — | | | | | $ | 4,827.9 | | | | | $ | 25,863.7 | | |
Individual fixed income annuities |
| | | | 6,147.2 | | | | | | (215.0) | | | | | | 0.1 | | | | | | 1,213.5 | | | | | | 7,145.8 | | |
Total Retirement and Income Solutions
|
| | | | 28,130.0 | | | | | | (1,162.0) | | | | | | 0.1 | | | | | | 6,041.4 | | | | | | 33,009.5 | | |
Benefits and Protection: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Specialty Benefits: |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Individual disability |
| | | | 2,173.8 | | | | | | (168.7) | | | | | | 2.4 | | | | | | 493.4 | | | | | | 2,500.9 | | |
Life Insurance: |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Term life |
| | | | 834.5 | | | | | | — | | | | | | 7.0 | | | | | | 318.8 | | | | | | 1,160.3 | | |
Total Benefits and Protection |
| | | | 3,008.3 | | | | | | (168.7) | | | | | | 9.4 | | | | | | 812.2 | | | | | | 3,661.2 | | |
Corporate: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Long-term care insurance |
| | | | 134.1 | | | | | | — | | | | | | 30.0 | | | | | | 93.5 | | | | | | 257.6 | | |
Total |
| | | $ | 31,272.4 | | | | | $ | (1,330.7) | | | | | $ | 39.5 | | | | | $ | 6,947.1 | | | | | $ | 36,928.3 | | |
| | |
For the year ended December 31, 2021
|
| |||||||||
| | |
Pension risk transfer |
| |
Individual fixed income annuities |
| ||||||
| | |
(in millions) |
| |||||||||
Present value of expected future policy benefit payments | | | | | | | | | | | | | |
Balance at beginning of period |
| | | $ | 25,863.7 | | | | | $ | 7,145.8 | | |
Effect of changes in discount rate assumptions at beginning of period
|
| | | | (4,827.9) | | | | | | (1,213.5) | | |
Balance at beginning of period at original discount rate
|
| | | | 21,035.8 | | | | | | 5,932.3 | | |
Effect of actual variances from expected experience
|
| | | | (2.4) | | | | | | (1.3) | | |
Adjusted beginning of period balance at original discount rate
|
| | | | 21,033.4 | | | | | | 5,931.0 | | |
Interest accrual |
| | | | 916.7 | | | | | | 240.5 | | |
Benefit payments |
| | | | (1,772.5) | | | | | | (532.0) | | |
Issuances |
| | | | 1,801.7 | | | | | | 82.9 | | |
Balance at end of period at original discount rate
|
| | | | 21,979.3 | | | | | | 5,722.4 | | |
Effect of changes in discount rate assumptions at end of period
|
| | | | 3,386.5 | | | | | | 812.6 | | |
Future policy benefits |
| | | $ | 25,365.8 | | | | | $ | 6,535.0 | | |
| | |
For the year ended December 31, 2021
|
| |||||||||||||||
| | |
Benefits and Protection |
| |
Corporate |
| ||||||||||||
| | |
Specialty Benefits |
| |
Life Insurance |
| | | | | | | ||||||
| | |
Individual disability |
| |
Term life |
| |
Long-term care insurance |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Present value of expected net premiums | | | | | | | | | | | | | | | | | | | |
Balance at beginning of period |
| | | $ | 3,148.3 | | | | | $ | 3,799.0 | | | | | $ | 66.7 | | |
Effect of changes in discount rate assumptions at beginning of period
|
| | | | (340.7) | | | | | | (861.1) | | | | | | (17.6) | | |
Balance at beginning of period at original discount rate
|
| | | | 2,807.6 | | | | | | 2,937.9 | | | | | | 49.1 | | |
Effect of changes in cash flow assumptions |
| | | | — | | | | | | — | | | | | | 2.8 | | |
Effect of actual variances from expected experience
|
| | | | 122.0 | | | | | | 211.4 | | | | | | (0.8) | | |
Adjusted beginning of period balance at original discount rate
|
| | | | 2,929.6 | | | | | | 3,149.3 | | | | | | 51.1 | | |
Interest accrual |
| | | | 95.4 | | | | | | 151.1 | | | | | | 2.9 | | |
Net premiums collected |
| | | | (280.4) | | | | | | (315.0) | | | | | | (5.2) | | |
Issuances |
| | | | 206.4 | | | | | | 518.2 | | | | | | — | | |
Balance at end of period at original discount rate
|
| | | | 2,951.0 | | | | | | 3,503.6 | | | | | | 48.8 | | |
Effect of changes in discount rate assumptions at end of period
|
| | | | 198.9 | | | | | | 690.1 | | | | | | 14.0 | | |
Balance at end of period |
| | | $ | 3,149.9 | | | | | $ | 4,193.7 | | | | | $ | 62.8 | | |
Present value of expected future policy benefit payments | | | | | | | | | | | | | | | | | | | |
Balance at beginning of period |
| | | $ | 5,649.2 | | | | | $ | 4,959.3 | | | | | $ | 324.3 | | |
| | |
For the year ended December 31, 2021
|
| |||||||||||||||
| | |
Benefits and Protection |
| |
Corporate |
| ||||||||||||
| | |
Specialty Benefits |
| |
Life Insurance |
| | | | | | | ||||||
| | |
Individual disability |
| |
Term life |
| |
Long-term care insurance |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Effect of changes in discount rate assumptions at beginning of period
|
| | | | (834.1) | | | | | | (1,179.9) | | | | | | (111.1) | | |
Balance at beginning of period at original discount rate
|
| | | | 4,815.1 | | | | | | 3,779.4 | | | | | | 213.2 | | |
Effect of changes in cash flow assumptions |
| | | | — | | | | | | — | | | | | | 0.5 | | |
Effect of actual variances from expected experience
|
| | | | 118.8 | | | | | | 216.0 | | | | | | (4.6) | | |
Adjusted beginning of period balance at original discount rate
|
| | | | 4,933.9 | | | | | | 3,995.4 | | | | | | 209.1 | | |
Interest accrual |
| | | | 181.0 | | | | | | 194.3 | | | | | | 12.4 | | |
Benefit payments |
| | | | (179.7) | | | | | | (335.7) | | | | | | (13.5) | | |
Issuances |
| | | | 212.1 | | | | | | 543.4 | | | | | | — | | |
Balance at end of period at original discount rate
|
| | | | 5,147.3 | | | | | | 4,397.4 | | | | | | 208.0 | | |
Effect of changes in discount rate assumptions at end of period
|
| | | | 501.0 | | | | | | 913.9 | | | | | | 89.5 | | |
Balance at end of period |
| | | $ | 5,648.3 | | | | | $ | 5,311.3 | | | | | $ | 297.5 | | |
Future policy benefits(1)
|
| | | $ | 2,498.4 | | | | | $ | 1,117.6 | | | | | $ | 234.7 | | |
Reinsurance impact |
| | | | (549.9) | | | | | | (0.1) | | | | | | (234.7) | | |
Future policy benefits after reinsurance |
| | | $ | 1,948.5 | | | | | $ | 1,117.5 | | | | | $ | — | | |
|
| | |
For the year ended,
December 31, 2021 |
| |||
| | |
(in millions) |
| |||
Balance at beginning of period |
| | | $ | 3,463.9 | | |
Effect of changes in cash flow assumptions |
| | | | (11.1) | | |
Effect of actual variances from expected experience
|
| | | | 18.1 | | |
Interest accrual |
| | | | 158.3 | | |
Net assessments collected |
| | | | 324.7 | | |
Benefit payments |
| | | | (83.1) | | |
Other(1)
|
| | | | (56.6) | | |
Balance at end of period |
| | | $ | 3,814.2 | | |
| | |
Asset (liability) balance as of December 31, 2020(1) |
| |
Cumulative effect of changes in the nonperformance risk between the original contract issue date and the transition date(2) |
| |
Retained earnings adjustment for the valuation of contracts as MRBs (exclusive of nonperformance risk changes)(3) |
| |
Asset (liability) balance as of January 1, 2021(4) |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Retirement and Income Solutions: | | | | | | | | | | | | | | | | | | | | | | | | | |
Individual variable annuities |
| | | $ | (348.6) | | | | | $ | (4.8) | | | | | $ | (237.9) | | | | | $ | (591.3) | | |
Total |
| | | $ | (348.6) | | | | | $ | (4.8) | | | | | $ | (237.9) | | | | | $ | (591.3) | | |
| | |
For the year ended
December 31, 2021 |
| |||
| | |
(in millions) |
| |||
Balance at beginning of period |
| | | $ | (591.3) | | |
Effect of changes in nonperformance risk at beginning of period
|
| | | | 106.7 | | |
Adjusted balance at beginning of period |
| | | | (484.6) | | |
Effect of: | | | | | | | |
Interest accrual and expected policyholder behavior
|
| | | | (120.7) | | |
Benefit payments |
| | | | 0.4 | | |
Changes in interest rates |
| | | | 154.3 | | |
Changes in equity markets |
| | | | 106.4 | | |
Changes in equity index volatility |
| | | | 15.1 | | |
Actual policyholder behavior different from expected behavior
|
| | | | 2.3 | | |
Changes in future expected policyholder behavior |
| | | | (96.6) | | |
| | |
For the year ended
December 31, 2021 |
| |||
| | |
(in millions) |
| |||
Changes in other future expected assumptions |
| | | | 38.2 | | |
Adjusted balance at end of period |
| | | | (385.2) | | |
Effect of changes in nonperformance risk at end of period
|
| | | | (109.5) | | |
Balance at end of period |
| | | $ | (494.7) | | |
|
| | |
For the year ended
December 31, 2022 |
| |||
| | |
(in millions) |
| |||
Increase to income before taxes | | | | | | | |
Cost of reinsurance amortization(1)
|
| | | $ | 33.7 | | |
Change in additional liability for certain benefit features(1)
|
| | | | 167.4 | | |
Total increase to income before income taxes |
| | | | 201.1 | | |
Increase to pre-tax other comprehensive income | | | | | | | |
Cost of reinsurance unrealized losses |
| | | | (2.1) | | |
Change in additional liability for certain benefit features unrealized
gains |
| | | | 7.8 | | |
Total increase to pre-tax other comprehensive income
|
| | | | 5.7 | | |
Total increase to pre-tax comprehensive income |
| | | $ | 206.8 | | |
| | |
Retirement and Income Solutions |
| |
Benefits and Protection |
| |
Corporate |
| |
Consolidated |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Balance as of January 1, 2022
|
| | | $ | 18.8 | | | | | $ | 56.3 | | | | | $ | — | | | | | $ | 75.1 | | |
Impairment(1)
|
| | | | — | | | | | | (26.8) | | | | | | — | | | | | | (26.8) | | |
Balance as of December 31, 2022
|
| | | $ | 18.8 | | | | | $ | 29.5 | | | | | $ | — | | | | | $ | 48.3 | | |
Balance as of December 31, 2023 |
| | | $ | 18.8 | | | | | $ | 29.5 | | | | | $ | — | | | | | $ | 48.3 | | |
| | |
December 31, |
| |||||||||
| | |
2023 |
| |
2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Gross carrying value |
| | |
$ |
34.9 |
| | | | $ | 34.9 | | |
Accumulated amortization |
| | |
|
24.3 |
| | | | | 23.3 | | |
Net carrying value |
| | |
$ |
10.6 |
| | | | $ | 11.6 | | |
| Year ending December 31: | | | | | | | |
|
2024 |
| | |
$ |
1.0 |
| |
|
2025 |
| | |
|
1.0 |
| |
|
2026 |
| | |
|
1.0 |
| |
|
2027 |
| | |
|
1.0 |
| |
|
2028 |
| | |
|
1.0 |
| |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||||||||||||||
| | |
Total assets |
| |
Total liabilities |
| |
Total assets |
| |
Total liabilities |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Real estate(1)
|
| | |
$ |
829.1 |
| | | |
$ |
63.0 |
| | | | $ | 689.6 | | | | | $ | 42.2 | | |
Residential mortgage loans(2)
|
| | |
|
874.7 |
| | | |
|
20.9 |
| | | | | 1,182.6 | | | | | | 41.8 | | |
Asset-backed limited partnership(3)
|
| | |
|
249.3 |
| | | |
|
— |
| | | | | — | | | | | | — | | |
Total |
| | |
$ |
1,953.1 |
| | | |
$ |
83.9 |
| | | | $ | 1,872.2 | | | | | $ | 84.0 | | |
| | |
Asset carrying value |
| |
Maximum exposure to loss(1) |
| ||||||
| | |
(in millions) |
| |||||||||
December 31, 2023 | | | | | | | | | | | | | |
Fixed maturities, available-for-sale: | | | | | | | | | | | | | |
Corporate |
| | | $ | 364.9 | | | | | $ | 369.8 | | |
Residential mortgage-backed pass-through securities
|
| | |
|
2,824.9 |
| | | |
|
2,959.8 |
| |
Commercial mortgage-backed securities |
| | |
|
4,743.4 |
| | | |
|
5,391.6 |
| |
Collateralized debt obligations(2)
|
| | |
|
5,397.8 |
| | | |
|
5,459.0 |
| |
Other debt obligations |
| | |
|
7,879.4 |
| | | |
|
8,976.2 |
| |
Fixed maturities, trading: | | | | | | | | | | | | | |
Residential mortgage-backed pass-through securities
|
| | |
|
10.4 |
| | | |
|
10.4 |
| |
Commercial mortgage-backed securities |
| | |
|
53.1 |
| | | |
|
53.1 |
| |
Collateralized debt obligations(2)
|
| | |
|
2.0 |
| | | |
|
2.0 |
| |
Other debt obligations |
| | |
|
228.4 |
| | | |
|
228.4 |
| |
Other investments: | | | | | | | | | | | | | |
Other limited partnership and fund interests |
| | |
|
1,661.2 |
| | | |
|
2,954.3 |
| |
December 31, 2022 | | | | | | | | | | | | | |
Fixed maturities, available-for-sale: | | | | | | | | | | | | | |
Corporate |
| | | $ | 111.8 | | | | | $ | 127.2 | | |
Residential mortgage-backed pass-through securities
|
| | | | 2,170.9 | | | | | | 2,362.1 | | |
Commercial mortgage-backed securities |
| | | | 4,827.5 | | | | | | 5,529.7 | | |
Collateralized debt obligations(2)
|
| | | | 4,560.2 | | | | | | 4,813.4 | | |
Other debt obligations |
| | | | 6,483.3 | | | | | | 7,537.2 | | |
Fixed maturities, trading: | | | | | | | | | | | | | |
Residential mortgage-backed pass-through securities
|
| | | | 5.4 | | | | | | 5.4 | | |
Commercial mortgage-backed securities |
| | | | 83.4 | | | | | | 83.4 | | |
Collateralized debt obligations(2)
|
| | | | 5.7 | | | | | | 5.7 | | |
Other debt obligations |
| | | | 80.0 | | | | | | 80.0 | | |
Other investments: | | | | | | | | | | | | | |
Other limited partnership and fund interests |
| | | | 1,088.5 | | | | | | 1,765.4 | | |
| | |
Amortized cost(1) |
| |
Gross unrealized gains |
| |
Gross unrealized losses |
| |
Allowance for credit loss |
| |
Fair value |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
December 31, 2023 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Fixed maturities, available-for-sale: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
U.S. government and agencies |
| | | $ | 1,719.1 | | | | | $ | 19.3 | | | | | $ | 233.5 | | | | | $ | — | | | | | $ | 1,504.9 | | |
Non-U.S. governments |
| | |
|
522.2 |
| | | |
|
16.9 |
| | | |
|
59.2 |
| | | |
|
— |
| | | |
|
479.9 |
| |
States and political subdivisions |
| | |
|
7,493.9 |
| | | |
|
45.4 |
| | | |
|
926.0 |
| | | |
|
— |
| | | |
|
6,613.3 |
| |
Corporate |
| | |
|
35,707.6 |
| | | |
|
433.7 |
| | | |
|
3,059.9 |
| | | |
|
1.9 |
| | | |
|
33,079.5 |
| |
Residential mortgage-backed pass-through securities
|
| | |
|
2,959.8 |
| | | |
|
25.7 |
| | | |
|
160.6 |
| | | |
|
— |
| | | |
|
2,824.9 |
| |
Commercial mortgage-backed securities |
| | |
|
5,391.6 |
| | | |
|
1.6 |
| | | |
|
649.8 |
| | | |
|
— |
| | | |
|
4,743.4 |
| |
Collateralized debt obligations(2)
|
| | |
|
5,379.6 |
| | | |
|
45.0 |
| | | |
|
26.8 |
| | | |
|
— |
| | | |
|
5,397.8 |
| |
Other debt obligations |
| | |
|
8,447.2 |
| | | |
|
42.2 |
| | | |
|
602.8 |
| | | |
|
0.1 |
| | | |
|
7,886.5 |
| |
Total fixed maturities, available-for-sale |
| | |
$ |
67,621.0 |
| | | |
$ |
629.8 |
| | | |
$ |
5,718.6 |
| | | |
$ |
2.0 |
| | | |
$ |
62,530.2 |
| |
December 31, 2022 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Fixed maturities, available-for-sale: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
U.S. government and agencies |
| | | $ | 1,964.6 | | | | | $ | 0.1 | | | | | $ | 248.8 | | | | | $ | — | | | | | $ | 1,715.9 | | |
Non-U.S. governments |
| | | | 565.3 | | | | | | 18.9 | | | | | | 63.8 | | | | | | — | | | | | | 520.4 | | |
States and political subdivisions |
| | | | 7,280.1 | | | | | | 14.8 | | | | | | 1,126.6 | | | | | | — | | | | | | 6,168.3 | | |
Corporate |
| | | | 37,495.4 | | | | | | 219.5 | | | | | | 4,530.1 | | | | | | — | | | | | | 33,184.8 | | |
Residential mortgage-backed pass-through securities
|
| | | | 2,362.1 | | | | | | 6.0 | | | | | | 197.2 | | | | | | — | | | | | | 2,170.9 | | |
Commercial mortgage-backed securities |
| | | | 5,529.7 | | | | | | 0.9 | | | | | | 703.1 | | | | | | — | | | | | | 4,827.5 | | |
Collateralized debt obligations(2)
|
| | | | 4,698.9 | | | | | | 4.5 | | | | | | 143.2 | | | | | | — | | | | | | 4,560.2 | | |
Other debt obligations |
| | | | 7,207.8 | | | | | | 6.0 | | | | | | 730.4 | | | | | | 0.1 | | | | | | 6,483.3 | | |
Total fixed maturities, available-for-sale |
| | | $ | 67,103.9 | | | | | $ | 270.7 | | | | | $ | 7,743.2 | | | | | $ | 0.1 | | | | | $ | 59,631.3 | | |
| | |
Amortized cost |
| |
Fair value |
| ||||||
| | |
(in millions) |
| |||||||||
Due in one year or less |
| | | $ | 1,298.4 | | | | | $ | 1,282.2 | | |
Due after one year through five years |
| | |
|
8,486.2 |
| | | |
|
8,285.1 |
| |
Due after five years through ten years
|
| | |
|
9,209.3 |
| | | |
|
8,675.0 |
| |
Due after ten years |
| | |
|
26,448.9 |
| | | |
|
23,435.3 |
| |
Subtotal |
| | |
|
45,442.8 |
| | | |
|
41,677.6 |
| |
Mortgage-backed and other asset-backed securities
|
| | |
|
22,178.2 |
| | | |
|
20,852.6 |
| |
Total |
| | |
$ |
67,621.0 |
| | | |
$ |
62,530.2 |
| |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Fixed maturities, available-for-sale |
| | |
$ |
2,230.0 |
| | | | $ | 1,734.4 | | | | | $ | 2,483.8 | | |
Fixed maturities, trading |
| | |
|
32.4 |
| | | | | 19.6 | | | | | | 8.7 | | |
Equity securities |
| | |
|
3.5 |
| | | | | (35.4) | | | | | | 1.7 | | |
Mortgage loans |
| | |
|
661.5 |
| | | | | 619.9 | | | | | | 692.4 | | |
Real estate |
| | |
|
177.2 |
| | | | | 276.2 | | | | | | 194.4 | | |
Policy loans |
| | |
|
39.1 |
| | | | | 34.4 | | | | | | 36.2 | | |
Cash and cash equivalents |
| | |
|
148.2 |
| | | | | 37.6 | | | | | | 1.7 | | |
Derivatives |
| | |
|
38.6 |
| | | | | 171.3 | | | | | | 28.2 | | |
Other |
| | |
|
231.6 |
| | | | | 194.8 | | | | | | 362.0 | | |
Total |
| | |
|
3,562.1 |
| | | | | 3,052.8 | | | | | | 3,809.1 | | |
Investment expenses |
| | |
|
(276.6) |
| | | | | (200.4) | | | | | | (175.4) | | |
Net investment income |
| | |
$ |
3,285.5 |
| | | | $ | 2,852.4 | | | | | $ | 3,633.7 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Fixed maturities, available-for-sale: | | | | | | | | | | | | | | | | | | | |
Gross gains |
| | |
$ |
46.8 |
| | | | $ | 38.9 | | | | | $ | 50.4 | | |
Gross losses |
| | |
|
(134.8) |
| | | | | (120.7) | | | | | | (26.9) | | |
Net credit losses(1)
|
| | |
|
(31.3) |
| | | | | (11.5) | | | | | | (34.5) | | |
Hedging, net |
| | |
|
2.2 |
| | | | | (0.7) | | | | | | (9.5) | | |
Fixed maturities, trading(2)
|
| | |
|
0.7 |
| | | | | (8.6) | | | | | | (6.6) | | |
Equity securities(3)
|
| | |
|
0.7 |
| | | | | (7.4) | | | | | | (0.5) | | |
Mortgage loans(4)
|
| | |
|
(133.8) |
| | | | | (74.1) | | | | | | 5.3 | | |
Derivatives |
| | |
|
(5.3) |
| | | | | 154.7 | | | | | | 126.4 | | |
Other |
| | |
|
100.1 |
| | | | | 112.7 | | | | | | 8.0 | | |
Net realized capital gains (losses) |
| | |
$ |
(154.7) |
| | | | $ | 83.3 | | | | | $ | 112.1 | | |
| | |
For the year ended December 31, 2023
|
| |||||||||||||||||||||||||||||||||||||||||||||||||||
| | |
U.S. government and agencies |
| |
Non-U.S. governments |
| |
States and political subdivisions |
| |
Corporate |
| |
Residential mortgage- backed pass- through securities |
| |
Commercial mortgage- backed securities |
| |
Collateralized debt obligations(1) |
| |
Other debt obligations |
| |
Total |
| |||||||||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance |
| | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 0.1 | | | | | $ | 0.1 | | |
Additions for credit losses not previously recorded
|
| | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
5.7 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
5.7 |
| |
Write-offs charged against allowance
|
| | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
(3.8) |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
(3.8) |
| |
Ending balance |
| | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 1.9 | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 0.1 | | | | | $ | 2.0 | | |
Accrued interest written off
to net investment income |
| | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 0.1 | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 0.1 | | |
| | |
For the year ended December 31, 2022
|
| |||||||||||||||||||||||||||||||||||||||||||||||||||
| | |
U.S. government and agencies |
| |
Non-U.S. governments |
| |
States and political subdivisions |
| |
Corporate |
| |
Residential mortgage- backed pass- through securities |
| |
Commercial mortgage- backed securities |
| |
Collateralized debt obligations(1) |
| |
Other debt obligations |
| |
Total |
| |||||||||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance |
| | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 4.5 | | | | | $ | — | | | | | $ | 0.3 | | | | | $ | — | | | | | $ | 0.1 | | | | | $ | 4.9 | | |
Reductions for securities sold during the period
|
| | | | — | | | | | | — | | | | | | — | | | | | | (8.7) | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | (8.7) | | |
Additional increases (decreases) for credit losses on securities with an allowance recorded in the previous period |
| | | | — | | | | | | — | | | | | | — | | | | | | 4.2 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 4.2 | | |
Write-offs charged against allowance
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | (0.3) | | | | | | — | | | | | | — | | | | | | (0.3) | | |
Ending balance |
| | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 0.1 | | | | | $ | 0.1 | | |
| | |
For the year ended December 31, 2021
|
| |||||||||||||||||||||||||||||||||||||||||||||||||||
| | |
U.S. government and agencies |
| |
Non-U.S. governments |
| |
States and political subdivisions |
| |
Corporate |
| |
Residential mortgage- backed pass- through securities |
| |
Commercial mortgage- backed securities |
| |
Collateralized debt obligations(1) |
| |
Other debt obligations |
| |
Total |
| |||||||||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning balance |
| | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 4.3 | | | | | $ | 2.2 | | | | | $ | — | | | | | $ | 6.5 | | |
Additions for credit losses not previously recorded
|
| | | | — | | | | | | — | | | | | | — | | | | | | 16.9 | | | | | | — | | | | | | 0.4 | | | | | | — | | | | | | 0.1 | | | | | | 17.4 | | |
Reductions for securities sold during the period
|
| | | | — | | | | | | — | | | | | | — | | | | | | (12.4) | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | (12.4) | | |
Additional increases (decreases) for credit losses on securities with an allowance recorded in the previous period |
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 2.4 | | | | | | 0.4 | | | | | | — | | | | | | 2.8 | | |
Write-offs charged against allowance
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | (6.8) | | | | | | (2.6) | | | | | | — | | | | | | (9.4) | | |
Ending balance |
| | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 4.5 | | | | | $ | — | | | | | $ | 0.3 | | | | | $ | — | | | | | $ | 0.1 | | | | | $ | 4.9 | | |
Accrued interest written off to net investment
income |
| | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 0.2 | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 0.2 | | |
| | |
December 31, 2023 |
| |||||||||||||||||||||||||||||||||
| | |
Less than twelve months |
| |
Greater than or
equal to twelve months |
| |
Total |
| |||||||||||||||||||||||||||
| | |
Fair value |
| |
Gross unrealized losses |
| |
Fair value |
| |
Gross unrealized losses |
| |
Fair value |
| |
Gross unrealized losses |
| ||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||
Fixed maturities, available-for-sale(1): | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
U.S. government and agencies |
| | | $ | 315.3 | | | | | $ | 3.1 | | | | | $ | 974.2 | | | | | $ | 230.5 | | | | | $ | 1,289.5 | | | | | $ | 233.6 | | |
Non-U.S. governments |
| | |
|
41.9 |
| | | |
|
1.7 |
| | | |
|
307.9 |
| | | |
|
57.5 |
| | | |
|
349.8 |
| | | |
|
59.2 |
| |
States and political subdivisions |
| | |
|
596.6 |
| | | |
|
19.0 |
| | | |
|
5,011.7 |
| | | |
|
906.9 |
| | | |
|
5,608.3 |
| | | |
|
925.9 |
| |
Corporate |
| | |
|
2,540.5 |
| | | |
|
89.7 |
| | | |
|
22,305.9 |
| | | |
|
2,968.9 |
| | | |
|
24,846.4 |
| | | |
|
3,058.6 |
| |
Residential mortgage-backed pass- through securities
|
| | |
|
472.9 |
| | | |
|
2.9 |
| | | |
|
1,275.6 |
| | | |
|
157.7 |
| | | |
|
1,748.5 |
| | | |
|
160.6 |
| |
Commercial mortgage-backed securities |
| | |
|
280.3 |
| | | |
|
4.1 |
| | | |
|
4,160.3 |
| | | |
|
645.6 |
| | | |
|
4,440.6 |
| | | |
|
649.7 |
| |
Collateralized debt obligations(2)
|
| | |
|
404.8 |
| | | |
|
1.5 |
| | | |
|
2,296.3 |
| | | |
|
25.3 |
| | | |
|
2,701.1 |
| | | |
|
26.8 |
| |
Other debt obligations |
| | |
|
1,183.7 |
| | | |
|
18.5 |
| | | |
|
4,386.0 |
| | | |
|
584.2 |
| | | |
|
5,569.7 |
| | | |
|
602.7 |
| |
Total fixed maturities, available-for-sale |
| | |
$ |
5,836.0 |
| | | |
$ |
140.5 |
| | | |
$ |
40,717.9 |
| | | |
$ |
5,576.6 |
| | | |
$ |
46,553.9 |
| | | |
$ |
5,717.1 |
| |
| | |
December 31, 2022 |
| |||||||||||||||||||||||||||||||||
| | |
Less than twelve months |
| |
Greater than or
equal to twelve months |
| |
Total |
| |||||||||||||||||||||||||||
| | |
Fair value |
| |
Gross unrealized losses |
| |
Fair value |
| |
Gross unrealized losses |
| |
Fair value |
| |
Gross unrealized losses |
| ||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||
Fixed maturities, available-for-sale(1): | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
U.S. government and agencies |
| | | $ | 1,505.5 | | | | | $ | 207.0 | | | | | $ | 180.4 | | | | | $ | 41.8 | | | | | $ | 1,685.9 | | | | | $ | 248.8 | | |
Non-U.S. governments |
| | | | 373.0 | | | | | | 56.7 | | | | | | 19.9 | | | | | | 7.1 | | | | | | 392.9 | | | | | | 63.8 | | |
States and political subdivisions |
| | | | 5,243.6 | | | | | | 999.7 | | | | | | 387.8 | | | | | | 126.9 | | | | | | 5,631.4 | | | | | | 1,126.6 | | |
Corporate |
| | | | 26,668.2 | | | | | | 3,875.1 | | | | | | 2,625.4 | | | | | | 654.9 | | | | | | 29,293.6 | | | | | | 4,530.0 | | |
Residential mortgage-backed pass- through securities
|
| | | | 1,201.7 | | | | | | 97.6 | | | | | | 574.8 | | | | | | 104.7 | | | | | | 1,776.5 | | | | | | 202.3 | | |
Commercial mortgage-backed securities |
| | | | 3,622.3 | | | | | | 480.7 | | | | | | 1,113.9 | | | | | | 220.9 | | | | | | 4,736.2 | | | | | | 701.6 | | |
Collateralized debt obligations(2)
|
| | | | 2,830.1 | | | | | | 88.8 | | | | | | 1,327.2 | | | | | | 54.4 | | | | | | 4,157.3 | | | | | | 143.2 | | |
Other debt obligations |
| | | | 3,412.6 | | | | | | 290.7 | | | | | | 2,266.7 | | | | | | 434.4 | | | | | | 5,679.3 | | | | | | 725.1 | | |
Total fixed maturities, available-for-sale |
| | | $ | 44,857.0 | | | | | $ | 6,096.3 | | | | | $ | 8,496.1 | | | | | $ | 1,645.1 | | | | | $ | 53,353.1 | | | | | $ | 7,741.4 | | |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Net unrealized losses on fixed maturities, available-for-sale(1)
|
| | |
$ |
(5,128.4) |
| | | | $ | (7,552.6) | | |
Net unrealized gains (losses) on derivative instruments
|
| | |
|
(1.6) |
| | | | | 50.7 | | |
Adjustments for assumed changes in amortization patterns
|
| | |
|
(5.2) |
| | | | | (1.8) | | |
Adjustments for assumed changes in policyholder liabilities
|
| | |
|
1.4 |
| | | | | 0.5 | | |
Net unrealized gains on other investments and noncontrolling
interest adjustments |
| | |
|
2.9 |
| | | | | 2.9 | | |
Provision for deferred income tax benefits |
| | |
|
1,099.6 |
| | | | | 1,601.5 | | |
Net unrealized losses on available-for-sale securities
and derivative instruments |
| | |
$ |
(4,031.3) |
| | | | $ | (5,898.8) | | |
| | |
December 31, 2023 |
| |||||||||||||||||||||||||||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |
2020 |
| |
2019 |
| |
Prior |
| |
Total |
| |||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||||||||
Commercial mortgage loans: |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
A- and above |
| | |
$ |
667.4 |
| | | |
$ |
1,214.8 |
| | | |
$ |
2,271.5 |
| | | |
$ |
1,535.8 |
| | | |
$ |
1,921.0 |
| | | |
$ |
5,447.2 |
| | | |
$ |
13,057.7 |
| |
BBB+ thru BBB- |
| | |
|
282.6 |
| | | |
|
356.8 |
| | | |
|
343.0 |
| | | |
|
203.3 |
| | | |
|
309.9 |
| | | |
|
886.9 |
| | | |
|
2,382.5 |
| |
BB+ thru BB- |
| | |
|
110.6 |
| | | |
|
142.1 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
35.3 |
| | | |
|
234.6 |
| | | |
|
522.6 |
| |
B+ and below |
| | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
83.5 |
| | | |
|
53.9 |
| | | |
|
137.4 |
| |
Total |
| | |
$ |
1,060.6 |
| | | |
$ |
1,713.7 |
| | | |
$ |
2,614.5 |
| | | |
$ |
1,739.1 |
| | | |
$ |
2,349.7 |
| | | |
$ |
6,622.6 |
| | | |
$ |
16,100.2 |
| |
Residential mortgage loans: |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Performing |
| | | $ | 456.3 | | | | | $ | 1,023.4 | | | | | $ | 1,272.5 | | | | | $ | 150.4 | | | | | $ | 86.8 | | | | | $ | 253.6 | | | | | $ | 3,243.0 | | |
Non-performing |
| | |
|
— |
| | | |
|
2.1 |
| | | |
|
4.0 |
| | | |
|
— |
| | | |
|
1.8 |
| | | |
|
2.3 |
| | | |
|
10.2 |
| |
Total |
| | | $ | 456.3 | | | | | $ | 1,025.5 | | | | | $ | 1,276.5 | | | | | $ | 150.4 | | | | | $ | 88.6 | | | | | $ | 255.9 | | | | | $ | 3,253.2 | | |
Other loans: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Performing |
| | | $ | 168.5 | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 168.5 | | |
Non-performing |
| | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
0.1 |
| | | |
|
0.1 |
| |
Total |
| | | $ | 168.5 | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 0.1 | | | | | $ | 168.6 | | |
Reinsurance recoverable and deposit receivable
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ |
24,427.9 |
| |
| | |
December 31, 2022 |
| |||||||||||||||||||||||||||||||||||||||
| | |
2022 |
| |
2021 |
| |
2020 |
| |
2019 |
| |
2018 |
| |
Prior |
| |
Total |
| |||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||||||||
Commercial mortgage loans: |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
A- and above |
| | | $ | 995.9 | | | | | $ | 2,182.5 | | | | | $ | 1,753.8 | | | | | $ | 2,177.2 | | | | | $ | 2,130.8 | | | | | $ | 4,555.1 | | | | | $ | 13,795.3 | | |
BBB+ thru BBB- |
| | | | 371.8 | | | | | | 412.8 | | | | | | 149.7 | | | | | | 391.6 | | | | | | 222.6 | | | | | | 676.4 | | | | | | 2,224.9 | | |
BB+ thru BB- |
| | | | 104.0 | | | | | | — | | | | | | — | | | | | | — | | | | | | 8.9 | | | | | | 66.5 | | | | | | 179.4 | | |
B+ and below |
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 8.3 | | | | | | 35.5 | | | | | | 43.8 | | |
Total |
| | | $ | 1,471.7 | | | | | $ | 2,595.3 | | | | | $ | 1,903.5 | | | | | $ | 2,568.8 | | | | | $ | 2,370.6 | | | | | $ | 5,333.5 | | | | | $ | 16,243.4 | | |
Residential mortgage loans: |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Performing |
| | | $ | 1,101.4 | | | | | $ | 1,669.1 | | | | | $ | 364.5 | | | | | $ | 99.2 | | | | | $ | 51.2 | | | | | $ | 253.6 | | | | | $ | 3,539.0 | | |
Non-performing |
| | | | 8.0 | | | | | | 4.7 | | | | | | 1.8 | | | | | | 1.0 | | | | | | 0.6 | | | | | | 4.4 | | | | | | 20.5 | | |
Total |
| | | $ | 1,109.4 | | | | | $ | 1,673.8 | | | | | $ | 366.3 | | | | | $ | 100.2 | | | | | $ | 51.8 | | | | | $ | 258.0 | | | | | $ | 3,559.5 | | |
Reinsurance recoverable and deposit receivable
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | $ | 21,445.0 | | |
| | |
December 31, 2023 |
| |||||||||||||||
| | |
Beginning amortized cost on nonaccrual status |
| |
Ending amortized cost on nonaccrual status |
| |
Amortized cost of nonaccrual assets without a valuation allowance |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Commercial mortgage loans |
| | |
$ |
43.8 |
| | | |
$ |
53.9 |
| | | |
$ |
— |
| |
Residential mortgage loans |
| | |
|
16.0 |
| | | |
|
8.2 |
| | | |
|
0.5 |
| |
Total |
| | |
$ |
59.8 |
| | | |
$ |
62.1 |
| | | |
$ |
0.5 |
| |
| | |
December 31, 2022 |
| |||||||||||||||
| | |
Beginning amortized cost on nonaccrual status |
| |
Ending amortized cost on nonaccrual status |
| |
Amortized cost of nonaccrual assets without a valuation allowance |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Commercial mortgage loans |
| | | $ | 8.7 | | | | | $ | 43.8 | | | | | $ | — | | |
Residential mortgage loans |
| | | | 3.4 | | | | | | 16.0 | | | | | | 0.6 | | |
Total |
| | | $ | 12.1 | | | | | $ | 59.8 | | | | | $ | 0.6 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Commercial mortgage loans |
| | |
$ |
1.2 |
| | | | $ | 0.9 | | | | | $ | 0.5 | | |
Total |
| | |
$ |
1.2 |
| | | | $ | 0.9 | | | | | $ | 0.5 | | |
| | |
December 31, 2023 |
| |||||||||||||||||||||||||||||||||||||||
| | |
30 – 59 days
past due |
| |
60 – 89 days
past due |
| |
90 days or more past due |
| |
Total past due |
| |
Current |
| |
Total(1)
|
| |
90 days or more and accruing |
| |||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||||||||
Commercial mortgage loans
|
| | | $ | — | | | | | $ | — | | | | | $ | 7.9 | | | | | $ | 7.9 | | | | | $ | 16,092.3 | | | | | $ | 16,100.2 | | | | | $ | — | | |
Residential mortgage
loans |
| | |
|
8.5 |
| | | |
|
1.8 |
| | | |
|
8.7 |
| | | |
|
19.0 |
| | | |
|
3,234.2 |
| | | |
|
3,253.2 |
| | | |
|
2.0 |
| |
Other loans |
| | |
|
1.0 |
| | | |
|
0.5 |
| | | |
|
0.7 |
| | | |
|
2.2 |
| | | |
|
166.4 |
| | | |
|
168.6 |
| | | |
|
0.6 |
| |
Total |
| | |
$ |
9.5 |
| | | |
$ |
2.3 |
| | | |
$ |
17.3 |
| | | |
$ |
29.1 |
| | | |
$ |
19,492.9 |
| | | |
$ |
19,522.0 |
| | | |
$ |
2.6 |
| |
| | |
December 31, 2022 |
| |||||||||||||||||||||||||||||||||||||||
| | |
30 – 59 days
past due |
| |
60 – 89 days
past due |
| |
90 days or more past due |
| |
Total past due |
| |
Current |
| |
Total(1)
|
| |
90 days or more and accruing |
| |||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||||||||
Commercial mortgage loans |
| | | $ | — | | | | | $ | — | | | | | $ | 8.3 | | | | | $ | 8.3 | | | | | $ | 16,235.1 | | | | | $ | 16,243.4 | | | | | $ | — | | |
Residential mortgage
loans |
| | | | 35.9 | | | | | | 2.4 | | | | | | 12.4 | | | | | | 50.7 | | | | | | 3,508.8 | | | | | | 3,559.5 | | | | | | 4.4 | | |
Total |
| | | $ | 35.9 | | | | | $ | 2.4 | | | | | $ | 20.7 | | | | | $ | 59.0 | | | | | $ | 19,743.9 | | | | | $ | 19,802.9 | | | | | $ | 4.4 | | |
| | |
For the year ended December 31, 2023
|
| |||||||||||||||||||||
| | |
Commercial mortgage loans |
| |
Residential mortgage loans |
| |
Reinsurance recoverables |
| |
Total |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Beginning balance |
| | | $ | 75.5 | | | | | $ | 5.0 | | | | | $ | 2.7 | | | | | $ | 83.2 | | |
Provision |
| | |
|
50.6 |
| | | |
|
— |
| | | |
|
0.5 |
| | | |
|
51.1 |
| |
Charge-offs |
| | |
|
— |
| | | |
|
(0.4) |
| | | |
|
— |
| | | |
|
(0.4) |
| |
Recoveries |
| | |
|
— |
| | | |
|
1.5 |
| | | |
|
— |
| | | |
|
1.5 |
| |
Ending balance |
| | | $ | 126.1 | | | | | $ | 6.1 | | | | | $ | 3.2 | | | | | $ | 135.4 | | |
| | |
For the year ended December 31, 2022
|
| |||||||||||||||||||||
| | |
Commercial mortgage loans |
| |
Residential mortgage loans |
| |
Reinsurance recoverables |
| |
Total |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Beginning balance |
| | | $ | 42.0 | | | | | $ | 1.7 | | | | | $ | 2.7 | | | | | $ | 46.4 | | |
Provision |
| | | | 33.5 | | | | | | 1.2 | | | | | | — | | | | | | 34.7 | | |
Charge-offs |
| | | | — | | | | | | (0.2) | | | | | | — | | | | | | (0.2) | | |
Recoveries |
| | | | — | | | | | | 2.3 | | | | | | — | | | | | | 2.3 | | |
Ending balance |
| | | $ | 75.5 | | | | | $ | 5.0 | | | | | $ | 2.7 | | | | | $ | 83.2 | | |
| | |
For the year ended December 31, 2021
|
| |||||||||||||||||||||
| | |
Commercial mortgage loans |
| |
Residential mortgage loans |
| |
Reinsurance recoverables |
| |
Total |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Beginning balance |
| | | $ | 40.5 | | | | | $ | 5.7 | | | | | $ | 2.7 | | | | | $ | 48.9 | | |
Provision(1) | | | | | 1.5 | | | | | | (7.2) | | | | | | — | | | | | | (5.7) | | |
Charge-offs |
| | | | — | | | | | | (0.5) | | | | | | — | | | | | | (0.5) | | |
Recoveries |
| | | | — | | | | | | 3.7 | | | | | | — | | | | | | 3.7 | | |
Ending balance |
| | | $ | 42.0 | | | | | $ | 1.7 | | | | | $ | 2.7 | | | | | $ | 46.4 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Commercial mortgage loans: | | | | | | | | | | | | | | | | | | | |
Purchased |
| | |
$ |
108.1 |
| | | | $ | 261.3 | | | | | $ | — | | |
Residential mortgage loans: | | | | | | | | | | | | | | | | | | | |
Purchased(1)
|
| | |
|
505.6 |
| | | | | 1,805.2 | | | | | | 2,272.4 | | |
Sold |
| | |
|
99.3 |
| | | | | 512.8 | | | | | | — | | |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||||||||||||||
| | |
Amortized cost |
| |
Percent of total |
| |
Amortized cost |
| |
Percent of total |
| ||||||||||||
| | |
($ in millions) |
| |||||||||||||||||||||
Geographic distribution | | | | | | | | | | | | | | | | | | | | | | | | | |
New England |
| | |
$ |
367.6 |
| | | |
|
2.3% |
| | | | $ | 513.3 | | | | | | 3.2% | | |
Middle Atlantic |
| | |
|
4,525.0 |
| | | |
|
28.1 |
| | | | | 4,518.8 | | | | | | 27.8 | | |
East North Central |
| | |
|
584.5 |
| | | |
|
3.6 |
| | | | | 653.9 | | | | | | 4.0 | | |
West North Central |
| | |
|
336.9 |
| | | |
|
2.1 |
| | | | | 371.9 | | | | | | 2.3 | | |
South Atlantic |
| | |
|
2,768.8 |
| | | |
|
17.2 |
| | | | | 2,565.5 | | | | | | 15.8 | | |
East South Central |
| | |
|
430.3 |
| | | |
|
2.7 |
| | | | | 340.6 | | | | | | 2.1 | | |
West South Central |
| | |
|
1,272.0 |
| | | |
|
7.9 |
| | | | | 1,208.8 | | | | | | 7.4 | | |
Mountain |
| | |
|
825.9 |
| | | |
|
5.1 |
| | | | | 940.9 | | | | | | 5.8 | | |
Pacific |
| | |
|
4,989.2 |
| | | |
|
31.0 |
| | | | | 5,129.7 | | | | | | 31.6 | | |
Total |
| | |
$ |
16,100.2 |
| | | |
|
100.0% |
| | | | $ | 16,243.4 | | | | | | 100.0% | | |
Property type distribution | | | | | | | | | | | | | | | | | | | | | | | | | |
Office |
| | |
$ |
3,651.5 |
| | | |
|
22.7% |
| | | | $ | 4,331.8 | | | | | | 26.7% | | |
Retail |
| | |
|
1,457.4 |
| | | |
|
9.1 |
| | | | | 1,502.5 | | | | | | 9.2 | | |
Industrial |
| | |
|
3,526.7 |
| | | |
|
21.9 |
| | | | | 3,246.4 | | | | | | 20.0 | | |
Apartments |
| | |
|
7,148.5 |
| | | |
|
44.4 |
| | | | | 6,848.3 | | | | | | 42.2 | | |
Hotel |
| | |
|
68.6 |
| | | |
|
0.4 |
| | | | | 72.5 | | | | | | 0.4 | | |
Mixed use/other |
| | |
|
247.5 |
| | | |
|
1.5 |
| | | | | 241.9 | | | | | | 1.5 | | |
Total |
| | |
$ |
16,100.2 |
| | | |
|
100.0% |
| | | | $ | 16,243.4 | | | | | | 100.0% | | |
| | |
For the year ended December 31, 2022
|
| |||||||||||||||||||||
| | |
TDRs |
| |
TDRs in payment default |
| ||||||||||||||||||
| | |
Number of contracts |
| |
Recorded investment |
| |
Number of contracts |
| |
Recorded investment |
| ||||||||||||
| | | | | | | | |
(in millions) |
| | | | | | | |
(in millions) |
| ||||||
Commercial mortgage loans |
| | | | 1 | | | | | $ | 35.5 | | | | | | — | | | | | $ | — | | |
Total |
| | | | 1 | | | | | $ | 35.5 | | | | | | — | | | | | $ | — | | |
| | |
December 31, |
| |||||||||
| | |
2023 |
| |
2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Total assets |
| | |
$ |
119,329.9 |
| | | | $ | 128,765.7 | | |
Total liabilities |
| | |
|
16,131.8 |
| | | | | 12,335.4 | | |
Total equity |
| | |
$ |
103,198.1 |
| | | | $ | 116,430.3 | | |
Net investment in unconsolidated entities |
| | |
$ |
1,869.9 |
| | | | $ | 1,275.5 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Total revenues |
| | |
$ |
2,555.9 |
| | | | $ | 36,915.1 | | | | | $ | 17,674.2 | | |
Net income |
| | |
|
(3,110.6) |
| | | | | 33,194.6 | | | | | | 14,083.1 | | |
Our share of net income of unconsolidated entities
|
| | |
|
151.0 |
| | | | | 119.5 | | | | | | 229.6 | | |
| | |
Gross amounts not offset in the consolidated statements of financial position |
| |||||||||||||||||||||
| | |
Gross amount of recognized assets(1) |
| |
Financial instruments(2) |
| |
Collateral received |
| |
Net amount |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
December 31, 2023 | | | | | | | | | | | | | | | | | | | | | | | | | |
Derivative assets |
| | |
$ |
253.0 |
| | | |
$ |
(166.0) |
| | | |
$ |
(81.0) |
| | | |
$ |
6.0 |
| |
Reverse repurchase agreements |
| | |
|
122.7 |
| | | |
|
— |
| | | |
|
(122.7) |
| | | |
|
— |
| |
Total |
| | |
$ |
375.7 |
| | | |
$ |
(166.0) |
| | | |
$ |
(203.7) |
| | | |
$ |
6.0 |
| |
December 31, 2022 | | | | | | | | | | | | | | | | | | | | | | | | | |
Derivative assets |
| | | $ | 256.6 | | | | | $ | (133.5) | | | | | $ | (120.8) | | | | | $ | 2.3 | | |
Reverse repurchase agreements |
| | | | 112.9 | | | | | | — | | | | | | (112.9) | | | | | | — | | |
Total |
| | | $ | 369.5 | | | | | $ | (133.5) | | | | | $ | (233.7) | | | | | $ | 2.3 | | |
| | |
Gross amounts not offset in the consolidated statements of financial position |
| |||||||||||||||||||||
| | |
Gross amount of recognized liabilities(1) |
| |
Financial instruments(2) |
| |
Collateral pledged |
| |
Net amount |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
December 31, 2023 | | | | | | | | | | | | | | | | | | | | | | | | | |
Derivative liabilities |
| | |
$ |
473.4 |
| | | |
$ |
(166.0) |
| | | |
$ |
(295.5) |
| | | |
$ |
11.9 |
| |
December 31, 2022 | | | | | | | | | | | | | | | | | | | | | | | | | |
Derivative liabilities |
| | | $ | 612.2 | | | | | $ | (133.5) | | | | | $ | (467.2) | | | | | $ | 11.5 | | |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Notional amounts of derivative instruments | | | | | | | | | | | | | |
Interest rate contracts: | | | | | | | | | | | | | |
Interest rate swaps |
| | |
$ |
57,766.6 |
| | | | $ | 52,249.9 | | |
Interest rate options |
| | |
|
4,498.4 |
| | | | | 4,418.9 | | |
Interest rate forwards |
| | |
|
1,990.8 |
| | | | | 2,527.5 | | |
Interest rate futures |
| | |
|
1,174.5 |
| | | | | 877.5 | | |
Foreign exchange contracts: | | | | | | | | | | | | | |
Currency swaps |
| | |
|
1,888.5 |
| | | | | 1,389.8 | | |
Currency forwards |
| | |
|
54.2 |
| | | | | 32.0 | | |
Equity contracts: | | | | | | | | | | | | | |
Equity options |
| | |
|
2,331.3 |
| | | | | 2,049.3 | | |
Equity futures |
| | |
|
559.6 |
| | | | | 574.1 | | |
Credit contracts: | | | | | | | | | | | | | |
Credit default swaps |
| | |
|
305.0 |
| | | | | 400.0 | | |
Other contracts: | | | | | | | | | | | | | |
Embedded derivatives |
| | |
|
26,454.2 |
| | | | | 23,209.3 | | |
Total notional amounts at end of period |
| | |
$ |
97,023.1 |
| | | | $ | 87,728.3 | | |
Credit exposure of derivative instruments | | | | | | | | | | | | | |
Interest rate contracts: | | | | | | | | | | | | | |
Interest rate swaps |
| | |
$ |
42.9 |
| | | | $ | 64.2 | | |
Interest rate options |
| | |
|
37.0 |
| | | | | 41.7 | | |
Interest rate forwards |
| | |
|
4.2 |
| | | | | 0.1 | | |
Foreign exchange contracts: | | | | | | | | | | | | | |
Currency swaps |
| | |
|
89.8 |
| | | | | 139.2 | | |
Currency forwards |
| | |
|
0.7 |
| | | | | 0.9 | | |
Equity contracts: | | | | | | | | | | | | | |
Equity options |
| | |
|
83.8 |
| | | | | 16.5 | | |
Credit contracts: | | | | | | | | | | | | | |
Credit default swaps |
| | |
|
4.7 |
| | | | | 3.6 | | |
Total gross credit exposure |
| | |
|
263.1 |
| | | | | 266.2 | | |
Less: collateral received |
| | |
|
107.1 |
| | | | | 158.8 | | |
Net credit exposure |
| | |
$ |
156.0 |
| | | | $ | 107.4 | | |
| | |
Derivative assets(1)
|
| |
Derivative liabilities(2)
|
| ||||||||||||||||||
| | |
December 31, 2023 |
| |
December 31, 2022 |
| |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Derivatives designated as hedging instruments
|
| | | | | | | | | | | | | | | | | | | | | | | | |
Interest rate contracts |
| | |
$ |
9.0 |
| | | | $ | 20.0 | | | | |
$ |
72.6 |
| | | | $ | 105.1 | | |
Foreign exchange contracts |
| | |
|
84.6 |
| | | | | 134.6 | | | | |
|
38.9 |
| | | | | 19.3 | | |
Total derivatives designated as hedging instruments
|
| | |
$ |
93.6 |
| | | | $ | 154.6 | | | | |
$ |
111.5 |
| | | | $ | 124.4 | | |
Derivatives not designated as hedging instruments
|
| | | | | | | | | | | | | | | | | | | | | | | | |
Interest rate contracts |
| | |
$ |
70.3 |
| | | | $ | 81.1 | | | | |
$ |
284.3 |
| | | | $ | 439.9 | | |
Foreign exchange contracts |
| | |
|
0.7 |
| | | | | 0.9 | | | | |
|
2.3 |
| | | | | 0.3 | | |
Equity contracts |
| | |
|
83.8 |
| | | | | 16.5 | | | | |
|
74.2 |
| | | | | 45.6 | | |
Credit contracts |
| | |
|
4.6 |
| | | | | 3.5 | | | | |
|
1.1 |
| | | | | 2.0 | | |
Other contracts |
| | |
|
— |
| | | | | — | | | | |
|
(2,210.6) |
| | | | | (3,606.5) | | |
Total derivatives not designated as hedging instruments
|
| | |
|
159.4 |
| | | | | 102.0 | | | | |
|
(1,848.7) |
| | | | | (3,118.7) | | |
Total derivative instruments |
| | |
$ |
253.0 |
| | | | $ | 256.6 | | | | |
$ |
(1,737.2) |
| | | | $ | (2,994.3) | | |
| | |
December 31, 2023 |
| |||||||||||||||||||||
| | |
Notional amount |
| |
Fair value |
| |
Maximum future payments |
| |
Weighted average expected life (in years) |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Single name credit default swaps | | | | | | | | | | | | | | | | | | | | | | | | | |
Corporate debt |
| | | | | | | | | | | | | | | | | | | | | | | | |
A |
| | | $ | 40.0 | | | | | $ | 0.3 | | | | | $ | 40.0 | | | | | | 1.5 | | |
BBB |
| | |
|
140.0 |
| | | |
|
3.8 |
| | | |
|
140.0 |
| | | |
|
3.0 |
| |
BB |
| | |
|
20.0 |
| | | |
|
0.2 |
| | | |
|
20.0 |
| | | |
|
3.5 |
| |
Sovereign |
| | | | | | | | | | | | | | | | | | | | | | | | |
A |
| | |
|
20.0 |
| | | |
|
0.2 |
| | | |
|
20.0 |
| | | |
|
1.5 |
| |
Total credit default swap protection sold |
| | |
$ |
220.0 |
| | | |
$ |
4.5 |
| | | |
$ |
220.0 |
| | | |
|
2.7 |
| |
| | |
December 31, 2022 |
| |||||||||||||||||||||
| | |
Notional amount |
| |
Fair value |
| |
Maximum future payments |
| |
Weighted average expected life (in years) |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Single name credit default swaps | | | | | | | | | | | | | | | | | | | | | | | | | |
Corporate debt |
| | | | | | | | | | | | | | | | | | | | | | | | |
A |
| | | $ | 40.0 | | | | | $ | 0.4 | | | | | $ | 40.0 | | | | | | 2.5 | | |
BBB |
| | | | 190.0 | | | | | | 2.2 | | | | | | 190.0 | | | | | | 3.1 | | |
BB |
| | | | 20.0 | | | | | | (0.2) | | | | | | 20.0 | | | | | | 4.5 | | |
Sovereign |
| | | | | | | | | | | | | | | | | | | | | | | | |
A |
| | | | 20.0 | | | | | | 0.2 | | | | | | 20.0 | | | | | | 2.5 | | |
Total credit default swap protection sold |
| | | $ | 270.0 | | | | | $ | 2.6 | | | | | $ | 270.0 | | | | | | 3.1 | | |
Line item in the consolidated statements of financial position in which the hedged item is included |
| |
Carrying amount of hedged item
|
| |
Cumulative amount of fair value hedging basis adjustment increase/(decrease) included in the carrying amount of the hedged item |
| ||||||||||||||||||
|
December 31, 2023 |
| |
December 31, 2022 |
| |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Fixed maturities, available-for-sale(1): | | | | | | | | | | | | | | | | | | | | | | | | | |
Active hedging relationships |
| | |
$ |
3,510.1 |
| | | | $ | 3,498.6 | | | | |
$ |
(87.0) |
| | | | $ | (153.4) | | |
Discontinued hedging relationships |
| | |
|
304.7 |
| | | | | 48.8 | | | | |
|
(5.2) |
| | | | | 1.3 | | |
Total fixed maturities, available-for-sale in active or discontinued hedging relationships |
| | |
$ |
3,814.8 |
| | | | $ | 3,547.4 | | | | |
$ |
(92.2) |
| | | | $ | (152.1) | | |
Investment contracts: | | | | | | | | | | | | | | | | | | | | | | | | | |
Active hedging relationships |
| | |
$ |
300.5 |
| | | | $ | — | | | | |
$ |
0.4 |
| | | | $ | — | | |
Total investment contracts in active or discontinued
hedging relationships |
| | |
$ |
300.5 |
| | | | $ | — | | | | |
$ |
0.4 |
| | | | $ | — | | |
Derivatives in cash flow hedging relationships |
| |
Related
hedged item |
| |
Amount of gain (loss) recognized in AOCI on derivatives for the year ended December 31, |
| |||||||||||||||
|
2023 |
| |
2022 |
| |
2021 |
| ||||||||||||||
| | | | | |
(in millions) |
| |||||||||||||||
Interest rate contracts |
| |
Fixed maturities, available-for-sale |
| | |
$ |
30.4 |
| | | | $ | (102.1) | | | | | $ | — | | |
Interest rate contracts |
| | Investment contracts | | | |
|
(11.0) |
| | | | | 15.9 | | | | | | 4.1 | | |
Foreign exchange contracts |
| |
Fixed maturities, available-for-sale |
| | |
|
(64.0) |
| | | | | 84.2 | | | | | | 53.4 | | |
Total |
| | | | | |
$ |
(44.6) |
| | | | $ | (2.0) | | | | | $ | 57.5 | | |
| | |
For the year ended December 31, 2023
|
| |||||||||||||||
| | |
Net investment income related to hedges of fixed maturities, available- for-sale |
| |
Net realized capital gains (losses) related to hedges of fixed maturities, available- for-sale |
| |
Benefits, claims and settlement expenses related to hedges of investment contracts |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Total amounts of consolidated statement of operations
line items in which the effects of fair value and cash flow hedges are reported |
| | |
$ |
3,285.5 |
| | | |
$ |
(154.7) |
| | | |
$ |
7,226.2 |
| |
Gains (losses) on fair value hedging relationships: | | | | | | | | | | | | | | | | | | | |
Interest rate contracts: | | | | | | | | | | | | | | | | | | | |
Gain recognized on hedged item |
| | | $ | 45.3 | | | | | $ | — | | | | | $ | 0.4 | | |
Loss recognized on derivatives |
| | |
|
(43.9) |
| | | |
|
— |
| | | |
|
(2.1) |
| |
Amortization of hedged item basis adjustments |
| | |
|
(0.2) |
| | | |
|
— |
| | | |
|
— |
| |
Amounts related to periodic settlements on derivatives
|
| | |
|
60.5 |
| | | |
|
— |
| | | |
|
(2.6) |
| |
| | |
For the year ended December 31, 2023
|
| |||||||||||||||
| | |
Net investment income related to hedges of fixed maturities, available- for-sale |
| |
Net realized capital gains (losses) related to hedges of fixed maturities, available- for-sale |
| |
Benefits, claims and settlement expenses related to hedges of investment contracts |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Foreign exchange contracts: | | | | | | | | | | | | | | | | | | | |
Gain recognized on hedged item |
| | |
|
— |
| | | |
|
3.7 |
| | | |
|
— |
| |
Loss recognized on derivatives |
| | |
|
— |
| | | |
|
(3.7) |
| | | |
|
— |
| |
Amounts related to periodic settlements on derivatives
|
| | |
|
0.6 |
| | | |
|
— |
| | | |
|
— |
| |
Total gain (loss) recognized for fair value hedging
relationships |
| | | $ | 62.3 | | | | | $ | — | | | | | $ | (4.3) | | |
Gains on cash flow hedging relationships: | | | | | | | | | | | | | | | | | | | |
Interest rate contracts: | | | | | | | | | | | | | | | | | | | |
Gain (loss) reclassified from AOCI on derivatives
|
| | | $ | 4.1 | | | | | $ | — | | | | | $ | (0.1) | | |
Gain reclassified from AOCI as a result that a
forecasted transaction is no longer probable of occurring |
| | |
|
— |
| | | |
|
1.9 |
| | | |
|
— |
| |
Amounts related to periodic settlements on derivatives
|
| | |
|
— |
| | | |
|
— |
| | | |
|
14.2 |
| |
Foreign exchange contracts: | | | | | | | | | | | | | | | | | | | |
Gain reclassified from AOCI on derivatives |
| | |
|
— |
| | | |
|
1.5 |
| | | |
|
— |
| |
Amounts related to periodic settlements on derivatives
|
| | |
|
21.4 |
| | | |
|
— |
| | | |
|
— |
| |
Total gain recognized for cash flow hedging relationships
|
| | | $ | 25.5 | | | | | $ | 3.4 | | | | | $ | 14.1 | | |
|
| | |
For the year ended December 31, 2022
|
| |||||||||||||||
| | |
Net investment income related to hedges of fixed maturities, available- for-sale |
| |
Net realized capital gains related to hedges of fixed maturities, available- for-sale |
| |
Benefits, claims and settlement expenses related to hedges of investment contracts |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Total amounts of consolidated statement of operations
line items in which the effects of fair value and cash flow hedges are reported |
| | | $ | 2,852.4 | | | | | $ | 83.3 | | | | | $ | 5,882.7 | | |
Gains on fair value hedging relationships: | | | | | | | | | | | | | | | | | | | |
Interest rate contracts: | | | | | | | | | | | | | | | | | | | |
Loss recognized on hedged item |
| | | $ | (154.4) | | | | | $ | — | | | | | $ | — | | |
Gain recognized on derivatives |
| | | | 151.6 | | | | | | — | | | | | | — | | |
Amortization of hedged item basis adjustments |
| | | | (1.3) | | | | | | — | | | | | | — | | |
Amounts related to periodic settlements on derivatives
|
| | | | 5.2 | | | | | | — | | | | | | — | | |
Total gain recognized for fair value hedging relationships
|
| | | $ | 1.1 | | | | | $ | — | | | | | $ | — | | |
| | |
For the year ended December 31, 2022
|
| |||||||||||||||
| | |
Net investment income related to hedges of fixed maturities, available- for-sale |
| |
Net realized capital gains related to hedges of fixed maturities, available- for-sale |
| |
Benefits, claims and settlement expenses related to hedges of investment contracts |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Gains on cash flow hedging relationships: | | | | | | | | | | | | | | | | | | | |
Interest rate contracts: | | | | | | | | | | | | | | | | | | | |
Gain (loss) reclassified from AOCI on derivatives |
| | | $ | 9.0 | | | | | $ | — | | | | | $ | (0.1) | | |
Gain reclassified from AOCI as a result that a
forecasted transaction is no longer probable of occurring |
| | | | — | | | | | | 18.5 | | | | | | — | | |
Amounts related to periodic settlements on derivatives
|
| | | | — | | | | | | — | | | | | | 3.7 | | |
Foreign exchange contracts: | | | | | | | | | | | | | | | | | | | |
Gain reclassified from AOCI on derivatives |
| | | | — | | | | | | 0.6 | | | | | | — | | |
Amounts related to periodic settlements on derivatives
|
| | | | 14.5 | | | | | | — | | | | | | — | | |
Total gain recognized for cash flow hedging relationships
|
| | | $ | 23.5 | | | | | $ | 19.1 | | | | | $ | 3.6 | | |
|
| | |
For the year ended December 31, 2021
|
| |||||||||||||||
| | |
Net investment income related to hedges of fixed maturities, available- for-sale |
| |
Net realized capital gains related to hedges of fixed maturities, available- for-sale |
| |
Benefits, claims and settlement expenses related to hedges of investment contracts |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Total amounts of consolidated statement of operations
line items in which the effects of fair value and cash flow hedges are reported |
| | | $ | 3,633.7 | | | | | $ | 112.1 | | | | | $ | 6,617.5 | | |
Losses on fair value hedging relationships: | | | | | | | | | | | | | | | | | | | |
Interest rate contracts: | | | | | | | | | | | | | | | | | | | |
Loss recognized on hedged item |
| | | $ | (28.7) | | | | | $ | — | | | | | $ | — | | |
Gain recognized on derivatives |
| | | | 28.6 | | | | | | — | | | | | | — | | |
Amortization of hedged item basis adjustments |
| | | | (1.8) | | | | | | — | | | | | | — | | |
Amounts related to periodic settlements on derivatives
|
| | | | (10.0) | | | | | | — | | | | | | — | | |
Total loss recognized for fair value hedging relationships
|
| | | $ | (11.9) | | | | | $ | — | | | | | $ | — | | |
Gains (losses) on cash flow hedging relationships: | | | | | | | | | | | | | | | | | | | |
Interest rate contracts: | | | | | | | | | | | | | | | | | | | |
Gain (loss) reclassified from AOCI on derivatives |
| | | $ | 15.4 | | | | | $ | — | | | | | $ | (0.1) | | |
Gain reclassified from AOCI as a result that a
forecasted transaction is no longer probable of occurring |
| | | | — | | | | | | 1.0 | | | | | | — | | |
Amounts related to periodic settlements on derivatives
|
| | | | — | | | | | | — | | | | | | (0.4) | | |
| | |
For the year ended December 31, 2021
|
| |||||||||||||||
| | |
Net investment income related to hedges of fixed maturities, available- for-sale |
| |
Net realized capital gains related to hedges of fixed maturities, available- for-sale |
| |
Benefits, claims and settlement expenses related to hedges of investment contracts |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Foreign exchange contracts: | | | | | | | | | | | | | | | | | | | |
Gain reclassified from AOCI on derivatives |
| | | | — | | | | | | 9.2 | | | | | | — | | |
Amounts related to periodic settlements on derivatives
|
| | | | 9.6 | | | | | | — | | | | | | — | | |
Total gain (loss) recognized for cash flow hedging relationships
|
| | | $ | 25.0 | | | | | $ | 10.2 | | | | | $ | (0.5) | | |
|
| | |
Amount of gain (loss) recognized in net income on derivatives for the year ended December 31, |
| |||||||||||||||
Derivatives not designated as hedging instruments
|
| |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Interest rate contracts |
| | |
$ |
(46.5) |
| | | | $ | (317.7) | | | | | $ | (33.8) | | |
Foreign exchange contracts |
| | |
|
(2.8) |
| | | | | 1.4 | | | | | | (4.7) | | |
Equity contracts |
| | |
|
(136.6) |
| | | | | 20.7 | | | | | | (81.1) | | |
Credit contracts |
| | |
|
4.1 |
| | | | | 0.1 | | | | | | 0.1 | | |
Other contracts(1)
|
| | |
|
(1,395.9) |
| | | | | 3,682.2 | | | | | | 0.1 | | |
Total |
| | |
$ |
(1,577.7) |
| | | | $ | 3,386.7 | | | | | $ | (119.4) | | |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Closed Block liabilities | | | | | | | | | | | | | |
Future policy benefits and claims |
| | |
$ |
2,982.9 |
| | | | $ | 3,128.1 | | |
Other policyholder funds |
| | |
|
5.1 |
| | | | | 5.1 | | |
Policyholder dividends payable |
| | |
|
157.2 |
| | | | | 168.2 | | |
Income taxes currently payable |
| | |
|
4.0 |
| | | | | — | | |
Other liabilities |
| | |
|
23.2 |
| | | | | 24.9 | | |
Total Closed Block liabilities |
| | |
|
3,172.4 |
| | | | | 3,326.3 | | |
Assets designated to the Closed Block | | | | | | | | | | | | | |
Fixed maturities, available-for-sale |
| | |
|
1,766.7 |
| | | | | 1,690.2 | | |
Fixed maturities, trading |
| | |
|
2.0 |
| | | | | 2.0 | | |
Equity securities |
| | |
|
0.9 |
| | | | | 0.8 | | |
Mortgage loans |
| | |
|
469.5 |
| | | | | 544.9 | | |
Policy loans |
| | |
|
379.9 |
| | | | | 407.4 | | |
Other investments |
| | |
|
61.2 |
| | | | | 62.2 | | |
Total investments |
| | |
|
2,680.2 |
| | | | | 2,707.5 | | |
Cash and cash equivalents |
| | |
|
6.1 |
| | | | | 62.0 | | |
Accrued investment income |
| | |
|
32.6 |
| | | | | 30.3 | | |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Reinsurance recoverable and deposit receivable |
| | |
|
3.5 |
| | | | | 3.9 | | |
Premiums due and other receivables |
| | |
|
3.4 |
| | | | | 4.1 | | |
Deferred tax asset |
| | |
|
52.1 |
| | | | | 62.0 | | |
Other assets |
| | |
|
5.3 |
| | | | | 0.1 | | |
Total assets designated to the Closed Block |
| | |
|
2,783.2 |
| | | | | 2,869.9 | | |
Excess of Closed Block liabilities over assets
designated to the Closed Block |
| | |
|
389.2 |
| | | | | 456.4 | | |
Amounts included in accumulated other comprehensive income
|
| | |
|
(69.6) |
| | | | | (111.9) | | |
Maximum future earnings to be recognized from Closed
Block assets and liabilities |
| | |
$ |
319.6 |
| | | | $ | 344.5 | | |
|
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Revenues | | | | | | | | | | | | | | | | | | | |
Premiums and other considerations |
| | |
$ |
166.1 |
| | | | $ | 178.0 | | | | | $ | 196.1 | | |
Net investment income |
| | |
|
127.3 |
| | | | | 129.1 | | | | | | 137.6 | | |
Net realized capital losses |
| | |
|
(10.0) |
| | | | | (21.2) | | | | | | (4.6) | | |
Total revenues |
| | |
|
283.4 |
| | | | | 285.9 | | | | | | 329.1 | | |
Expenses | | | | | | | | | | | | | | | | | | | |
Benefits, claims and settlement expenses |
| | |
|
161.6 |
| | | | | 184.3 | | | | | | 212.0 | | |
Dividends to policyholders |
| | |
|
86.8 |
| | | | | 92.5 | | | | | | 92.6 | | |
Operating expenses |
| | |
|
2.6 |
| | | | | 2.2 | | | | | | 2.3 | | |
Total expenses |
| | |
|
251.0 |
| | | | | 279.0 | | | | | | 306.9 | | |
Closed Block revenues, net of Closed Block expenses, before income | | | | | | | | | | | | | | | | | | | |
taxes |
| | |
|
32.4 |
| | | | | 6.9 | | | | | | 22.2 | | |
Income taxes |
| | |
|
6.1 |
| | | | | 0.7 | | | | | | 3.9 | | |
Closed Block revenues, net of Closed Block expenses and income taxes
|
| | |
|
26.3 |
| | | | | 6.2 | | | | | | 18.3 | | |
Funding adjustments and other transfers |
| | |
|
(1.4) |
| | | | | 28.5 | | | | | | (4.0) | | |
Closed Block revenues, net of Closed Block expenses,
income taxes and funding adjustments |
| | |
$ |
24.9 |
| | | | $ | 34.7 | | | | | $ | 14.3 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Beginning of year |
| | |
$ |
344.5 |
| | | | $ | 379.2 | | | | | $ | 393.5 | | |
End of year |
| | |
|
319.6 |
| | | | | 344.5 | | | | | | 379.2 | | |
Change in maximum future earnings |
| | |
$ |
(24.9) |
| | | | $ | (34.7) | | | | | $ | (14.3) | | |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Retirement and Income Solutions: | | | | | | | | | | | | | |
Workplace savings and retirement solutions |
| | |
$ |
506.4 |
| | | | $ | 498.0 | | |
Individual variable annuities |
| | |
|
279.5 |
| | | | | 278.0 | | |
Pension risk transfer |
| | |
|
15.4 |
| | | | | 8.1 | | |
Individual fixed deferred annuities |
| | |
|
106.1 |
| | | | | 131.0 | | |
Investment only |
| | |
|
11.5 |
| | | | | 14.9 | | |
Total Retirement and Income Solutions |
| | |
|
918.9 |
| | | | | 930.0 | | |
Benefits and Protection: | | | | | | | | | | | | | |
Specialty Benefits: |
| | | | | | | | | | | | |
Individual disability |
| | |
|
667.7 |
| | | | | 626.1 | | |
Life Insurance: |
| | | | | | | | | | | | |
Universal life |
| | |
|
1,545.3 |
| | | | | 1,569.7 | | |
Term life |
| | |
|
678.8 |
| | | | | 685.7 | | |
Participating life |
| | |
|
84.7 |
| | | | | 93.0 | | |
Total Benefits and Protection |
| | |
|
2,976.5 |
| | | | | 2,974.5 | | |
Short-duration contracts |
| | |
|
31.1 |
| | | | | 34.7 | | |
Total DAC per consolidated statements of financial position
|
| | |
$ |
3,926.5 |
| | | | $ | 3,939.2 | | |
| | |
Workplace savings and retirement solutions |
| |
Individual variable annuities |
| |
Pension risk transfer |
| |
Individual
fixed deferred annuities |
| |
Investment only |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Balances as of January 1, 2022
|
| | | $ | 489.0 | | | | | $ | 281.2 | | | | | $ | 2.7 | | | | | $ | 162.2 | | | | | $ | 18.1 | | |
Costs deferred |
| | | | 48.3 | | | | | | 22.5 | | | | | | 5.6 | | | | | | — | | | | | | 1.4 | | |
Amortized to expense |
| | | | (39.3) | | | | | | (25.7) | | | | | | (0.2) | | | | | | (31.2) | | | | | | (4.6) | | |
Balances as of December 31, 2022
|
| | | | 498.0 | | | | | | 278.0 | | | | | | 8.1 | | | | | | 131.0 | | | | | | 14.9 | | |
Costs deferred |
| | |
|
48.1 |
| | | |
|
27.4 |
| | | |
|
7.9 |
| | | |
|
— |
| | | |
|
1.3 |
| |
Amortized to expense |
| | |
|
(39.7) |
| | | |
|
(25.9) |
| | | |
|
(0.6) |
| | | |
|
(24.9) |
| | | |
|
(4.7) |
| |
Balances as of December 31, 2023 |
| | | $ | 506.4 | | | | | $ | 279.5 | | | | | $ | 15.4 | | | | | $ | 106.1 | | | | | $ | 11.5 | | |
| | |
Specialty Benefits |
| |
Life Insurance |
| ||||||||||||||||||
| | |
Individual disability |
| |
Universal life |
| |
Term life |
| |
Participating life |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Balances as of January 1, 2022
|
| | | $ | 580.7 | | | | | $ | 1,596.2 | | | | | $ | 678.9 | | | | | $ | 102.3 | | |
Costs deferred |
| | | | 87.6 | | | | | | 70.6 | | | | | | 66.7 | | | | | | 1.4 | | |
Amortized to expense |
| | | | (42.2) | | | | | | (97.1) | | | | | | (59.9) | | | | | | (10.7) | | |
Balances as of December 31, 2022
|
| | | | 626.1 | | | | | | 1,569.7 | | | | | | 685.7 | | | | | | 93.0 | | |
Costs deferred |
| | |
|
86.7 |
| | | |
|
70.7 |
| | | |
|
55.0 |
| | | |
|
1.4 |
| |
Amortized to expense |
| | |
|
(45.1) |
| | | |
|
(95.1) |
| | | |
|
(61.9) |
| | | |
|
(9.7) |
| |
Balances as of December 31, 2023 |
| | | $ | 667.7 | | | | | $ | 1,545.3 | | | | | $ | 678.8 | | | | | $ | 84.7 | | |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Benefits and Protection – Life Insurance: | | | | | | | | | | | | | |
Universal life |
| | |
$ |
485.5 |
| | | | $ | 459.0 | | |
Total unearned revenue liability |
| | |
$ |
485.5 |
| | | | $ | 459.0 | | |
| | |
For the year ended
December 31, 2023 |
| |
For the year ended
December 31, 2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Balance at beginning of period |
| | |
$ |
459.0 |
| | | | $ | 425.3 | | |
Deferrals |
| | |
|
56.3 |
| | | | | 61.8 | | |
Revenue recognized |
| | |
|
(29.8) |
| | | | | (28.1) | | |
Balance at end of period |
| | |
|
485.5 |
| | | | | 459.0 | | |
Reinsurance impact |
| | |
|
(225.1) |
| | | | | (227.9) | | |
Balance at end of period after reinsurance |
| | |
$ |
260.4 |
| | | | $ | 231.1 | | |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Fixed maturities: | | | | | | | | | | | | | |
U.S. government and agencies |
| | |
$ |
6,948.6 |
| | | | $ | 7,065.0 | | |
Non-U.S. governments |
| | |
|
1,258.6 |
| | | | | 1,338.4 | | |
States and political subdivisions |
| | |
|
205.1 |
| | | | | 211.7 | | |
Corporate |
| | |
|
6,102.9 |
| | | | | 5,689.8 | | |
Residential mortgage-backed pass-through securities
|
| | |
|
4,096.2 |
| | | | | 3,853.2 | | |
Commercial mortgage-backed securities |
| | |
|
221.1 |
| | | | | 206.2 | | |
Other debt obligations |
| | |
|
505.8 |
| | | | | 218.0 | | |
Total fixed maturities |
| | |
|
19,338.3 |
| | | | | 18,582.3 | | |
Equity securities |
| | |
|
98,884.9 |
| | | | | 87,052.5 | | |
Real estate |
| | |
|
494.6 |
| | | | | 610.6 | | |
Other investments |
| | |
|
8,997.9 |
| | | | | 9,761.9 | | |
Cash and cash equivalents |
| | |
|
3,162.3 |
| | | | | 3,233.1 | | |
Other assets |
| | |
|
763.7 |
| | | | | 1,039.2 | | |
Total separate account assets per consolidated
statements of financial position |
| | |
$ |
131,641.7 |
| | | | $ | 120,279.6 | | |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Retirement and Income Solutions: | | | | | | | | | | | | | |
Group retirement contracts |
| | |
$ |
117,518.5 |
| | | | $ | 107,240.1 | | |
Individual variable annuities |
| | |
|
9,131.9 |
| | | | | 8,659.0 | | |
Total Retirement and Income Solutions |
| | |
|
126,650.4 |
| | | | | 115,899.1 | | |
Benefits and Protection – Life Insurance: | | | | | | | | | | | | | |
Universal life |
| | |
|
4,991.3 |
| | | | | 4,380.5 | | |
Total separate account liabilities per consolidated
statements of financial position |
| | |
$ |
131,641.7 |
| | | | $ | 120,279.6 | | |
| | |
For the year ended
December 31, 2023 |
| |
For the year ended
December 31, 2022 |
| ||||||||||||||||||
| | |
Group retirement contracts |
| |
Individual variable annuities |
| |
Group retirement contracts |
| |
Individual variable annuities |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Balance at beginning of period |
| | |
$ |
107,240.1 |
| | | |
$ |
8,659.0 |
| | | | $ | 131,188.6 | | | | | $ | 11,000.0 | | |
Premiums and deposits(1)
|
| | |
|
11,379.0 |
| | | |
|
328.5 |
| | | | | 14,859.3 | | | | | | 354.1 | | |
Policy charges |
| | |
|
(366.0) |
| | | |
|
(204.5) |
| | | | | (383.7) | | | | | | (211.1) | | |
Surrenders, withdrawals and benefit payments(1)
|
| | |
|
(13,916.8) |
| | | |
|
(1,018.2) |
| | | | | (14,479.4) | | | | | | (790.1) | | |
Investment performance |
| | |
|
15,820.7 |
| | | |
|
1,315.1 |
| | | | | (20,641.3) | | | | | | (1,723.3) | | |
Net transfers (to) from general account(1)
|
| | |
|
(2,461.1) |
| | | |
|
30.4 |
| | | | | (2,571.7) | | | | | | 29.4 | | |
Other(2)
|
| | |
|
(177.4) |
| | | |
|
21.6 |
| | | | | (731.7) | | | | | | — | | |
Balance at end of period |
| | |
$ |
117,518.5 |
| | | |
$ |
9,131.9 |
| | | | $ | 107,240.1 | | | | | $ | 8,659.0 | | |
Cash surrender value(3)
|
| | |
$ |
116,522.1 |
| | | |
$ |
9,011.5 |
| | | | $ | 106,125.7 | | | | | $ | 8,538.7 | | |
| | |
For the year ended
December 31, 2023 |
| |
For the year ended
December 31, 2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Balance at beginning of period |
| | |
$ |
4,380.5 |
| | | | $ | 5,340.4 | | |
Premiums and deposits |
| | |
|
232.8 |
| | | | | 276.3 | | |
Policy charges |
| | |
|
(100.0) |
| | | | | (97.5) | | |
Surrenders, withdrawals and benefit payments |
| | |
|
(302.4) |
| | | | | (181.6) | | |
Investment performance |
| | |
|
773.6 |
| | | | | (952.1) | | |
Net transfers (to) from general account |
| | |
|
6.8 |
| | | | | (5.0) | | |
Balance at end of period |
| | |
$ |
4,991.3 |
| | | | $ | 4,380.5 | | |
Cash surrender value(1)
|
| | |
$ |
5,062.4 |
| | | | $ | 4,452.9 | | |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Retirement and Income Solutions: | | | | | | | | | | | | | |
Workplace savings and retirement solutions |
| | |
$ |
12,721.5 |
| | | | $ | 12,154.7 | | |
Individual variable annuities |
| | |
|
514.2 |
| | | | | 381.4 | | |
Individual fixed deferred annuities |
| | |
|
5,538.3 |
| | | | | 7,228.3 | | |
Total Retirement and Income Solutions |
| | |
|
18,774.0 |
| | | | | 19,764.4 | | |
Benefits and Protection – Life Insurance: | | | | | | | | | | | | | |
Universal life |
| | |
|
6,910.4 |
| | | | | 6,947.9 | | |
Total policyholder account balances for contracts
with significant insurance risk or investment contracts with significant fee revenue |
| | |
|
25,684.4 |
| | | | | 26,712.3 | | |
Reconciling items: | | | | | | | | | | | | | |
Investment contracts without significant fee revenue(1)
|
| | |
|
15,624.3 |
| | | | | 15,585.2 | | |
Embedded derivatives(2)
|
| | |
|
115.5 |
| | | | | 46.4 | | |
Other balances(3)
|
| | |
|
(61.3) |
| | | | | (26.6) | | |
Total contractholder funds per consolidated statements
of financial position |
| | |
$ |
41,362.9 |
| | | | $ | 42,317.3 | | |
| | |
For the year ended December 31, 2023
|
| |
For the year ended December 31, 2022
|
| ||||||||||||||||||||||||||||||
| | |
Workplace savings and retirement solutions |
| |
Individual variable annuities |
| |
Individual fixed deferred annuities(1) |
| |
Workplace savings and retirement solutions |
| |
Individual variable annuities |
| |
Individual fixed deferred annuities(1) |
| ||||||||||||||||||
| | |
($ in millions) |
| |||||||||||||||||||||||||||||||||
Balance at beginning of period |
| | |
$ |
12,154.7 |
| | | |
$ |
381.4 |
| | | |
$ |
7,228.3 |
| | | | $ | 10,996.2 | | | | | $ | 380.9 | | | | | $ | 9,646.3 | | |
Premiums and deposits |
| | |
|
4,441.7 |
| | | |
|
586.7 |
| | | |
|
36.8 |
| | | | | 3,719.5 | | | | | | 426.5 | | | | | | 35.9 | | |
Policy charges |
| | |
|
(31.6) |
| | | |
|
— |
| | | |
|
— |
| | | | | (28.5) | | | | | | — | | | | | | — | | |
Surrenders, withdrawals and benefit payments |
| | |
|
(4,356.6) |
| | | |
|
(1,123.0) |
| | | |
|
(1,888.4) |
| | | | | (2,866.7) | | | | | | (843.2) | | | | | | (2,655.6) | | |
Net transfers from (to) separate account(2)
|
| | |
|
264.8 |
| | | |
|
659.3 |
| | | |
|
— |
| | | | | 164.6 | | | | | | 406.6 | | | | | | — | | |
Interest credited |
| | |
|
280.2 |
| | | |
|
9.8 |
| | | |
|
161.6 |
| | | | | 194.3 | | | | | | 10.6 | | | | | | 201.7 | | |
| | |
For the year ended December 31, 2023
|
| |
For the year ended December 31, 2022
|
| ||||||||||||||||||||||||||||||
| | |
Workplace savings and retirement solutions |
| |
Individual variable annuities |
| |
Individual fixed deferred annuities(1) |
| |
Workplace savings and retirement solutions |
| |
Individual variable annuities |
| |
Individual fixed deferred annuities(1) |
| ||||||||||||||||||
| | |
($ in millions) |
| |||||||||||||||||||||||||||||||||
Other |
| | |
|
(31.7) |
| | | |
|
— |
| | | |
|
— |
| | | | | (24.7) | | | | | | — | | | | | | — | | |
Balance at end of period |
| | |
$ |
12,721.5 |
| | | |
$ |
514.2 |
| | | |
$ |
5,538.3 |
| | | | $ | 12,154.7 | | | | | $ | 381.4 | | | | | $ | 7,228.3 | | |
Weighted-average crediting rate (3)
|
| | |
|
2.54% |
| | | |
|
3.22% |
| | | |
|
2.84% |
| | | | | 1.94% | | | | | | 2.79% | | | | | | 2.63% | | |
Cash surrender value(4)
|
| | |
$ |
11,211.9 |
| | | |
$ |
512.6 |
| | | |
$ |
5,434.4 |
| | | | $ | 10,341.7 | | | | | $ | 378.6 | | | | | $ | 7,081.4 | | |
| | |
For the year ended
December 31, 2023 |
| |
For the year ended
December 31, 2022 |
| ||||||
| | |
($ in millions) |
| |||||||||
Balance at beginning of period |
| | |
$ |
6,947.9 |
| | | | $ | 6,962.5 | | |
Premiums and deposits |
| | |
|
1,260.5 |
| | | | | 1,267.2 | | |
Policy charges |
| | |
|
(858.1) |
| | | | | (837.8) | | |
Surrenders, withdrawals and benefit payments |
| | |
|
(483.6) |
| | | | | (390.0) | | |
Net transfers from (to) separate account |
| | |
|
(197.7) |
| | | | | (301.5) | | |
Interest credited |
| | |
|
242.1 |
| | | | | 247.5 | | |
Other |
| | |
|
(0.7) |
| | | | | — | | |
Balance at end of period |
| | |
|
6,910.4 |
| | | | | 6,947.9 | | |
Reinsurance impact |
| | |
|
(3,396.8) |
| | | | | (3,528.9) | | |
Balance at end of period after reinsurance |
| | |
$ |
3,513.6 |
| | | | $ | 3,419.0 | | |
Weighted-average crediting rate(1)
|
| | |
|
4.01% |
| | | | | 3.35% | | |
Net amount at risk(2)
|
| | |
$ |
86,671.0 |
| | | | $ | 86,547.9 | | |
Cash surrender value(3)
|
| | |
$ |
5,953.0 |
| | | | $ | 5,911.5 | | |
| | |
December 31, 2023 |
| |||||||||||||||||||||||||||||||||
| | |
Excess of crediting rates over GMIR
|
| |||||||||||||||||||||||||||||||||
| | |
At GMIR
|
| |
Up to 0.50%
above GMIR |
| |
0.51% to 1.00%
above GMIR |
| |
1.01% to 2.00%
above GMIR |
| |
2.01% or more
above GMIR |
| | | | | | | |||||||||||||||
|
Total |
| |||||||||||||||||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||
Retirement and Income Solutions | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Workplace savings and retirement solutions
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Up to 1.00% |
| | | $ | — | | | | | $ | 3.3 | | | | | $ | 101.8 | | | | | $ | 1,006.0 | | | | | $ | 312.8 | | | | | $ | 1,423.9 | | |
1.01% – 2.00% |
| | |
|
5,135.0 |
| | | |
|
3.8 |
| | | |
|
1,153.1 |
| | | |
|
— |
| | | |
|
874.6 |
| | | |
|
7,166.5 |
| |
2.01% – 3.00% |
| | |
|
357.1 |
| | | |
|
0.1 |
| | | |
|
0.8 |
| | | |
|
59.1 |
| | | |
|
1,701.2 |
| | | |
|
2,118.3 |
| |
3.01% – 4.00% |
| | |
|
7.4 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
7.4 |
| |
4.01% and above |
| | |
|
16.9 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
16.9 |
| |
Subtotal |
| | |
|
5,516.4 |
| | | |
|
7.2 |
| | | |
|
1,255.7 |
| | | |
|
1,065.1 |
| | | |
|
2,888.6 |
| | | |
|
10,733.0 |
| |
No GMIR |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
1,988.5 |
| |
Total |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ |
12,721.5 |
| |
Individual variable annuities |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Up to 1.00% |
| | | $ | 22.6 | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 22.6 | | |
1.01% – 2.00% |
| | |
|
4.6 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
4.6 |
| |
2.01% – 3.00% |
| | |
|
273.5 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
273.5 |
| |
3.01% – 4.00% |
| | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| |
4.01% and above |
| | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| |
Subtotal |
| | |
|
300.7 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
300.7 |
| |
No GMIR |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
213.5 |
| |
Total |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ |
514.2 |
| |
Individual fixed deferred annuities |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Up to 1.00% |
| | | $ | 305.5 | | | | | $ | 115.4 | | | | | $ | 121.8 | | | | | $ | 449.4 | | | | | $ | 999.5 | | | | | $ | 1,991.6 | | |
1.01% – 2.00% |
| | |
|
100.8 |
| | | |
|
0.9 |
| | | |
|
26.3 |
| | | |
|
123.5 |
| | | |
|
2.4 |
| | | |
|
253.9 |
| |
| | |
December 31, 2023 |
| |||||||||||||||||||||||||||||||||
| | |
Excess of crediting rates over GMIR
|
| |||||||||||||||||||||||||||||||||
| | |
At GMIR
|
| |
Up to 0.50%
above GMIR |
| |
0.51% to 1.00%
above GMIR |
| |
1.01% to 2.00%
above GMIR |
| |
2.01% or more
above GMIR |
| | | | | | | |||||||||||||||
|
Total |
| |||||||||||||||||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||
2.01% – 3.00% |
| | |
|
2,897.7 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
2,897.7 |
| |
3.01% – 4.00% |
| | |
|
156.9 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
156.9 |
| |
4.01% and above |
| | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| |
Subtotal |
| | |
|
3,460.9 |
| | | |
|
116.3 |
| | | |
|
148.1 |
| | | |
|
572.9 |
| | | |
|
1,001.9 |
| | | |
|
5,300.1 |
| |
No GMIR |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
238.2 |
| |
Total |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
$ |
5,538.3 |
| |
Benefits and Protection – Life
Insurance Universal life |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Up to 1.00% |
| | | $ | — | | | | | $ | — | | | | | $ | 16.1 | | | | | $ | 1.0 | | | | | $ | 2.4 | | | | | $ | 19.5 | | |
1.01% – 2.00% |
| | |
|
294.1 |
| | | |
|
— |
| | | |
|
418.1 |
| | | |
|
485.6 |
| | | |
|
415.4 |
| | | |
|
1,613.2 |
| |
2.01% – 3.00% |
| | |
|
729.7 |
| | | |
|
677.2 |
| | | |
|
836.3 |
| | | |
|
350.6 |
| | | |
|
3.0 |
| | | |
|
2,596.8 |
| |
3.01% – 4.00% |
| | |
|
1,657.0 |
| | | |
|
49.8 |
| | | |
|
37.6 |
| | | |
|
36.4 |
| | | |
|
3.2 |
| | | |
|
1,784.0 |
| |
4.01% and above |
| | |
|
40.5 |
| | | |
|
3.9 |
| | | |
|
8.3 |
| | | |
|
1.5 |
| | | |
|
— |
| | | |
|
54.2 |
| |
Subtotal |
| | |
|
2,721.3 |
| | | |
|
730.9 |
| | | |
|
1,316.4 |
| | | |
|
875.1 |
| | | |
|
424.0 |
| | | |
|
6,067.7 |
| |
No GMIR |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
842.7 |
| |
Total |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | $ | 6,910.4 | | |
|
| | |
December 31, 2022 |
| |||||||||||||||||||||||||||||||||
| | |
Excess of crediting rates over GMIR
|
| |||||||||||||||||||||||||||||||||
| | |
At GMIR |
| |
Up to 0.50% above GMIR |
| |
0.51% to 1.00% above GMIR |
| |
1.01% to 2.00% above GMIR |
| |
2.01% or more above GMIR |
| |
Total |
| ||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||
Retirement and Income Solutions | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Workplace savings and retirement
solutions |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Up to 1.00% |
| | | $ | 3.9 | | | | | $ | 24.8 | | | | | $ | 1,188.9 | | | | | $ | 307.8 | | | | | $ | 364.9 | | | | | $ | 1,890.3 | | |
1.01% – 2.00% |
| | | | — | | | | | | 549.9 | | | | | | 6,090.2 | | | | | | 1,477.0 | | | | | | 9.4 | | | | | | 8,126.5 | | |
2.01% – 3.00% |
| | | | 15.1 | | | | | | 0.1 | | | | | | — | | | | | | 0.1 | | | | | | — | | | | | | 15.3 | | |
3.01% – 4.00% |
| | | | 7.8 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 7.8 | | |
4.01% and above |
| | | | 18.8 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 18.8 | | |
Subtotal |
| | | | 45.6 | | | | | | 574.8 | | | | | | 7,279.1 | | | | | | 1,784.9 | | | | | | 374.3 | | | | | | 10,058.7 | | |
No GMIR |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 2,096.0 | | |
Total |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | $ | 12,154.7 | | |
Individual variable annuities |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Up to 1.00% |
| | | $ | 33.0 | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | 33.0 | | |
1.01% – 2.00% |
| | | | 3.6 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 3.6 | | |
2.01% – 3.00% |
| | | | 331.8 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 331.8 | | |
3.01% – 4.00% |
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
4.01% and above |
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
| | |
December 31, 2022 |
| |||||||||||||||||||||||||||||||||
| | |
Excess of crediting rates over GMIR
|
| |||||||||||||||||||||||||||||||||
| | |
At GMIR |
| |
Up to 0.50%
above GMIR |
| |
0.51% to 1.00%
above GMIR |
| |
1.01% to 2.00%
above GMIR |
| |
2.01% or more
above GMIR |
| |
Total |
| ||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||
Subtotal |
| | | | 368.4 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 368.4 | | |
No GMIR |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 13.0 | | |
Total |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | $ | 381.4 | | |
Individual fixed deferred annuities |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Up to 1.00% |
| | | $ | 426.4 | | | | | $ | 161.7 | | | | | $ | 236.2 | | | | | $ | 879.2 | | | | | $ | 993.0 | | | | | $ | 2,696.5 | | |
1.01% – 2.00% |
| | | | 139.8 | | | | | | 1.4 | | | | | | 39.9 | | | | | | 250.5 | | | | | | 0.6 | | | | | | 432.2 | | |
2.01% – 3.00% |
| | | | 3,617.1 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 3,617.1 | | |
3.01% – 4.00% |
| | | | 169.7 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 169.7 | | |
4.01% and above |
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Subtotal |
| | | | 4,353.0 | | | | | | 163.1 | | | | | | 276.1 | | | | | | 1,129.7 | | | | | | 993.6 | | | | | | 6,915.5 | | |
No GMIR |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 312.8 | | |
Total |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | $ | 7,228.3 | | |
Benefits and Protection – Life
Insurance Universal life |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Up to 1.00% |
| | | $ | — | | | | | $ | 8.4 | | | | | $ | 10.1 | | | | | $ | — | | | | | $ | 0.7 | | | | | $ | 19.2 | | |
1.01% – 2.00% |
| | | | 315.7 | | | | | | — | | | | | | 407.0 | | | | | | 695.5 | | | | | | 155.0 | | | | | | 1,573.2 | | |
2.01% – 3.00% |
| | | | 865.9 | | | | | | 951.2 | | | | | | 903.5 | | | | | | 59.9 | | | | | | 0.4 | | | | | | 2,780.9 | | |
3.01% – 4.00% |
| | | | 1,698.9 | | | | | | 35.8 | | | | | | 21.9 | | | | | | 25.3 | | | | | | 3.2 | | | | | | 1,785.1 | | |
4.01% and above |
| | | | 40.6 | | | | | | 10.1 | | | | | | 3.4 | | | | | | 1.6 | | | | | | — | | | | | | 55.7 | | |
Subtotal |
| | | | 2,921.1 | | | | | | 1,005.5 | | | | | | 1,345.9 | | | | | | 782.3 | | | | | | 159.3 | | | | | | 6,214.1 | | |
No GMIR |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 733.8 | | |
Total |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | $ | 6,947.9 | | |
|
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Liability for future policy benefits by segment(1): | | | | | | | | | | | | | |
Retirement and Income Solutions: | | | | | | | | | | | | | |
Pension risk transfer |
| | |
$ |
23,855.8 |
| | | | $ | 21,211.4 | | |
Individual fixed income annuities |
| | |
|
4,914.1 |
| | | | | 5,019.4 | | |
Total Retirement and Income Solutions |
| | |
|
28,769.9 |
| | | | | 26,230.8 | | |
Benefits and Protection: | | | | | | | | | | | | | |
Specialty Benefits: |
| | | | | | | | | | | | |
Individual disability |
| | |
|
1,898.4 |
| | | | | 1,698.8 | | |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Life Insurance: |
| | | | | | | | | | | | |
Term life |
| | |
|
1,085.9 |
| | | | | 909.0 | | |
Total Benefits and Protection |
| | |
|
2,984.3 |
| | | | | 2,607.8 | | |
Corporate: | | | | | | | | | | | | | |
Long-term care insurance |
| | |
|
166.7 |
| | | | | 183.5 | | |
Total liability for future policy benefits |
| | |
|
31,920.9 |
| | | | | 29,022.1 | | |
Additional liability for certain benefit features by segment(2): | | | | | | | | | | | | | |
Benefits and Protection – Life Insurance: | | | | | | | | | | | | | |
Universal life |
| | |
|
5,326.5 |
| | | | | 4,095.2 | | |
Total additional liability for certain benefit features
|
| | |
|
5,326.5 |
| | | | | 4,095.2 | | |
Reconciling items: | | | | | | | | | | | | | |
Participating contracts |
| | |
|
3,060.5 |
| | | | | 3,207.2 | | |
Short-duration contracts |
| | |
|
1,283.4 |
| | | | | 1,295.6 | | |
Cost of reinsurance liability |
| | |
|
673.3 |
| | | | | 479.8 | | |
Reinsurance recoverable liability |
| | |
|
45.2 |
| | | | | 39.4 | | |
Other(3) | | | |
|
178.2 |
| | | | | 140.1 | | |
Future policy benefits and claims per consolidated
statements of financial position |
| | |
$ |
42,488.0 |
| | | | $ | 38,279.4 | | |
|
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Balance at beginning of year |
| | |
$ |
1,395.0 |
| | | | $ | 1,370.9 | | | | | $ | 1,686.0 | | |
Less: reinsurance recoverable |
| | |
|
68.6 |
| | | | | 68.7 | | | | | | 436.9 | | |
Net balance at beginning of year |
| | |
|
1,326.4 |
| | | | | 1,302.2 | | | | | | 1,249.1 | | |
Incurred: | | | | | | | | | | | | | | | | | | | |
Current year |
| | |
|
1,650.4 |
| | | | | 1,581.8 | | | | | | 1,505.1 | | |
Prior years |
| | |
|
(95.4) |
| | | | | (44.4) | | | | | | (35.4) | | |
Total incurred |
| | |
|
1,555.0 |
| | | | | 1,537.4 | | | | | | 1,469.7 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Payments: | | | | | | | | | | | | | | | | | | | |
Current year |
| | |
|
1,189.2 |
| | | | | 1,138.0 | | | | | | 1,067.8 | | |
Prior years |
| | |
|
354.1 |
| | | | | 375.2 | | | | | | 348.8 | | |
Total payments |
| | |
|
1,543.3 |
| | | | | 1,513.2 | | | | | | 1,416.6 | | |
Net balance at end of year |
| | |
|
1,338.1 |
| | | | | 1,326.4 | | | | | | 1,302.2 | | |
Plus: reinsurance recoverable |
| | |
|
67.8 |
| | | | | 68.6 | | | | | | 68.7 | | |
Balance at end of year |
| | |
$ |
1,405.9 |
| | | | $ | 1,395.0 | | | | | $ | 1,370.9 | | |
|
| | |
Net incurred claims(1)
|
| |
Incurred
but not reported claims |
| |
Cumulative number of reported claims |
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| | |
December 31, |
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| | |
2014 |
| |
2015 |
| |
2016 |
| |
2017 |
| |
2018 |
| |
2019 |
| |
2020 |
| |
2021 |
| |
2022 |
| |
2023 |
| |
2023 |
| |
2023 |
| ||||||||||||||||||||||||||||||||||||
| | |
($ in millions) |
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Incurral year |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2014 |
| | | $ | 242.2 | | | | | $ | 231.4 | | | | | $ | 214.4 | | | | | $ | 218.1 | | | | | $ | 206.2 | | | | | $ | 201.9 | | | | | $ | 202.0 | | | | | $ | 199.3 | | | | | $ | 199.8 | | | | |
$ |
200.7 |
| | | |
$ |
0.1 |
| | | |
|
7,610 |
| |
2015 |
| | | | | | | | | | 231.0 | | | | | | 227.2 | | | | | | 217.2 | | | | | | 215.3 | | | | | | 208.2 | | | | | | 210.0 | | | | | | 211.8 | | | | | | 210.5 | | | | |
|
208.3 |
| | | |
|
0.1 |
| | | |
|
7,184 |
| |
2016 |
| | | | | | | | | | | | | | | | 229.8 | | | | | | 228.4 | | | | | | 219.4 | | | | | | 219.5 | | | | | | 214.4 | | | | | | 218.7 | | | | | | 221.9 | | | | |
|
219.0 |
| | | |
|
0.1 |
| | | |
|
6,171 |
| |
2017 |
| | | | | | | | | | | | | | | | | | | | | | 238.4 | | | | | | 239.7 | | | | | | 243.1 | | | | | | 245.8 | | | | | | 245.2 | | | | | | 246.5 | | | | |
|
248.9 |
| | | |
|
0.1 |
| | | |
|
6,091 |
| |
2018 |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | 239.4 | | | | | | 245.1 | | | | | | 239.2 | | | | | | 239.8 | | | | | | 235.3 | | | | |
|
238.0 |
| | | |
|
0.1 |
| | | |
|
5,782 |
| |
2019 |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 255.2 | | | | | | 248.4 | | | | | | 240.4 | | | | | | 240.2 | | | | |
|
238.6 |
| | | |
|
0.1 |
| | | |
|
5,961 |
| |
2020 |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 252.1 | | | | | | 231.0 | | | | | | 221.1 | | | | |
|
217.7 |
| | | |
|
5.8 |
| | | |
|
5,939 |
| |
2021 |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 259.7 | | | | | | 244.5 | | | | |
|
221.6 |
| | | |
|
8.5 |
| | | |
|
5,571 |
| |
2022 |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 274.3 | | | | |
|
240.5 |
| | | |
|
4.1 |
| | | |
|
5,572 |
| |
2023 |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
267.4 |
| | | |
|
111.8 |
| | | |
|
3,353 |
| |
Total net incurred claims |
| | |
$ |
2,300.7 |
| | | | | | | | | | | | | |
| | |
Net cumulative paid claims(1)
|
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| | |
December 31, |
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| | |
2014 |
| |
2015 |
| |
2016 |
| |
2017 |
| |
2018 |
| |
2019 |
| |
2020 |
| |
2021 |
| |
2022 |
| |
2023 |
| ||||||||||||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Incurral year |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
2014 |
| | | $ | 16.1 | | | | | $ | 66.0 | | | | | $ | 96.3 | | | | | $ | 111.8 | | | | | $ | 122.3 | | | | | $ | 132.4 | | | | | $ | 140.8 | | | | | $ | 147.2 | | | | | $ | 153.3 | | | | |
$ |
158.5 |
| |
2015 |
| | | | | | | | | | 16.9 | | | | | | 67.0 | | | | | | 98.0 | | | | | | 114.6 | | | | | | 126.8 | | | | | | 137.1 | | | | | | 146.5 | | | | | | 154.0 | | | | |
|
160.3 |
| |
2016 |
| | | | | | | | | | | | | | | | 16.2 | | | | | | 70.6 | | | | | | 105.6 | | | | | | 124.9 | | | | | | 136.8 | | | | | | 147.2 | | | | | | 157.1 | | | | |
|
165.3 |
| |
2017 |
| | | | | | | | | | | | | | | | | | | | | | 17.8 | | | | | | 76.5 | | | | | | 115.0 | | | | | | 135.9 | | | | | | 151.7 | | | | | | 165.4 | | | | |
|
176.8 |
| |
2018 |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | 20.1 | | | | | | 79.9 | | | | | | 115.7 | | | | | | 135.7 | | | | | | 150.3 | | | | |
|
163.3 |
| |
2019 |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 19.2 | | | | | | 79.7 | | | | | | 117.5 | | | | | | 136.4 | | | | |
|
150.6 |
| |
2020 |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 20.6 | | | | | | 78.8 | | | | | | 113.1 | | | | |
|
130.0 |
| |
2021 |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 19.8 | | | | | | 79.0 | | | | |
|
113.2 |
| |
2022 |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 19.6 | | | | |
|
76.6 |
| |
2023 |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
|
20.0 |
| |
Total net paid claims |
| | |
|
1,314.6 |
| | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
All outstanding liabilities for unpaid claims prior to 2014 net of
reinsurance |
| | |
|
251.8 |
| | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total outstanding liabilities for unpaid claims net of reinsurance
|
| | |
$ |
1,237.9 |
| |
| | |
Net incurred claims(1)
|
| |
Incurred
but not reported claims |
| |
Cumulative number of reported claims |
| |||||||||||||||
| | |
December 31, |
| |||||||||||||||||||||
| | |
2022 |
| |
2023 |
| |
2023 |
| |
2023 |
| ||||||||||||
| | |
($ in millions) |
| |||||||||||||||||||||
Incurral year | | | | | | | | | | | | | | | | | | | | | | | | | |
2022 |
| | | $ | 924.4 | | | | |
$ |
910.6 |
| | | |
$ |
— |
| | | |
|
4,317,802 |
| |
2023 |
| | | | | | | | |
|
1,032.3 |
| | | |
|
57.1 |
| | | |
|
4,566,920 |
| |
Total net incurred claims |
| | | | | | | | |
$ |
1,942.9 |
| | | | | | | | | | | | | |
| | |
Net cumulative paid claims(1) |
| |||||||||
| | |
December 31, |
| |||||||||
| | |
2022 |
| |
2023 |
| ||||||
| | |
(in millions) |
| |||||||||
Incurral year | | | | | | | | | | | | | |
2022 |
| | | $ | 845.5 | | | | |
$ |
909.8 |
| |
2023 |
| | | | | | | | |
|
954.0 |
| |
Total net paid claims |
| | | | | | | | |
|
1,863.8 |
| |
All outstanding liabilities for unpaid claims prior
to 2022 net of reinsurance |
| | | | | | | | |
|
— |
| |
Total outstanding liabilities for unpaid claims
net of reinsurance |
| | | | | | | | |
$ |
79.1 |
| |
| | |
Net incurred claims(1)
|
| |
Incurred
but not reported claims |
| |
Cumulative number of reported claims |
| |||||||||||||||
| | |
December 31, |
| |||||||||||||||||||||
| | |
2022 |
| |
2023 |
| |
2023 |
| |
2023 |
| ||||||||||||
| | |
($ in millions) |
| |||||||||||||||||||||
Incurral year | | | | | | | | | | | | | | | | | | | | | | | | | |
2022 |
| | | $ | 279.3 | | | | |
$ |
284.2 |
| | | |
$ |
1.1 |
| | | |
|
6,168 |
| |
2023 |
| | | | | | | | |
|
284.8 |
| | | |
|
33.3 |
| | | |
|
5,064 |
| |
Total net incurred claims |
| | | | | | | | |
$ |
569.0 |
| | | | | | | | | | | | | |
| | |
Net cumulative paid claims(1) |
| |||||||||
| | |
December 31, |
| |||||||||
| | |
2022 |
| |
2023 |
| ||||||
| | |
(in millions) |
| |||||||||
Incurral year | | | | | | | | | | | | | |
2022 |
| | | $ | 218.3 | | | | |
$ |
277.5 |
| |
2023 |
| | | | | | | | |
|
215.1 |
| |
Total net paid claims |
| | | | | | | | |
|
492.6 |
| |
All outstanding liabilities for unpaid claims prior
to 2022 net of reinsurance |
| | | | | | | | |
|
8.1 |
| |
Total outstanding liabilities for unpaid claims
net of reinsurance |
| | | | | | | | |
$ |
84.5 |
| |
| | |
December 31, 2023 |
| |||||||||||||||||||||
| | |
LTD and Group Life Waiver |
| |
Dental, Vision, STD, Critical Illness, Accident, Hospital Indemnity and PFML |
| |
Group Life |
| |
Consolidated |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Net outstanding liabilities for unpaid claims |
| | |
$ |
1,237.9 |
| | | |
$ |
79.1 |
| | | |
$ |
84.5 |
| | | |
$ |
1,401.5 |
| |
Reconciling items: | | | | | | | | | | | | | | | | | | | | | | | | | |
Reinsurance recoverable on unpaid claims |
| | |
|
39.2 |
| | | |
|
— |
| | | |
|
0.1 |
| | | |
|
39.3 |
| |
Impact of discounting |
| | |
|
(215.0) |
| | | |
|
— |
| | | |
|
— |
| | | |
|
(215.0) |
| |
Loss adjustment expense liability |
| | |
|
20.5 |
| | | |
|
4.6 |
| | | |
|
12.5 |
| | | |
|
37.6 |
| |
Liability for unpaid claims – short-duration
contracts |
| | |
$ |
1,082.6 |
| | | |
$ |
83.7 |
| | | |
$ |
97.1 |
| | | |
|
1,263.4 |
| |
Insurance contracts other than short-duration |
| | | | | | | | | | | | | | | | | | | | |
|
142.5 |
| |
Liability for unpaid claims |
| | | | | | | | | | | | | | | | | | | | |
$ |
1,405.9 |
| |
| | |
December 31, 2023(1)
|
| |||||||||||||||
Year |
| |
LTD and Group Life Waiver |
| |
Dental, Vision, STD, Critical Illness, Accident, Hospital Indemnity and PFML |
| |
Group Life |
| |||||||||
1 |
| | |
|
8.1% |
| | | |
|
92.1% |
| | | |
|
78.9% |
| |
2 |
| | |
|
25.0 |
| | | |
|
7.9 |
| | | |
|
18.8 |
| |
3 |
| | |
|
15.4 |
| | | | | | | | | | | | | |
4 |
| | |
|
8.2 |
| | | | | | | | | | | | | |
5 |
| | |
|
5.8 |
| | | | | | | | | | | | | |
6 |
| | |
|
5.2 |
| | | | | | | | | | | | | |
7 |
| | |
|
4.5 |
| | | | | | | | | | | | | |
8 |
| | |
|
3.5 |
| | | | | | | | | | | | | |
9 |
| | |
|
3.0 |
| | | | | | | | | | | | | |
10 |
| | |
|
2.6 |
| | | | | | | | | | | | | |
| | |
LTD and Group Life Waiver |
| |
Dental, Vision, STD, Critical Illness, Accident, Hospital Indemnity and PFML |
| |
Group Life |
| |||||||||
| | |
($ in millions) |
| |||||||||||||||
Carrying amount of liabilities for unpaid claims | | | | | | | | | | | | | | | | | | | |
December 31, 2023 |
| | |
$ |
1,082.6 |
| | | |
$ |
83.7 |
| | | |
$ |
97.1 |
| |
December 31, 2022 |
| | | | 1,076.2 | | | | | | 79.7 | | | | | | 73.6 | | |
Range of discount rates | | | | | | | | | | | | | | | | | | | |
December 31, 2023 |
| | | | 2.8 – 7.0% | | | | | | —% | | | | | | —% | | |
December 31, 2022 |
| | | | 2.8 – 7.0 | | | | | | — | | | | | | — | | |
Aggregate amount of discount | | | | | | | | | | | | | | | | | | | |
December 31, 2023 |
| | | $ | 215.0 | | | | | $ | — | | | | | $ | — | | |
December 31, 2022 |
| | | | 209.4 | | | | | | — | | | | | | — | | |
Interest accretion | | | | | | | | | | | | | | | | | | | |
For the year ended: |
| | | | | | | | | | | | | | | | | | |
December 31, 2023 |
| | | $ | 34.7 | | | | | $ | — | | | | | $ | — | | |
December 31, 2022 |
| | | | 33.0 | | | | | | — | | | | | | — | | |
December 31, 2021 |
| | | | 33.8 | | | | | | — | | | | | | — | | |
| | |
Gross premiums or assessments(1)
|
| |
Interest accretion(2)
|
| ||||||||||||||||||||||||||||||
| | |
For the year ended December 31, |
| |
For the year ended December 31, |
| ||||||||||||||||||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |
2023 |
| |
2022 |
| |
2021 |
| ||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||
Retirement and Income Solutions: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Pension risk transfer |
| | |
$ |
2,905.9 |
| | | | $ | 1,941.0 | | | | | $ | 1,800.1 | | | | |
$ |
1,008.6 |
| | | | $ | 935.7 | | | | | $ | 916.7 | | |
Individual fixed income annuities |
| | |
|
42.5 |
| | | | | 30.1 | | | | | | 83.5 | | | | |
|
219.1 |
| | | | | 229.7 | | | | | | 240.5 | | |
Total Retirement and Income Solutions |
| | |
|
2,948.4 |
| | | | | 1,971.1 | | | | | | 1,883.6 | | | | |
|
1,227.7 |
| | | | | 1,165.4 | | | | | | 1,157.2 | | |
Benefits and Protection: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Specialty Benefits: |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Individual disability |
| | |
|
624.6 |
| | | | | 601.0 | | | | | | 574.1 | | | | |
|
94.5 |
| | | | | 90.2 | | | | | | 85.6 | | |
Life Insurance: |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Universal life |
| | |
|
681.8 |
| | | | | 577.7 | | | | | | 621.0 | | | | |
|
209.2 |
| | | | | 171.2 | | | | | | 158.3 | | |
Term life |
| | |
|
649.1 |
| | | | | 630.5 | | | | | | 619.4 | | | | |
|
48.2 |
| | | | | 43.9 | | | | | | 43.2 | | |
Total Benefits and Protection |
| | |
|
1,955.5 |
| | | | | 1,809.2 | | | | | | 1,814.5 | | | | |
|
351.9 |
| | | | | 305.3 | | | | | | 287.1 | | |
Corporate: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Long-term care insurance |
| | |
|
5.1 |
| | | | | 5.2 | | | | | | 5.2 | | | | |
|
9.6 |
| | | | | 9.8 | | | | | | 9.5 | | |
Total per consolidated statements of operations
|
| | |
$ |
4,909.0 |
| | | | $ | 3,785.5 | | | | | $ | 3,703.3 | | | | |
$ |
1,589.2 |
| | | | $ | 1,480.5 | | | | | $ | 1,453.8 | | |
| | |
For the year ended
December 31, 2023 |
| |
For the year ended
December 31, 2022 |
| ||||||||||||||||||
| | |
Pension risk transfer |
| |
Individual fixed income annuities |
| |
Pension risk transfer |
| |
Individual fixed income annuities |
| ||||||||||||
| | |
($ in millions) |
| |||||||||||||||||||||
Present value of expected future policy benefit payments | | | | | | | | | | | | | | | | | | | | | | | | | |
Balance at beginning of period |
| | |
$ |
21,211.4 |
| | | |
$ |
5,019.4 |
| | | | $ | 25,365.8 | | | | | $ | 6,535.0 | | |
Effect of changes in discount rate assumptions
at beginning of period |
| | |
|
1,799.6 |
| | | |
|
439.0 |
| | | | | (3,386.5) | | | | | | (812.6) | | |
Balance at beginning of period at original discount rate
|
| | |
|
23,011.0 |
| | | |
|
5,458.4 |
| | | | | 21,979.3 | | | | | | 5,722.4 | | |
Effect of changes in cash flow assumptions |
| | |
|
(53.4) |
| | | |
|
(1.3) |
| | | | | (7.9) | | | | | | (3.0) | | |
Effect of actual variances from expected experience
|
| | |
|
(14.6) |
| | | |
|
(0.1) |
| | | | | (3.2) | | | | | | — | | |
Adjusted beginning of period balance at original
discount rate |
| | |
|
22,943.0 |
| | | |
|
5,457.0 |
| | | | | 21,968.2 | | | | | | 5,719.4 | | |
Interest accrual |
| | |
|
1,008.6 |
| | | |
|
219.1 |
| | | | | 935.7 | | | | | | 229.7 | | |
Benefit payments |
| | |
|
(1,981.4) |
| | | |
|
(507.3) |
| | | | | (1,841.7) | | | | | | (520.4) | | |
Issuances |
| | |
|
2,921.7 |
| | | |
|
42.0 |
| | | | | 1,948.8 | | | | | | 29.7 | | |
Balance at end of period at original discount rate
|
| | |
|
24,891.9 |
| | | |
|
5,210.8 |
| | | | | 23,011.0 | | | | | | 5,458.4 | | |
Effect of changes in discount rate assumptions
at end of period |
| | |
|
(1,036.1) |
| | | |
|
(296.7) |
| | | | | (1,799.6) | | | | | | (439.0) | | |
Future policy benefits |
| | |
|
23,855.8 |
| | | |
|
4,914.1 |
| | | | | 21,211.4 | | | | | | 5,019.4 | | |
Reinsurance impact |
| | |
|
(3,540.8) |
| | | |
|
(4,869.1) |
| | | | | — | | | | | | (5,002.7) | | |
Future policy benefits after reinsurance |
| | |
$ |
20,315.0 |
| | | |
$ |
45.0 |
| | | | $ | 21,211.4 | | | | | $ | 16.7 | | |
Weighted-average duration for future policy benefits
(years)(1) |
| | |
|
8.5 |
| | | |
|
7.9 |
| | | | | 8.5 | | | | | | 7.9 | | |
| | |
For the year ended
December 31, 2023 |
| |
For the year ended
December 31, 2022 |
| ||||||||||||||||||
| | |
Specialty Benefits |
| |
Life Insurance |
| |
Specialty Benefits |
| |
Life Insurance |
| ||||||||||||
| | |
Individual disability |
| |
Term life |
| |
Individual disability |
| |
Term life |
| ||||||||||||
| | |
($ in millions) |
| |||||||||||||||||||||
Present value of expected net premiums | | | | | | | | | | | | | | | | | | | | | | | | | |
Balance at beginning of period |
| | |
$ |
2,341.8 |
| | | |
$ |
3,423.2 |
| | | | $ | 3,149.9 | | | | | $ | 4,193.7 | | |
Effect of changes in discount rate assumptions
at beginning of period |
| | |
|
395.2 |
| | | |
|
196.0 |
| | | | | (198.9) | | | | | | (690.1) | | |
Balance at beginning of period at original discount rate
|
| | |
|
2,737.0 |
| | | |
|
3,619.2 |
| | | | | 2,951.0 | | | | | | 3,503.6 | | |
Effect of changes in cash flow assumptions |
| | |
|
(37.6) |
| | | |
|
143.5 |
| | | | | (413.1) | | | | | | — | | |
Effect of actual variances from expected experience
|
| | |
|
244.3 |
| | | |
|
103.3 |
| | | | | 235.9 | | | | | | 128.6 | | |
Adjusted beginning of period balance at original
discount rate |
| | |
|
2,943.7 |
| | | |
|
3,866.0 |
| | | | | 2,773.8 | | | | | | 3,632.2 | | |
Interest accrual |
| | |
|
95.6 |
| | | |
|
171.9 |
| | | | | 95.2 | | | | | | 162.9 | | |
Net premiums collected |
| | |
|
(273.4) |
| | | |
|
(359.8) |
| | | | | (276.5) | | | | | | (346.6) | | |
Issuances |
| | |
|
100.1 |
| | | |
|
215.7 |
| | | | | 144.5 | | | | | | 170.7 | | |
Balance at end of period at original discount rate
|
| | |
|
2,866.0 |
| | | |
|
3,893.8 |
| | | | | 2,737.0 | | | | | | 3,619.2 | | |
Effect of changes in discount rate assumptions
at end of period |
| | |
|
(313.7) |
| | | |
|
(100.1) |
| | | | | (395.2) | | | | | | (196.0) | | |
Balance at end of period |
| | |
$ |
2,552.3 |
| | | |
$ |
3,793.7 |
| | | | $ | 2,341.8 | | | | | $ | 3,423.2 | | |
Present value of expected future policy benefit payments | | | | | | | | | | | | | | | | | | | | | | | | | |
Balance at beginning of period |
| | |
$ |
4,040.6 |
| | | |
$ |
4,332.2 |
| | | | $ | 5,648.3 | | | | | $ | 5,311.3 | | |
Effect of changes in discount rate assumptions
at beginning of period |
| | |
|
1,021.4 |
| | | |
|
251.6 |
| | | | | (501.0) | | | | | | (913.9) | | |
Balance at beginning of period at original discount rate
|
| | |
|
5,062.0 |
| | | |
|
4,583.8 |
| | | | | 5,147.3 | | | | | | 4,397.4 | | |
Effect of changes in cash flow assumptions |
| | |
|
(51.5) |
| | | |
|
181.8 |
| | | | | (476.3) | | | | | | — | | |
Effect of actual variances from expected experience
|
| | |
|
260.8 |
| | | |
|
116.8 |
| | | | | 240.0 | | | | | | 139.0 | | |
Adjusted beginning of period balance at original
discount rate |
| | |
|
5,271.3 |
| | | |
|
4,882.4 |
| | | | | 4,911.0 | | | | | | 4,536.4 | | |
Interest accrual |
| | |
|
190.1 |
| | | |
|
220.1 |
| | | | | 185.4 | | | | | | 206.8 | | |
Benefit payments |
| | |
|
(210.0) |
| | | |
|
(330.4) |
| | | | | (183.7) | | | | | | (340.6) | | |
| | |
For the year ended
December 31, 2023 |
| |
For the year ended
December 31, 2022 |
| ||||||||||||||||||
| | |
Specialty Benefits |
| |
Life Insurance |
| |
Specialty Benefits |
| |
Life Insurance |
| ||||||||||||
| | |
Individual disability |
| |
Term life |
| |
Individual disability |
| |
Term life |
| ||||||||||||
| | |
($ in millions) |
| |||||||||||||||||||||
Issuances |
| | |
|
102.8 |
| | | |
|
232.0 |
| | | | | 149.3 | | | | | | 181.2 | | |
Balance at end of period at original discount rate
|
| | |
|
5,354.2 |
| | | |
|
5,004.1 |
| | | | | 5,062.0 | | | | | | 4,583.8 | | |
Effect of changes in discount rate assumptions
at end of period |
| | |
|
(903.5) |
| | | |
|
(124.5) |
| | | | | (1,021.4) | | | | | | (251.6) | | |
Balance at end of period |
| | |
$ |
4,450.7 |
| | | |
$ |
4,879.6 |
| | | | $ | 4,040.6 | | | | | $ | 4,332.2 | | |
Future policy benefits(1)
|
| | |
$ |
1,898.4 |
| | | |
$ |
1,085.9 |
| | | | $ | 1,698.8 | | | | | $ | 909.0 | | |
Reinsurance impact |
| | |
|
(421.6) |
| | | |
|
(214.3) |
| | | | | (386.8) | | | | | | 25.6 | | |
Future policy benefits after reinsurance |
| | |
$ |
1,476.8 |
| | | |
$ |
871.6 |
| | | | $ | 1,312.0 | | | | | $ | 934.6 | | |
Weighted-average duration for future policy benefits
(years) (2) |
| | |
|
18.4 |
| | | |
|
9.4 |
| | | | | 18.5 | | | | | | 9.6 | | |
| | |
For the year ended
December 31, 2023 |
| |
For the year ended
December 31, 2022 |
| ||||||
| | |
($ in millions) |
| |||||||||
Balance at beginning of period |
| | |
$ |
4,095.2 |
| | | | $ | 3,814.2 | | |
Effect of changes in cash flow assumptions |
| | |
|
725.4 |
| | | | | (6.0) | | |
Effect of actual variances from expected experience
|
| | |
|
45.2 |
| | | | | 54.9 | | |
Interest accrual |
| | |
|
209.2 |
| | | | | 171.2 | | |
Net assessments collected |
| | |
|
378.1 |
| | | | | 320.3 | | |
Benefit payments |
| | |
|
(126.6) |
| | | | | (91.9) | | |
Other(1)
|
| | |
|
— |
| | | | | (167.5) | | |
Balance at end of period |
| | |
|
5,326.5 |
| | | | | 4,095.2 | | |
Reinsurance impact |
| | |
|
(5,306.2) |
| | | | | (4,091.4) | | |
Balance at end of period after reinsurance |
| | |
$ |
20.3 |
| | | | $ | 3.8 | | |
Weighted-average duration for additional liability (years)(2)
|
| | |
|
26.2 |
| | | | | 27.6 | | |
| | |
For the year ended
December 31, 2023 |
| |
For the year ended
December 31, 2022 |
| ||||||
| | |
($ in millions) |
| |||||||||
Present value of expected net premiums | | | | | | | | | | | | | |
Balance at beginning of period |
| | |
$ |
64.6 |
| | | | $ | 62.8 | | |
Effect of changes in discount rate assumptions at beginning of period
|
| | |
|
(3.6) |
| | | | | (14.0) | | |
Balance at beginning of period at original discount rate
|
| | |
|
61.0 |
| | | | | 48.8 | | |
Effect of changes in cash flow assumptions |
| | |
|
(13.3) |
| | | | | 10.0 | | |
Effect of actual variances from expected experience
|
| | |
|
(5.7) |
| | | | | 4.1 | | |
Adjusted beginning of period balance at original discount rate
|
| | |
|
42.0 |
| | | | | 62.9 | | |
Interest accrual |
| | |
|
2.9 |
| | | | | 3.3 | | |
Net premiums collected |
| | |
|
(5.1) |
| | | | | (5.2) | | |
Balance at end of period at original discount rate
|
| | |
|
39.8 |
| | | | | 61.0 | | |
| | |
For the year ended
December 31, 2023 |
| |
For the year ended
December 31, 2022 |
| ||||||
| | |
($ in millions) |
| |||||||||
Effect of changes in discount rate assumptions at end of period
|
| | |
|
3.0 |
| | | | | 3.6 | | |
Balance at end of period |
| | |
$ |
42.8 |
| | | | $ | 64.6 | | |
Present value of expected future policy benefit payments | | | | | | | | | | | | | |
Balance at beginning of period |
| | |
$ |
248.1 |
| | | | $ | 297.5 | | |
Effect of changes in discount rate assumptions at beginning of period
|
| | |
|
(18.9) |
| | | | | (89.5) | | |
Balance at beginning of period at original discount rate
|
| | |
|
229.2 |
| | | | | 208.0 | | |
Effect of changes in cash flow assumptions |
| | |
|
(40.5) |
| | | | | 17.2 | | |
Effect of actual variances from expected experience
|
| | |
|
2.5 |
| | | | | 3.7 | | |
Adjusted beginning of period balance at original discount rate
|
| | |
|
191.2 |
| | | | | 228.9 | | |
Interest accrual |
| | |
|
12.5 |
| | | | | 13.1 | | |
Benefit payments |
| | |
|
(14.2) |
| | | | | (12.8) | | |
Balance at end of period at original discount rate
|
| | |
|
189.5 |
| | | | | 229.2 | | |
Effect of changes in discount rate assumptions at end of period
|
| | |
|
20.0 |
| | | | | 18.9 | | |
Balance at end of period |
| | |
$ |
209.5 |
| | | | $ | 248.1 | | |
Future policy benefits(1)
|
| | |
$ |
166.7 |
| | | | $ | 183.5 | | |
Reinsurance impact |
| | |
|
(166.7) |
| | | | | (183.5) | | |
Future policy benefits after reinsurance |
| | |
$ |
— |
| | | | $ | — | | |
Weighted-average duration for future policy benefits (years)(2)
|
| | |
|
10.4 |
| | | | | 11.8 | | |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Retirement and Income Solutions: | | | | | | | | | | | | | |
Pension risk transfer |
| | | | | | | | | | | | |
Expected undiscounted future benefit payments |
| | |
$ |
36,325.5 |
| | | | $ | 33,691.4 | | |
Individual fixed income annuities |
| | | | | | | | | | | | |
Expected undiscounted future benefit payments |
| | |
$ |
7,292.0 |
| | | | $ | 7,716.6 | | |
Benefits and Protection – Specialty Benefits: | | | | | | | | | | | | | |
Individual disability |
| | | | | | | | | | | | |
Expected discounted future gross premiums |
| | |
$ |
5,456.4 |
| | | | $ | 5,140.9 | | |
Expected undiscounted future gross premiums |
| | |
$ |
8,264.8 |
| | | | $ | 7,978.7 | | |
Expected undiscounted future benefit payments |
| | |
$ |
8,981.2 |
| | | | $ | 8,473.9 | | |
Benefits and Protection – Life Insurance: | | | | | | | | | | | | | |
Term life |
| | | | | | | | | | | | |
Expected discounted future gross premiums |
| | |
$ |
6,385.1 |
| | | | $ | 6,104.6 | | |
Expected undiscounted future gross premiums |
| | |
$ |
10,287.2 |
| | | | $ | 10,146.3 | | |
Expected undiscounted future benefit payments |
| | |
$ |
7,832.3 |
| | | | $ | 7,202.5 | | |
Corporate: | | | | | | | | | | | | | |
Long-term care insurance |
| | | | | | | | | | | | |
Expected discounted future gross premiums |
| | |
$ |
42.8 |
| | | | $ | 64.6 | | |
Expected undiscounted future gross premiums |
| | |
$ |
60.3 |
| | | | $ | 96.5 | | |
Expected undiscounted future benefit payments |
| | |
$ |
371.0 |
| | | | $ | 483.4 | | |
| | |
Interest accretion rate |
| |
Current discount rate |
| ||||||||||||||||||
| | |
December 31, 2023 |
| |
December 31, 2022 |
| |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||||||||
Retirement and Income Solutions: | | | | | | | | | | | | | | | | | | | | | | | | | |
Pension risk transfer |
| | |
|
4.52% |
| | | | | 4.38% | | | | |
|
4.99% |
| | | | | 5.31% | | |
Individual fixed income annuities |
| | |
|
4.22% |
| | | | | 4.22% | | | | |
|
4.97% |
| | | | | 5.30% | | |
Benefits and Protection: | | | | | | | | | | | | | | | | | | | | | | | | | |
Specialty Benefits: |
| | | | | | | | | | | | | | | | | | | | | | | | |
Individual disability |
| | |
|
3.96% |
| | | | | 4.03% | | | | |
|
5.05% |
| | | | | 5.36% | | |
Life Insurance: |
| | | | | | | | | | | | | | | | | | | | | | | | |
Universal life |
| | |
|
4.75% |
| | | | | 4.73% | | | |
See note(1)
|
| |
See note(1)
|
| ||||||
Term life |
| | |
|
4.83% |
| | | | | 4.89% | | | | |
|
4.90% |
| | | | | 5.22% | | |
Corporate: | | | | | | | | | | | | | | | | | | | | | | | | | |
Long-term care insurance |
| | |
|
6.16% |
| | | | | 6.16% | | | | |
|
5.01% |
| | | | | 5.34% | | |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||||||||||||||||||||||||||
| | |
Asset |
| |
Liability |
| |
Net asset (liability) |
| |
Asset |
| |
Liability |
| |
Net asset (liability) |
| ||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||
Retirement and Income Solutions: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Individual variable annuities |
| | |
$ |
153.4 |
| | | |
$ |
111.9 |
| | | |
$ |
41.5 |
| | | | $ | 109.2 | | | | | $ | 181.4 | | | | | $ | (72.2) | | |
Total MRB per consolidated statements | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
of financial position |
| | |
$ |
153.4 |
| | | |
$ |
111.9 |
| | | |
$ |
41.5 |
| | | | $ | 109.2 | | | | | $ | 181.4 | | | | | $ | (72.2) | | |
| | |
For the year ended
December 31, 2023 |
| |
For the year ended
December 31, 2022 |
| | ||||||||
| | |
($ in millions) |
| | | | |||||||||
Balance at beginning of period |
| | |
$ |
(72.2) |
| | | | $ | (494.7) | | | | ||
Effect of changes in nonperformance risk at beginning of period
|
| | |
|
(31.7) |
| | | | | 109.5 | | | | ||
Adjusted balance at beginning of period |
| | |
|
(103.9) |
| | | | | (385.2) | | | | ||
Effect of: | | | | | | | | | | | | | | |
| | |
For the year ended
December 31, 2023 |
| |
For the year ended
December 31, 2022 |
| | ||||||||
| | |
($ in millions) |
| | | | |||||||||
Interest accrual and expected policyholder behavior
|
| | |
|
(80.9) |
| | | | | (90.1) | | | | ||
Benefit payments |
| | |
|
0.4 |
| | | | | 1.3 | | | | ||
Changes in interest rates |
| | |
|
39.9 |
| | | | | 539.1 | | | | ||
Changes in equity markets |
| | |
|
155.1 |
| | | | | (112.4) | | | | ||
Changes in equity index volatility |
| | |
|
47.9 |
| | | | | (50.2) | | | | ||
Actual policyholder behavior different from expected behavior
|
| | |
|
(4.0) |
| | | | | 1.5 | | | | ||
Changes in future expected policyholder behavior |
| | |
|
— |
| | | | | (6.1) | | | | ||
Changes in other future expected assumptions |
| | |
|
(5.3) |
| | | | | (1.8) | | | | ||
Adjusted balance at end of period |
| | |
|
49.2 |
| | | | | (103.9) | | | | ||
Effect of changes in nonperformance risk at end of period
|
| | |
|
(7.7) |
| | | | | 31.7 | | | | ||
Balance at end of period |
| | |
$ |
41.5 |
| | | | $ | (72.2) | | | | ||
Weighted-average attained age of policyholders (years)(1)
|
| | |
|
67.7 |
| | | | | 67.4 | | | | ||
Net amount at risk(2)
|
| | |
$ |
111.2 |
| | | | $ | 415.5 | | | |
| | |
For the year ended
December 31, 2023 |
| |
For the year ended
December 31, 2022 |
| ||||||
| | |
Change in input |
| |
Change in net MRB asset (liability) |
| |
Change in input |
| |
Change in net MRB asset (liability) |
|
Long-term interest rate |
| |
Increased |
| |
Favorable |
| |
Increased |
| |
Favorable |
|
Equity markets |
| |
Increased |
| |
Favorable |
| |
Decreased |
| |
Unfavorable |
|
Equity market volatilities |
| |
Decreased |
| |
Favorable |
| |
Increased |
| |
Unfavorable |
|
Own nonperformance risk |
| |
Decreased |
| |
Unfavorable |
| |
Increased |
| |
Favorable |
|
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||||||||
| | |
Range of inputs |
| |
Weighted- Average |
| |
Range of inputs |
| |
Weighted- Average |
| ||||||
Retirement and Income Solutions: | | | | | | | | | | | | | | | | | | | |
Individual variable annuities |
| | | | | | | | | | | | | | | | | | |
Long-term interest rate(1)
|
| |
4.00 – 4.20% |
| | |
|
4.10% |
| | |
3.97 – 4.12 % |
| | | | 4.04% | | |
Long-term equity market volatility |
| |
18.00 – 33.00%
|
| | |
|
22.00% |
| | |
18.10 – 34.15 %
|
| | | | 22.07% | | |
Nonperformance risk |
| |
0.80 – 1.60% |
| | |
|
1.30% |
| | |
0.90 – 1.96 % |
| | | | 1.65% | | |
Lapse rate |
| |
1.10 – 55.00%
|
| | |
|
5.90% |
| | |
1.25 – 24.75 %
|
| | | | 5.76% | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Premiums and other considerations: | | | | | | | | | | | | | | | | | | | |
Direct |
| | |
$ |
6,423.8 |
| | | | $ | 5,216.5 | | | | | $ | 4,869.7 | | |
Assumed |
| | |
|
517.0 |
| | | | | 503.5 | | | | | | 494.3 | | |
Ceded |
| | |
|
(544.1) |
| | | | | (455.7) | | | | | | (650.0) | | |
Net premiums and other considerations |
| | |
$ |
6,396.7 |
| | | | $ | 5,264.3 | | | | | $ | 4,714.0 | | |
Benefits, claims and settlement expenses: | | | | | | | | | | | | | | | | | | | |
Direct |
| | |
$ |
8,022.0 |
| | | | $ | 6,579.3 | | | | | $ | 6,460.7 | | |
Assumed |
| | |
|
853.7 |
| | | | | 772.1 | | | | | | 727.8 | | |
Ceded |
| | |
|
(1,649.5) |
| | | | | (1,468.7) | | | | | | (571.0) | | |
Net benefits, claims and settlement expenses |
| | |
$ |
7,226.2 |
| | | | $ | 5,882.7 | | | | | $ | 6,617.5 | | |
Liability for future policy benefits remeasurement (gain) loss: | | | | | | | | | | | | | | | | | | | |
Direct |
| | |
$ |
466.9 |
| | | | $ | (166.5) | | | | | $ | (12.4) | | |
Assumed |
| | |
|
269.6 |
| | | | | (8.3) | | | | | | 10.9 | | |
Ceded |
| | |
|
(789.0) |
| | | | | (85.0) | | | | | | 1.9 | | |
Net liability for future policy benefits remeasurement (gain) loss
|
| | |
$ |
(52.5) |
| | | | $ | (259.8) | | | | | $ | 0.4 | | |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Cost of reinsurance asset |
| | |
$ |
3,529.7 |
| | | | $ | 3,339.1 | | |
Cost of reinsurance liability |
| | |
$ |
673.3 |
| | | | $ | 479.8 | | |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Fixed maturities, available-for-sale |
| | |
$ |
19,220.7 |
| | | | $ | 15,693.5 | | |
Fixed maturities, trading |
| | |
|
316.8 |
| | | | | 100.8 | | |
Equity securities |
| | |
|
0.3 |
| | | | | 11.0 | | |
Mortgage loans |
| | |
|
2,826.0 |
| | | | | 2,810.8 | | |
Other investments |
| | |
|
621.4 |
| | | | | 179.8 | | |
Cash and cash equivalents |
| | |
|
942.0 |
| | | | | 1,762.9 | | |
Accrued interest income |
| | |
|
231.7 |
| | | | | 178.7 | | |
Net other liabilities |
| | |
|
(201.9) |
| | | | | (33.6) | | |
Net assets |
| | |
$ |
23,957.0 |
| | | | $ | 20,703.9 | | |
| | |
For the year ended December 31,
|
| |||||||||
| | |
2023 |
| |
2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Fixed maturities, available-for-sale |
| | |
$ |
906.9 |
| | | | $ | 745.9 | | |
Fixed maturities, trading |
| | |
|
11.9 |
| | | | | 2.0 | | |
Equity securities |
| | |
|
0.2 |
| | | | | 0.6 | | |
Mortgage loans |
| | |
|
125.2 |
| | | | | 98.4 | | |
Cash and cash equivalents |
| | |
|
58.9 |
| | | | | 18.2 | | |
Other |
| | |
|
64.0 |
| | | | | 4.8 | | |
Total |
| | |
|
1,167.0 |
| | | | | 869.9 | | |
Investment expenses |
| | |
|
24.7 |
| | | | | 20.5 | | |
Net investment income |
| | |
$ |
1,142.3 |
| | | | $ | 849.4 | | |
| | |
For the year ended December 31,
|
| |||||||||
| | |
2023 |
| |
2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Fixed maturities, available-for-sale |
| | |
$ |
(230.9) |
| | | | $ | (235.5) | | |
Fixed maturities, trading |
| | |
|
(0.1) |
| | | | | (6.4) | | |
Equity securities |
| | |
|
(1.2) |
| | | | | (2.4) | | |
Mortgage loans |
| | |
|
(34.1) |
| | | | | (24.8) | | |
Derivatives |
| | |
|
7.2 |
| | | | | 2.7 | | |
Other |
| | |
|
— |
| | | | | 3.3 | | |
Net realized capital losses |
| | |
$ |
(259.1) |
| | | | $ | (263.1) | | |
| | | | | | | | |
December 31, 2023 |
| |||||||||
Obligor/Applicant |
| |
Financing structure |
| |
Maturity |
| |
Capacity |
| |
Short-term debt outstanding |
| ||||||
| | | | | | | | |
(in millions) |
| |||||||||
PLIC |
| |
Credit facility |
| |
October 2027 |
| | |
$ |
800.0 |
| | | |
$ |
— |
| |
Total |
| | | | | | | | | $ | 800.0 | | | | | $ | — | | |
| | | | | | | | |
December 31, 2022 |
| |||||||||
Obligor/Applicant |
| |
Financing structure |
| |
Maturity |
| |
Capacity |
| |
Short-term debt outstanding |
| ||||||
| | | | | | | | |
(in millions) |
| |||||||||
PLIC |
| |
Credit facility |
| |
October 2027 |
| | | $ | 800.0 | | | | | $ | — | | |
Total |
| | | | | | | | | $ | 800.0 | | | | | $ | — | | |
| | |
December 31, 2023 |
| | | | |||||||||||||||
| | |
Principal |
| |
Net unamortized discount, premium and debt issuance costs |
| |
Carrying amount |
| | |||||||||||
| | |
(in millions) |
| | |||||||||||||||||
Non-recourse mortgages and notes payable |
| | |
$ |
3.1 |
| | | |
$ |
(0.1) |
| | | |
$ |
3.0 |
| | | ||
Total long-term debt |
| | |
$ |
3.1 |
| | | |
$ |
(0.1) |
| | | |
$ |
3.0 |
| | |
| | |
December 31, 2022 |
| | | | |||||||||||||||
| | |
Principal |
| |
Net unamortized discount, premium and debt issuance costs |
| |
Carrying amount |
| | |||||||||||
| | |
(in millions) |
| | |||||||||||||||||
Non-recourse mortgages and notes payable |
| | | $ | 67.1 | | | | | $ | 0.7 | | | | | $ | 67.8 | | | | ||
Total long-term debt |
| | | $ | 67.1 | | | | | $ | 0.7 | | | | | $ | 67.8 | | | |
| Year ending December 31: | | | | | | | |
|
2024 |
| | |
$ |
0.1 |
| |
|
2025 |
| | |
|
0.1 |
| |
|
2026 |
| | |
|
0.9 |
| |
|
2027 |
| | |
|
0.9 |
| |
|
2028 |
| | |
|
1.0 |
| |
|
Thereafter |
| | |
|
— |
| |
|
Total future maturities of long-term debt |
| | |
$ |
3.0 |
| |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Current income taxes (benefits): | | | | | | | | | | | | | | | | | | | |
U.S. federal |
| | |
$ |
45.8 |
| | | | $ | (142.9) | | | | | $ | 96.8 | | |
State |
| | |
|
19.1 |
| | | | | 21.7 | | | | | | 11.4 | | |
Total current income taxes (benefits) |
| | |
|
64.9 |
| | | | | (121.2) | | | | | | 108.2 | | |
Deferred income taxes (benefits): | | | | | | | | | | | | | | | | | | | |
U.S. federal |
| | |
|
(141.0) |
| | | | | 1,231.7 | | | | | | 87.9 | | |
State |
| | |
|
(11.3) |
| | | | | (4.5) | | | | | | 0.5 | | |
Total deferred income taxes (benefits) |
| | |
|
(152.3) |
| | | | | 1,227.2 | | | | | | 88.4 | | |
Income taxes (benefits) |
| | |
$ |
(87.4) |
| | | | $ | 1,106.0 | | | | | $ | 196.6 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Domestic |
| | |
$ |
149.2 |
| | | | $ | 5,785.5 | | | | | $ | 1,512.7 | | |
Total income before income taxes |
| | |
$ |
149.2 |
| | | | $ | 5,785.5 | | | | | $ | 1,512.7 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
U.S. corporate income tax rate |
| | |
|
21% |
| | | | | 21% | | | | | | 21% | | |
Dividends received deduction |
| | |
|
(47) |
| | | | | (1) | | | | | | (5) | | |
Tax credits |
| | |
|
(40) |
| | | | | (1) | | | | | | (3) | | |
Interest exclusion from taxable income |
| | |
|
(15) |
| | | | | — | | | | | | (1) | | |
Impact of equity method presentation |
| | |
|
(3) |
| | | | | — | | | | | | — | | |
Employee compensation |
| | |
|
(2) |
| | | | | — | | | | | | — | | |
Other postretirement employee benefits redesignation
|
| | |
|
(2) |
| | | | | — | | | | | | — | | |
Low income housing tax credit amortization |
| | |
|
24 |
| | | | | — | | | | | | — | | |
State income taxes |
| | |
|
4 |
| | | | | — | | | | | | — | | |
Nondeductible expenses |
| | |
|
2 |
| | | | | — | | | | | | — | | |
Other |
| | |
|
(1) |
| | | | | — | | | | | | 1 | | |
Effective income tax rate |
| | |
|
(59)% |
| | | | | 19% | | | | | | 13% | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Balance at beginning of period |
| | |
$ |
40.6 |
| | | | $ | 43.9 | | | | | $ | 45.8 | | |
Additions based on tax positions related to the current year
|
| | |
|
0.3 |
| | | | | — | | | | | | 1.3 | | |
Reductions for tax positions related to the current year
|
| | |
|
(3.2) |
| | | | | (3.3) | | | | | | (3.2) | | |
Balance at end of period(1)
|
| | |
$ |
37.7 |
| | | | $ | 40.6 | | | | | $ | 43.9 | | |
| | |
December 31, |
| |||||||||
| | |
2023 |
| |
2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Deferred income tax assets: | | | | | | | | | | | | | |
Net unrealized losses on available-for-sale securities
|
| | |
$ |
1,098.3 |
| | | | $ | 1,611.9 | | |
Net operating and capital loss carryforwards |
| | |
|
42.9 |
| | | | | — | | |
Tax credit carryforwards |
| | |
|
64.2 |
| | | | | 65.8 | | |
Employee benefits |
| | |
|
30.0 |
| | | | | 26.4 | | |
Intangible assets |
| | |
|
42.2 |
| | | | | 17.6 | | |
Other deferred income tax assets |
| | |
|
8.5 |
| | | | | — | | |
Gross deferred income tax assets |
| | |
|
1,286.1 |
| | | | | 1,721.7 | | |
Valuation allowance |
| | |
|
(12.0) |
| | | | | (12.3) | | |
Total deferred income tax assets |
| | |
|
1,274.1 |
| | | | | 1,709.4 | | |
Deferred income tax liabilities: | | | | | | | | | | | | | |
Deferred acquisition costs |
| | |
|
(622.5) |
| | | | | (655.6) | | |
Investments, including derivatives |
| | |
|
(210.1) |
| | | | | (187.6) | | |
Funds withheld embedded derivative |
| | |
|
(488.5) |
| | | | | (767.1) | | |
Real estate |
| | |
|
(136.7) |
| | | | | (140.0) | | |
Insurance liabilities |
| | |
|
(1,165.6) |
| | | | | (1,011.9) | | |
Gain on sale of discontinued operations(1)
|
| | |
|
(174.5) |
| | | | | (182.1) | | |
Other deferred income tax liabilities |
| | |
|
— |
| | | | | (51.1) | | |
Total deferred income tax liabilities |
| | |
|
(2,797.9) |
| | | | | (2,995.4) | | |
Total net deferred income tax liabilities |
| | |
$ |
(1,523.8) |
| | | | $ | (1,286.0) | | |
| | |
December 31, |
| |||||||||
| | |
2023 |
| |
2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Deferred income tax assets: | | | | | | | | | | | | | |
State |
| | |
$ |
17.2 |
| | | | $ | 10.9 | | |
Net deferred income tax assets |
| | |
|
17.2 |
| | | | | 10.9 | | |
| | |
December 31, |
| |||||||||
| | |
2023 |
| |
2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Deferred income tax liabilities: | | | | | | | | | | | | | |
U.S. federal |
| | |
|
(1,541.0) |
| | | | | (1,296.9) | | |
Net deferred income tax liabilities |
| | |
|
(1,541.0) |
| | | | | (1,296.9) | | |
Total net deferred income tax liabilities |
| | |
$ |
(1,523.8) |
| | | | $ | (1,286.0) | | |
|
| | |
December 31, |
| |||||||||
| | |
2023 |
| |
2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Change in benefit obligation | | | | | | | | | | | | | |
Benefit obligation at beginning of year |
| | |
$ |
(58.6) |
| | | | $ | (79.2) | | |
Interest cost |
| | |
|
(2.8) |
| | | | | (1.9) | | |
Actuarial gain (loss) |
| | |
|
(3.0) |
| | | | | 17.0 | | |
Participant contributions |
| | |
|
(6.1) |
| | | | | (6.4) | | |
Benefits paid |
| | |
|
13.6 |
| | | | | 11.9 | | |
Benefit obligation at end of year |
| | |
$ |
(56.9) |
| | | | $ | (58.6) | | |
Change in plan assets | | | | | | | | | | | | | |
Fair value of plan assets at beginning of year |
| | |
$ |
70.4 |
| | | | $ | 89.5 | | |
Actual return on plan assets |
| | |
|
9.6 |
| | | | | (15.0) | | |
Employer contribution |
| | |
|
1.5 |
| | | | | 1.4 | | |
Participant contributions |
| | |
|
6.1 |
| | | | | 6.4 | | |
Benefits paid |
| | |
|
(13.6) |
| | | | | (11.9) | | |
Fair value of plan assets at end of year |
| | |
$ |
74.0 |
| | | | $ | 70.4 | | |
Amount recognized in statement of financial position | | | | | | | | | | | | | |
Other assets |
| | |
$ |
17.1 |
| | | | $ | 11.8 | | |
Total |
| | |
$ |
17.1 |
| | | | $ | 11.8 | | |
Amount recognized in accumulated other comprehensive income | | | | | | | | | | | | | |
Total net actuarial gain |
| | |
$ |
(20.5) |
| | | | $ | (18.1) | | |
Pre-tax accumulated other comprehensive income |
| | |
$ |
(20.5) |
| | | | $ | (18.1) | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Interest cost |
| | |
$ |
2.8 |
| | | | $ | 1.9 | | | | | $ | 1.8 | | |
Expected return on plan assets |
| | |
|
(3.5) |
| | | | | (3.8) | | | | | | (3.5) | | |
Recognized net actuarial gain |
| | |
|
(0.7) |
| | | | | (0.8) | | | | | | (0.4) | | |
Net periodic benefit income |
| | |
$ |
(1.4) |
| | | | $ | (2.7) | | | | | $ | (2.1) | | |
| | |
For the year ended December 31,
|
| |||||||||
| | |
2023 |
| |
2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Other changes recognized in accumulated other
comprehensive (income) loss |
| | | | | | | | | | | | |
Net actuarial (gain) loss |
| | |
$ |
(3.1) |
| | | | $ | 1.8 | | |
Amortization of net gain |
| | |
|
0.7 |
| | | | | 0.8 | | |
Total recognized in pre-tax accumulated other comprehensive
(income) loss |
| | |
$ |
(2.4) |
| | | | $ | 2.6 | | |
Total recognized in net periodic benefit cost and pre-tax accumulated | | | | | | | | | | | | | |
other comprehensive income |
| | |
$ |
(3.8) |
| | | | $ | (0.1) | | |
| | |
December 31, |
| |||||||||
| | |
2023 |
| |
2022 |
| ||||||
Discount rate |
| | |
|
4.80% |
| | | | | 5.05% | | |
Rate of compensation increase |
| | |
|
N/A |
| | | | | N/A | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
Discount rate |
| | |
|
5.05% |
| | | | | 2.55% | | | | | | 2.15% | | |
Expected long-term return on plan assets |
| | |
|
5.20% |
| | | | | 4.25% | | | | | | 4.25% | | |
Rate of compensation increase |
| | |
|
N/A |
| | | | | N/A | | | | | | N/A% | | |
| | |
December 31, |
| |||||||||
| | |
2023 |
| |
2022 |
| ||||||
Health care cost trend rate assumed for next year under age 65
|
| | |
|
7.50% |
| | | | | 7.00% | | |
Rate to which the cost trend rate is assumed to decline (the ultimate
trend rate) |
| | |
|
4.50% |
| | | | | 4.50% | | |
Year that the rate reaches the ultimate trend rate (under age 65)
|
| | |
|
2032 |
| | | | | 2031 | | |
| | |
December 31, 2023 |
| |||||||||||||||||||||
| | |
Assets measured at fair value |
| |
Fair value hierarchy level |
| ||||||||||||||||||
| | |
Level 1 |
| |
Level 2 |
| |
Level 3 |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Asset category | | | | | | | | | | | | | | | | | | | | | | | | | |
Cash and cash equivalents |
| | | $ | 1.1 | | | | | $ | 1.1 | | | | | $ | — | | | | | $ | — | | |
Fixed income security portfolios(1)
|
| | |
|
34.9 |
| | | |
|
34.9 |
| | | |
|
— |
| | | |
|
— |
| |
U.S. equity portfolios(2)
|
| | |
|
27.6 |
| | | |
|
27.6 |
| | | |
|
— |
| | | |
|
— |
| |
International equity portfolios(3)
|
| | |
|
10.4 |
| | | |
|
10.4 |
| | | |
|
— |
| | | |
|
— |
| |
Total | | | | $ | 74.0 | | | | | $ | 74.0 | | | | | $ | — | | | | | $ | — | | |
| | |
December 31, 2022 |
| |||||||||||||||||||||
| | |
Assets measured at fair value |
| |
Fair value hierarchy level |
| ||||||||||||||||||
| | |
Level 1 |
| |
Level 2 |
| |
Level 3 |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Asset category | | | | | | | | | | | | | | | | | | | | | | | | | |
Cash and cash equivalents |
| | | $ | 0.5 | | | | | $ | 0.5 | | | | | $ | — | | | | | $ | — | | |
Fixed income security portfolios(1)
|
| | | | 34.7 | | | | | | 34.7 | | | | | | — | | | | | | — | | |
U.S. equity portfolios(2)
|
| | | | 25.6 | | | | | | 25.6 | | | | | | — | | | | | | — | | |
International equity portfolios(3)
|
| | | | 9.6 | | | | | | 9.6 | | | | | | — | | | | | | — | | |
Total |
| | | $ | 70.4 | | | | | $ | 70.4 | | | | | $ | — | | | | | $ | — | | |
Asset category |
| |
Target allocation |
| |||
Fixed income security portfolios |
| | |
|
50% |
| |
U.S. equity portfolios |
| | |
|
35% |
| |
International equity portfolios |
| | |
|
15% |
| |
| | |
Other postretirement benefits (gross benefit payments, including prescription drug benefits) |
| |||
| | |
(in millions) |
| |||
Year ending December 31: | | | | | | | |
2024 |
| | |
$ |
11.2 |
| |
2025 |
| | |
|
10.2 |
| |
2026 |
| | |
|
9.1 |
| |
2027 |
| | |
|
8.0 |
| |
2028 |
| | |
|
7.2 |
| |
2029-2033 |
| | |
|
29.7 |
| |
| | |
December 31, |
| |||||||||
| | |
2023 |
| |
2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Assets | | | | | | | | | | | | | |
Operating lease assets(1)
|
| | |
$ |
113.0 |
| | | | $ | 116.9 | | |
Finance lease assets(1)
|
| | |
|
73.8 |
| | | | | 82.4 | | |
Total lease assets |
| | |
$ |
186.8 |
| | | | $ | 199.3 | | |
| | |
December 31, |
| |||||||||
| | |
2023 |
| |
2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Liabilities | | | | | | | | | | | | | |
Operating lease liabilities(2)
|
| | |
$ |
104.5 |
| | | | $ | 112.2 | | |
Finance lease liabilities(2)
|
| | |
|
74.8 |
| | | | | 83.0 | | |
Total lease liabilities |
| | |
$ |
179.3 |
| | | | $ | 195.2 | | |
|
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Finance lease cost(1): | | | | | | | | | | | | | | | | | | | |
Amortization of right-of-use assets |
| | |
$ |
32.9 |
| | | | $ | 34.0 | | | | | $ | 30.5 | | |
Interest on lease liabilities |
| | |
|
1.9 |
| | | | | 1.2 | | | | | | 1.0 | | |
Operating lease cost(1)
|
| | |
|
28.9 |
| | | | | 34.6 | | | | | | 37.6 | | |
Other lease cost(1)(2)
|
| | |
|
6.6 |
| | | | | 9.5 | | | | | | 7.3 | | |
Sublease income(3)
|
| | |
|
(0.3) |
| | | | | (1.5) | | | | | | (1.7) | | |
Total lease cost |
| | |
$ |
70.0 |
| | | | $ | 77.8 | | | | | $ | 74.7 | | |
| | |
Operating leases |
| |
Finance leases |
| |
Total |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
For the twelve months ending December 31: | | | | | | | | | | | | | | | | | | | |
2024 |
| | |
$ |
25.2 |
| | | |
$ |
31.1 |
| | | | $ | 56.3 | | |
2025 |
| | |
|
22.1 |
| | | |
|
23.4 |
| | | |
|
45.5 |
| |
2026 |
| | |
|
18.9 |
| | | |
|
17.1 |
| | | |
|
36.0 |
| |
2027 |
| | |
|
15.2 |
| | | |
|
7.5 |
| | | |
|
22.7 |
| |
2028 |
| | |
|
11.0 |
| | | |
|
0.1 |
| | | |
|
11.1 |
| |
2029 and thereafter |
| | |
|
25.9 |
| | | |
|
— |
| | | |
|
25.9 |
| |
| | |
Operating leases |
| |
Finance leases |
| |
Total |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Total lease payments |
| | |
|
118.3 |
| | | |
|
79.2 |
| | | |
|
197.5 |
| |
Less: interest |
| | |
|
13.8 |
| | | |
|
4.4 |
| | | |
|
18.2 |
| |
Present value of lease liabilities |
| | |
$ |
104.5 |
| | | |
$ |
74.8 |
| | | | $ | 179.3 | | |
|
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
Weighted-average remaining lease term (in years): | | | | | | | | | | | | | | | | | | | |
Operating leases |
| | |
|
7.3 |
| | | | | 7.7 | | | | | | 7.8 | | |
Finance leases |
| | |
|
3.0 |
| | | | | 2.8 | | | | | | 3.2 | | |
Weighted-average discount rate: | | | | | | | | | | | | | | | | | | | |
Operating leases |
| | |
|
2.9% |
| | | | | 2.5% | | | | | | 2.2% | | |
Finance leases |
| | |
|
3.5% |
| | | | | 1.7% | | | | | | 1.1% | | |
| | |
For the year ended December 31, 2023
|
| |||||||||||||||
| | |
Pre-Tax |
| |
Tax |
| |
After-Tax |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Net unrealized gains on available-for-sale securities during the
period |
| | |
$ |
2,069.1 |
| | | |
$ |
(438.8) |
| | | |
$ |
1,630.3 |
| |
Reclassification adjustment for losses included in net income(1)
|
| | |
|
355.1 |
| | | |
|
(74.8) |
| | | |
|
280.3 |
| |
Adjustments for assumed changes in amortization patterns
|
| | |
|
(2.5) |
| | | |
|
0.6 |
| | | |
|
(1.9) |
| |
Adjustments for assumed changes in policyholder liabilities
|
| | |
|
0.7 |
| | | |
|
(0.1) |
| | | |
|
0.6 |
| |
Net unrealized gains on available-for-sale securities
|
| | |
|
2,422.4 |
| | | |
|
(513.1) |
| | | |
|
1,909.3 |
| |
Net unrealized losses on derivative instruments during the period
|
| | |
|
(44.9) |
| | | |
|
9.4 |
| | | |
|
(35.5) |
| |
Reclassification adjustment for gains included in net income(2)
|
| | |
|
(7.4) |
| | | |
|
1.6 |
| | | |
|
(5.8) |
| |
Adjustments for assumed changes in amortization patterns
|
| | |
|
(0.9) |
| | | |
|
0.2 |
| | | |
|
(0.7) |
| |
Adjustments for assumed changes in policyholder liabilities
|
| | |
|
0.2 |
| | | |
|
— |
| | | |
|
0.2 |
| |
Net unrealized losses on derivative instruments |
| | |
|
(53.0) |
| | | |
|
11.2 |
| | | |
|
(41.8) |
| |
Liability for future policy benefits discount rate remeasurement
loss(3) |
| | |
|
(496.5) |
| | | |
|
104.3 |
| | | |
|
(392.2) |
| |
Market risk benefit nonperformance risk loss(4)
|
| | |
|
(39.4) |
| | | |
|
8.3 |
| | | |
|
(31.1) |
| |
Unrecognized postretirement benefit obligation during the period
|
| | |
|
3.0 |
| | | |
|
(0.7) |
| | | |
|
2.3 |
| |
Amortization of amounts included in net periodic benefit cost(5)
|
| | |
|
(0.7) |
| | | |
|
0.2 |
| | | |
|
(0.5) |
| |
Net unrecognized postretirement benefit obligation
|
| | |
|
2.3 |
| | | |
|
(0.5) |
| | | |
|
1.8 |
| |
Other comprehensive income |
| | |
$ |
1,835.8 |
| | | |
$ |
(389.8) |
| | | |
$ |
1,446.0 |
| |
| | |
For the year ended December 31, 2022
|
| |||||||||||||||
| | |
Pre-Tax |
| |
Tax |
| |
After-Tax |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Net unrealized losses on available-for-sale securities
during the period |
| | | $ | (12,980.2) | | | | | $ | 2,753.0 | | | | | $ | (10,227.2) | | |
Reclassification adjustment for losses included in net income(1)
|
| | | | 333.3 | | | | | | (70.4) | | | | | | 262.9 | | |
Adjustments for assumed changes in amortization patterns
|
| | | | (3.7) | | | | | | 0.7 | | | | | | (3.0) | | |
Adjustments for assumed changes in policyholder liabilities
|
| | | | 273.2 | | | | | | (57.3) | | | | | | 215.9 | | |
Net unrealized losses on available-for-sale securities
|
| | | | (12,377.4) | | | | | | 2,626.0 | | | | | | (9,751.4) | | |
Net unrealized losses on derivative instruments during the period
|
| | | | (1.4) | | | | | | 0.4 | | | | | | (1.0) | | |
Reclassification adjustment for gains included in net income(2)
|
| | | | (28.0) | | | | | | 5.8 | | | | | | (22.2) | | |
Adjustments for assumed changes in amortization patterns
|
| | | | (0.1) | | | | | | — | | | | | | (0.1) | | |
Adjustments for assumed changes in policyholder liabilities
|
| | | | 0.4 | | | | | | (0.2) | | | | | | 0.2 | | |
Net unrealized losses on derivative instruments |
| | | | (29.1) | | | | | | 6.0 | | | | | | (23.1) | | |
Liability for future policy benefits discount rate
remeasurement gain (3)
|
| | | | 6,295.5 | | | | | | (1,322.1) | | | | | | 4,973.4 | | |
Market risk benefit nonperformance risk gain(4)
|
| | | | 141.2 | | | | | | (29.7) | | | | | | 111.5 | | |
Unrecognized postretirement benefit obligation during the period
|
| | | | (1.7) | | | | | | 0.3 | | | | | | (1.4) | | |
Amortization of amounts included in net periodic benefit cost(5)
|
| | | | (0.8) | | | | | | 0.2 | | | | | | (0.6) | | |
Net unrecognized postretirement benefit obligation
|
| | | | (2.5) | | | | | | 0.5 | | | | | | (2.0) | | |
Other comprehensive loss |
| | | $ | (5,972.3) | | | | | $ | 1,280.7 | | | | | $ | (4,691.6) | | |
| | |
For the year ended December 31, 2021
|
| |||||||||||||||
| | |
Pre-Tax |
| |
Tax |
| |
After-Tax |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Net unrealized losses on available-for-sale securities during the
period |
| | | $ | (2,313.3) | | | | | $ | 490.5 | | | | | $ | (1,822.8) | | |
Reclassification adjustment for losses included in net income(1)
|
| | | | 20.5 | | | | | | (4.3) | | | | | | 16.2 | | |
Adjustments for assumed changes in amortization patterns
|
| | | | (0.2) | | | | | | — | | | | | | (0.2) | | |
Adjustments for assumed changes in policyholder liabilities
|
| | | | 252.6 | | | | | | (53.0) | | | | | | 199.6 | | |
Net unrealized losses on available-for-sale securities
|
| | | | (2,040.4) | | | | | | 433.2 | | | | | | (1,607.2) | | |
Net unrealized gains on derivative instruments during the period
|
| | | | 66.7 | | | | | | (14.1) | | | | | | 52.6 | | |
Reclassification adjustment for gains included in net income(2)
|
| | | | (25.5) | | | | | | 5.4 | | | | | | (20.1) | | |
Adjustments for assumed changes in policyholder liabilities
|
| | | | 1.2 | | | | | | (0.2) | | | | | | 1.0 | | |
Net unrealized gains on derivative instruments |
| | | | 42.4 | | | | | | (8.9) | | | | | | 33.5 | | |
Liability for future policy benefits discount rate remeasurement
gain(3) |
| | | | 2,076.0 | | | | | | (435.9) | | | | | | 1,640.1 | | |
Market risk benefit nonperformance risk loss(4)
|
| | | | (2.8) | | | | | | 0.6 | | | | | | (2.2) | | |
Unrecognized postretirement benefit obligation during the period
|
| | | | 2.3 | | | | | | (0.5) | | | | | | 1.8 | | |
Amortization of amounts included in net periodic benefit cost(5)
|
| | | | (0.4) | | | | | | 0.1 | | | | | | (0.3) | | |
Net unrecognized postretirement benefit obligation
|
| | | | 1.9 | | | | | | (0.4) | | | | | | 1.5 | | |
Other comprehensive income |
| | | $ | 77.1 | | | | | $ | (11.4) | | | | | $ | 65.7 | | |
| | |
Net unrealized gains (losses) on available-for-sale securities(1) |
| |
Net unrealized gains (losses) on derivative instruments |
| |
LFPB discount rate remeasurement gain (loss) |
| |
MRB
nonperformance risk gain (loss) |
| |
Unrecognized postretirement benefit obligation |
| |
Accumulated other comprehensive income (loss) |
| ||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||
Balances as of January 1, 2021
|
| | | $ | 3,955.5 | | | | | $ | 18.5 | | | | | $ | — | | | | | $ | — | | | | | $ | 12.9 | | | | | $ | 3,986.9 | | |
Other comprehensive income during
the period, net of adjustments |
| | | | (1,623.4) | | | | | | 53.6 | | | | | | 1,640.1 | | | | | | (2.2) | | | | | | 1.8 | | | | | | 69.9 | | |
Amounts reclassified from AOCI |
| | | | 16.2 | | | | | | (20.1) | | | | | | — | | | | | | — | | | | | | (0.3) | | | | | | (4.2) | | |
Other comprehensive income |
| | | | (1,607.2) | | | | | | 33.5 | | | | | | 1,640.1 | | | | | | (2.2) | | | | | | 1.5 | | | | | | 65.7 | | |
Effects of implementation of
accounting change related to
long-duration insurance
contracts, net |
| | | | 1,356.0 | | | | | | 5.0 | | | | | | (5,328.8) | | | | | | (84.3) | | | | | | — | | | | | | (4,052.1) | | |
Net assets transferred to affiliate due
to change in benefit plan
sponsorship |
| | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 2.0 | | | | | | 2.0 | | |
Balances as of December 31, 2021
|
| | | | 3,704.3 | | | | | | 57.0 | | | | | | (3,688.7) | | | | | | (86.5) | | | | | | 16.4 | | | | | | 2.5 | | |
Other comprehensive loss during
the period, net of adjustments |
| | | | (10,014.3) | | | | | | (0.9) | | | | | | 4,973.4 | | | | | | 111.5 | | | | | | (1.4) | | | | | | (4,931.7) | | |
Amounts reclassified from AOCI |
| | | | 262.9 | | | | | | (22.2) | | | | | | — | | | | | | — | | | | | | (0.6) | | | | | | 240.1 | | |
Other comprehensive loss |
| | | | (9,751.4) | | | | | | (23.1) | | | | | | 4,973.4 | | | | | | 111.5 | | | | | | (2.0) | | | | | | (4,691.6) | | |
Adjustments for reinsurance(2)
|
| | | | 108.3 | | | | | | 6.1 | | | | | | — | | | | | | — | | | | | | — | | | | | | 114.4 | | |
Balances as of December 31, 2022
|
| | | | (5,938.8) | | | | | | 40.0 | | | | | | 1,284.7 | | | | | | 25.0 | | | | | | 14.4 | | | | | | (4,574.7) | | |
Other comprehensive income during
the period, net of adjustments |
| | |
|
1,629.0 |
| | | |
|
(36.0) |
| | | |
|
(392.2) |
| | | |
|
(31.1) |
| | | |
|
2.3 |
| | | |
|
1,172.0 |
| |
Amounts reclassified from AOCI |
| | |
|
280.3 |
| | | |
|
(5.8) |
| | | |
|
— |
| | | |
|
— |
| | | |
|
(0.5) |
| | | |
|
274.0 |
| |
Other comprehensive income |
| | |
|
1,909.3 |
| | | |
|
(41.8) |
| | | |
|
(392.2) |
| | | |
|
(31.1) |
| | | |
|
1.8 |
| | | |
|
1,446.0 |
| |
Balances as of December 31, 2023 |
| | | $ | (4,029.5) | | | | | $ | (1.8) | | | | | $ | 892.5 | | | | | $ | (6.1) | | | | | $ | 16.2 | | | | | $ | (3,128.7) | | |
| | |
December 31, 2023 |
| |||||||||||||||||||||||||||
| | |
Assets/ (liabilities) measured at fair value |
| |
Amount measured at net asset value(5) |
| |
Fair value hierarchy level |
| |||||||||||||||||||||
| | |
Level 1 |
| |
Level 2 |
| |
Level 3 |
| |||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Assets | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Fixed maturities, available-for-sale: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
U.S. government and agencies |
| | | $ | 1,504.9 | | | | | $ | — | | | | | $ | 1,210.8 | | | | | $ | 294.1 | | | | | $ | — | | |
Non-U.S. governments |
| | |
|
479.9 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
479.9 |
| | | |
|
— |
| |
States and political subdivisions |
| | |
|
6,613.3 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
6,545.1 |
| | | |
|
68.2 |
| |
Corporate |
| | |
|
33,079.5 |
| | | |
|
— |
| | | |
|
30.9 |
| | | |
|
30,742.7 |
| | | |
|
2,305.9 |
| |
Residential mortgage-backed pass-through securities
|
| | |
|
2,824.9 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
2,824.9 |
| | | |
|
— |
| |
Commercial mortgage-backed securities |
| | |
|
4,743.4 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
4,740.4 |
| | | |
|
3.0 |
| |
Collateralized debt obligations(1)
|
| | |
|
5,397.8 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
5,322.4 |
| | | |
|
75.4 |
| |
Other debt obligations |
| | |
|
7,886.5 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
6,703.9 |
| | | |
|
1,182.6 |
| |
Total fixed maturities, available-for-sale |
| | |
|
62,530.2 |
| | | |
|
— |
| | | |
|
1,241.7 |
| | | |
|
57,653.4 |
| | | |
|
3,635.1 |
| |
Fixed maturities, trading |
| | |
|
715.3 |
| | | |
|
— |
| | | |
|
27.7 |
| | | |
|
307.8 |
| | | |
|
379.8 |
| |
Equity securities |
| | |
|
43.0 |
| | | |
|
— |
| | | |
|
14.9 |
| | | |
|
28.1 |
| | | |
|
— |
| |
Derivative assets(2)
|
| | |
|
253.0 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
246.9 |
| | | |
|
6.1 |
| |
Other investments |
| | |
|
238.3 |
| | | |
|
73.7 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
164.6 |
| |
Cash equivalents |
| | |
|
3,010.2 |
| | | |
|
— |
| | | |
|
449.6 |
| | | |
|
2,560.6 |
| | | |
|
— |
| |
| | |
December 31, 2023 |
| |||||||||||||||||||||||||||
| | |
Assets/ (liabilities) measured at fair value |
| |
Amount measured at net asset value(5) |
| |
Fair value hierarchy level |
| |||||||||||||||||||||
| | |
Level 1 |
| |
Level 2 |
| |
Level 3 |
| |||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Market risk benefit asset(3)
|
| | |
|
153.4 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
153.4 |
| |
Sub-total excluding separate account assets
|
| | |
|
66,943.4 |
| | | |
|
73.7 |
| | | |
|
1,733.9 |
| | | |
|
60,796.8 |
| | | |
|
4,339.0 |
| |
Separate account assets |
| | |
|
131,641.7 |
| | | |
|
8,692.0 |
| | | |
|
103,598.9 |
| | | |
|
18,598.0 |
| | | |
|
752.8 |
| |
Total assets |
| | | $ | 198,585.1 | | | | | $ | 8,765.7 | | | | | $ | 105,332.8 | | | | | $ | 79,394.8 | | | | | $ | 5,091.8 | | |
Liabilities | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Investment and universal life contracts(4)
|
| | | $ | (115.5) | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | (115.5) | | |
Market risk benefit liability(3)
|
| | |
|
(111.9) |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
(111.9) |
| |
Funds withheld payable embedded derivative(4)
|
| | |
|
2,326.1 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
2,326.1 |
| |
Derivative liabilities(2)
|
| | |
|
(473.4) |
| | | |
|
— |
| | | |
|
— |
| | | |
|
(472.6) |
| | | |
|
(0.8) |
| |
Total liabilities |
| | | $ | 1,625.3 | | | | | $ | — | | | | | $ | — | | | | | $ | (472.6) | | | | | $ | 2,097.9 | | |
Net assets |
| | | $ | 200,210.4 | | | | | $ | 8,765.7 | | | | | $ | 105,332.8 | | | | | $ | 78,922.2 | | | | | $ | 7,189.7 | | |
|
| | |
December 31, 2022 |
| |||||||||||||||||||||||||||
| | |
Assets/ (liabilities) measured at fair value |
| |
Amount measured at net asset value(5) |
| |
Fair value hierarchy level |
| |||||||||||||||||||||
| | |
Level 1 |
| |
Level 2 |
| |
Level 3 |
| |||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Assets | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Fixed maturities, available-for-sale: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
U.S. government and agencies |
| | | $ | 1,715.9 | | | | | $ | — | | | | | $ | 1,354.0 | | | | | $ | 361.9 | | | | | $ | — | | |
Non-U.S. governments |
| | | | 520.4 | | | | | | — | | | | | | — | | | | | | 520.4 | | | | | | — | | |
States and political subdivisions |
| | | | 6,168.3 | | | | | | — | | | | | | — | | | | | | 6,099.2 | | | | | | 69.1 | | |
Corporate |
| | | | 33,184.8 | | | | | | — | | | | | | 26.6 | | | | | | 31,589.9 | | | | | | 1,568.3 | | |
Residential mortgage-backed pass-through securities |
| | | | 2,170.9 | | | | | | — | | | | | | — | | | | | | 2,170.9 | | | | | | — | | |
Commercial mortgage-backed securities |
| | | | 4,827.5 | | | | | | — | | | | | | — | | | | | | 4,824.1 | | | | | | 3.4 | | |
Collateralized debt obligations(1)
|
| | | | 4,560.2 | | | | | | — | | | | | | — | | | | | | 4,504.0 | | | | | | 56.2 | | |
Other debt obligations |
| | | | 6,483.3 | | | | | | — | | | | | | — | | | | | | 6,015.5 | | | | | | 467.8 | | |
Total fixed maturities, available-for-sale |
| | | | 59,631.3 | | | | | | — | | | | | | 1,380.6 | | | | | | 56,085.9 | | | | | | 2,164.8 | | |
Fixed maturities, trading |
| | | | 634.0 | | | | | | — | | | | | | 78.6 | | | | | | 449.2 | | | | | | 106.2 | | |
Equity securities |
| | | | 53.1 | | | | | | — | | | | | | 14.8 | | | | | | 38.3 | | | | | | — | | |
Derivative assets(2)
|
| | | | 256.6 | | | | | | — | | | | | | — | | | | | | 256.5 | | | | | | 0.1 | | |
Other investments |
| | | | 82.8 | | | | | | 81.4 | | | | | | — | | | | | | — | | | | | | 1.4 | | |
Cash equivalents |
| | | | 2,776.4 | | | | | | — | | | | | | 930.3 | | | | | | 1,846.1 | | | | | | — | | |
Market risk benefit asset(3)
|
| | | | 109.2 | | | | | | — | | | | | | — | | | | | | — | | | | | | 109.2 | | |
| | |
December 31, 2022 |
| |||||||||||||||||||||||||||
| | |
Assets/ (liabilities) measured at fair value |
| |
Amount measured at net asset value(5) |
| |
Fair value hierarchy level |
| |||||||||||||||||||||
| | |
Level 1 |
| |
Level 2 |
| |
Level 3 |
| |||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Sub-total excluding separate account assets |
| | | | 63,543.4 | | | | | | 81.4 | | | | | | 2,404.3 | | | | | | 58,676.0 | | | | | | 2,381.7 | | |
Separate account assets |
| | | | 120,279.6 | | | | | | 9,120.9 | | | | | | 91,424.2 | | | | | | 18,700.4 | | | | | | 1,034.1 | | |
Total assets |
| | | $ | 183,823.0 | | | | | $ | 9,202.3 | | | | | $ | 93,828.5 | | | | | $ | 77,376.4 | | | | | $ | 3,415.8 | | |
Liabilities | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Investment and universal life contracts(4)
|
| | | $ | (46.3) | | | | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | (46.3) | | |
Market risk benefit liability(3)
|
| | | | (181.4) | | | | | | — | | | | | | — | | | | | | — | | | | | | (181.4) | | |
Funds withheld payable embedded derivative (4)
|
| | | | 3,652.8 | | | | | | — | | | | | | — | | | | | | — | | | | | | 3,652.8 | | |
Derivative liabilities(2)
|
| | | | (612.2) | | | | | | — | | | | | | — | | | | | | (608.1) | | | | | | (4.1) | | |
Total liabilities |
| | | $ | 2,812.9 | | | | | $ | — | | | | | $ | — | | | | | $ | (608.1) | | | | | $ | 3,421.0 | | |
Net assets |
| | | $ | 186,635.9 | | | | | $ | 9,202.3 | | | | | $ | 93,828.5 | | | | | $ | 76,768.3 | | | | | $ | 6,836.8 | | |
|
| | |
For the year ended December 31, 2023
|
| |||||||||||||||||||||||||||||||||||||||
| | |
Beginning
asset/ (liability) balance as of January 1, 2023 |
| |
Total realized/unrealized gains (losses) |
| |
Net purchases, sales, issuances and settlements(4) |
| |
Transfers
into Level 3 |
| |
Transfers
out of Level 3 |
| |
Ending
asset/ (liability) balance as of December 31, 2023 |
| ||||||||||||||||||||||||
| | |
Included in net income(2) |
| |
Included in other comprehensive income(3) |
| ||||||||||||||||||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||||||||
Assets | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Fixed maturities, available- for-sale: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
States and political subdivisions
|
| | | $ | 69.1 | | | | | $ | — | | | | | $ | 0.8 | | | | | $ | (1.7) | | | | | $ | — | | | | | $ | — | | | | | $ | 68.2 | | |
Corporate |
| | |
|
1,568.3 |
| | | |
|
(4.5) |
| | | |
|
13.3 |
| | | |
|
593.6 |
| | | |
|
212.4 |
| | | |
|
(77.2) |
| | | |
|
2,305.9 |
| |
Commercial mortgage-backed securities |
| | |
|
3.4 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
(0.4) |
| | | |
|
— |
| | | |
|
— |
| | | |
|
3.0 |
| |
Collateralized debt obligations |
| | |
|
56.2 |
| | | |
|
— |
| | | |
|
1.9 |
| | | |
|
165.8 |
| | | |
|
— |
| | | |
|
(148.5) |
| | | |
|
75.4 |
| |
Other debt obligations |
| | |
|
467.8 |
| | | |
|
1.3 |
| | | |
|
1.2 |
| | | |
|
537.0 |
| | | |
|
239.5 |
| | | |
|
(64.2) |
| | | |
|
1,182.6 |
| |
Total fixed maturities, available-for-sale |
| | |
|
2,164.8 |
| | | |
|
(3.2) |
| | | |
|
17.2 |
| | | |
|
1,294.3 |
| | | |
|
451.9 |
| | | |
|
(289.9) |
| | | |
|
3,635.1 |
| |
Fixed maturities, trading |
| | |
|
106.2 |
| | | |
|
2.4 |
| | | |
|
— |
| | | |
|
271.2 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
379.8 |
| |
Other investments |
| | |
|
1.4 |
| | | |
|
(5.7) |
| | | |
|
— |
| | | |
|
168.9 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
164.6 |
| |
Separate account assets(1)
|
| | |
|
1,034.1 |
| | | |
|
(7.9) |
| | | |
|
— |
| | | |
|
(273.4) |
| | | |
|
— |
| | | |
|
— |
| | | |
|
752.8 |
| |
Liabilities | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Investment and universal life contracts |
| | |
|
(46.3) |
| | | |
|
(37.8) |
| | | |
|
— |
| | | |
|
(31.4) |
| | | |
|
— |
| | | |
|
— |
| | | |
|
(115.5) |
| |
Funds withheld payable embedded derivative
|
| | |
|
3,652.8 |
| | | |
|
(1,326.7) |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
2,326.1 |
| |
Derivatives | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net derivative assets (liabilities) |
| | |
|
(4.0) |
| | | |
|
6.1 |
| | | |
|
— |
| | | |
|
3.1 |
| | | |
|
0.1 |
| | | |
|
— |
| | | |
|
5.3 |
| |
| | |
For the year ended December 31, 2022
|
| |||||||||||||||||||||||||||||||||||||||
| | |
Beginning
asset/ (liability) balance as of January 1, 2022 |
| |
Total realized/unrealized gains (losses) |
| |
Net purchases, sales, issuances and settlements(4) |
| |
Transfers
into Level 3 |
| |
Transfers
out of Level 3 |
| |
Ending
asset/ (liability) balance as of December 31, 2022 |
| ||||||||||||||||||||||||
| | |
Included in net income(2) |
| |
Included in other comprehensive income(3) |
| ||||||||||||||||||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||||||||
Assets | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Fixed maturities, available- for-sale: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
States and political subdivisions |
| | | $ | 92.4 | | | | | $ | — | | | | | $ | (23.5) | | | | | $ | (1.6) | | | | | $ | 12.0 | | | | | $ | (10.2) | | | | | $ | 69.1 | | |
Corporate |
| | | | 834.3 | | | | | | (4.8) | | | | | | (28.6) | | | | | | 626.3 | | | | | | 176.3 | | | | | | (35.2) | | | | | | 1,568.3 | | |
Commercial mortgage-backed securities |
| | | | 19.2 | | | | | | — | | | | | | (1.0) | | | | | | (4.6) | | | | | | — | | | | | | (10.2) | | | | | | 3.4 | | |
Collateralized debt obligations |
| | | | 85.8 | | | | | | — | | | | | | (1.0) | | | | | | 151.8 | | | | | | — | | | | | | (180.4) | | | | | | 56.2 | | |
Other debt obligations |
| | | | 42.1 | | | | | | (0.3) | | | | | | (20.4) | | | | | | 474.2 | | | | | | — | | | | | | (27.8) | | | | | | 467.8 | | |
Total fixed maturities, available-for- sale |
| | | | 1,073.8 | | | | | | (5.1) | | | | | | (74.5) | | | | | | 1,246.1 | | | | | | 188.3 | | | | | | (263.8) | | | | | | 2,164.8 | | |
Fixed maturities, trading |
| | | | 4.9 | | | | | | (0.6) | | | | | | — | | | | | | 72.9 | | | | | | 29.0 | | | | | | — | | | | | | 106.2 | | |
Other investments |
| | | | 1.4 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 1.4 | | |
Separate account assets(1)
|
| | | | 946.0 | | | | | | 112.0 | | | | | | — | | | | | | (23.9) | | | | | | — | | | | | | — | | | | | | 1,034.1 | | |
Liabilities | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Investment and universal life contracts |
| | | | (83.2) | | | | | | 36.1 | | | | | | — | | | | | | 0.8 | | | | | | — | | | | | | — | | | | | | (46.3) | | |
Funds withheld payable embedded derivative
|
| | | | — | | | | | | 3,652.8 | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | | | | | 3,652.8 | | |
Derivatives | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net derivative assets (liabilities) |
| | | | 0.6 | | | | | | (4.0) | | | | | | (0.3) | | | | | | — | | | | | | — | | | | | | (0.3) | | | | | | (4.0) | | |
| | |
For the year ended December 31, 2021
|
| |||||||||||||||||||||||||||||||||||||||
| | |
Beginning
asset/ (liability) balance as of January 1, 2021 |
| |
Total realized/unrealized gains (losses) |
| |
Net purchases, sales, issuances and settlements(4) |
| |
Transfers
into Level 3 |
| |
Transfers
out of Level 3 |
| |
Ending
asset/ (liability) balance as of December 31, 2021 |
| ||||||||||||||||||||||||
| | |
Included in net income(2) |
| |
Included in other comprehensive income(3) |
| ||||||||||||||||||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||||||||
Assets | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Fixed maturities, available- for-sale: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
States and political subdivisions |
| | | $ | — | | | | | $ | — | | | | | $ | 12.5 | | | | | $ | (0.4) | | | | | $ | 80.3 | | | | | $ | — | | | | | $ | 92.4 | | |
Corporate |
| | | | 290.8 | | | | | | (21.9) | | | | | | 7.8 | | | | | | 381.8 | | | | | | 175.8 | | | | | | — | | | | | | 834.3 | | |
Commercial mortgage-backed securities |
| | | | 13.2 | | | | | | (1.0) | | | | | | (0.4) | | | | | | 7.4 | | | | | | — | | | | | | — | | | | | | 19.2 | | |
Collateralized debt obligations |
| | | | 27.2 | | | | | | (2.0) | | | | | | 1.7 | | | | | | 397.4 | | | | | | 72.1 | | | | | | (410.6) | | | | | | 85.8 | | |
Other debt obligations |
| | | | 29.2 | | | | | | — | | | | | | 0.4 | | | | | | 16.9 | | | | | | 20.6 | | | | | | (25.0) | | | | | | 42.1 | | |
Total fixed maturities, available-for-sale |
| | | | 360.4 | | | | | | (24.9) | | | | | | 22.0 | | | | | | 803.1 | | | | | | 348.8 | | | | | | (435.6) | | | | | | 1,073.8 | | |
Fixed maturities, trading |
| | | | — | | | | | | — | | | | | | — | | | | | | 4.9 | | | | | | — | | | | | | — | | | | | | 4.9 | | |
Other investments |
| | | | 30.0 | | | | | | 12.4 | | | | | | — | | | | | | (41.0) | | | | | | — | | | | | | — | | | | | | 1.4 | | |
Separate account assets(1)
|
| | | | 8,893.2 | | | | | | 313.8 | | | | | | — | | | | | | (8,261.0) | | | | | | — | | | | | | — | | | | | | 946.0 | | |
Liabilities | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Investment and universal life contracts |
| | | | (90.8) | | | | | | (15.6) | | | | | | — | | | | | | 23.2 | | | | | | — | | | | | | — | | | | | | (83.2) | | |
Derivatives | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net derivative assets (liabilities) |
| | | | (5.1) | | | | | | (5.0) | | | | | | — | | | | | | 10.7 | | | | | | — | | | | | | — | | | | | | 0.6 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Assets | | | | | | | | | | | | | | | | | | | |
Fixed maturities, available-for-sale: | | | | | | | | | | | | | | | | | | | |
Corporate |
| | |
$ |
0.3 |
| | | | $ | (1.3) | | | | | $ | (4.6) | | |
Commercial mortgage-backed securities |
| | |
|
— |
| | | | | — | | | | | | (1.0) | | |
Collateralized debt obligations |
| | |
|
— |
| | | | | — | | | | | | (2.0) | | |
Other debt obligations |
| | |
|
1.9 |
| | | | | 1.9 | | | | | | 1.9 | | |
Total fixed maturities, available-for-sale |
| | |
|
2.2 |
| | | | | 0.6 | | | | | | (5.7) | | |
Fixed maturities, trading |
| | |
|
2.3 |
| | | | | (0.6) | | | | | | — | | |
Other investments |
| | |
|
(5.2) |
| | | | | — | | | | | | 12.5 | | |
Separate account assets |
| | |
|
(80.3) |
| | | | | 89.8 | | | | | | 90.5 | | |
Liabilities | | | | | | | | | | | | | | | | | | | |
Investment and universal life contracts |
| | |
|
(29.2) |
| | | | | 22.6 | | | | | | (8.6) | | |
Funds withheld payable embedded derivative |
| | |
|
(1,326.7) |
| | | | | 3,652.8 | | | | | | — | | |
Derivatives | | | | | | | | | | | | | | | | | | | |
Net derivative assets (liabilities) |
| | |
|
7.3 |
| | | | | (4.0) | | | | | | — | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Assets | | | | | | | | | | | | | | | | | | | |
Fixed maturities, available-for-sale: | | | | | | | | | | | | | | | | | | | |
States and political subdivisions |
| | |
$ |
(4.1) |
| | | | $ | (21.7) | | | | | $ | 12.5 | | |
Corporate |
| | |
|
(38.9) |
| | | | | (19.8) | | | | | | (0.7) | | |
Commercial mortgage-backed securities |
| | |
|
— |
| | | | | (0.5) | | | | | | (0.4) | | |
Collateralized debt obligations |
| | |
|
0.7 |
| | | | | — | | | | | | 1.9 | | |
Other debt obligations |
| | |
|
(29.8) |
| | | | | (18.5) | | | | | | — | | |
Total fixed maturities, available-for-sale |
| | |
|
(72.1) |
| | | | | (60.5) | | | | | | 13.3 | | |
Derivatives | | | | | | | | | | | | | | | | | | | |
Net derivative assets (liabilities) |
| | |
|
— |
| | | | | (0.2) | | | | | | — | | |
| | |
For the year ended December 31, 2023
|
| |||||||||||||||||||||||||||
| | |
Purchases |
| |
Sales |
| |
Issuances |
| |
Settlements |
| |
Net purchases, sales, issuances and settlements |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Assets | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Fixed maturities, available-for-sale: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
States and political subdivisions
|
| | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | (1.7) | | | | | $ | (1.7) | | |
Corporate |
| | |
|
815.2 |
| | | |
|
(27.7) |
| | | |
|
— |
| | | |
|
(193.9) |
| | | |
|
593.6 |
| |
Commercial mortgage-backed securities |
| | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
(0.4) |
| | | |
|
(0.4) |
| |
Collateralized debt obligations |
| | |
|
167.0 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
(1.2) |
| | | |
|
165.8 |
| |
Other debt obligations |
| | |
|
563.3 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
(26.3) |
| | | |
|
537.0 |
| |
Total fixed maturities, available-for-sale |
| | |
|
1,545.5 |
| | | |
|
(27.7) |
| | | |
|
— |
| | | |
|
(223.5) |
| | | |
|
1,294.3 |
| |
Fixed maturities, trading |
| | |
|
424.7 |
| | | |
|
(138.7) |
| | | |
|
— |
| | | |
|
(14.8) |
| | | |
|
271.2 |
| |
Other investments |
| | |
|
194.2 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
(25.3) |
| | | |
|
168.9 |
| |
Separate account assets(5)
|
| | |
|
— |
| | | |
|
(286.3) |
| | | |
|
(109.1) |
| | | |
|
122.0 |
| | | |
|
(273.4) |
| |
Liabilities | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Investment and universal life contracts |
| | |
|
— |
| | | |
|
— |
| | | |
|
(69.9) |
| | | |
|
38.5 |
| | | |
|
(31.4) |
| |
Derivatives | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net derivative assets (liabilities) |
| | |
|
0.8 |
| | | |
|
2.3 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
3.1 |
| |
| | |
For the year ended December 31, 2022
|
| |||||||||||||||||||||||||||
| | |
Purchases |
| |
Sales |
| |
Issuances |
| |
Settlements |
| |
Net purchases, sales, issuances and settlements |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Assets | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Fixed maturities, available-for-sale: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
States and political subdivisions |
| | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | (1.6) | | | | | $ | (1.6) | | |
Corporate |
| | | | 817.3 | | | | | | (50.4) | | | | | | — | | | | | | (140.6) | | | | | | 626.3 | | |
Commercial mortgage-backed securities |
| | | | — | | | | | | (4.1) | | | | | | — | | | | | | (0.5) | | | | | | (4.6) | | |
Collateralized debt obligations |
| | | | 151.9 | | | | | | — | | | | | | — | | | | | | (0.1) | | | | | | 151.8 | | |
Other debt obligations |
| | | | 487.4 | | | | | | (8.2) | | | | | | — | | | | | | (5.0) | | | | | | 474.2 | | |
Total fixed maturities, available-for-sale |
| | | | 1,456.6 | | | | | | (62.7) | | | | | | — | | | | | | (147.8) | | | | | | 1,246.1 | | |
Fixed maturities, trading |
| | | | 106.9 | | | | | | (32.6) | | | | | | — | | | | | | (1.4) | | | | | | 72.9 | | |
Separate account assets(5)
|
| | | | 11.8 | | | | | | (4.5) | | | | | | (50.0) | | | | | | 18.8 | | | | | | (23.9) | | |
Liabilities | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Investment and universal life contracts |
| | | | — | | | | | | — | | | | | | (22.2) | | | | | | 23.0 | | | | | | 0.8 | | |
| | |
For the year ended December 31, 2021
|
| |||||||||||||||||||||||||||
| | |
Purchases |
| |
Sales |
| |
Issuances |
| |
Settlements |
| |
Net purchases, sales, issuances and settlements |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Assets | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Fixed maturities, available-for-sale: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
States and political subdivisions |
| | | $ | — | | | | | $ | — | | | | | $ | — | | | | | $ | (0.4) | | | | | $ | (0.4) | | |
Corporate |
| | | | 626.6 | | | | | | (84.3) | | | | | | — | | | | | | (160.5) | | | | | | 381.8 | | |
Commercial mortgage-backed securities |
| | | | 7.7 | | | | | | — | | | | | | — | | | | | | (0.3) | | | | | | 7.4 | | |
Collateralized debt obligations |
| | | | 422.7 | | | | | | — | | | | | | — | | | | | | (25.3) | | | | | | 397.4 | | |
Other debt obligations |
| | | | 45.1 | | | | | | — | | | | | | — | | | | | | (28.2) | | | | | | 16.9 | | |
Total fixed maturities, available-for-sale |
| | | | 1,102.1 | | | | | | (84.3) | | | | | | — | | | | | | (214.7) | | | | | | 803.1 | | |
Fixed maturities, trading |
| | | | 4.9 | | | | | | — | | | | | | — | | | | | | — | | | | | | 4.9 | | |
Other investments |
| | | | — | | | | | | (41.0) | | | | | | — | | | | | | — | | | | | | (41.0) | | |
Separate account assets(5)
|
| | | | 38.5 | | | | | | (8,206.2) | | | | | | (191.5) | | | | | | 98.2 | | | | | | (8,261.0) | | |
Liabilities | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Investment and universal life contracts |
| | | | — | | | | | | — | | | | | | (19.5) | | | | | | 42.7 | | | | | | 23.2 | | |
Derivatives | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Net derivative assets (liabilities) |
| | | | — | | | | | | 10.7 | | | | | | — | | | | | | — | | | | | | 10.7 | | |
| | |
For the year ended December 31, 2023
|
| |||||||||||||||||||||
| | |
Transfers out of Level 1 into Level 3 |
| |
Transfers out of Level 2 into Level 3 |
| |
Transfers out of Level 3 into Level 1 |
| |
Transfers out of Level 3 into Level 2 |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Assets | | | | | | | | | | | | | | | | | | | | | | | | | |
Fixed maturities, available-for-sale: | | | | | | | | | | | | | | | | | | | | | | | | | |
Corporate |
| | |
$ |
— |
| | | |
$ |
212.4 |
| | | |
$ |
— |
| | | |
$ |
77.2 |
| |
Collateralized debt obligations |
| | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
148.5 |
| |
Other debt obligations |
| | |
|
— |
| | | |
|
239.5 |
| | | |
|
— |
| | | |
|
64.2 |
| |
Total fixed maturities, available-for-sale |
| | |
|
— |
| | | |
|
451.9 |
| | | |
|
— |
| | | |
|
289.9 |
| |
Derivatives | | | | | | | | | | | | | | | | | | | | | | | | | |
Net derivative assets (liabilities) |
| | |
|
— |
| | | |
|
0.1 |
| | | |
|
— |
| | | |
|
— |
| |
| | |
For the year ended December 31, 2022
|
| |||||||||||||||||||||
| | |
Transfers out of Level 1 into Level 3 |
| |
Transfers out of Level 2 into Level 3 |
| |
Transfers out of Level 3 into Level 1 |
| |
Transfers out of Level 3 into Level 2 |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Assets | | | | | | | | | | | | | | | | | | | | | | | | | |
Fixed maturities, available-for-sale: | | | | | | | | | | | | | | | | | | | | | | | | | |
States and political subdivisions |
| | | $ | — | | | | | $ | 12.0 | | | | | $ | — | | | | | $ | 10.2 | | |
Corporate |
| | | | — | | | | | | 176.3 | | | | | | — | | | | | | 35.2 | | |
Commercial mortgage-backed securities |
| | | | — | | | | | | — | | | | | | — | | | | | | 10.2 | | |
Collateralized debt obligations |
| | | | — | | | | | | — | | | | | | — | | | | | | 180.4 | | |
Other debt obligations |
| | | | — | | | | | | — | | | | | | — | | | | | | 27.8 | | |
Total fixed maturities, available-for-sale |
| | | | — | | | | | | 188.3 | | | | | | — | | | | | | 263.8 | | |
Fixed maturities, trading |
| | | | — | | | | | | 29.0 | | | | | | — | | | | | | — | | |
Derivatives | | | | | | | | | | | | | | | | | | | | | | | | | |
Net derivative assets (liabilities) |
| | | | — | | | | | | — | | | | | | — | | | | | | 0.3 | | |
| | |
For the year ended December 31, 2021
|
| |||||||||||||||||||||
| | |
Transfers out of Level 1 into Level 3 |
| |
Transfers out of Level 2 into Level 3 |
| |
Transfers out of Level 3 into Level 1 |
| |
Transfers out of Level 3 into Level 2 |
| ||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||
Assets | | | | | | | | | | | | | | | | | | | | | | | | | |
Fixed maturities, available-for-sale: | | | | | | | | | | | | | | | | | | | | | | | | | |
States and political subdivisions |
| | | $ | — | | | | | $ | 80.3 | | | | | $ | — | | | | | $ | — | | |
Corporate |
| | | | — | | | | | | 175.8 | | | | | | — | | | | | | — | | |
Collateralized debt obligations |
| | | | — | | | | | | 72.1 | | | | | | — | | | | | | 410.6 | | |
Other debt obligations |
| | | | — | | | | | | 20.6 | | | | | | — | | | | | | 25.0 | | |
Total fixed maturities, available-for-sale |
| | | | — | | | | | | 348.8 | | | | | | — | | | | | | 435.6 | | |
| | |
December 31, 2023 |
| |||||||||||||||
| | |
Assets / (liabilities) measured at fair value |
| |
Valuation technique(s) |
| |
Unobservable input description |
| |
Input/range of inputs |
| |
Weighted average |
| |||
| | |
(in millions) |
| | | | | | | | | | | | | |||
Assets | | | | | | | | | | | | | | | | | | | |
Fixed maturities, available-for-sale: |
| | | | | | | | | | | | | | | | | | |
Corporate |
| | |
$ |
1,997.4 |
| | |
Discounted cash flow |
| |
Discount rate(1)
|
| |
4.9% – 24.2% |
| |
12.0% |
|
| | | | | | | | | Earnings before interest, taxes, depreciation and amortization multiple |
| |
3.25x |
| |
3.25x |
| |||
| | | | | | | | | | | | Illiquidity premium | | |
30 basis points (“bps”) – 483bps |
| |
121bps |
|
| | | | | | | | | | | | Comparability adjustment | | |
67bps – 217bps |
| |
141bps |
|
Collateralized debt obligations |
| | |
|
74.6 |
| | |
Discounted cash flow |
| |
Discount rate(1)
|
| |
4.1% |
| |
4.1% |
|
| | | | | | | | | Comparability adjustment | | |
20bps |
| |
20bps |
| |||
Other debt obligations |
| | |
|
879.5 |
| | |
Discounted cash flow |
| |
Discount rate(1)
|
| |
5.0% – 10.6% |
| |
7.4% |
|
| | | | | | | | | Illiquidity premium | | |
69bps – 650bps |
| |
337bps |
| |||
| | | | | | | | | | | | Comparability adjustment | | |
(20)bps – 213bps |
| |
92bps |
|
Fixed maturities, trading | | | |
|
168.7 |
| | | Discounted cash flow |
| | Discount rate(1) | | |
11.4% – 22.3% |
| |
13.4% |
|
Other investments |
| | |
|
163.2 |
| | |
Discounted cash flow |
| |
Discount rate(1)
|
| |
12.0% – 13.5% |
| |
12.6% |
|
| | | | | | | | | Probability of default | | |
6.0% – 10.0% |
| |
8.5% |
| |||
| | | | | | | | | | | | Potential loss severity | | |
87.0% – 100.0% |
| |
90.7% |
|
Separate account assets |
| | |
|
752.8 |
| | |
Discounted cash flow – real estate |
| |
Discount rate(1)
|
| |
6.5% – 10.0% |
| |
7.5% |
|
| | | | | | | | | Terminal capitalization rate | | |
5.3% – 9.5% |
| |
6.1% |
| |||
| | | | | | | | | | | |
Average market rent growth rate |
| |
2.0% – 3.7% |
| |
2.9% |
|
| | | | | | | | |
Discounted cash flow – real estate debt |
| |
Loan to value |
| |
46.0% – 72.0% |
| |
55.3% |
|
| | | | | | | | | Market interest rate | | |
5.3% – 8.1% |
| |
6.4% |
| |||
Liabilities | | | | | | | | | | | | | | | | | | | |
Investment
and universal life contracts(4)
|
| | |
|
(115.5) |
| | |
Discounted cash flow |
| |
Long duration interest rate |
| |
2.5% – 4.8%(2)
|
| |
4.0% |
|
| | | | | | | Long-term equity market
volatility |
| |
15.5% – 40.1% |
| |
19.2% |
| |||||
| | | | | | | | | | | | Nonperformance risk | | |
0.8% – 1.6% |
| |
1.1% |
|
| | | | | | | | | | | | Lapse rate | | |
0.0% – 55.0% |
| |
7.0% |
|
| | | | | | | | | | | | Mortality rate | | |
See note(3)
|
| | | |
| | |
December 31, 2022 |
| |||||||||||||||
| | |
Assets / (liabilities) measured at fair value |
| |
Valuation technique(s) |
| |
Unobservable input description |
| |
Input/range of inputs |
| |
Weighted average |
| |||
| | |
(in millions) |
| | | | | | | | | | | | | |||
Assets | | | | | | | | | | | | | | | | | | | |
Fixed maturities, available-for-sale: | | | | | | | | | | | | | | | | | | | |
Corporate |
| | | $ | 1,479.9 | | | |
Discounted cash flow |
| |
Discount rate(1)
|
| |
2.7% – 33.1% |
| |
11.0% |
|
| | | | | | | | | Illiquidity premium | | |
0bps – 467bps |
| |
50bps |
| |||
| | | | | | | | | | | | Comparability adjustment | | |
(16)bps – 0bps |
| |
(11)bps |
|
Collateralized debt obligations |
| | | | 39.5 | | | |
Discounted cash flow |
| |
Discount rate(1)
|
| |
4.4% |
| |
4.4% |
|
| | | | | | | | | Comparability adjustment | | |
55bps |
| |
55bps |
| |||
Other debt obligations |
| | | | 467.8 | | | |
Discounted cash flow |
| |
Discount rate(1)
|
| |
5.6% – 8.2% |
| |
7.6% |
|
| | | | | | | | | Illiquidity premium | | |
0bps – 260bps |
| |
220bps |
| |||
| | | | | | | | | | | | Comparability adjustment | | |
1bps – 139bps |
| |
77bps |
|
Fixed maturities, trading | | | | | 92.5 | | | | Discounted cash flow |
| | Discount rate(1) | | |
9.6% – 15.2% |
| |
11.0% |
|
Separate account assets |
| | | | 1,034.1 | | | |
Discounted cash flow – real estate |
| |
Discount rate(1)
|
| |
5.5% – 10.0% |
| |
7.0% |
|
| | | | | | | | | Terminal capitalization rate | | |
4.5% – 9.5% |
| |
5.8% |
| |||
| | | | | | | | | | | |
Average market rent growth rate |
| |
2.0% – 3.8% |
| |
3.0% |
|
| | | | | | | | |
Discounted cash flow – real estate debt |
| |
Loan to value |
| |
43.6% – 62.2% |
| |
50.6% |
|
| | | | | | | | | Market interest rate | | |
5.3% – 8.6% |
| |
6.6% |
| |||
Liabilities | | | | | | | | | | | | | | | | | | | |
Investment
and universal life contracts(4)
|
| | | | (46.3) | | | |
Discounted cash flow |
| |
Long duration interest rate |
| |
2.4% – 4.7%(2)
|
| |
3.1% |
|
| | | | | | | Long-term equity market volatility |
| |
17.8% – 36.9% |
| |
22.0% |
| |||||
| | | | | | | | | | | | Nonperformance risk | | |
0.9% |
| |
0.9% |
|
| | | | | | | | | | | | Mortality rate | | |
See note(3)
|
| | | |
| | |
December 31, |
| |||||||||
| | |
2023 |
| |
2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Other loans of consolidated VIE(1) | | | | | | | | | | | | | |
Fair value(1)
|
| | |
$ |
163.2 |
| | | | $ | — | | |
Aggregate contractual principal |
| | |
|
167.1 |
| | | | | — | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Other loans of consolidated VIE | | | | | | | | | | | | | | | | | | | |
Change in fair value pre-tax loss – instrument specific
credit risk |
| | |
$ |
(5.6) |
| | | | $ | — | | | | | $ | — | | |
Change in fair value pre-tax loss(1)
|
| | |
|
(5.6) |
| | | | | — | | | | | | — | | |
Interest income(2)
|
| | |
|
8.1 |
| | | | | — | | | | | | — | | |
Real estate ventures | | | | | | | | | | | | | | | | | | | |
Change in fair value pre-tax gain(1)
|
| | |
|
— |
| | | | | — | | | | | | 12.5 | | |
| | |
December 31, 2023 |
| |||||||||||||||||||||||||||
| | | | | | | | | | | | | | |
Fair value hierarchy level |
| |||||||||||||||
| | |
Carrying amount |
| |
Fair value |
| |
Level 1 |
| |
Level 2 |
| |
Level 3 |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Assets (liabilities) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Mortgage loans |
| | | $ | 19,221.2 | | | | | $ | 17,583.5 | | | | | $ | — | | | | | $ | — | | | | | $ | 17,583.5 | | |
Policy loans |
| | |
|
793.2 |
| | | |
|
780.1 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
780.1 |
| |
Other investments |
| | |
|
248.4 |
| | | |
|
240.7 |
| | | |
|
— |
| | | |
|
122.7 |
| | | |
|
118.0 |
| |
Cash and cash equivalents |
| | |
|
627.8 |
| | | |
|
627.8 |
| | | |
|
627.8 |
| | | |
|
— |
| | | |
|
— |
| |
Reinsurance deposit receivable |
| | |
|
6,078.7 |
| | | |
|
5,487.7 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
5,487.7 |
| |
Cash collateral receivable |
| | |
|
33.2 |
| | | |
|
33.2 |
| | | |
|
33.2 |
| | | |
|
— |
| | | |
|
— |
| |
Investment contracts |
| | |
|
(33,847.5) |
| | | |
|
(32,071.2) |
| | | |
|
— |
| | | |
|
(7,828.1) |
| | | |
|
(24,243.1) |
| |
Long-term debt |
| | |
|
(3.0) |
| | | |
|
(0.4) |
| | | |
|
— |
| | | |
|
— |
| | | |
|
(0.4) |
| |
Separate account liabilities |
| | |
|
(117,504.5) |
| | | |
|
(116,642.3) |
| | | |
|
— |
| | | |
|
— |
| | | |
|
(116,642.3) |
| |
Bank deposits(1)
|
| | |
|
(399.5) |
| | | |
|
(385.3) |
| | | |
|
— |
| | | |
|
(385.3) |
| | | |
|
— |
| |
Cash collateral payable |
| | |
|
(170.7) |
| | | |
|
(170.7) |
| | | |
|
(170.7) |
| | | |
|
— |
| | | |
|
— |
| |
| | |
December 31, 2022 |
| |||||||||||||||||||||||||||
| | | | | | | | | | | | | | |
Fair value hierarchy level |
| |||||||||||||||
| | |
Carrying amount |
| |
Fair value |
| |
Level 1 |
| |
Level 2 |
| |
Level 3 |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
Assets (liabilities) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Mortgage loans |
| | | $ | 19,722.4 | | | | | $ | 17,847.1 | | | | | $ | — | | | | | $ | — | | | | | $ | 17,847.1 | | |
Policy loans |
| | | | 770.2 | | | | | | 749.5 | | | | | | — | | | | | | — | | | | | | 749.5 | | |
Other investments |
| | | | 230.0 | | | | | | 217.4 | | | | | | — | | | | | | 112.9 | | | | | | 104.5 | | |
Cash and cash equivalents |
| | | | 552.9 | | | | | | 552.9 | | | | | | 552.9 | | | | | | — | | | | | | — | | |
Reinsurance deposit receivable |
| | | | 7,901.0 | | | | | | 6,859.9 | | | | | | — | | | | | | — | | | | | | 6,859.9 | | |
Cash collateral receivable |
| | | | 262.8 | | | | | | 262.8 | | | | | | 262.8 | | | | | | — | | | | | | — | | |
Investment contracts |
| | | | (34,919.4) | | | | | | (31,915.2) | | | | | | — | | | | | | (7,278.9) | | | | | | (24,636.3) | | |
Long-term debt |
| | | | (67.8) | | | | | | (60.5) | | | | | | — | | | | | | — | | | | | | (60.5) | | |
Separate account liabilities |
| | | | (107,227.6) | | | | | | (106,410.4) | | | | | | — | | | | | | — | | | | | | (106,410.4) | | |
Bank deposits(1)
|
| | | | (352.4) | | | | | | (336.3) | | | | | | — | | | | | | (336.3) | | | | | | — | | |
Cash collateral payable |
| | | | (285.1) | | | | | | (285.1) | | | | | | (285.1) | | | | | | — | | | | | | — | | |
| | |
As of or for the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Statutory net income (loss) |
| | |
$ |
1,285.0 |
| | | | $ | (1,563.1) | | | | | $ | 864.0 | | |
Statutory capital and surplus |
| | |
|
4,753.4 |
| | | | | 4,304.4 | | | | | | 5,375.2 | | |
| | |
December 31, 2023 |
| |
December 31, 2022 |
| ||||||
| | |
(in millions) |
| |||||||||
Assets: | | | | | | | | | | | | | |
Retirement and Income Solutions |
| | |
$ |
215,894.6 |
| | | | $ | 201,454.3 | | |
Benefits and Protection |
| | |
|
42,889.7 |
| | | | | 39,301.9 | | |
Corporate |
| | |
|
985.8 |
| | | | | 846.7 | | |
Total consolidated assets |
| | |
$ |
259,770.1 |
| | | | $ | 241,602.9 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Operating revenues by segment: | | | | | | | | | | | | | | | | | | | |
Retirement and Income Solutions(1)
|
| | |
$ |
7,194.7 |
| | | | $ | 5,881.4 | | | | | $ | 6,248.5 | | |
Benefits and Protection: | | | | | | | | | | | | | | | | | | | |
Specialty Benefits |
| | |
|
3,226.1 |
| | | | | 2,981.6 | | | | | | 2,706.8 | | |
Life Insurance |
| | |
|
1,265.1 |
| | | | | 1,313.8 | | | | | | 2,072.8 | | |
Eliminations |
| | |
|
(0.8) |
| | | | | (0.2) | | | | | | (0.2) | | |
Total Benefits and Protection |
| | |
|
4,490.4 |
| | | | | 4,295.2 | | | | | | 4,779.4 | | |
Corporate |
| | |
|
120.3 |
| | | | | 60.7 | | | | | | 67.5 | | |
Total segment operating revenues |
| | |
|
11,805.4 |
| | | | | 10,237.3 | | | | | | 11,095.4 | | |
Net realized capital gains (losses), net of related revenue adjustments
|
| | |
|
(264.7) |
| | | | | 153.2 | | | | | | 105.1 | | |
Revenues from exited business(2)
|
| | |
|
(927.5) |
| | | | | 4,414.8 | | | | | | — | | |
Market risk benefit derivative settlements |
| | |
|
(45.9) |
| | | | | (35.0) | | | | | | (32.5) | | |
Total revenues per consolidated statements of operations
|
| | |
$ |
10,567.3 |
| | | | $ | 14,770.3 | | | | | $ | 11,168.0 | | |
Pre-tax operating earnings (losses) by segment: | | | | | | | | | | | | | | | | | | | |
Retirement and Income Solutions |
| | |
$ |
1,062.1 |
| | | | $ | 1,028.6 | | | | | $ | 1,123.8 | | |
Benefits and Protection |
| | |
|
523.4 |
| | | | | 565.3 | | | | | | 357.7 | | |
Corporate |
| | |
|
6.6 |
| | | | | (117.0) | | | | | | (40.8) | | |
Total segment pre-tax operating earnings |
| | |
|
1,592.1 |
| | | | | 1,476.9 | | | | | | 1,440.7 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Pre-tax net realized capital gains (losses), as adjusted(3)
|
| | |
|
(334.7) |
| | | | | (50.4) | | | | | | 47.7 | | |
Pre-tax income (loss) from exited business(4)
|
| | |
|
(1,127.8) |
| | | | | 4,296.8 | | | | | | — | | |
Adjustments related to equity method investments
and noncontrolling interest |
| | |
|
19.6 |
| | | | | 62.2 | | | | | | 24.3 | | |
Income before income taxes per consolidated statements
of operations |
| | |
$ |
149.2 |
| | | | $ | 5,785.5 | | | | | $ | 1,512.7 | | |
|
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Revenues from exited business: | | | | | | | | | | | | | | | | | | | |
Change in fair value of funds withheld embedded derivative
|
| | |
$ |
(1,085.7) |
| | | | $ | 3,652.8 | | | | | $ | — | | |
Net realized capital gains on funds withheld assets
|
| | |
|
165.0 |
| | | | | 749.4 | | | | | | — | | |
Amortization of reinsurance gain |
| | |
|
5.9 |
| | | | | 12.6 | | | | | | — | | |
Other impacts of reinsured business |
| | |
|
(12.7) |
| | | | | — | | | | | | — | | |
Total revenues from exited business |
| | |
$ |
(927.5) |
| | | | $ | 4,414.8 | | | | | $ | — | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Net realized capital gains (losses) |
| | |
$ |
(154.7) |
| | | | $ | 83.3 | | | | | $ | 112.1 | | |
Derivative and hedging-related revenue adjustments
|
| | |
|
59.6 |
| | | | | (6.7) | | | | | | (86.9) | | |
Market value adjustments to fee revenues |
| | |
|
1.3 |
| | | | | 0.7 | | | | | | (0.6) | | |
Certain variable annuity fees |
| | |
|
73.3 |
| | | | | 75.9 | | | | | | 80.5 | | |
Change
in fair value of funds withheld embedded derivative and net realized capital losses on funds withheld assets |
| | |
|
(244.2) |
| | | | | — | | | | | | — | | |
Net realized capital gains (losses), net of related revenue adjustments
|
| | |
|
(264.7) |
| | | | | 153.2 | | | | | | 105.1 | | |
Amortization of deferred acquisition costs and other actuarial balances
|
| | |
|
(0.1) |
| | | | | (0.1) | | | | | | 9.7 | | |
Capital (gains) losses distributed |
| | |
|
2.5 |
| | | | | 0.5 | | | | | | (0.5) | | |
Derivative and hedging-related expense adjustments
|
| | |
|
1.8 |
| | | | | — | | | | | | — | | |
Market value adjustments of market risk benefits
|
| | |
|
(75.9) |
| | | | | (163.1) | | | | | | (52.7) | | |
Market value adjustments of embedded derivatives
|
| | |
|
1.7 |
| | | | | (40.9) | | | | | | (13.9) | | |
Pre-tax net realized capital gains (losses), as adjusted(a)
|
| | |
$ |
(334.7) |
| | | | $ | (50.4) | | | | | $ | 47.7 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Pre-tax income (loss) from exited business: | | | | | | | | | | | | | | | | | | | |
Change in fair value of funds withheld embedded derivative
|
| | |
$ |
(1,085.7) |
| | | | $ | 3,652.8 | | | | | $ | — | | |
Net realized capital gains on funds withheld assets
|
| | |
|
165.0 |
| | | | | 749.4 | | | | | | — | | |
Strategic review costs and impacts |
| | |
|
— |
| | | | | 74.4 | | | | | | — | | |
Amortization of reinsurance loss |
| | |
|
(68.7) |
| | | | | (56.7) | | | | | | — | | |
Other impacts of reinsured business |
| | |
|
(138.4) |
| | | | | (123.1) | | | | | | — | | |
Total pre-tax income (loss) from exited business |
| | |
$ |
(1,127.8) |
| | | | $ | 4,296.8 | | | | | $ | — | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Income tax expense (benefit) by segment: | | | | | | | | | | | | | | | | | | | |
Retirement and Income Solutions |
| | |
$ |
134.2 |
| | | | $ | 111.2 | | | | | $ | 135.0 | | |
Benefits and Protection |
| | |
|
95.0 |
| | | | | 108.7 | | | | | | 68.6 | | |
Corporate |
| | |
|
(13.3) |
| | | | | (8.1) | | | | | | (14.4) | | |
Total segment income taxes from operating earnings
|
| | |
|
215.9 |
| | | | | 211.8 | | | | | | 189.2 | | |
Tax benefit related to net realized capital losses, as adjusted
|
| | |
|
(66.5) |
| | | | | (13.7) | | | | | | 7.4 | | |
Tax expense (benefit) related to exited business(1)
|
| | |
|
(236.8) |
| | | | | 907.9 | | | | | | — | | |
Total income taxes (benefits) per consolidated
statements of operations |
| | |
$ |
(87.4) |
| | | | $ | 1,106.0 | | | | | $ | 196.6 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Income tax expense (benefit) related to exited business: | | | | | | | | | | | | | | | | | | | |
Change in fair value of funds withheld embedded derivative
|
| | |
$ |
(228.0) |
| | | | $ | 767.1 | | | | | $ | — | | |
Net realized capital gains on funds withheld assets
|
| | |
|
34.7 |
| | | | | 157.4 | | | | | | — | | |
Strategic review costs and impacts |
| | |
|
— |
| | | | | 21.2 | | | | | | — | | |
Amortization of reinsurance loss |
| | |
|
(14.4) |
| | | | | (11.9) | | | | | | — | | |
Other impacts of reinsured business |
| | |
|
(29.1) |
| | | | | (25.9) | | | | | | — | | |
Total income tax expense (benefit) related to exited business
|
| | |
$ |
(236.8) |
| | | | $ | 907.9 | | | | | $ | — | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Depreciation and amortization expense by segment: | | | | | | | | | | | | | | | | | | | |
Retirement and Income Solutions |
| | |
$ |
57.2 |
| | | | $ | 58.0 | | | | | $ | 53.0 | | |
Benefits and Protection |
| | |
|
19.2 |
| | | | | 18.9 | | | | | | 19.3 | | |
Corporate |
| | |
|
5.0 |
| | | | | 5.3 | | | | | | 9.8 | | |
Total segment depreciation and amortization expense
included in pre-tax operating earnings |
| | |
|
81.4 |
| | | | | 82.2 | | | | | | 82.1 | | |
Depreciation and amortization expense related to exited business
|
| | |
|
— |
| | | | | 26.9 | | | | | | — | | |
Total depreciation and amortization expense included
in our consolidated statements of operations |
| | |
$ |
81.4 |
| | | | $ | 109.1 | | | | | $ | 82.1 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Revenue from contracts with customers by segment: | | | | | | | | | | | | | | | | | | | |
Retirement and Income Solutions |
| | |
$ |
556.3 |
| | | | $ | 533.6 | | | | | $ | 409.2 | | |
Benefits and Protection: | | | | | | | | | | | | | | | | | | | |
Specialty Benefits |
| | |
|
12.7 |
| | | | | 12.3 | | | | | | 12.0 | | |
Life Insurance |
| | |
|
73.1 |
| | | | | 64.4 | | | | | | 60.2 | | |
Eliminations |
| | |
|
— |
| | | | | — | | | | | | (0.1) | | |
Total Benefits and Protection |
| | |
|
85.8 |
| | | | | 76.7 | | | | | | 72.1 | | |
Corporate |
| | |
|
(0.8) |
| | | | | (0.9) | | | | | | (1.0) | | |
Total segment revenue from contracts with customers
|
| | |
|
641.3 |
| | | | | 609.4 | | | | | | 480.3 | | |
Adjustments for fees and other revenues not within
the scope of revenue recognition guidance(1) |
| | |
|
1,482.9 |
| | | | | 1,469.5 | | | | | | 2,148.0 | | |
Pre-tax other adjustments(2)
|
| | |
|
80.5 |
| | | | | 89.2 | | | | | | 79.9 | | |
Total fees and other revenues per consolidated
statements of operations |
| | |
$ |
2,204.7 |
| | | | $ | 2,168.1 | | | | | $ | 2,708.2 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Administrative service fee revenue |
| | |
$ |
539.5 |
| | | | $ | 519.2 | | | | | $ | 395.8 | | |
Deposit account fee revenue |
| | |
|
11.3 |
| | | | | 10.2 | | | | | | 9.2 | | |
Commission income |
| | |
|
1.9 |
| | | | | 1.2 | | | | | | 0.7 | | |
Other fee revenue |
| | |
|
3.6 |
| | | | | 3.0 | | | | | | 3.5 | | |
Total revenues from contracts with customers |
| | |
|
556.3 |
| | | | | 533.6 | | | | | | 409.2 | | |
Fees and other revenues not within the scope of
revenue recognition guidance |
| | |
|
1,118.7 |
| | | | | 1,114.0 | | | | | | 1,226.9 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Total fees and other revenues |
| | |
|
1,675.0 |
| | | | | 1,647.6 | | | | | | 1,636.1 | | |
Premiums and other considerations |
| | |
|
2,935.0 |
| | | | | 1,959.7 | | | | | | 1,883.6 | | |
Net investment income |
| | |
|
2,584.7 |
| | | | | 2,274.1 | | | | | | 2,728.8 | | |
Total operating revenues |
| | |
$ |
7,194.7 |
| | | | $ | 5,881.4 | | | | | $ | 6,248.5 | | |
|
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Specialty Benefits: | | | | | | | | | | | | | | | | | | | |
Administrative service fees |
| | |
$ |
12.7 |
| | | | $ | 12.3 | | | | | $ | 12.0 | | |
Total revenues from contracts with customers |
| | |
|
12.7 |
| | | | | 12.3 | | | | | | 12.0 | | |
Fees and other revenues not within the scope of
revenue recognition guidance |
| | |
|
18.2 |
| | | | | 18.5 | | | | | | 19.0 | | |
Total fees and other revenues |
| | |
|
30.9 |
| | | | | 30.8 | | | | | | 31.0 | | |
Premiums and other considerations |
| | |
|
3,020.9 |
| | | | | 2,771.2 | | | | | | 2,496.6 | | |
Net investment income |
| | |
|
174.3 |
| | | | | 179.6 | | | | | | 179.2 | | |
Total operating revenues |
| | |
$ |
3,226.1 |
| | | | $ | 2,981.6 | | | | | $ | 2,706.8 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Life Insurance: | | | | | | | | | | | | | | | | | | | |
Administrative service fees |
| | |
$ |
30.3 |
| | | | $ | 26.9 | | | | | $ | 26.3 | | |
Commission income |
| | |
|
42.8 |
| | | | | 37.5 | | | | | | 33.9 | | |
Total revenues from contracts with customers |
| | |
|
73.1 |
| | | | | 64.4 | | | | | | 60.2 | | |
Fees and other revenues not within the scope of
revenue recognition guidance |
| | |
|
332.6 |
| | | | | 321.0 | | | | | | 884.5 | | |
Total fees and other revenues |
| | |
|
405.7 |
| | | | | 385.4 | | | | | | 944.7 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Premiums and other considerations |
| | |
|
461.6 |
| | | | | 535.8 | | | | | | 333.9 | | |
Net investment income |
| | |
|
397.8 |
| | | | | 392.6 | | | | | | 794.2 | | |
Total operating revenues |
| | |
$ |
1,265.1 |
| | | | $ | 1,313.8 | | | | | $ | 2,072.8 | | |
|
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Eliminations |
| | |
$ |
(0.8) |
| | | | $ | (0.9) | | | | | $ | (1.0) | | |
Total revenues from contracts with customers |
| | |
|
(0.8) |
| | | | | (0.9) | | | | | | (1.0) | | |
Fees and other revenues not within the scope of
revenue recognition guidance |
| | |
|
13.4 |
| | | | | 16.0 | | | | | | 17.6 | | |
Total fees and other revenues |
| | |
|
12.6 |
| | | | | 15.1 | | | | | | 16.6 | | |
Premiums and other considerations |
| | |
|
(7.3) |
| | | | | (2.2) | | | | | | — | | |
Net investment income |
| | |
|
115.0 |
| | | | | 47.8 | | | | | | 50.9 | | |
Total operating revenues |
| | |
$ |
120.3 |
| | | | $ | 60.7 | | | | | $ | 67.5 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
| | |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Compensation cost |
| | |
$ |
25.3 |
| | | | $ | 22.2 | | | | | $ | 25.2 | | |
Related income tax benefit |
| | |
|
5.1 |
| | | | | 4.6 | | | | | | 4.3 | | |
Capitalized as part of an asset |
| | |
|
1.1 |
| | | | | 1.2 | | | | | | 1.4 | | |
| | |
For the year ended December 31,
|
| |||||||||||||||
Options |
| |
2023 |
| |
2022 |
| |
2021 |
| |||||||||
Expected volatility |
| | |
|
—% |
| | | |
|
—% |
| | | | | 34.2% | | |
Expected term (in years) |
| | |
|
— |
| | | |
|
— |
| | | | | 7.0 | | |
Risk-free interest rate |
| | |
|
—% |
| | | |
|
—% |
| | | | | 1.2% | | |
Expected dividend yield |
| | |
|
—% |
| | | |
|
—% |
| | | | | 3.82% | | |
Weighted average estimated fair value |
| | |
$ |
— |
| | | | $ | — | | | | | $ | 15.67 | | |
Type of Investment |
| |
Cost |
| |
Fair value |
| |
Amount as shown in the consolidated statement of financial position |
| |||||||||
| | |
(in millions) |
| |||||||||||||||
Fixed maturities, available-for-sale: | | | | | | | | | | | | | | | | | | | |
U.S Treasury securities and
obligations of U.S government corporations and agencies |
| | | $ | 1,719.1 | | | | | $ | 1,504.9 | | | | | $ | 1,504.9 | | |
States, municipalities and political subdivisions |
| | |
|
7,493.9 |
| | | |
|
6,613.3 |
| | | |
|
6,613.3 |
| |
Foreign governments |
| | |
|
522.2 |
| | | |
|
479.9 |
| | | |
|
479.9 |
| |
Public utilities |
| | |
|
4,747.0 |
| | | |
|
4,256.9 |
| | | |
|
4,256.9 |
| |
Redeemable preferred stock |
| | |
|
225.4 |
| | | |
|
208.4 |
| | | |
|
208.4 |
| |
All other corporate bonds |
| | |
|
30,735.2 |
| | | |
|
28,614.2 |
| | | |
|
28,614.2 |
| |
Residential mortgage-backed securities |
| | |
|
2,959.8 |
| | | |
|
2,824.9 |
| | | |
|
2,824.9 |
| |
Commercial mortgage-backed securities |
| | |
|
5,391.6 |
| | | |
|
4,743.4 |
| | | |
|
4,743.4 |
| |
Collateralized debt obligations |
| | |
|
5,379.6 |
| | | |
|
5,397.8 |
| | | |
|
5,397.8 |
| |
Other debt obligations |
| | |
|
8,447.2 |
| | | |
|
7,886.5 |
| | | |
|
7,886.5 |
| |
Total fixed maturities, available-for-sale |
| | |
|
67,621.0 |
| | | |
|
62,530.2 |
| | | |
|
62,530.2 |
| |
Fixed maturities, trading |
| | |
|
715.3 |
| | | |
|
715.3 |
| | | |
|
715.3 |
| |
Equity securities: | | | | | | | | | | | | | | | | | | | |
Banks, trust and insurance companies |
| | |
|
28.1 |
| | | |
|
28.1 |
| | | |
|
28.1 |
| |
Non-redeemable preferred stock |
| | |
|
14.9 |
| | | |
|
14.9 |
| | | |
|
14.9 |
| |
Total equity securities |
| | |
|
43.0 |
| | | |
|
43.0 |
| | | |
|
43.0 |
| |
Mortgage loans |
| | |
|
19,221.2 |
| | | |
|
XXXX |
| | | |
|
19,221.2 |
| |
Real estate, net: |
| | | | | | | | | | | | | | | | | | |
Other real estate |
| | |
|
2,343.5 |
| | | |
|
XXXX |
| | | |
|
2,343.5 |
| |
Policy loans |
| | |
|
793.2 |
| | | |
|
XXXX |
| | | |
|
793.2 |
| |
Other investments |
| | |
|
4,118.8 |
| | | |
|
XXXX |
| | | |
|
4,118.8 |
| |
Total investments |
| | |
$ |
94,856.0 |
| | | |
|
XXXX |
| | | |
$ |
89,765.2 |
| |
Segment |
| |
Deferred acquisition costs |
| |
Market risk benefit asset |
| |
Future policy benefits and claims |
| |
Contractholder and other policyholder funds |
| |
Market risk benefit liability |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
2023: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Retirement and Income Solutions |
| | |
$ |
918.9 |
| | | |
$ |
153.4 |
| | | |
$ |
29,161.9 |
| | | |
$ |
34,399.6 |
| | | |
$ |
111.9 |
| |
Benefits and Protection |
| | |
|
3,007.6 |
| | | |
|
— |
| | | |
|
13,137.0 |
| | | |
|
7,870.8 |
| | | |
|
— |
| |
Corporate |
| | |
|
— |
| | | |
|
— |
| | | |
|
189.1 |
| | | |
|
2.0 |
| | | |
|
— |
| |
Total |
| | |
$ |
3,926.5 |
| | | |
$ |
153.4 |
| | | |
$ |
42,488.0 |
| | | |
$ |
42,272.4 |
| | | |
$ |
111.9 |
| |
Segment |
| |
Deferred acquisition costs |
| |
Market risk benefit asset |
| |
Future policy benefits and claims |
| |
Contractholder and other policyholder funds |
| |
Market risk benefit liability |
| |||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||
2022 (As recast): | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Retirement and Income Solutions |
| | | $ | 930.0 | | | | | $ | 109.2 | | | | | $ | 26,651.8 | | | | | $ | 35,338.0 | | | | | $ | 181.4 | | |
Benefits and Protection |
| | | | 3,009.2 | | | | | | — | | | | | | 11,411.6 | | | | | | 7,844.2 | | | | | | — | | |
Corporate |
| | | | — | | | | | | — | | | | | | 216.0 | | | | | | 2.1 | | | | | | — | | |
Total |
| | | $ | 3,939.2 | | | | | $ | 109.2 | | | | | $ | 38,279.4 | | | | | $ | 43,184.3 | | | | | $ | 181.4 | | |
|
Segment |
| |
Premiums and other considerations |
| |
Net investment income(1) |
| |
Benefits, claims and settlement expenses |
| |
Liability for future policy benefits remeasurement (gain) loss |
| |
Market risk benefit remeasurement loss |
| |
Amortization of deferred acquisition costs |
| |
Other operating expenses(1) |
| |||||||||||||||||||||
| | |
(in millions) |
| |||||||||||||||||||||||||||||||||||||||
2023: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Retirement and Income Solutions
|
| | | $ | 2,935.0 | | | | | $ | 2,618.8 | | | | | $ | 4,615.8 | | | | | $ | (68.5) | | | | | $ | 33.7 | | | | | $ | 95.9 | | | | | $ | 1,562.1 | | |
Benefits and Protection |
| | |
|
3,469.0 |
| | | |
|
545.7 |
| | | |
|
2,609.0 |
| | | |
|
16.0 |
| | | |
|
— |
| | | |
|
292.8 |
| | | |
|
1,078.0 |
| |
Corporate |
| | |
|
(7.3) |
| | | |
|
121.0 |
| | | |
|
1.4 |
| | | |
|
— |
| | | |
|
— |
| | | |
|
— |
| | | |
|
92.7 |
| |
Total |
| | | $ | 6,396.7 | | | | | $ | 3,285.5 | | | | | $ | 7,226.2 | | | | | $ | (52.5) | | | | | $ | 33.7 | | | | | $ | 388.7 | | | | | $ | 2,732.8 | | |
2022 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
(As recast): |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Retirement and Income Solutions
|
| | | $ | 1,959.7 | | | | | $ | 2,252.2 | | | | | $ | 3,328.0 | | | | | $ | (14.9) | | | | | $ | 131.2 | | | | | $ | 101.0 | | | | | $ | 1,514.2 | | |
Benefits and Protection |
| | | | 3,306.8 | | | | | | 560.3 | | | | | | 2,553.7 | | | | | | (244.9) | | | | | | — | | | | | | 284.7 | | | | | | 1,018.8 | | |
Corporate |
| | | | (2.2) | | | | | | 39.9 | | | | | | 1.0 | | | | | | — | | | | | | — | | | | | | — | | | | | | 217.2 | | |
Total |
| | | $ | 5,264.3 | | | | | $ | 2,852.4 | | | | | $ | 5,882.7 | | | | | $ | (259.8) | | | | | $ | 131.2 | | | | | $ | 385.7 | | | | | $ | 2,750.2 | | |
2021 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
(As recast): |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Retirement and Income Solutions
|
| | | $ | 1,883.6 | | | | | $ | 2,674.4 | | | | | $ | 3,547.3 | | | | | $ | (3.8) | | | | | $ | 114.1 | | | | | $ | 107.0 | | | | | $ | 1,380.6 | | |
Benefits and Protection |
| | | | 2,830.4 | | | | | | 907.8 | | | | | | 3,069.3 | | | | | | 4.2 | | | | | | — | | | | | | 265.2 | | | | | | 992.6 | | |
Corporate |
| | | | — | | | | | | 51.5 | | | | | | 0.9 | | | | | | — | | | | | | — | | | | | | — | | | | | | 83.1 | | |
Total |
| | | $ | 4,714.0 | | | | | $ | 3,633.7 | | | | | $ | 6,617.5 | | | | | $ | 0.4 | | | | | $ | 114.1 | | | | | $ | 372.2 | | | | | $ | 2,456.3 | | |
| | |
Gross amount |
| |
Ceded to other companies |
| |
Assumed from other companies |
| |
Net amount |
| |
Percentage
of amount assumed to net |
| |||||||||||||||
| | |
($ in millions) |
| |||||||||||||||||||||||||||
2023: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Life insurance in force |
| | |
$ |
329,287.2 |
| | | |
$ |
333,380.6 |
| | | |
$ |
388,012.8 |
| | | |
$ |
383,919.4 |
| | | |
|
101.1% |
| |
Premiums: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Life insurance and annuities |
| | | $ | 3,847.1 | | | | | $ | 387.9 | | | | | $ | 517.0 | | | | | $ | 3,976.2 | | | | | | 13.0% | | |
Accident and health insurance |
| | |
|
2,576.7 |
| | | |
|
156.2 |
| | | |
|
— |
| | | |
|
2,420.5 |
| | | |
|
—% |
| |
Total |
| | | $ | 6,423.8 | | | | | $ | 544.1 | | | | | $ | 517.0 | | | | | $ | 6,396.7 | | | | | | 8.1% | | |
2022: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | |
Gross amount |
| |
Ceded to other companies |
| |
Assumed from other companies |
| |
Net amount |
| |
Percentage
of amount assumed to net |
| |||||||||||||||
| | |
($ in millions) |
| |||||||||||||||||||||||||||
Life insurance in force |
| | | $ | 317,116.8 | | | | | $ | 222,711.4 | | | | | $ | 374,462.3 | | | | | $ | 468,867.7 | | | | | | 79.9% | | |
Premiums: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Life insurance and annuities |
| | | $ | 2,824.1 | | | | | $ | 297.9 | | | | | $ | 503.5 | | | | | $ | 3,029.7 | | | | | | 16.6% | | |
Accident and health insurance |
| | | | 2,392.4 | | | | | | 157.8 | | | | | | — | | | | | | 2,234.6 | | | | | | —% | | |
Total |
| | | $ | 5,216.5 | | | | | $ | 455.7 | | | | | $ | 503.5 | | | | | $ | 5,264.3 | | | | | | 9.6% | | |
2021: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Life insurance in force |
| | | $ | 299,318.1 | | | | | $ | 195,641.7 | | | | | $ | 367,764.8 | | | | | $ | 471,441.1 | | | | | | 78.0% | | |
Premiums: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Life insurance and annuities |
| | | $ | 2,693.4 | | | | | $ | 494.3 | | | | | $ | 494.3 | | | | | $ | 2,693.4 | | | | | | 18.4% | | |
Accident and health insurance |
| | | | 2,176.3 | | | | | | 155.7 | | | | | | — | | | | | | 2,020.6 | | | | | | —% | | |
Total |
| | | $ | 4,869.7 | | | | | $ | 650.0 | | | | | $ | 494.3 | | | | | $ | 4,714.0 | | | | | | 10.5% | | |
|
• Derivative ValCur |
is the value, calculated using the Black-Scholes formula, of a hypothetical basket of derivatives associated with the Index-Linked Segment Option on the date the Equity Adjustment is calculated. |
• Derivative ValBeg |
is the value, calculated using the Black-Scholes formula, of a hypothetical basket of derivatives associated with the Index-Linked Segment Option on the Segment Start Date. |
• Time Elapsed |
is the number of days elapsed between the Segment Start Date and the date the Equity Adjustment is calculated. |
• Segment Term |
is the number of days in the Segment Term. |
Example |
| |
1 |
| |
2 |
| |
3 |
|
Change in Index Value |
| |
20% decrease |
| |
No change |
| |
20% increase |
|
Change in Bond Adjustment Index Value |
| |
No change |
| |
No change |
| |
No change |
|
Segment Start Date |
| |
03/01/2023 |
| |
03/01/2023 |
| |
03/01/2023 |
|
Current Date |
| |
12/01/2023 |
| |
12/01/2023 |
| |
12/01/2023 |
|
Months until Segment End Date |
| |
63 |
| |
63 |
| |
63 |
|
Months until end of current Bond Adjustment period
|
| |
63 |
| |
63 |
| |
63 |
|
Premium Payment |
| |
$10,000.00 |
| |
$10,000.00 |
| |
$10,000.00 |
|
Benefit Base |
| |
$10,000.00 |
| |
$10,000.00 |
| |
$10,000.00 |
|
Crediting Base(1)
|
| |
$9,883.33 |
| |
$9,883.33 |
| |
$9,883.33 |
|
Equity Adjustment percentage(2)
|
| |
-18.54% |
| |
-0.68% |
| |
17.76% |
|
Equity Adjustment Amount(3)
|
| |
-$1,832.37(3a)
|
| |
-$67.21(3b)
|
| |
$1,755.28(3c)
|
|
Accumulated Value (Segment Interim Value)(4)
|
| |
$8,050.96(4a)
|
| |
$9,816.13(4b)
|
| |
$11,638.61(4c)
|
|
Bond Adjustment percentage(5)
|
| |
0.00% |
| |
0.00% |
| |
0.00% |
|
Crediting Base after Free Surrender Amount(6)
|
| |
N/A |
| |
N/A |
| |
N/A |
|
Bond Adjustment Amount(7)
|
| |
$0.00 |
| |
$0.00 |
| |
$0.00 |
|
Accumulated Value (Segment
Interim Value) adjusted for Bond Adjustment(8)
|
| |
$8,050.96(8a)
|
| |
$9,816.13(8b)
|
| |
$11,638.61(8c)
|
|
Free Surrender Amount(9)
|
| |
$1,000.00 |
| |
$1,000.00 |
| |
$1,000.00 |
|
Amount after Free Surrender Amount(10)
|
| |
$7,050.96(10a)
|
| |
$8,816.13(10b)
|
| |
$10,638.61(10c)
|
|
Surrender Charge percentage(11)
|
| |
8.00% |
| |
8.00% |
| |
8.00% |
|
Surrender Charge(12)
|
| |
$564.08(12a)
|
| |
$705.29(12b)
|
| |
$851.09(12c)
|
|
Rider Charge(13)
|
| |
$33.33 |
| |
$33.33 |
| |
$33.33 |
|
Surrender Value(14)
|
| |
$7,453.55(14a)
|
| |
$9,077.50(14b)
|
| |
$10,754.19(14c)
|
|
Example |
| |
4 |
| |
5 |
| |
6 |
|
Change in Index Value |
| |
10% increase |
| |
10% increase |
| |
10% increase |
|
Change in Bond Adjustment Index Value |
| |
10% increase |
| |
10% increase |
| |
10% increase |
|
Segment Start Date |
| |
03/01/2023 |
| |
03/01/2023 |
| |
03/01/2023 |
|
Current Date |
| |
12/01/2023 |
| |
03/01/2026 |
| |
06/01/2028 |
|
Months until Segment End Date |
| |
63 |
| |
36 |
| |
9 |
|
Months until end of current Bond Adjustment period
|
| |
63 |
| |
36 |
| |
9 |
|
Premium Payment |
| |
$10,000.00 |
| |
$10,000.00 |
| |
$10,000.00 |
|
Benefit Base |
| |
$10,000.00 |
| |
$10,000.00 |
| |
$10,000.00 |
|
Crediting Base(1)
|
| |
$9,883.33 |
| |
$9,433.33 |
| |
$8,983.33 |
|
Equity Adjustment percentage(2)
|
| |
8.46% |
| |
12.03% |
| |
12.15% |
|
Equity Adjustment Amount(3)
|
| |
$836.13(3a)
|
| |
$1,134.83(3b)
|
| |
$1,091.48(3c)
|
|
Accumulated Value (Segment Interim Value)(4)
|
| |
$10,719.46(4a)
|
| |
$10,568.16(4b)
|
| |
$10,074.81(4c)
|
|
Bond Adjustment percentage(5)
|
| |
-1.02% |
| |
-0.59% |
| |
-0.15% |
|
Crediting Base after Free Surrender Amount(6)
|
| |
$8,961.33(6a)
|
| |
$8,540.72(6b)
|
| |
$8,091.67(6c)
|
|
Bond Adjustment Amount(7)
|
| |
-$91.41(7a)
|
| |
-$50.39(7b)
|
| |
-$12.14(7c)
|
|
Accumulated Value (Segment Interim Value) adjusted
for Bond Adjustment(8)
|
| |
$10,628.06(8a)
|
| |
$10,517.77(8b)
|
| |
$10,062.67(8c)
|
|
Free Surrender Amount(9)
|
| |
$1,000.00 |
| |
$1,000.00 |
| |
$1,000.00 |
|
Amount after Free Surrender Amount(10)
|
| |
$9,628.06(10a)
|
| |
$9,517.77(10b)
|
| |
$9,062.67(10c)
|
|
Surrender Charge percentage(11)
|
| |
8.00%(11a)
|
| |
6.00%(11b)
|
| |
4.00%(11c)
|
|
Surrender Charge(12)
|
| |
$770.24(12a)
|
| |
$571.07(12b)
|
| |
$362.51(12c)
|
|
Rider Charge(13)
|
| |
$33.33 |
| |
$33.33 |
| |
$33.33 |
|
Surrender Value(14)
|
| |
$9,824.48(14a)
|
| |
$9,913.37(14b)
|
| |
$9,666.83(14c)
|
|
Example |
| |
7 |
| |
8 |
| |
9 |
|
Change in Index Value |
| |
10% decrease |
| |
10% decrease |
| |
10% decrease |
|
Change in Bond Adjustment Index Value |
| |
10% decrease |
| |
10% decrease |
| |
10% decrease |
|
Segment Start Date |
| |
03/01/2023 |
| |
03/01/2023 |
| |
03/01/2023 |
|
Current Date |
| |
12/01/2023 |
| |
03/01/2026 |
| |
06/01/2028 |
|
Months until Segment End Date |
| |
63 |
| |
36 |
| |
9 |
|
Months until end of current Bond Adjustment period
|
| |
63 |
| |
36 |
| |
9 |
|
Premium Payment |
| |
$10,000.00 |
| |
$10,000.00 |
| |
$10,000.00 |
|
Benefit Base |
| |
$10,000.00 |
| |
$10,000.00 |
| |
$10,000.00 |
|
Crediting Base(1)
|
| |
$9,883.33 |
| |
$9,433.33 |
| |
$8,983.33 |
|
Equity Adjustment percentage(2)
|
| |
-9.68% |
| |
-6.13% |
| |
-4.57% |
|
Equity Adjustment Amount(3)
|
| |
-$956.71(3a)
|
| |
-$578.26(3b)
|
| |
-$410.54(3c)
|
|
Accumulated Value (Segment Interim Value)(4)
|
| |
$8,926.63(4a)
|
| |
$8,855.07(4b)
|
| |
$8,572.80(4c)
|
|
Bond Adjustment percentage(5)
|
| |
1.04% |
| |
0.59% |
| |
0.15% |
|
Crediting Base after Free Surrender Amount(6)
|
| |
$8,776.16(6a)
|
| |
$8,368.03(6b)
|
| |
$7,935.44(6c)
|
|
Bond Adjustment Amount(7)
|
| |
$91.27(7a)
|
| |
$49.37(7b)
|
| |
$11.90(7c)
|
|
Accumulated Value (Segment Interim Value) adjusted
for Bond Adjustment(8)
|
| |
$9,017.90(8a)
|
| |
$8,904.44(8b)
|
| |
$8,584.70(8c)
|
|
Free Surrender Amount(9)
|
| |
$1,000.00 |
| |
$1,000.00 |
| |
$1,000.00 |
|
Amount after Free Surrender Amount(10)
|
| |
$8,017.90(10a)
|
| |
$7,904.44(10b)
|
| |
$7,584.70(10c)
|
|
Surrender Charge percentage(11)
|
| |
8.00%(11a)
|
| |
6.00%(11b)
|
| |
4.00%(11c)
|
|
Surrender Charge(12)
|
| |
$641.43(12a)
|
| |
$474.27(12b)
|
| |
$303.39(12c)
|
|
Rider Charge(13)
|
| |
$33.33 |
| |
$33.33 |
| |
$33.33 |
|
Surrender Value(14)
|
| |
$8,343.13(14a)
|
| |
$8,396.84(14b)
|
| |
$8,247.98(14c)
|
|
State |
| |
Benefit |
| |
Variation |
|
Arizona | | | Free Look | | | For a non-replacement, if the Owner is age 65 or older at the date of application, the right to cancel period is 30 days. | |
California | | | Free Look | | |
For a non-replacement, if the Owner is age 60 or older at the date of application, the right
to cancel period is 30 days.
If the Owner is age 60 or older at the date of application, the refunded
amount will be the greater of the Accumulated Value plus Fees and Charges or the Premium Payment, whichever is higher.
|
|
Connecticut | | | Free Look | | | For a replacement of an existing contract, your right to cancel period is 15 days. | |
District of Columbia | | | Free Look | | | For a replacement of an existing contract, your right to cancel period is 15 days. | |
Delaware | | | Free Look | | | For a replacement of an existing contract, your right to cancel period is 20 days. | |
Florida | | | Free Look | | | Your right to cancel period is 21 days. | |
Georgia | | | Free Look | | | For a replacement of an existing contract, your right to cancel period is 15 days. | |
Idaho | | | Free Look | | | Your right to cancel period is 20 days. | |
| | | Surrender | | | Surrender payments will be delayed no longer than six months from the date we receive your notice to surrender. | |
Illinois | | | Free Look | | | For a replacement of an existing contract, your right to cancel period is 20 days. | |
Indiana | | | Free Look | | | For a replacement of an existing contract, your right to cancel period is 20 days. | |
Kansas | | | Free Look | | | For a replacement of an existing contract, your right to cancel period is 20 days. | |
Kentucky | | | Free Look | | | For a non-replacement, your right to cancel period is 20 days. | |
Massachusetts | | | Free Look | | | Your right to cancel period is 20 days. | |
Michigan | | | Free Look | | | For a replacement of an existing contract, your right to cancel period is 15 days. | |
Minnesota | | | Free Look | | |
Notice of cancellation and return of the contract are effective on the date received by us or
our agent.
Will refund Premium Payment or Accumulated Value within 10 days
of receiving cancellation notice. |
|
| | | Death Benefit | | | We will pay death benefit within two months. | |
New Jersey | | | Index-Linked Segment Options | | | Index-Linked Segment Options linked to the SG Smart Climate Index are not available. | |
North Dakota |
| | Free Look | | | Your right to cancel period is 20 days. | |
Oklahoma | | | Free Look | | | For a replacement of an existing contract, your right to cancel period is 20 days. | |
Pennsylvania | | | Free Look | | |
For a replacement of an existing contract that was not issued to you by Principal Life Insurance
Company, your right to cancel period is 20 days.
For a replacement of an existing contract that was issued to you by
|
|
State |
| |
Benefit |
| |
Variation |
|
| | | | | | Principal Life Insurance Company, your right to cancel period is 45 days. | |
Rhode Island | | | Free Look | | | For a non-replacement, your right to cancel period is 20 days. | |
Tennessee | | | Free Look | | | For a replacement of an existing contract, your right to cancel period is 20 days. | |
Texas | | | Free Look | | | For a non-replacement, your right to cancel period is 20 days. | |
| | | Separate Account | | | The description of the Separate Account is modified for contracts issued in Texas. The Separate Account is a segregated account, established by Principal, in which we hold reserves for the Index-Linked Segment Option under the contract. The portion of the assets of the Separate Account equal to the reserves and other liabilities arising out of any other business we may conduct. | |
Virginia | | | Free Look | | | For a replacement of an existing contract, your right to cancel period is 15 days. | |
Washington | | | Free Look | | | For a replacement of an existing contract, your right to cancel period is 20 days. An additional 10% penalty shall be added to any refund due which is not paid within 30 days of return of the policy. | |
| | |
Underlying Fund and Adviser / Subadviser |
| |
Current Expenses |
| |
Average Annual Total Returns
(as of 12/31/23) |
| ||||||||||||||||||
Type |
| |
1 year |
| |
5 year |
| |
10 year |
| ||||||||||||||||||
Money Market Fund |
| |
Portfolio – Service Class 2 |
| | | | | | | | | | | | | | | | | | | | |
Year |
| |
Individual IRA |
| |
Individual IRA + Spousal IRA |
| ||||||
2022 |
| | | $ | 6,000 | | | | | $ | 12,000 | | |
2023 |
| | | $ | 6,500 | | | | | $ | 13,000 | | |
2024 |
| | | $ | 7,000 | | | | | $ | 14,000 | | |
If Your Filing Status Is… |
| |
And Your Modified AGI Is…
|
| |
Then You May be Able to Take…
|
|
single, head of household, or qualifying widow(er) | | | any amount | | | a full deduction up to the amount of your contribution limit. | |
married filing jointly or separately with a spouse who is not covered by a plan at work | | | any amount | | | a full deduction up to the amount of your contribution limit. | |
married filing jointly with a spouse who is covered by a plan at work | | | $230,000 or less | | | a full deduction up to the amount of your contribution limit. | |
married filing jointly with a spouse who is covered by a plan at work | | | more than $230,000 but less than $240,000 |
| | a partial deduction. | |
married filing jointly with a spouse who is covered by a plan at work | | | $240,000 or more | | | no deduction. | |
married filing separately with a spouse who is covered by a plan at work | | | less than $10,000 | | | a partial deduction. | |
married filing separately with a spouse who is covered by a plan at work | | | $10,000 or more | | | no deduction. | |
If Your Filing Status Is… |
| |
And Your Modified AGI Is…
|
| |
Then You May be Able to Take…
|
|
single or head of household | | | $77,000 or less | | | a full deduction up to the amount of your contribution limit. | |
single or head of household | | | more than $77,000 but less than $87,000 |
| | a partial deduction. | |
single or head of household | | | $87,000 or more | | | no deduction. | |
married filing jointly or qualifying widow(er) | | | $123,000 or less | | | a full deduction up to the amount of your contribution limit. | |
married filing jointly or qualifying widow(er) | | | more than $123,000 but less than $143,000 |
| | a partial deduction. | |
married filing jointly or qualifying widow(er) | | | $143,000 or more | | | no deduction. | |
married filing separately | | | less than $10,000 | | | a partial deduction. | |
married filing separately | | | $10,000 or more | | | no deduction. | |
Year |
| |
Elective Deferral |
| |
Catch-up Contribution |
| ||||||
2022 |
| | | $ | 20,500 | | | | | $ | 6,500 | | |
2023 |
| | | $ | 22,500 | | | | | $ | 7,500 | | |
2024 |
| | | $ | 23,000 | | | | | $ | 7,500 | | |
Year |
| |
Elective Deferral |
| |
Catch-up Contribution |
| |
401(k) Elective Deferral |
| |||||||||
2022 |
| | | $ | 14,000 | | | | | $ | 3,000 | | | | | $ | 20,500 | | |
2023 |
| | | $ | 15,500 | | | | | $ | 3,500 | | | | | $ | 22,500 | | |
2024 |
| | | $ | 16,000 | | | | | $ | 3,500 | | | | | $ | 23,000 | | |
Year |
| |
Individual Roth IRA |
| |
Catch-up Contribution |
| ||||||
2022 |
| | | $ | 6,000 | | | | | $ | 1,000 | | |
2023 |
| | | $ | 6,500 | | | | | $ | 1,000 | | |
2024 |
| | | $ | 7.000 | | | | | $ | 1,000 | | |
|
Single/Head of Household |
| |
Married Filing Joint |
| |
ROTH IRA Contribution |
|
|
< $146,000 |
| |
< $230,000 |
| |
Full Contribution |
|
|
Single/Head of Household |
| |
Married Filing Joint |
| |
ROTH IRA Contribution |
|
|
> $146,000 but < $161,000 |
| |
> $230,000 but < $240,000 |
| |
Partial Contribution* |
|
|
> $161,000 |
| |
> $240,000 |
| |
No Contribution |
|
Name and Principal Business Address |
| |
Positions and Offices |
|
JONATHAN S. AUERBACH 3 Penon Peak Trail Carmel, CA 93923 |
| | Director Member, Nominating and Governance Committee |
|
MARY E. BEAMS 20 Green Lane Weston, MA 02493 |
| | Director Member, Audit Committee |
|
JOCELYN CARTER-MILLER 8701 Banyan Court Tamarac, FL 33321 |
| | Director Chair, Human Resources Committee Member, Executive, Nominating and Governance Committee |
|
ROGER C. HOCHSCHILD 682 Ardsley Road Winnetka, IL 60093 |
| | Director Chair, Nominating and Governance Committee Member, Human Resources Committee |
|
DANIEL J. HOUSTON Principal Financial Group Des Moines, IA 50392 |
| | Director Chairman of the Board and Chair, Executive Committee Principal Life: Chairman, President and Chief Executive Officer |
|
SCOTT M. MILLS BET Media Group 1515 Broadway, 22nd Floor New York, NY 10036 |
| | Director Member, Audit, Executive and Human Resources Committees |
|
H. ELIZABETH MITCHELL 107 West 89th Street, Apt. 2B New York, NY 10024 |
| | Director Member, Audit Committee |
|
CLAUDIO MURUZABAL 791 Crandon Boulevard, #1508 Key Biscayne, FL 33149 |
| | Director Member, Human Resources and Nominating and Governance Committees |
|
DIANE C. NORDIN 140 Monument Street Concord, MA 01742 |
| | Director Chair, Audit Committee |
|
BLAIR C. PICKERELL Lower House 1 29 Mt. Kellett Road The Peak Hong Kong |
| | Director Member, Nominating and Governance Committee |
|
CLARE S. RICHER 169 Marlborough St. Apt 1 Boston, MA 02116 |
| | Director Member, Audit and Executive Committees |
|
ALFREDO RIVERA Condominio Lomas del Valle Flats 21, Torre A, Apt. 7 Pozos de Santa Ana San Jose, Costa Rica 10903 |
| | Director Member, Audit and Human Resources Committees |
|
Name and Principal Business Address |
| |
Positions and Offices |
|
VIVEK AGRAWAL(1) | | | Executive Vice President and Chief Growth Officer | |
KAMAL BHATIA(1) | | | Senior Executive Managing Director — Global Head of Investments, Principal Asset Management | |
J. SCOTT BOYD(1) | | | Senior Vice President — Retirement Distribution | |
WEE YEE (THOMAS) CHEONG(3)
|
| | Executive Vice President, Principal Asia | |
JON N. COUTURE(1) | | | Executive Vice President Principal Global Services and Chief Human Resources Officer | |
NOREEN M. FIERRO(1) | | | Senior Vice President and Enterprise Chief Ethics and Compliance Officer | |
AMY C. FRIEDRICH(1) | | | President Benefits and Protection | |
GINA L. GRAHAM(1) | | | Vice President and Treasurer | |
TERESA M. HASSARA(1) | | | Senior Vice President — WSRS | |
TIMOTHY A. HILL(1) | | | Senior Executive Managing Director — US & Europe Client Group, Principal Asset Management | |
KARA M. HOOGENSEN(1) | | | Senior Vice President, Benefits and Protection — Head of Workplace Benefits | |
KATHLEEN B. KAY(1) | | | Executive Vice President and Chief Information Officer | |
NATALIE LAMARQUE(1) | | | Executive Vice President, General Counsel and Secretary | |
CHRISTOPHER J. LITTLEFIELD(1)
|
| | President — Retirement and Income Solutions | |
KENNETH A. MCCULLUM(1) | | | Executive Vice President and Chief Risk Officer | |
DENNIS J. MENKEN(1) | | | Senior Vice President and Chief Investment Officer — Principal Life Insurance Company | |
CHRISTOPHER D. PAYNE(1) | | | Senior Vice President, Government Relations | |
JOEL M. PITZ(1) | | | Senior Vice President and Controller | |
SRINIVAS D. REDDY(1) | | | Senior Vice President — Retirement and Income Solutions | |
NATHAN P. SCHELHAAS(1) | | | Senior Vice President, Benefits and Protection — Head of Business Owner Segment | |
ELLEN W. SHUMWAY(1) | | | Senior Executive Managing Director — Global
Head of Product & Marketing, Principal Asset Management |
|
PABLO SPRENGER(2) | | | Executive Vice President, Principal Latin America | |
DEANNA D. STRABLE(1) | | | Executive Vice President and Chief Financial Officer | |
A. SHEA TREADWAY(1) | | | Senior Vice President, Benefits and Protection — Head of Distribution | |
LUIS VALDES(1) | | | Chairman — Latin America | |
BETHANY A. WOOD(1) | | | Executive Vice President and Chief Marketing Officer | |
| | |
Organized in |
| |
% Owned |
|
PRINCIPAL FINANCIAL GROUP, INC. |
| |
Delaware |
| |
Publicly Held |
|
→ Principal Financial
Services, Inc.*# |
| | Iowa | | | 100 | |
→ CCB Pension Management, Co. Ltd. |
| | China | | | 17.64 | |
→ PFG
DO Brasil LTDA*# |
| | Brazil | | | 100 | |
→ Brasilprev Seguros E Previdencia S.A.* |
| | Brazil | | | 50 | |
→ Principal Global Investors Participacoes, LTDA*#
|
| | Brazil | | | 100 | |
→ Claritas Investments LTD*# |
| | Cayman Islands | | | 100 | |
→ Claritas Administracao
de Recursos LTDA*# |
| | Brazil | | | 100 | |
→ PFG Do Brasil 2 Participacoes LTDA*# |
| | Brazil | | | 100 | |
→ Ciclic Corretora de Seguros S.A.*# |
| | Brazil | | | 50.01 | |
→ Principal
International, LLC.*# |
| | Iowa | | | 100 | |
→ Principal
International (Asia) Limited*# |
| | Hong Kong | | | 100 | |
→
Principal Asia Pacific Investment
Consulting (Beijing) Limited*#
|
| | China | | | 100 | |
→ Principal International (South Asia) SDN, BHD*#
|
| | Malaysia | | | 100 | |
→ Principal Nominee Company (Hong Kong) Limited*#
|
| | Hong Kong | | | 100 | |
→ Principal Asset Management Company (Asia) Limited*#
|
| | Hong Kong | | | 100 | |
→ Principal Trust Company (Hong Kong) Limited*
|
| | Hong Kong | | | 100 | |
→ Principal Insurance Company (Hong Kong) Limited*#
|
| | Hong Kong | | | 100 | |
→ Principal
Asset Management Berhad* |
| | Malaysia | | | 60 | |
→ CIMB Wealth Advisors Berhad* |
| | Malaysia | | | 100 | |
| | |
Organized in |
| |
% Owned |
|
PRINCIPAL FINANCIAL GROUP, INC. |
| |
Delaware |
| |
Publicly Held |
|
→ PT Principal Asset Management |
| | Indonesia | | | 99 | |
→ Principal Asset Management (S) PTE LTD*#
|
| | Singapore | | | 100 | |
→ Principal Asset Management Company Limited*
|
| | Thailand | | | 100 | |
→ PT Principal International Indonesia* |
| | Indonesia | | | 100 | |
→ Principal Trust Company (Asia) Limited*# |
| | Hong Kong | | | 100 | |
→ Principal Investment & Retirement Services Limited*#
|
| | Hong Kong | | | 100 | |
→ Principal Consulting (India) Private Limited*#
|
| | India | | | 100 | |
→ Principal Bermuda Holding, LLC |
| | Delaware | | | 100 | |
→ Principal Financial Services (Bermuda) Ltd.
|
| | Bermuda | | | 100 | |
→ Principal
Global Investors Holding Company, LLC*# |
| | Delaware | | | 100 | |
→ Principal Global Financial Services (Europe) II LTD*#
|
| | United Kingdom | | | 100 | |
→ Principal Global Investors (Europe) Limited*
|
| |
Wales/United Kingdom |
| | 100 | |
→ Principal Global Investors (Switzerland) GMBH*
|
| | Switzerland | | | 100 | |
→ Principal Global Investors (Ireland) Limited*#
|
| | Ireland | | | 100 | |
→ PGI
Origin Holding Company LTD*#< |
| |
Wales/United Kingdom |
| | 100 | |
→ Origin Asset Management LLP*#< |
| |
Wales/United Kingdom |
| | 93.08 | |
→ PGI Finisterre Holding Company LTD* |
| |
Wales/United Kingdom |
| | 100 | |
→ Finisterre
Holdings Limited* |
| | Malta | | | 100 | |
→ Finisterre Capital LLP* |
| |
Wales/United Kingdom |
| | 86 | |
→ Principal Corporate Secretarial Services Limited
|
| |
Wales/United Kingdom |
| | 100 | |
→ Principal Real Estate Europe Limited |
| |
Wales/United Kingdom |
| | 100 | |
→ Principal Real Estate Limited |
| |
Wales/United Kingdom |
| | 100 | |
→ Principal Real Estate B.V. |
| | Netherlands | | | 100 | |
→ Principal Real Estate GmbH |
| | Germany | | | 100 | |
→ PD Frankfurt GmbH mbH |
| | Germany | | | 94.9 | |
→ Principal Real Estate S.á.r.l. |
| | Luxembourg | | | 100 | |
→ Principal Real Estate SAS |
| | France | | | 100 | |
→ Principal Real Estate S.L.U. |
| | Spain | | | 100 | |
→ Principal Real Estate Spezialfondsgesellschaft mbH
|
| | Germany | | | 94.9 | |
→ Principal Global Investors (Singapore) Limited*#
|
| | Singapore | | | 100 | |
→ Principal Real Asset Investments Private Fund Management
(Beijing) Co., Ltd. |
| | China | | | 50 | |
→ Principal Private Fund Management (Shanghai) Co., Ltd.
|
| | China | | | 100 | |
→ Principal Global Investors (Hong Kong) Limited*#
|
| | Hong Kong | | | 100 | |
→ Principal Global Investors Holding Company (US), LLC*# | | | Delaware | | | 100 | |
→ Spectrum Asset Management, Inc.*#< |
| | Connecticut | | | 100 | |
→ SAMI Brokerage LLC |
| | Connecticut | | | 100 | |
→ Post
Advisory Group, LLC*#< |
| | Delaware | | | 75.23 | |
→ Principal Commercial Funding, LLC*#< |
| | Delaware | | | 100 | |
→ Principal
Enterprise Capital, LLC*# |
| | Delaware | | | 100 | |
→ Principal
Global Investors, LLC*#< |
| | Delaware | | | 100 | |
→ Principal Real Estate Investors, LLC*# |
| | Delaware | | | 100 | |
→ Principal Global Investors Trust Company*#
|
| | Oregon | | | 100 | |
→ Principal Shareholder Services, Inc.*# |
| | Washington | | | 100 | |
| | |
Organized in |
| |
% Owned |
|
PRINCIPAL FINANCIAL GROUP, INC. |
| |
Delaware |
| |
Publicly Held |
|
→ Principal Funds Distributor, Inc.*# |
| | Washington | | | 100 | |
→ Principal Islamic Asset Management SDN. BHD*# | | | Malaysia | | | 60 | |
→ Principal Financial Group (Mauritius) LTD*# | | | Mauritius | | | 100 | |
→ Principal Life Insurance Company±# | | | Iowa | | | 100 | |
→ Principal Reinsurance Company of Delaware*#<
|
| | Delaware | | | 100 | |
→ Principal Reinsurance Company of Delaware II*#<
|
| | Delaware | | | 100 | |
→ Principal
Real Estate Holding Company, LLC*#< |
| | Delaware | | | 100 | |
→ GAVI PREHC HC, LLC*#< |
| | Delaware | | | 100 | |
→ Principal Development Investors, LLC*#<
|
| | Delaware | | | 100 | |
→ Principal Real Estate Fund Investors, LLC*#<
|
| | Delaware | | | 100 | |
→ Principal
Holding Company, LLC*#< |
| | Iowa | | | 100 | |
→ Petula
Associates, LLC*< |
| | Iowa | | | 100 | |
→ Principal
Real Estate Portfolio, Inc.*#< |
| | Delaware | | | 100 | |
→ GAVI PREPI HC, LLC*#< |
| | Delaware | | | 100 | |
→ Petula Prolix Development Company, LLC*#<
|
| | Iowa | | | 100 | |
→ Principal Commercial Acceptance, LLC*#<
|
| | Delaware | | | 100 | |
→ Principal Generation Plant, LLC*#< |
| | Delaware | | | 100 | |
→ Principal Bank*#< |
| | Iowa | | | 100 | |
→ Principal Advised Services, LLC |
| | Delaware | | | 100 | |
→ Equity FC, LTD*#< |
| | Iowa | | | 100 | |
→ Principal
Dental Services, Inc.*#< |
| | Arizona | | | 100 | |
→ Employers Dental Services, Inc.*#< |
| | Arizona | | | 100 | |
→ First Dental Health*#< |
| | California | | | 100 | |
→ Delaware Charter Guarantee & Trust Company*#<
|
| | Delaware | | | 100 | |
→ Preferred Product Network, Inc.*#< |
| | Delaware | | | 100 | |
→ Principal Reinsurance Company of Vermont*#
|
| | Vermont | | | 100 | |
→ Principal Reinsurance Company of Vermont II*#<
|
| | Vermont | | | 100 | |
→ Principal International Holding Company, LLC*# | | | Delaware | | | 100 | |
→ Principal Global Services Private Limited*# | | | India | | | 100 | |
→ Principal Global Services (Philippines) LLC | | | Philippines | | | 100 | |
→ CCB Principal Asset Management Company, LTD* | | | China | | | 25 | |
→ Principal Financial Services I (US), LLC*# | | | Delaware | | | 100 | |
→ Principal Financial Services II (US), LLC*#
|
| | Delaware | | | 100 | |
→ Principal
Financial Services I (UK) LLP *# |
| |
Wales/United Kingdom |
| | 100 | |
→ Principal Financial Services V (UK) LTD.*#
|
| | United Kingdom | | | 100 | |
→ Principal
Financial Services II (UK) LTD.*# |
| |
Wales/United Kingdom |
| | 100 | |
→ Principal
Financial Services III (UK) LTD.*# |
| |
Wales/United Kingdom |
| | 100 | |
→ Principal Financial Services Asia (UK) LTD*#
|
| | United Kingdom | | | 100 | |
→ Principal Global Investors Asia (UK) Ltd |
| | United Kingdom | | | 100 | |
→ Principal Global Investors (Australia) Service Company Pty
Limited*# |
| | Australia | | | 100 | |
→ Principal
Global Investors (Australia) Limited*# |
| | Australia | | | 100 | |
→ Principal Global Investors (Japan) Limited*#
|
| | Japan | | | 100 | |
→ Principal
Financial Services VI (UK) LTD*# |
| | United Kingdom | | | 100 | |
| | |
Organized in |
| |
% Owned |
|
PRINCIPAL FINANCIAL GROUP, INC. |
| |
Delaware |
| |
Publicly Held |
|
→ Principal
Global Financial Services (Europe) LTD*# |
| | United Kingdom | | | 100 | |
→ Principal
Financial Services Latin America LTD.*# |
| |
Wales/United Kingdom |
| | 100 | |
→ Principal
International Latin America LTD.*# |
| | United Kingdom | | | 100 | |
→ Principal International Mexico, LLC*# |
| | Delaware | | | 100 | |
→ Principal Mexico Servicios, S.A. de C.V.*#
|
| | Mexico | | | 100 | |
→ Principal Innovación, S.A. de C.V. |
| | Mexico | | | 100 | |
→ Principal
Financial Group, S.A. de C. V. Grupo Financiero*# |
| | Mexico | | | 100 | |
→ Principal Afore, S. A. de C.V., Principal Grupo Financiero*#
|
| | Mexico | | | 100 | |
→ Principal Fondos de Inversión S.A. de C.V., Operadora
de Fondos de Inversion, Principal Grupo Financiero*# |
| | Mexico | | | 100 | |
→ Principal Seguros, S.A. de C.V., Principal Grupo Financiero*#
|
| | Mexico | | | 100 | |
→ Principal
International South America I LTD.*# |
| |
Wales/United Kingdom |
| | 100 | |
→ Principal
International South America II LTD.*# |
| |
Wales/United Kingdom |
| | 100 | |
→ Principal
International South America II LTD., Agencia
En Chile*# |
| |
Chile/United Kingdom |
| | 100 | |
→ Principal
International de Chile, S.A.*# |
| | Chile | | | 100 | |
→ Principal
Compania de Seguros de Vida Chile S.A.*#
|
| | Chile | | | 100 | |
→
Principal Administradora General
de Fondos S.A.*#
|
| | Chile | | | 100 | |
→ Principal Ahorro e Inversiones S.A.*# |
| | Chile | | | 100 | |
→ Principal Servicios Corporativos Chile LTDA*#
|
| | Chile | | | 100 | |
→ Principal
Servicios de Administración S.A.*# |
| | Chile | | | 100 | |
→ Principal
Holding Company Chile S.A.*# |
| | Chile | | | 100 | |
→ Principal
Chile Limitada*# |
| | Chile | | | 100 | |
→
Administradora
de Fondos de Pensiones Cuprum S.A.*#
|
| | Chile | | | 97 | |
→ Inversiones Cuprum Internacional S.A.*# |
| | Chile | | | 100 | |
→ Principal National Life Insurance Company+# | | | Iowa | | | 100 | |
→ Principal Securities, Inc. | | | Iowa | | | 100 | |
→ Diversified Dental Services, Inc.*# | | | Nevada | | | 100 | |
→ Principal Innovations, Inc. | | | Delaware | | | 90.55 | |
→ Business Owner Ecosystem, Inc. |
| | Delaware | | | 100 | |
→ Principal Workforce, LLC | | | Delaware | | | 100 | |
→ Principal Financial Services (Asia) Pte Ltd | | | Singapore | | | 100 | |
|
(b1) Name and principal business address |
| |
(b2) Positions and offices with principal underwriter |
|
| Christopher Agbe-Davies Principal Financial Group(1) |
| | Vice President, Associate General Counsel and Assistant Secretary | |
| Carla Beitzel Principal Financial Group(1) |
| | Vice President, Distribution (PPN) | |
| Jess Beltran Principal Financial Group(1) |
| | Chief Supervision Officer | |
| Chad Claire Principal Financial Group(1) |
| | Chief Information Officer | |
| Brock Cooper Principal Financial Group(1) |
| | Chief Compliance Officer | |
| Amy C. Friedrich Principal Financial Group(1) |
| | Director | |
| William Froehlich Principal Financial Group(1) |
| | Vice President, Operations | |
| Gina L. Graham Principal Financial Group(1) |
| | Vice President and Treasurer | |
| Sarah Juteau Principal Financial Group(1) |
| | Counsel | |
| Cody Lawler Principal Financial Group(1) |
| | Vice President, Operations | |
| Kenneth A. McCullum Principal Financial Group(1) |
| | Director | |
| Michael F. Murray Principal Financial Group(1) |
| | Chairman, President and Chief Executive Officer | |
| Mitch G. Nass Principal Financial Group(1) |
| | Counsel and Secretary | |
| Doug Rants Principal Financial Group(1) |
| | Chief Information Security Officer | |
| David A. Rigler Principal Financial Group(1) |
| | Chief Financial Officer | |
| Craig Spadafora Principal Financial Group(1) |
| | Senior Vice President | |
| Deanna D. Strable-Soethout Principal Financial Group(1) |
| | Director | |
| A. Shea Treadway Principal Financial Group(1) |
| | Director | |
| Dan VanWinkle Principal Financial Group(1) |
| | AML Officer | |
| Dan L. Westholm Principal Financial Group(1) |
| | Assistant Vice President — Treasury | |
(1)
Name of Principal Underwriter |
| |
(2) Net Underwriting Discounts & Commissions |
| |
(3) Compensation on Events Occasioning the Deduction of a Deferred Sales Load |
| |
(4) Brokerage Commissions |
| |
(5) Other Compensation |
| ||||||||||||
Principal Securities, Inc. |
| | | $ | 47,297,870 | | | | | | 0 | | | | | | 0 | | | | | | 0 | | |
| Attest: | | | | |
|
/s/ Christopher Agbe-Davies
Christopher Agbe-Davies Assistant Corporate Secretary |
| | | |
|
Signature |
| |
Title |
| |
Date |
|
|
/s/ D. J. Houston
D. J. Houston |
| | Director, Chairman of the Board Chairman, President, and Chief Executive Officer (Principal Executive Officer) |
| |
May 10, 2024 |
|
|
/s/ J. M. Pitz
J. M. Pitz |
| | Senior Vice President and Controller (Principal Accounting Officer) |
| |
May 10, 2024 |
|
|
/s/ D. D. Strable-Soethout
D. D. Strable-Soethout |
| | Executive Vice President and Chief Financial Officer (Principal Financial Officer) | | |
May 10, 2024 |
|
|
/s/ J. S. Auerbach*
J. S. Auerbach |
| | Director | | |
May 10, 2024 |
|
|
/s/ M. E. Beams*
M. E. Beams |
| | Director | | |
May 10, 2024 |
|
|
/s/ J. Carter-Miller*
J. Carter-Miller |
| | Director | | |
May 10, 2024 |
|
|
/s/ R. C. Hochschild*
R. C. Hochschild |
| | Director | | |
May 10, 2024 |
|
|
/s/ S. M. Mills*
S. M. Mills |
| | Director | | |
May 10, 2024 |
|
|
/s/ H. E. Mitchell*
H. E. Mitchell |
| | Director | | |
May 10, 2024 |
|
|
/s/ C. Muruzabal*
C. Muruzabal |
| | Director | | |
May 10, 2024 |
|
|
/s/ D. C. Nordin*
D. C. Nordin |
| | Director | | |
May 10, 2024 |
|
|
/s/ B. C. Pickerell*
B. C. Pickerell |
| | Director | | |
May 10, 2024 |
|
|
/s/ C. S. Richer*
C. S. Richer |
| | Director | | |
May 10, 2024 |
|
|
/s/ A. Rivera*
A. Rivera |
| | Director | | |
May 10, 2024 |
|