| Deferred Policy Acquisition Costs |
(7) Deferred Policy Acquisition Costs The balances and activity in DAC were as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended |
|
|
Year ended |
|
|
|
March 31, 2026 |
|
|
December 31, 2025 |
|
|
|
(In thousands) |
|
|
|
Term Life Insurance |
|
|
Segregated Funds (Canada) |
|
|
Term Life Insurance |
|
|
Segregated Funds (Canada) |
|
DAC balance, beginning of period |
|
$ |
3,845,442 |
|
|
$ |
55,139 |
|
|
$ |
3,608,599 |
|
|
$ |
55,303 |
|
Capitalization |
|
|
127,675 |
|
|
|
815 |
|
|
|
540,952 |
|
|
|
2,547 |
|
Amortization |
|
|
(82,666 |
) |
|
|
(1,334 |
) |
|
|
(316,411 |
) |
|
|
(5,381 |
) |
Foreign exchange translation and other |
|
|
(4,923 |
) |
|
|
(971 |
) |
|
|
12,302 |
|
|
|
2,670 |
|
DAC balance, at the end of period |
|
$ |
3,885,528 |
|
|
$ |
53,649 |
|
|
$ |
3,845,442 |
|
|
$ |
55,139 |
|
Reconciliation of DAC by product was as follows:
|
|
|
|
|
|
|
|
|
|
|
March 31, 2026 |
|
|
December 31, 2025 |
|
|
|
(In thousands) |
|
Term Life Insurance |
|
$ |
3,885,528 |
|
|
$ |
3,845,442 |
|
Segregated Funds (Canada) |
|
|
53,649 |
|
|
|
55,139 |
|
Other |
|
|
15,157 |
|
|
|
15,417 |
|
Total DAC, net |
|
$ |
3,954,334 |
|
|
$ |
3,915,998 |
|
There were no material changes to the judgments, assumptions and methods used to amortize DAC during the three months ended March 31, 2026 and 2025.
|