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Deferred Policy Acquisition Costs, Deferred Sales Inducements and Value of Business Acquired
 6 Months Ended
Jun. 30, 2024
Insurance [Abstract]  
Deferred Policy Acquisition Costs, Deferred Sales Inducements and Value of Business Acquired
14. Deferred Policy Acquisition Costs, Deferred Sales Inducements and Value of Business Acquired
The following tables present the balances and changes in DAC, DSI and VOBA by segment:
Three Months Ended June 30, 2024
Annuity
Life
Property and Casualty
Total
(Dollars in millions)
DAC
Balance, beginning of period
$223 $249 $135 $607 
Additions
191 19 85 295 
Amortization
(8)3 (80)(85)
Net change
183 22 5 210 
Balance, end of period
$406 $271 $140 $817 
DSI
Balance, beginning of period
$9 $— $— $9 
Additions
93 — — 93 
Amortization
1 — — 1 
Net change
94 — — 94 
Balance, end of period
$103 $— $— $103 
VOBA
Balance, beginning of period
$38 $300 $18 $356 
Acquisition from business combinations
7,194 — — 7,194 
Additions
— — — — 
Amortization
(106)(7)(2)(115)
Net change
7,088 (7)(2)7,079 
Balance, end of period
$7,126 $293 $16 $7,435 
Total DAC, DSI, and VOBA Asset
$7,635 $564 $156 $8,355 
Three Months Ended June 30, 2023
Annuity
Life
Property and Casualty
Total
(Dollars in millions)
DAC
Balance, beginning of period
$64 $131 $145 $340 
Additions
66 37 116 219 
Amortization
(2)(6)(105)(113)
Net change
64 31 11 106 
Balance, end of period
$128 $162 $156 $446 
DSI
Balance, beginning of period
$5 $— $— $5 
Additions
1 — — 1 
Amortization
— — — — 
Net change
1 — — 1 
Balance, end of period
$6 $— $— $6 
VOBA
Balance, beginning of period
$43 $329 $34 $406 
Acquisition from business combinations
— — — — 
Additions
— — — — 
Amortization
— (8)(11)(19)
Net change
— (8)(11)(19)
Balance, end of period
$43 $321 $23 $387 
Total DAC, DSI, and VOBA Asset
$177 $483 $179 $839 
Six Months Ended June 30, 2024
Annuity
Life
Property and Casualty
Total
(Dollars in millions)
DAC
Balance, beginning of period
$190 $224 $158 $572 
Additions
230 57 196 483 
Amortization
(14)(10)(214)(238)
Net change
216 47 (18)245 
Balance, end of period
$406 $271 $140 $817 
DSI
Balance, beginning of period
$8 $— $— $8 
Additions
94 — — 94 
Amortization
1 — — 1 
Net change
95 — — 95 
Balance, end of period
$103 $— $— $103 
VOBA
Balance, beginning of period
$39 $305 $20 $364 
Acquisition from business combinations
7,194 — — 7,194 
Additions
— — — — 
Amortization
(107)(12)(4)(123)
Net change
7,087 (12)(4)7,071 
Balance, end of period
$7,126 $293 $16 $7,435 
Total DAC, DSI, and VOBA Asset
$7,635 $564 $156 $8,355 
Six Months Ended June 30, 2023
Annuity
Life
Property and Casualty
Total
(Dollars in millions)
DAC
Balance, beginning of period
$43 $88 $121 $252 
Additions
90 84 227 401 
Amortization
(5)(10)(192)(207)
Net change
85 74 35 194 
Balance, end of period
$128 $162 $156 $446 
DSI
Balance, beginning of period
$4 $— $— $4 
Additions
2 — — 2 
Amortization
— — — — 
Net change
2 — — 2 
Balance, end of period
$6 $— $— $6 
VOBA
Balance, beginning of period
$44 $335 $64 $443 
Acquisition from business combinations
— — — — 
Additions
— — — — 
Amortization
(1)(14)(41)(56)
Net change
(1)(14)(41)(56)
Balance, end of period
$43 $321 $23 $387 
Total DAC, DSI, and VOBA Asset
$177 $483 $179 $839 
Value of Business Acquired
As stated in Note 2 - Summary of Significant Accounting Policies, VOBA asset are included in “Deferred policy acquisition costs, deferred sales inducements and value of business acquired” in the Consolidated Statements of Financial Position. The amortization of VOBA asset is recorded in “Amortization of deferred policy acquisition costs, deferred sales inducements and value of business acquired” in the Consolidated Statements of Operations.
The following table provides the projected VOBA asset amortization expenses for a five-year period and thereafter:
Years(Dollars in millions)
2024$317 
2025612 
2026564 
2027514 
2028474 
Thereafter4,954 
Total amortization expense $7,435