XML 69 R35.htm IDEA: XBRL DOCUMENT v3.22.4

Derivative Instruments (Tables)

12 Months Ended

Dec. 31, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Notional Amount and Fair Value of Derivative Instruments

The following table presents the notional amount and fair value of derivative instruments:

			Successor																					Predecessor
			December 31, 2022																					December 31, 2021
			Notional Amount						Fair Value															Notional Amount						Fair Value
(In millions)									Assets						Liabilities															Assets						Liabilities
Derivatives designated as hedges
Foreign currency hedges
Swaps			6,677						$	747					$	154								6,371						$	281					$	56
Forwards			6,283						406						52									6,395						189						2
Interest rate swaps			4,468						—						803									2,783						—						173
Forwards on net investments			216						2						—									231						—						4
Interest rate swaps			9,332						9						150									500						—						1
Total derivatives designated as hedges									1,164						1,159															470						236
Derivatives not designated as hedges
Equity options			65,089						1,374						114									57,890						3,629						115
Futures			18						33						—									33						67						—
Foreign currency swaps			3,563						251						112									2,592						57						19
Interest rate swaps			488						74						—									483						78						1
Other swaps			89						—						4									241						10						3
Foreign currency forwards			16,376						413						257									7,382						76						98
Embedded derivatives
Funds withheld including related parties									(6,272)						(77)															1,360						45
Interest sensitive contract liabilities									—						5,841															—						14,907
Total derivatives not designated as hedges									(4,127)						6,251															5,277						15,188
Total derivatives									$	(2,963)					$	7,410														$	5,747					$	15,424

Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location

The following represents the carrying amount and the cumulative fair value hedging adjustments included in the hedged assets or liabilities:

			Successor															Predecessor
			December 31, 2022															December 31, 2021
(In millions)			Carrying amount of the hedged assets or liabilities1						Cumulative amount of fair value hedging gains (losses)									Carrying amount of the hedged assets or liabilities1						Cumulative amount of fair value hedging gains (losses)
AFS securities
Foreign currency forwards			$	5,259					$	(217)								$	4,224					$	(136)
Foreign currency swaps			4,797						(398)									—						—
Mortgage loans – Foreign currency forwards			—						—									1,686						(44)
Interest sensitive contract liabilities
Foreign currency swaps			1,081						88									—						—
Foreign currency interest rate swaps			4,348						632									2,773						121
Interest rate swaps			6,577						323									500						—
1 The carrying amount disclosed for AFS securities is amortized cost.

The following is a summary of the gains (losses) related to the derivatives and related hedged items in fair value hedge relationships:

																					Amounts Excluded
(In millions)			Derivatives						Hedged Items						Net						Recognized in income through amortization approach						Recognized in income through changes in fair value
Year ended December 31, 2022 (Successor)
Investment related gains (losses)
Foreign currency forwards			$	183					$	(190)					$	(7)					$	67					$	9
Foreign currency swaps			286						(310)						(24)						—						—
Foreign currency interest rate swaps			(622)						632						10						—						—
Interest rate swaps			(332)						323						(9)						—						—
Interest sensitive contract benefits
Foreign currency interest rate swaps			52						(53)						(1)						—						—
Year ended December 31, 2021 (Predecessor)
Investment related gains (losses)
Foreign currency forwards			420						(440)						(20)						21						16
Foreign currency interest rate swaps			(102)						99						(3)						—						—
Interest rate swaps			(1)						1						—						—						—
Interest sensitive contract benefits
Foreign currency interest rate swaps			23						(21)						2						—						—
Year ended December 31, 2020 (Predecessor)
Investment related gains (losses) – Foreign currency forwards			(118)						116						(2)						—						—
Interest sensitive contract benefits – Foreign currency interest rate swaps			1						(1)						—						—						—

Gains (Losses) Related to Derivatives Not Designated as Hedges

The following is a summary of the gains (losses) related to derivatives not designated as hedges:

			Successor									Predecessor
(In millions)			Year Ended December 31, 2022									Year Ended December 31, 2021						Year Ended December 31, 2020
Equity options			$	(2,647)								$	2,452					$	819
Futures			(144)									81						123
Swaps			56									15						82
Foreign currency forwards			505									37						(127)
Embedded derivatives on funds withheld			(6,534)									572						2,651
Amounts recognized in investment related gains (losses)			(8,764)									3,157						3,548
Embedded derivatives in indexed annuity products1			2,934									(1,451)						(1,384)
Total gains (losses) on derivatives not designated as hedges			$	(5,830)								$	1,706					$	2,164
1 Included in interest sensitive contract benefits on the consolidated statements of income (loss).

Estimated Fair Value of Net Derivative and Other Financial Assets

The estimated fair value of our net derivative and other financial assets and liabilities after the application of master netting agreements and collateral were as follows:

									Gross amounts not offset on the consolidated balance sheets
(In millions)			Gross amount recognized1						Financial instruments2						Collateral (received)/pledged						Net amount						Off-balance sheet securities collateral3						Net amount after securities collateral
December 31, 2022 (Successor)
Derivative assets			$	3,309					$	(1,477)					$	(1,952)					$	(120)					$	—					$	(120)
Derivative liabilities			(1,646)						1,477						478						309						—						309
December 31, 2021 (Predecessor)
Derivative assets			$	4,387					$	(430)					$	(3,934)					$	23					$	—					$	23
Derivative liabilities			(472)						430						32						(10)						—						(10)
1 The gross amounts of recognized derivative assets and derivative liabilities are reported on the consolidated balance sheets. As of December 31, 2022 and 2021, amounts not subject to master netting or similar agreements were immaterial.
2 Represents amounts offsetting derivative assets and derivative liabilities that are subject to an enforceable master netting agreement or similar agreement that are not netted against the gross derivative assets or gross derivative liabilities for presentation on the consolidated balance sheets.
3 For non-cash collateral received, we do not recognize the collateral on our balance sheet unless the obligor (transferor) has defaulted under the terms of the secured contract and is no longer entitled to redeem the pledged asset. Amounts do not include any excess of collateral pledged or received.

Estimated Fair Value of Net Derivative and Other Financial Liabilities

The estimated fair value of our net derivative and other financial assets and liabilities after the application of master netting agreements and collateral were as follows:

									Gross amounts not offset on the consolidated balance sheets
(In millions)			Gross amount recognized1						Financial instruments2						Collateral (received)/pledged						Net amount						Off-balance sheet securities collateral3						Net amount after securities collateral
December 31, 2022 (Successor)
Derivative assets			$	3,309					$	(1,477)					$	(1,952)					$	(120)					$	—					$	(120)
Derivative liabilities			(1,646)						1,477						478						309						—						309
December 31, 2021 (Predecessor)
Derivative assets			$	4,387					$	(430)					$	(3,934)					$	23					$	—					$	23
Derivative liabilities			(472)						430						32						(10)						—						(10)
1 The gross amounts of recognized derivative assets and derivative liabilities are reported on the consolidated balance sheets. As of December 31, 2022 and 2021, amounts not subject to master netting or similar agreements were immaterial.
2 Represents amounts offsetting derivative assets and derivative liabilities that are subject to an enforceable master netting agreement or similar agreement that are not netted against the gross derivative assets or gross derivative liabilities for presentation on the consolidated balance sheets.
3 For non-cash collateral received, we do not recognize the collateral on our balance sheet unless the obligor (transferor) has defaulted under the terms of the secured contract and is no longer entitled to redeem the pledged asset. Amounts do not include any excess of collateral pledged or received.

Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss)

The following is a summary of the gains (losses) related to cash flow hedges:

			Successor									Predecessor
(In millions)			Year Ended December 31, 2022									Year Ended December 31, 2021						Year Ended December 31, 2020
Investment related gains (losses)
Foreign currency swaps			$	—								$	14					$	—
Other comprehensive income
Foreign currency swaps			—									254						(106)
Interest rate swaps			(106)									—						—

X

- References

No definition available.

+ Details

Name:	us-gaap_DerivativeInstrumentsAndHedgingActivitiesDisclosureAbstract
Namespace Prefix:	us-gaap_
Data Type:	xbrli:stringItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of derivative and other financial assets that are subject to offsetting, including master netting arrangements.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 20
-Section 50
-Paragraph 3
-URI https://asc.fasb.org/extlink&oid=51824906&loc=SL20225862-175312

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 20
-Section 50
-Paragraph 4
-URI https://asc.fasb.org/extlink&oid=51824906&loc=SL20225877-175312

+ Details

Name:	us-gaap_OffsettingAssetsTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of derivative and other financial liabilities that are subject to offsetting, including master netting arrangements.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 20
-Section 50
-Paragraph 3
-URI https://asc.fasb.org/extlink&oid=51824906&loc=SL20225862-175312

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 20
-Section 50
-Paragraph 4
-URI https://asc.fasb.org/extlink&oid=51824906&loc=SL20225877-175312

+ Details

Name:	us-gaap_OffsettingLiabilitiesTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of gain (loss) on derivative and nonderivative instruments designated and qualifying as cash flow hedge recorded in accumulated other comprehensive income (AOCI) and reclassified into earnings.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4C
-Subparagraph (c)
-URI https://asc.fasb.org/extlink&oid=125515794&loc=SL5624171-113959

+ Details

Name:	us-gaap_ScheduleOfCashFlowHedgesIncludedInAccumulatedOtherComprehensiveIncomeLossTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the location and amount of derivative instruments and nonderivative instruments designated as hedging instruments reported before netting adjustments, and the amount of gain (loss) on derivative instruments and nonderivative instruments designated and qualified as hedging instruments.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4E
-URI https://asc.fasb.org/extlink&oid=125515794&loc=SL5624181-113959

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4A
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=125515794&loc=SL5618551-113959

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4C
-URI https://asc.fasb.org/extlink&oid=125515794&loc=SL5624171-113959

+ Details

Name:	us-gaap_ScheduleOfDerivativeInstrumentsGainLossInStatementOfFinancialPerformanceTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of pertinent information about a derivative or group of derivatives on a disaggregated basis, such as for individual instruments, or small groups of similar instruments. May include a combination of the type of instrument, risks being hedged, notional amount, hedge designation, related hedged item, inception date, maturity date, or other relevant item.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4B
-URI https://asc.fasb.org/extlink&oid=125515794&loc=SL5624163-113959

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 1B
-URI https://asc.fasb.org/extlink&oid=125515794&loc=SL5580258-113959

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 2
-URI https://asc.fasb.org/extlink&oid=125515794&loc=d3e41620-113959

Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 1A
-URI https://asc.fasb.org/extlink&oid=125515794&loc=SL5579245-113959

Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4
-URI https://asc.fasb.org/extlink&oid=125515794&loc=d3e41638-113959

Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 8
-URI https://asc.fasb.org/extlink&oid=125515794&loc=d3e41678-113959

Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 5
-URI https://asc.fasb.org/extlink&oid=125515794&loc=d3e41641-113959

Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4C
-URI https://asc.fasb.org/extlink&oid=125515794&loc=SL5624171-113959

Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 1
-URI https://asc.fasb.org/extlink&oid=125515794&loc=SL5579240-113959

+ Details

Name:	us-gaap_ScheduleOfDerivativeInstrumentsTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure for fair value hedging instruments of (a) the location and amount of gains and losses reported in the statement of financial performance and (b) the location and fair value amounts of the instruments reported in the statement of financial position.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4C
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=125515794&loc=SL5624171-113959

+ Details

Name:	us-gaap_ScheduleOfFairValueHedgingInstrumentsStatementsOfFinancialPerformanceAndFinancialPositionLocationTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration