Other Intangible Assets

12 Months Ended

Dec. 31, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

A summary of the changes in the carrying amounts of our VOBA, DAC and DSI intangible assets are as follows (in millions):


	VOBA		DAC		DSI		Total
Balance at January 1, 2022	$	1,185	$	761	$	88	$	2,034

Purchase price allocation adjustments			—		—		—
Deferrals	—		727		87		814
Amortization	(203)		(107)		(43)		(353)
Interest	25		30		2		57
Unlocking	(5)		(4)		5		(4)
Adjustment for net unrealized investment (gains) losses	662		182		68		912
Balance at December 31, 2022	$	1,664	$	1,589	$	207	$	3,460

	VOBA		DAC		DSI		Total
Balance at January 1, 2021	$	1,466	$	222	$	36	$	1,724
Purchase price allocation adjustments	61		—		—		61

Deferrals	—		585		90		675
Amortization	(436)		(46)		(35)		(517)
Interest	30		13		1		44
Unlocking	13		1		(2)		12
Adjustment for net unrealized investment (losses) gains	51		(14)		(2)		35
Balance at December 31, 2021	$	1,185	$	761	$	88	$	2,034

Amortization of VOBA, DAC, and DSI is based on the current and future expected gross margins or profits recognized, including investment gains and losses. The interest accrual rate utilized to calculate the accretion of interest on VOBA ranged from 0% to 4.71% for the years ended December 31, 2022 and December 31, 2021. The adjustment for unrealized net investment losses (gains) represents the amount of VOBA, DAC, and DSI that would have been amortized if such unrealized gains and losses had been recognized. This is referred to as the “shadow adjustments” as the additional amortization is reflected in AOCI On the Consolidated Balance Sheet rather than as depreciation and amortization on the Consolidated Statements of Earnings. As of December 31, 2022 and 2021, the VOBA balances included cumulative adjustments for net unrealized investment gains (losses) of $(430) million and $232 million respectively, the DAC balances included cumulative adjustments for net unrealized investment gains (losses) of $(143) million and $39 million, respectively, and the DSI balance included net unrealized investment gains of $(61) million and $7 million, respectively.

For the in-force liabilities as of December 31, 2022, the estimated amortization expense for VOBA in future fiscal periods is as follows (in millions):


	Estimated Amortization Expense
Fiscal Year
2023	$	(53)
2024	172
2025	151
2026	133
2027	129
Thereafter	702

Definite and Indefinite Lived Other Intangible Assets

Other intangible assets as of December 31, 2022 consist of the following (in millions):


	Cost		Accumulated amortization		Net carrying amount		Weighted average useful life (years)
Customer relationships and contracts	$	916	$	(713)	$	203	10
Computer software	537		(341)		196		2 to 10
Value of distribution asset (VODA)	140		(40)		100		15
Definite lived trademarks, tradenames, and other	56		(41)		15		10
Indefinite lived tradenames and other	60		N/A		60		Indefinite
Total					$	574

Other intangible assets as of December 31, 2021 consist of the following (in millions):


	Cost		Accumulated amortization		Net carrying amount		Weighted average useful life (years)
Customer relationships and contracts	$	803	$	(651)	$	152	10
Computer software	488		(307)		181		2 to 10
Value of distribution Asset (VODA)	140		(25)		115		15
Definite lived trademarks, tradenames, and other	49		(33)		16		10
Indefinite lived tradenames and other	59		N/A		59		Indefinite
Total					$	523

Amortization expense for amortizable intangible assets, which consist primarily of VODA, customer relationships and computer software and definite lived trademarks, tradenames and other, was $133 million, $135 million, and $138 million for the years ended December 31, 2022, 2021 and 2020, respectively. Estimated amortization expense for the next five years for assets owned at December 31, 2022, is $131 million in 2023, $96 million in 2024, $72 million in 2025, $58 million in 2026 and $47 million in 2027.