DAC, VOBA, DSI and DFEL (Tables)

3 Months Ended

Mar. 31, 2026

Deferred Policy Acquisition Costs and Present Value of Future Insurance Profits, Net [Abstract]

The following table reconciles deferred acquisition costs (“DAC”), value of business acquired (“VOBA”) and deferred sales inducements (“DSI”) (in millions) to the Consolidated Balance Sheets:


	As of March 31,		As of December 31,
	2026		2025
DAC, VOBA and DSI
Variable Annuities	$	4,143	$	4,112
Fixed Annuities	504		478

Traditional Life	1,295		1,308
UL and Other	6,434		6,421
Group Protection	196		198
Retirement Plan Services	306		304
Other Operations	8		6
Total DAC, VOBA and DSI	$	12,886	$	12,827

Reconciliation of DFEL

The following table reconciles deferred front-end loads (“DFEL”) (in millions) to the Consolidated Balance Sheets:


	As of March 31,		As of December 31,
	2026		2025
DFEL
Variable Annuities	$	261	$	264
UL and Other	7,485		7,265
Other Operations (1)	58		57
Total DFEL	$	7,804	$	7,586

(1) Represents DFEL reported in Other Operations attributable to the indemnity reinsurance agreement with Protective that is excluded from the following tables. We reported $58 million and $57 million of ceded DFEL in reinsurance recoverables on the Consolidated Balance Sheets as of March 31, 2026, and December 31, 2025, respectively.

DAC

The following tables summarize the changes in DAC (in millions):


	As of or For the Three Months Ended March 31, 2026
	Variable Annuities		Fixed Annuities		Traditional Life		UL and Other		Group Protection		Retirement Plan Services
Balance as of beginning-of-year	$	4,008	$	452	$	1,281	$	6,057	$	198	$	242


Deferrals	142		46		24		106		30		5
Amortization	(108)		(19)		(35)		(83)		(32)		(4)
Balance as of end-of-period	$	4,042	$	479	$	1,270	$	6,080	$	196	$	243


	As of or For the Three Months Ended March 31, 2025
	Variable Annuities		Fixed Annuities		Traditional Life		UL and Other		Group Protection		Retirement Plan Services
Balance as of beginning-of-year	$	3,851	$	394	$	1,335	$	5,916	$	178	$	242


Deferrals	136		10		21		94		32		5
Amortization	(97)		(16)		(37)		(79)		(29)		(5)
Balance as of end-of-period	$	3,890	$	388	$	1,319	$	5,931	$	181	$	242

VOBA

The following tables summarize the changes in VOBA (in millions):


	As of or For the Three Months Ended March 31, 2026
	Fixed Annuities		Traditional Life		UL and Other
Balance as of beginning-of-year	$	12	$	27	$	339



Amortization	–		(2)		(10)
Balance as of end-of-period	$	12	$	25	$	329


	As of or For the Three Months Ended March 31, 2025
	Fixed Annuities		Traditional Life		UL and Other
Balance as of beginning-of-year	$	13	$	35	$	375



Amortization	(1)		(2)		(9)
Balance as of end-of-period	$	12	$	33	$	366

DSI

The following tables summarize the changes in DSI (in millions):


	As of or For the Three Months Ended March 31, 2026
	Variable Annuities		Fixed Annuities		UL and Other		Retirement Plan Services
Balance as of beginning-of-year	$	104	$	14	$	25	$	62
Deferrals	–		–		–		1
Amortization	(3)		(1)		–		–
Balance as of end-of-period	$	101	$	13	$	25	$	63


	As of or For the Three Months Ended March 31, 2025
	Variable Annuities		Fixed Annuities		UL and Other		Retirement Plan Services
Balance as of beginning-of-year	$	113	$	16	$	27	$	42
Deferrals	–		–		–		4
Amortization	(2)		–		(1)		–
Balance as of end-of-period	$	111	$	16	$	26	$	46

DFEL

The following tables summarize the changes in DFEL (in millions):


	As of or For the Three Months Ended March 31, 2026				As of or For the Three Months Ended March 31, 2025
	Variable Annuities		UL and Other		Variable Annuities		UL and Other
Balance as of beginning-of-year	$	264	$	7,265	$	273	$	6,406
Deferrals	3		315		3		279
Amortization	(6)		(95)		(6)		(98)
Balance as of end-of-period	261		7,485		270		6,587
Less: reinsurance recoverables	–		221		–		237
Balance as of end-of-period, net of reinsurance	$	261	$	7,264	$	270	$	6,350