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BUSINESS SEGMENT INFORMATION (Tables) | 9 Months Ended
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Sep. 30, 2023
Segment Reporting [Abstract] |
Reconciliation of Revenue from Segments to Consolidated | Information regarding operations by reportable segment and Corporate and other, follows:
| Three Months Ended September 30, |  | Nine Months Ended September 30, |
(In millions) | 2023 |  | 2022 |  | 2023 |  | 2022 |
Revenues: |  |  |  |  |  |  |  |
Aflac Japan: |  |  |  |  |  |  |  |
Net earned premiums (1) | $ | 1,973 |  |  | $ | 2,125 |  |  | $ | 6,207 |  |  | $ | 7,084 |  |
Adjusted net investment income (2),(3) | 679 |  |  | 663 |  |  | 1,927 |  |  | 2,066 |  |
Other income | 8 |  |  | 9 |  |  | 26 |  |  | 26 |  |
Total adjusted revenue Aflac Japan | 2,660 |  |  | 2,797 |  |  | 8,160 |  |  | 9,176 |  |
Aflac U.S.: |  |  |  |  |  |  |  |
Net earned premiums | 1,419 |  |  | 1,375 |  |  | 4,272 |  |  | 4,182 |  |
Adjusted net investment income (4) | 209 |  |  | 185 |  |  | 609 |  |  | 563 |  |
Other income | 33 |  |  | 38 |  |  | 102 |  |  | 120 |  |
Total adjusted revenue Aflac U.S. | 1,661 |  |  | 1,598 |  |  | 4,983 |  |  | 4,865 |  |
Corporate and other (5),(6) | 115 |  |  | 73 |  |  | 384 |  |  | 189 |  |
Total adjusted revenues | 4,436 |  |  | 4,468 |  |  | 13,527 |  |  | 14,230 |  |
Net investment gains (losses) (2),(3),(4),(5) | 514 |  |  | 236 |  |  | 1,396 |  |  | 962 |  |
Total revenues | $ | 4,950 |  |  | $ | 4,704 |  |  | $ | 14,923 |  |  | $ | 15,192 |  |
(1) Includes a gain (loss) of $22 and $(41) for the three-month periods and $22 and $(42) for the nine-month periods ended September 30, 2023 and 2022, respectively, related to remeasurement of the deferred profit liability for limited-payment contracts. (2) Amortized hedge costs of $26 and $28 for the three-month periods and $148 and $84 for the nine-month periods ended September 30, 2023, and 2022, respectively, related to certain foreign currency exposure management strategies have been reclassified from net investment gains (losses) and reported as a deduction from net investment income when analyzing operations. (3) Net interest cash flows from derivatives associated with certain investment strategies of $(79) and $(25) for the three-month periods and $(214) and $(37) for the nine-month periods ended September 30, 2023, and 2022, respectively, have been reclassified from net investment gains (losses) and included in adjusted earnings as a component of net investment income when analyzing operations. (4) Net interest cash flows from derivatives associated with certain investment strategies of $(9) and $(1) for the three-month periods and $(24) and $1 for the nine-month periods ended September 30, 2023, and 2022, have been reclassified from net investment gains (losses) and included in adjusted earnings as a component of net investment income when analyzing operations. (5) Amortized hedge income of $25 and $19 for the three-month periods and $92 and $44 for the nine-month periods ended September 30, 2023, and 2022, respectively, related to certain foreign currency exposure management strategies has been reclassified from net investment gains (losses) and reported as an increase to net investment income when analyzing operations. (6) The change in value of federal historic rehabilitation and solar investments in partnerships of $64 and $19 for the three-month periods and $169 and $61 for the nine-month periods ended September 30, 2023, and 2022, respectively, is included as a reduction to net investment income. Tax credits on these investments of $63 and $19 for the three-month periods and $171 and $63 for the nine-month periods ended September 30, 2023, and 2022, respectively, have been recorded as an income tax benefit in the consolidated statements of earnings. See Note 3 for additional information on these investments. Prior-year amounts have been adjusted for the adoption of accounting guidance on January 1, 2023 related to accounting for long-duration insurance contracts.
Reconciliation of Adjusted Profit (Loss) from Segments to Consolidated |
| Three Months Ended September 30, |  | Nine Months Ended September 30, |
(In millions) | 2023 |  | 2022 |  | 2023 |  | 2022 |
Pretax earnings: |  |  |  |  |  |  |  |
Aflac Japan (1),(2),(3) | $ | 869 |  |  | $ | 817 |  |  | $ | 2,479 |  |  | $ | 2,560 |  |
Aflac U.S. (4) | 478 |  |  | 345 |  |  | 1,199 |  |  | 1,020 |  |
Corporate and other (5),(6),(7) | (49) |  |  | (56) |  |  | (107) |  |  | (173) |  |
Pretax adjusted earnings (8) | 1,298 |  |  | 1,106 |  |  | 3,571 |  |  | 3,407 |  |
Net investment gains (losses) (2),(3),(4),(5),(6) | 504 |  |  | 222 |  |  | 1,363 |  |  | 923 |  |
Other income (loss) | 3 |  |  | 1 |  |  | 38 |  |  | 1 |  |
Total earnings before income taxes | $ | 1,805 |  |  | $ | 1,329 |  |  | $ | 4,972 |  |  | $ | 4,331 |  |
Income taxes applicable to pretax adjusted earnings | $ | 203 |  |  | $ | 196 |  |  | $ | 570 |  |  | $ | 610 |  |
Effect of foreign currency translation on after-tax adjusted earnings | (33) |  |  | (97) |  |  | (100) |  |  | (192) |  |
(1) Includes a gain (loss) of $22 and $(41) for the three-month periods and $22 and $(42) for the nine-month periods ended September 30, 2023 and 2022, respectively, related to remeasurement of the deferred profit liability for limited-payment contracts. (2) Amortized hedge costs of $26 and $28 for the three-month periods and $148 and $84 for the nine-month periods ended September 30, 2023, and 2022, respectively, related to certain foreign currency exposure management strategies have been reclassified from net investment gains (losses) and reported as a deduction from net investment income when analyzing operations. (3) Net interest cash flows from derivatives associated with certain investment strategies of $(79) and $(25) for the three-month periods and $(214) and $(37) for the nine-month periods ended September 30, 2023, and 2022, respectively, have been reclassified from net investment gains (losses) and included in adjusted earnings as a component of net investment income when analyzing operations. (4) Net interest cash flows from derivatives associated with certain investment strategies of $(9) and $(1) for the three-month periods and $(24) and $1 for the nine-month periods ended September 30, 2023, and 2022, have been reclassified from net investment gains (losses) and included in adjusted earnings as a component of net investment income when analyzing operations. (5) Amortized hedge income of $25 and $19 for the three-month periods and $92 and $44 for the nine-month periods ended September 30, 2023, and 2022, respectively, related to certain foreign currency exposure management strategies has been reclassified from net investment gains (losses) and reported as an increase in net investment income when analyzing operations. (6) A gain of $8 and $13 for the three-month periods and $32 and $38 for the nine-month periods ended September 30, 2023, and 2022, respectively, related to the interest rate component of the change in fair value of foreign currency swaps on notes payable has been reclassified from net investment gains (losses) and included in adjusted earnings when analyzing operations. (7) The change in value of federal historic rehabilitation and solar investments in partnerships of $64 and $19 for the three-month periods and $169 and $61 for the nine-month periods ended September 30, 2023, and 2022, respectively, is included as a reduction to net investment income. Tax credits on these investments of $63 and $19 for the three-month periods and $171 and $63 for the nine-month periods ended September 30, 2023, and 2022, respectively, have been recorded as an income tax benefit in the consolidated statements of earnings. See Note 3 for additional information on these investments. (8) Includes $39 and $45 for the three-month periods and $109 and $127 for the nine-month periods ended September 30, 2023, and 2022, respectively, of interest expense on debt. Prior-year amounts have been adjusted for the adoption of accounting guidance on January 1, 2023 related to accounting for long-duration insurance contracts.
Reconciliation of Assets from Segment to Consolidated | Assets were as follows:
(In millions) | September 30, 2023 |  | December 31, 2022
Assets: |  |  |  |  |  |  |
Aflac Japan |  | $ | 99,407 |  |  |  |  | $ | 105,734 |  |
Aflac U.S. |  | 20,751 |  |  |  |  | 21,002 |  |
Corporate and other |  | 4,953 |  |  |  |  | 5,002 |  |
Total assets |  | $ | 125,111 |  |  |  |  | $ | 131,738 |  |
Prior-year amounts have been adjusted for the adoption of accounting guidance on January 1, 2023 related to accounting for long-duration insurance contracts.

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