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Closed Block | 6 Months Ended
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Jun. 30, 2022
Closed Block Disclosure [Abstract] |
Closed Block | 5. Closed Block On April 7, 2000 (the “Demutualization Date”), Metropolitan Life Insurance Company (“MLIC”) converted from a mutual life insurance company to a stock life insurance company and became a wholly-owned subsidiary of MetLife, Inc. The conversion was pursuant to an order by the New York Superintendent of Insurance approving MLIC’s plan of reorganization, as amended (the “Plan of Reorganization”). On the Demutualization Date, MLIC established a closed block for the benefit of holders of certain individual life insurance policies of MLIC. Experience within the closed block, in particular mortality and investment yields, as well as realized and unrealized gains and losses, directly impact the policyholder dividend obligation. Amortization of the closed block DAC, which resides outside of the closed block, is based upon cumulative actual and expected earnings within the closed block. Accordingly, the Company’s net income continues to be sensitive to the actual performance of the closed block. Closed block assets, liabilities, revenues and expenses are combined on a line-by-line basis with the assets, liabilities, revenues and expenses outside the closed block based on the nature of the particular item. Information regarding the closed block liabilities and assets designated to the closed block was as follows at:
|  | June 30, 2022 |  | December 31, 2021
|  | (In millions)
Closed Block Liabilities |  |  |  |
Future policy benefits |  | $ | 37,593 |  |  | $ | 38,046 |
Other policy-related balances |  | 274 |  |  | 290 |
Policyholder dividends payable |  | 250 |  |  | 253 |
Policyholder dividend obligation |  | — |  |  | 1,682 |
Deferred income tax liability |  | — |  |  | 210 |
Other liabilities |  | 368 |  |  | 263 |
Total closed block liabilities |  | 38,485 |  |  | 40,744 |
Assets Designated to the Closed Block |  |  |  |
Investments: |  |  |  |
Fixed maturity securities available-for-sale, at estimated fair value |  | 21,257 |  |  | 25,669 |
Equity securities, at estimated fair value |  | 14 |  |  | 21 |
Mortgage loans |  | 6,624 |  |  | 6,417 |
Policy loans |  | 4,120 |  |  | 4,191 |
Real estate and real estate joint ventures |  | 583 |  |  | 565 |
Other invested assets |  | 712 |  |  | 535 |
Total investments |  | 33,310 |  |  | 37,398 |
Cash and cash equivalents |  | 201 |  |  | 126 |
Accrued investment income |  | 379 |  |  | 384 |
Premiums, reinsurance and other receivables |  | 43 |  |  | 50 |
Current income tax recoverable |  | 91 |  |  | 81 |
Deferred income tax asset |  | 196 |  |  | — |
Total assets designated to the closed block |  | 34,220 |  |  | 38,039 |
Excess of closed block liabilities over assets designated to the closed block |  | 4,265 |  |  | 2,705 |
AOCI: |  |  |  |
Unrealized investment gains (losses), net of income tax |  | (460) |  |  | 2,562 |
Unrealized gains (losses) on derivatives, net of income tax |  | 257 |  |  | 107 |
Allocated to policyholder dividend obligation, net of income tax |  | — |  |  | (1,329) |
Total amounts included in AOCI |  | (203) |  |  | 1,340 |
Maximum future earnings to be recognized from closed block assets and liabilities |  | $ | 4,062 |  |  | $ | 4,045 |
Information regarding the closed block policyholder dividend obligation was as follows:
|  | Six Months Ended June 30, 2022 |  | Year Ended December 31, 2021
|  | (In millions)
Balance, beginning of period |  | $ | 1,682 |  |  | $ | 2,969 |
Change in unrealized investment and derivative gains (losses) |  | (1,682) |  |  | (1,287) |
Balance, end of period |  | $ | — |  |  | $ | 1,682 |
Information regarding the closed block revenues and expenses was as follows:
|  | Three Months Ended June 30, |  | Six Months Ended June 30,
|  | 2022 |  | 2021 |  | 2022 |  | 2021
|  | (In millions)
Revenues |  |  |  |  |  |  |  |
Premiums |  | $ | 274 |  |  | $ | 325 |  |  | $ | 549 |  |  | $ | 645 |
Net investment income |  | 352 |  |  | 382 |  |  | 713 |  |  | 775 |
Net investment gains (losses) |  | (16) |  |  | (11) |  |  | (48) |  |  | (5) |
Net derivative gains (losses) |  | 8 |  |  | 6 |  |  | 11 |  |  | 7 |
Total revenues |  | 618 |  |  | 702 |  |  | 1,225 |  |  | 1,422 |
Expenses |  |  |  |  |  |  |  |
Policyholder benefits and claims |  | 462 |  |  | 520 |  |  | 945 |  |  | 1,066 |
Policyholder dividends |  | 128 |  |  | 173 |  |  | 261 |  |  | 351 |
Other expenses |  | 23 |  |  | 24 |  |  | 46 |  |  | 49 |
Total expenses |  | 613 |  |  | 717 |  |  | 1,252 |  |  | 1,466 |
Revenues, net of expenses before provision for income tax expense (benefit) |  | 5 |  |  | (15) |  |  | (27) |  |  | (44) |
Provision for income tax expense (benefit) |  | 1 |  |  | (3) |  |  | (6) |  |  | (9) |
Revenues, net of expenses and provision for income tax expense (benefit) |  | $ | 4 |  |  | $ | (12) |  |  | $ | (21) |  |  | $ | (35) |
MLIC charges the closed block with federal income taxes, state and local premium taxes and other state or local taxes, as well as investment management expenses relating to the closed block as provided in the Plan of Reorganization. MLIC also charges the closed block for expenses of maintaining the policies included in the closed block.

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- Definition The entire disclosure pertaining to the closed block. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 805 -Section 50 -Paragraph 3 -Subparagraph (a) -URI https://asc.fasb.org/extlink&oid=124505872&loc=d3e30806-158569 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 944 -SubTopic 805 -URI https://asc.fasb.org/subtopic&trid=2560393 + Details
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