| Insurance Liabilities | FUTURE POLICY BENEFITS Future policy benefits primarily include reserves for traditional life and annuity payout contracts, which represent an estimate of the present value of future benefits less the present value of future net premiums. Included in Future policy benefits are liabilities for annuities issued in structured settlement arrangements whereby a claimant receives life contingent payments over their lifetime. Also included are pension risk transfer arrangements whereby an upfront premium is received in exchange for guaranteed retirement benefits. All payments under these arrangements are fixed and determinable with respect to their amounts and dates. Prior to the adoption of the Targeted Improvements to the Accounting for Long-Duration Contracts Standard Future policy benefits for traditional and limited pay contracts were reserved using actuarial assumptions locked-in at contract issuance. These assumptions were only updated when a loss recognition event occurred. Also included in Future policy benefits, were reserves for contracts in loss recognition, including the adjustment to reflect the effect of unrealized gains on fixed maturity securities available for sale with related changes recognized through OCI. Future policy benefits also included certain guaranteed benefits of annuity products that were not considered embedded derivatives. Subsequent to the adoption of the Targeted Improvements to the Accounting for Long-Duration Contracts Standard For traditional and limited pay long-duration products, benefit reserves are accrued and benefit expense is recognized using a net premium reserve (“NPR”) methodology for each annual cohort of business. This NPR method incorporates periodic retrospective revisions to the NPR to reflect updated actuarial assumptions and variances in actual versus expected experience. The Future policy benefit liability is accrued by multiplying the gross premium recognized in each period by the net premium ratio. The net premium is equal to the portion of the gross premium required to provide for all benefits and certain expenses and may not exceed 100%. Benefits in excess of premiums are expensed immediately through Policyholder benefits. In addition, periodic revisions to the NPR below 100% may result in reclassification between the benefit reserves and deferred profit liability for limited pay contracts. Insurance contracts are aggregated into annual cohorts for the purposes of determining the Liability for future policy benefits (“LFPB”), but are not aggregated across segments. These annual cohorts may be further segregated based on product characteristics, or to distinguish business reinsured from non-reinsured business or products issued in different functional currencies. The assumptions used to calculate the future policy benefits include discount rates, persistency and recognized morbidity and mortality tables modified to reflect the Company's experience. The current discount rate assumption for the liability for future policy benefits is derived from market observable yields on upper-medium-grade fixed income instruments. The Company uses an external index as the source of the yields on these instruments for the first 30 years. For years 30 to 50, the yield is derived using market observable credit spreads. Yields for years 50 to 100 are extrapolated using a flat forward approach, maintaining a constant forward spread through the period. The current discount rate assumption is updated quarterly and used to remeasure the liability at the reporting date, with the resulting change in the discount rate reflected in OCI. The method for constructing and applying the locked-in discount rate assumptions on newly issued business is determined based on factors such as product characteristics and the expected timing of cash flows. This discount rate assumption is derived from market observable yields on upper-medium-grade fixed income instruments. Similar to the current discount rate assumption, the Company may employ conversion and interpolation methodologies when necessary. The applicable interest accretion is reflected in Policyholder benefits in the Condensed Consolidated Statements of Income (Loss). The following table presents the transition rollforward of the liability for future policy benefits for nonparticipating contracts: Individual Group Life Institutional Corporate and Other Total (in millions) Pre-adoption December 31, 2020 liability for future policy benefits balance $ 1,309 $ 282 $ 11,129 $ 11,029 $ 22,206 $ 45,955 Adjustments for the reclassification to the deferred profit liability (65) (8) — (766) (859) (1,698) Change in cash flow assumptions and effect of net premiums exceeding gross premiums (14) 2 16 4 55 63 Effect of the remeasurement of the liability at a current single A rate 156 63 2,977 1,655 7,611 12,462 Adjustment for the removal of loss recognition balances related to unrealized gain or loss on securities and other (63) (60) 4 (292) — (411) Post-adoption January 1, 2021 liability for future policy benefits balance $ 1,323 $ 279 $ 14,126 $ 11,630 $ 29,013 $ 56,371 Adjustments for the reclassification between the liability for future policy benefits and deferred profit liability represent changes in the net premium ratios that are less than 100% at transition for certain limited pay cohorts, resulting in a reclassification between the two liabilities, with no impact on Retained earnings. Adjustments for changes in cash flow assumptions represents revised net premium ratios in excess of 100% for certain cohorts at transition, with an offset to Retained earnings. Prior to adoption, loss recognition for traditional products was adjusted for the effect of unrealized gains on fixed maturity securities available for sale. At the transition date, these adjustments were removed with a corresponding offset in AOCI. The effect of the remeasurement at the current single A rate is reported at the transition date and each subsequent balance sheet date, with an offset in AOCI. The following tables present the balances and changes in the liability for future policy benefits and a reconciliation of the net liability for future policy benefits to the liability for future policy benefits in the Condensed Consolidated Balance Sheets: Three Months Ended March 31, 2023 Individual Group Life Institutional Corporate and Other Total (in millions, except for liability durations) Present value of expected net premiums Balance, beginning of year $ — $ — $ 11,654 $ — $ 991 $ 12,645 Effect of changes in discount rate assumptions (AOCI) — — 1,872 — 66 1,938 Beginning balance at original discount rate — — 13,526 — 1,057 14,583 Three Months Ended March 31, 2023 Individual Group Life Institutional Corporate and Other Total (in millions, except for liability durations) Effect of changes in cash flow assumptions — — — — — — Effect of actual variances from expected experience 1 — 12 — 3 16 Adjusted beginning of year balance 1 — 13,538 — 1,060 14,599 Issuances 6 — 322 — — 328 Interest accrual — — 106 — 12 118 Net premium collected (7) — (352) — (30) (389) Foreign exchange impact — — 96 — — 96 Other — — 3 — — 3 Ending balance at original discount rate — — 13,713 — 1,042 14,755 Effect of changes in discount rate assumptions (AOCI) — — (1,648) — (48) (1,696) Balance, end of period $ — $ — $ 12,065 $ — $ 994 $ 13,059 Present value of expected future policy benefits Balance, beginning of year $ 1,223 $ 211 $ 21,179 $ 12,464 $ 20,429 $ 55,506 Effect of changes in discount rate assumptions (AOCI) 167 2 3,424 2,634 1,083 7,310 Beginning balance at original discount rate 1,390 213 24,603 15,098 21,512 62,816 Effect of changes in cash flow assumptions (a) — — — — — — Effect of actual variances from expected experience (a) (3) (1) 26 (5) — 17 Adjusted beginning of year balance 1,387 212 24,629 15,093 21,512 62,833 Issuances 70 2 318 1,450 3 1,843 Interest accrual 12 3 224 139 257 635 Benefit payments (32) (7) (476) (228) (379) (1,122) Foreign exchange impact — — 277 125 — 402 Other — — 1 — (3) (2) Ending balance at original discount rate 1,437 210 24,973 16,579 21,390 64,589 Effect of changes in discount rate assumptions (AOCI) (141) 3 (3,081) (2,302) (492) (6,013) Balance, end of period $ 1,296 $ 213 $ 21,892 $ 14,277 $ 20,898 $ 58,576 Three Months Ended March 31, 2023 Individual Group Life Institutional Corporate and Other Total (in millions, except for liability durations) Net liability for future policy benefits, end of period 1,296 213 9,827 14,277 19,904 45,517 Liability for future policy benefits for certain participating contracts 14 1,326 1,340 Liability for universal life policies with secondary guarantees and similar features (b) — — 3,457 — 55 3,512 Deferred profit liability 83 10 16 1,415 871 2,395 Other reconciling items (c) 39 3 493 — 107 642 Future policy benefits for life and accident and health insurance contracts 1,418 226 13,807 15,692 22,263 53,406 Less: Reinsurance recoverable: (4) — (1,187) (37) (22,263) (23,491) Net liability for future policy benefits after reinsurance recoverable $ 1,414 $ 226 $ 12,620 $ 15,655 $ — $ 29,915 Weighted average liability duration of the liability for future policy benefits (d) 7.7 7.1 12.4 11.5 11.6 Three Months Ended March 31, 2022 Individual Group Life Institutional Corporate and Other Total (in millions, except for liability durations) Present value of expected net premiums Balance, beginning of year $ — $ — $ 14,369 $ — $ 1,274 $ 15,643 Effect of changes in discount rate assumptions (AOCI) — — (706) — (150) (856) Beginning balance at original discount rate — — 13,663 — 1,124 14,787 Effect of changes in cash flow assumptions — — — — — — Effect of actual variances from expected experience — — 29 — 2 31 Adjusted beginning of year balance — — 13,692 — 1,126 14,818 Issuances 4 — 375 — — 379 Interest accrual — — 100 — 13 113 Net premium collected (4) — (355) — (30) (389) Foreign exchange impact — — (140) — — (140) Other — — — — — — Ending balance at original discount rate — — 13,672 — 1,109 14,781 Effect of changes in discount rate assumptions (AOCI) — — (339) — 55 (284) Balance, end of period $ — $ — $ 13,333 $ — $ 1,164 $ 14,497 Three Months Ended March 31, 2022 Individual Group Life Institutional Corporate and Other Total (in millions, except for liability durations) Present value of expected future policy benefits Balance, beginning of year $ 1,373 $ 264 $ 27,442 $ 13,890 $ 27,674 $ 70,643 Effect of changes in discount rate assumptions (AOCI) (95) (46) (2,717) (870) (5,673) (9,401) Beginning balance at original discount rate 1,278 218 24,725 13,020 22,001 61,242 Effect of changes in cash flow assumptions (a) — — — — — — Effect of actual variances from expected experience (a) 1 (2) 38 (5) (10) 22 Adjusted beginning of year balance 1,279 216 24,763 13,015 21,991 61,264 Issuances 50 5 374 223 3 655 Interest accrual 10 3 221 105 262 601 Benefit payments (28) (8) (523) (198) (382) (1,139) Foreign exchange impact — — (178) (93) — (271) Other — — (1) 1 — — Ending balance at original discount rate 1,311 216 24,656 13,053 21,874 61,110 Effect of changes in discount rate assumptions (AOCI) (24) 25 170 (551) 2,705 2,325 Balance, end of period $ 1,287 $ 241 $ 24,826 $ 12,502 $ 24,579 $ 63,435 Net liability for future policy benefits, end of period 1,287 241 11,493 12,502 23,415 48,938 Liability for future policy benefits for certain participating contracts — — 15 — 1,371 1,386 Liability for universal life policies with secondary guarantees and similar features (b) — — 4,168 — 55 4,223 Deferred profit liability 81 11 11 1,216 913 2,232 Other reconciling items (c) 29 — 497 — 110 636 Future policy benefits for life and accident and health insurance contracts 1,397 252 16,184 13,718 25,864 57,415 Less: Reinsurance recoverable: (4) — (1,492) (43) (25,864) (27,403) Net liability for future policy benefits after reinsurance recoverable $ 1,393 $ 252 $ 14,692 $ 13,675 $ — $ 30,012 Weighted average liability duration of the liability for future policy benefits (d) 8.1 7.4 13.6 12.1 12.8 __________________ (a) Effect of changes in cash flow assumptions and variances from actual experience are partially offset by changes in the deferred profit liability. (b) Additional details can be found in the table that presents the balances and changes in the liability for universal life policies with secondary guarantees and similar features. (c) Other reconciling items primarily include the Accident and Health as well as Group Benefits (short-duration) contracts. (d) The weighted average liability durations are calculated as the modified duration using projected future net liability cashflows that are aggregated at the segment level, utilizing the segment level weighted average interest rates and current discount rate, which can be found in the table below. For the three months ended March 31, 2023 and 2022 in the traditional term life insurance block, capping of net premium ratios at 100% causes our reserves to be higher by $25 million and $14 million, respectively. The following table presents the amount of undiscounted expected future benefit payments and expected gross premiums for future policy benefits for nonparticipating contracts: Three Months Ended March 31, (in millions) 2023 2022 Individual Retirement Expected future benefits and expense $ 2,048 $ 1,757 Expected future gross premiums $ — $ — Group Retirement Expected future benefits and expense $ 317 $ 317 Expected future gross premiums $ — $ — Life Insurance Expected future benefits and expense $ 39,028 $ 38,739 Expected future gross premiums $ 28,964 $ 29,125 Institutional Markets Expected future benefits and expense $ 29,029 $ 20,824 Expected future gross premiums $ — $ — Corporate and Other * Expected future benefits and expense $ 44,148 $ 45,468 Expected future gross premiums $ 2,225 $ 2,389 __________________ * Represents activity ceded to Fortitude Re. The following table presents the amount of revenue and interest recognized in the Condensed Consolidated Statement of Income (Loss) for future policy benefits for nonparticipating contracts: Gross Premiums Interest Accretion Three Months Ended March 31, (in millions) 2023 2022 2023 2022 Individual Retirement $ 75 $ 51 $ 12 $ 10 Group Retirement 6 8 3 3 Life Insurance 575 582 118 121 Institutional Markets 1,581 244 139 105 Corporate and Other 54 56 245 249 Total $ 2,291 $ 941 $ 517 $ 488 The following table presents the weighted-average interest rate for future policy benefits for nonparticipating contracts: Individual Group Life Institutional Corporate and Other March 31, 2023 Weighted-average interest rate, original discount rate 3.65 % 5.19 % 4.11 % 3.76 % 4.88 % Weighted-average interest rate, current discount rate 5.33 % 4.91 % 5.08 % 5.04 % 5.10 % March 31, 2022 Weighted-average interest rate, original discount rate 3.04 % 4.70 % 4.12 % 3.23 % 4.80 % Weighted-average interest rate, current discount rate 3.72 % 3.68 % 3.72 % 3.59 % 3.92 % The weighted average interest rates are calculated using projected future net liability cash flows that are aggregated to the segment level, and are represented as an annual rate. Deferred Profit Liability: Corebridge issues certain annuity and life insurance contracts where premiums are paid up-front or for a shorter period than benefits will be paid (i.e., limited pay contracts). A DPL is required to be established to avoid recognition of gains when these contracts are issued. DPLs are amortized over the life of the contracts to align the revenue recognized with the related benefit expenses. The DPL is amortized in a constant relationship to the amount of discounted insurance in force for life insurance or expected future benefit payments for annuity contracts over the term of the contract. Prior to the adoption of the Targeted Improvements to the Accounting for Long-Duration Contracts Standard Limited pay contracts were subject to a lock-in concept and assumptions derived at policy issue were not subsequently updated unless a loss recognition event occurred. The net premiums were recorded as revenue. The difference between the gross premium received and the net premium was deferred and recognized in premiums in a constant relationship to insurance in-force, or for annuities, the amount of expected future policy benefits. This unearned revenue (deferred profit) was recorded in the Condensed Consolidated Balance Sheets in Other policyholder funds. Subsequent to the adoption of the Targeted Improvements to the Accounting for Long-Duration Contracts Standard The difference between the gross premium received and recorded as revenue and the net premium is deferred and recognized in Policyholder benefits in a constant relationship to insurance in-force, or for annuities, the amount of expected future policy benefits. This deferred profit liability accretes interest and is recorded in the Condensed Consolidated Balance Sheets in Future policy benefits. Cash flow assumptions included in the measurement of the DPL are the same as those utilized in the respective LFPBs and are reviewed at least annually. The cash flow estimates for DPLs are updated on a retrospective catch-up basis at the same time as the cash flow estimates for the related LFPBs. The updated LFPB cash flows are used to recalculate the DPL at the inception of the applicable related LFPB cohort. The difference between the recalculated DPL at the beginning of the current reporting period and the carrying amount of the DPL at the current reporting period is recognized as a gain or loss in Policyholder benefits in the Condensed Consolidated Statements of Income (Loss). The following table presents the transition rollforward for deferred profit liability for long-duration contracts: Individual Group Life Institutional Corporate and Other Total (in millions) Pre-adoption December 31, 2020 deferred profit liability balance $ 2 $ — $ 5 $ 64 $ — $ 71 Adjustments for the reclassification from/(to) the liability for the future policy benefits 65 8 — 766 859 1,698 Post-adoption January 1, 2021 deferred profit liability balance $ 67 $ 8 $ 5 $ 830 $ 859 $ 1,769 Adjustments for the reclassification between the liability for future policy benefits and deferred profit liability represent changes in the net premium ratios that are less than 100% at transition for certain limited pay cohorts, resulting in a reclassification between the two liabilities, with no impact on retained earnings. Additional Liabilities: For universal-life type products, insurance benefits in excess of the account balance are generally recognized as expenses in the period incurred unless the design of the product is such that future charges are insufficient to cover the benefits, in which case an “additional liability” is accrued over the life of the contract. These additional liabilities are included in Future policy benefits for life and accident and health insurance contracts in the Condensed Consolidated Balance Sheets. Prior to the adoption of the standard, our additional liabilities consisted primarily of GMDBs on annuities, as well as universal-life contracts with secondary guarantees. Subsequent to the adoption of this standard, the GMDBs have been reclassified and reported as MRBs, while the universal-life contracts with secondary guarantees continue to be reported as additional liabilities. The following table presents the transition rollforward of the additional liabilities: Individual Group Life Corporate and Other Total (in millions) Pre-adoption December 31, 2020 additional liabilities $ 1,391 $ 219 $ 5,117 $ 55 $ 6,782 Adjustment for the reclassification of additional liabilities from Future policy benefits to Market risk benefits (a) (875) (130) — — (1,005) Adjustment for removal of related balances in Accumulated other comprehensive income (loss) originating from unrealized gains (losses) (b) (516) (89) — — (605) Post-adoption January 1, 2021 additional liabilities $ — $ — $ 5,117 $ 55 $ 5,172 __________________ (a) Adjustments for the reclassification of additional liabilities from Future policy benefits to MRBs represent contract guarantees (e.g., GMDBs) that were previously classified as insurance liabilities within Future policy benefits, but have been reclassified as MRBs as of January 1, 2021. For additional information on the transition impacts associated with LDTI, see Note 13. (b) Adjustments for the removal of related balances in AOCI originating from unrealized gains (losses) relate to the additional liabilities reclassified from Future policy benefits in the line above. Post-adoption, our additional liabilities primarily consist of universal life policies with secondary guarantees and these additional liabilities are recognized in addition to the Policyholder account balances. For universal life policies with secondary guarantees, as well as other universal life policies for which profits followed by losses are expected at contract inception, a liability is recognized based on a benefit ratio of (a) the present value of total expected payments, in excess of the account value, over the life of the contract, divided by (b) the present value of total expected assessments over the life of the contract. For universal life policies without secondary guarantees, for which profits followed by losses are first expected after contract inception, we establish a liability, in addition to policyholder account balances, so that expected future losses are recognized in proportion to the emergence of profits in the earlier (profitable) years. Universal life account balances are reported within Policyholder contract deposits, while these additional liabilities are reported within the liability for future policy benefits in the Condensed Consolidated Balance Sheets. These additional liabilities are also adjusted to reflect the effect of unrealized gains or losses on fixed maturity securities available for sale on accumulated assessments, with related changes recognized through OCI. The policyholder behavior assumptions for these liabilities include mortality, lapses and premium persistency. The capital market assumptions used for the liability for universal life secondary guarantees include discount rates and net earned rates. The following table presents the balances and changes in the liability for universal life policies with secondary guarantees and similar features: Three Months Ended March 31, 2023 Three Months Ended March 31, 2022 Life Corporate and Other Total Life Corporate and Other Total (in millions, except duration of liability) Balance, beginning of year (a) $ 3,300 $ 55 $ 3,355 $ 4,952 $ 55 $ 5,007 Effect of changes in experience 74 (1) 73 108 (1) 107 Adjusted beginning balance $ 3,374 $ 54 $ 3,428 $ 5,060 $ 54 $ 5,114 Assessments 179 — 179 168 — 168 Excess benefits paid (238) — (238) (290) — (290) Interest accrual 28 1 29 34 1 35 Other (5) — (5) (7) — (7) Changes related to unrealized appreciation (depreciation) of investments 119 — 119 (797) — (797) Balance, end of period $ 3,457 $ 55 $ 3,512 $ 4,168 $ 55 $ 4,223 Less: Reinsurance recoverable (192) — (192) (198) — (198) Balance, end of period net of Reinsurance recoverable $ 3,265 $ 55 $ 3,320 $ 3,970 $ 55 $ 4,025 Weighted average duration of liability (b) 26.4 9.4 27.1 9.8 __________________ (a) Adjustments for the reclassifications between the liability for universal life policies with secondary guarantees and similar features and MRBs can be found in the MRBs transition table. For further detail of reclassifications, see Note 12. (b) The weighted average liability durations are calculated as the modified duration using projected future net liability cashflows that are aggregated at the segment level, utilizing the segment level weighted average interest rates, which can be found in the table below. The following table presents the amount of revenue and interest recognized in the Condensed Consolidated Statements of Income (Loss) for the liability for universal life policies with secondary guarantees and similar features: Gross Assessments Three Months Ended March 31, Interest Accretion Three Months Ended March 31, (in millions) 2023 2022 2023 2022 Life Insurance $ 299 $ 292 $ 28 $ 34 Corporate and Other 10 10 1 1 Total $ 309 $ 302 $ 29 $ 35 The following table presents the calculation of weighted average interest rate for the liability for universal life policies with secondary guarantees and similar features: March 31, 2023 2022 Life Corporate and Other Life Corporate and Other Weighted-average interest rate 3.76 % 4.24 % 3.75 % 4.20 % The weighted average interest rates are calculated using projected future net liability cash flows that are aggregated to the segment level, and are represented as an annual rate. The following table presents details concerning our universal life policies with secondary guarantees and similar features: Three Months Ended March 31, (in millions, except for attained age of contract holders) 2023 2022 Account value $ 3,556 $ 3,361 Net amount at risk $ 70,014 $ 66,220 Average attained age of contract holders 53 53 POLICYHOLDER CONTRACT DEPOSITS The liability for Policyholder contract deposits is primarily recorded at accumulated value (deposits received and net transfers from separate accounts, plus accrued interest credited, less withdrawals and assessed fees). Deposits collected on investment-oriented products are not reflected as revenues. They are recorded directly to Policyholder contract deposits upon receipt. Amounts assessed against the contract holders for mortality, administrative, and other services are included as Policy fees in revenues. In addition to liabilities for universal life, fixed annuities, fixed options within variable annuities, annuities without life contingencies, funding agreements and GICs, policyholder contract deposits also include our liability for (i) index features accounted for as embedded derivatives at fair value, (ii) annuities issued in a structured settlement arrangement with no life contingency and (iii) certain contracts we have elected to account for at fair value. Changes in the fair value of the embedded derivatives related to policy index features and the fair value of derivatives hedging these liabilities are recognized in realized gains and losses. For additional information on index credits accounted for as embedded derivatives, see Note 4. Under a funding agreement-backed notes issuance program, an unaffiliated, non-consolidated statutory trust issues medium-term notes to investors, which are secured by funding agreements issued to the trust by one of our subsidiaries through our Institutional Markets business. The following table presents the transition rollforward of Policyholder contract deposits account balances: Individual Group Life Institutional Corporate and Other Total (in millions) Pre-adoption December 31, 2020 Policyholder contract deposits $ 85,097 $ 43,805 $ 10,286 $ 11,559 $ 4,145 $ 154,892 Adjustment for the reclassification of the embedded derivative liability to market risk benefits, net of the host adjustment(s) (5,894) (577) — — — (6,471) Post-adoption January 1, 2021 Policyholder contract deposits $ 79,203 $ 43,228 $ 10,286 $ 11,559 $ 4,145 $ 148,421 The following table presents the balances and changes in Policyholder contract deposits account balances (a) : Three Months Ended March 31, 2023 Individual Group Life Institutional Corporate and Other Total (in millions, except for average crediting rate) Policyholder contract deposits account balance, beginning of year $ 89,554 $ 43,395 $ 10,224 $ 11,734 $ 3,587 $ 158,494 Issuances 4,863 1,320 49 586 3 6,821 Deposits received 1 6 365 9 8 389 Policy charges (244) (110) (384) (17) (16) (771) Surrenders and withdrawals (3,171) (2,016) (56) (403) (20) (5,666) Benefit payments (1,036) (557) (49) (167) (88) (1,897) Net transfers from (to) separate account 728 592 (1) 443 — 1,762 Interest credited 377 270 88 105 43 883 Other (2) 3 (16) 4 (1) (12) Policyholder contract deposits account balance, end of period $ 91,070 $ 42,903 $ 10,220 $ 12,294 $ 3,516 $ 160,003 Other reconciling items (b) (1,889) (279) 116 74 — (1,978) Policyholder contract deposits 89,181 42,624 10,336 12,368 3,516 158,025 Weighted average crediting rate 2.52 % 2.78 % 4.24 % 3.55 % 4.95 % Cash surrender value (c) $ 84,906 $ 41,361 $ 8,874 $ 2,545 $ 1,781 $ 139,467 Three Months Ended March 31, 2022 Individual Group Life Institutional Corporate and Other Total (in millions, except for average crediting rate) Policyholder contract deposits account balance, beginning of year $ 84,097 $ 43,902 $ 10,183 $ 10,804 $ 3,823 $ 152,809 Issuances 3,896 1,152 73 82 3 5,206 Deposits received 3 8 369 13 9 402 Policy charges (185) (127) (389) (17) (17) (735) Surrenders and withdrawals (1,994) (1,396) (45) (22) (14) (3,471) Benefit payments (1,017) (544) (69) (72) (89) (1,791) Net transfers from (to) separate account 529 616 — 3 (3) 1,145 Interest credited 500 277 101 61 45 984 Other 2 (1) (31) (7) 6 (31) Policyholder contract deposits account balance, end of period $ 85,831 $ 43,887 $ 10,192 $ 10,845 $ 3,763 $ 154,518 Other reconciling items (b) (1,859) (330) 24 94 — (2,071) Policyholder contract deposits 83,972 43,557 10,216 10,939 3,763 152,447 Weighted average crediting rate 2.36 % 2.71 % 4.23 % 2.30 % 4.88 % Cash surrender value (c) $ 80,438 $ 43,193 $ 8,830 $ 2,529 $ 1,861 $ 136,851 __________________ (a) Transactions between the general account and the separate account are presented in this table on a gross basis (e.g., a policyholder's funds are initially deposited into the general account and then simultaneously transferred to the separate account), and thus, did not impact the ending balance of policyholder contract deposits. (b) Reconciling items principally relate to MRBs that are bifurcated and reported separately, net of embedded derivatives that are recorded in PCD. (c) Cash surrender value is related to the portion of policyholder contract deposits that have a defined cash surrender value (e.g. GICs, do not have a cash surrender value). For information related to net amount at risk, refer to the table that presents the balances of and changes in MRBs in Note 12. The following table presents Policyholder contract deposits account balance by range of guaranteed minimum crediting rates and the related range of difference, in basis points, between rates being credited to policyholders and the respective guaranteed minimums: March 31, 2023 At Guaranteed Minimum 1 Basis Point - 50 Basis Points Above More than 50 Basis Points Above Minimum Guarantee Total (in millions, except percentage of total) Individual Retirement Range of Guaranteed Minimum Credited Rate <=1% $ 7,776 $ 2,562 $ 23,263 $ 33,601 > 1% - 2% 3,994 24 2,163 6,181 > 2% - 3% 9,155 1 390 9,546 > 3% - 4% 7,359 40 6 7,405 > 4% - 5% 452 — 4 456 > 5% 32 — 4 36 Total $ 28,768 $ 2,627 $ 25,830 $ 57,225 Group Retirement Range of Guaranteed Minimum Credited Rate <=1% $ 2,063 $ 2,713 $ 6,049 $ 10,825 > 1% - 2% 5,005 908 353 6,266 > 2% - 3% 13,561 40 — 13,601 > 3% - 4% 658 — — 658 > 4% - 5% 6,821 — — 6,821 > 5% 153 — — 153 Total $ 28,261 $ 3,661 $ 6,402 $ 38,324 Life Insurance Range of Guaranteed Minimum Credited Rate <=1% $ — $ — $ — $ — > 1% - 2% — 131 349 480 > 2% - 3% 28 862 1,079 1,969 > 3% - 4% 1,417 118 198 1,733 > 4% - 5% 2,946 — — 2,946 > 5% 222 — — 222 Total $ 4,613 $ 1,111 $ 1,626 $ 7,350 Total* $ 61,642 $ 7,399 $ 33,858 $ 102,899 Percentage of total 60 % 7 % 33 % 100 % March 31, 2022 At Guaranteed Minimum 1 Basis Point - 50 Basis Points Above More than 50 Basis Points Above Minimum Guarantee Total (in millions, except percentage of total) Individual Retirement Range of Guaranteed Minimum Credited Rate <=1% $ 10,456 $ 1,851 $ 18,812 $ 31,119 > 1% - 2% 4,428 28 1,678 6,134 > 2% - 3% 10,184 — 18 10,202 > 3% - 4% 8,045 40 6 8,091 > 4% - 5% 473 — 5 478 > 5% 34 — 4 38 Total $ 33,620 $ 1,919 $ 20,523 $ 56,062 Group Retirement Range of Guaranteed Minimum Credited Rate <=1% $ 3,850 $ 1,684 $ 4,591 $ 10,125 > 1% - 2% 6,316 411 7 6,734 > 2% - 3% 14,648 — — 14,648 > 3% - 4% 702 — — 702 > 4% - 5% 6,955 — — 6,955 > 5% 159 — — 159 Total $ 32,630 $ 2,095 $ 4,598 $ 39,323 Life Insurance Range of Guaranteed Minimum Credited Rate <=1% $ — $ — $ — $ — > 1% - 2% 104 24 355 483 > 2% - 3% 246 540 1,210 1,996 > 3% - 4% 1,388 207 186 1,781 > 4% - 5% 3,052 2 — 3,054 > 5% 228 — — 228 Total $ 5,018 $ 773 $ 1,751 $ 7,542 Total* $ 71,268 $ 4,787 $ 26,872 $ 102,927 Percentage of total 69 % 5 % 26 % 100 % __________________ * Excludes policyholder contract deposits account balances that are not subject to guaranteed minimum crediting rates. OTHER POLICYHOLDER FUNDS Other policyholder funds include URR, consist | Insurance Liabilities FUTURE POLICY BENEFITS Future policy benefits primarily include reserves for traditional life and annuity payout contracts, which represent an estimate of the present value of future benefits less the present value of future net premiums. Included in Future policy benefits are liabilities for annuities issued in structured settlement arrangements whereby a claimant receives life contingent payments over their lifetime. Also included are pension risk transfer arrangements whereby an upfront premium is received in exchange for guaranteed retirement benefits. All payments under these arrangements are fixed and determinable with respect to their amounts and dates. Prior to the adoption of the Targeted Improvements to the Accounting for Long-Duration Contracts Standard Future policy benefits for traditional and limited pay contracts were reserved using actuarial assumptions locked-in at contract issuance. These assumptions were only updated when a loss recognition event occurred. Also included in Future policy benefits, were reserves for contracts in loss recognition, including the adjustment to reflect the effect of unrealized gains on fixed maturity securities available for sale with related changes recognized through Other comprehensive income (loss). Future policy benefits also included certain guaranteed benefits of annuity products that were not considered embedded derivatives. Subsequent to the adoption of the Targeted Improvements to the Accounting for Long-Duration Contracts Standard For traditional and limited pay long-duration products, benefit reserves are accrued and benefit expense is recognized using a NPR methodology for each annual cohort of business. This NPR method incorporates periodic retrospective revisions to the NPR to reflect updated actuarial assumptions and variances in actual versus expected experience. The Future policy benefit liability is accrued by multiplying the gross premium recognized in each period by the NPR. The net premium is equal to the portion of the gross premium required to provide for all benefits and certain expenses and may not exceed 100%. Benefits in excess of premiums are expensed immediately through Policyholder benefits. In addition, periodic revisions to the NPR below 100% may result in reclassification between the benefit reserves and deferred profit liability for limited pay contracts. Insurance contracts are aggregated into annual cohorts for the purposes of determining the Liability for future policy benefits (“LFPB”), but are not aggregated across segments. These annual cohorts may be further segregated based on product characteristics, or to distinguish business reinsured from non-reinsured business or products issued in different functional currencies. The assumptions used to calculate the future policy benefits include discount rates, persistency and recognized morbidity and mortality tables modified to reflect the Company's experience. The current discount rate assumption for the liability for future policy benefits is derived from market observable yields on upper-medium-grade fixed income instruments. The Company uses an external index as the source of the yields on these instruments for the first 30 years. For years 30 to 50, the yield is derived using market observable yields. Yields for years 50 to 100 are extrapolated using a flat forward approach, maintaining a constant forward spread through the period. The current discount rate assumption is updated quarterly and used to remeasure the liability at the reporting date, with the resulting change in the discount rate reflected in AOCI. The method for constructing and applying the locked-in discount rate assumptions on newly issued business is determined based on factors such as product characteristics and the expected timing of cash flows. This discount rate assumption is derived from market observable yields on upper-medium-grade fixed income instruments. Similar to the current discount rate assumption, the Company may employ conversion and interpolation methodologies when necessary. The applicable interest accretion is reflected in Policyholder benefits in the Consolidated Statements of Income (Loss). The following table presents the transition rollforward of the liability for future policy benefits for nonparticipating contracts: Individual Group Life Institutional Corporate and Other Total (in millions) Pre-adoption December 31, 2020 liability for future policy benefits balance $ 1,309 $ 282 $ 11,129 $ 11,029 $ 22,206 $ 45,955 Adjustments for the reclassification to the deferred profit liability (65) (8) — (766) (859) (1,698) Change in cash flow assumptions and effect of net premiums exceeding gross premiums (14) 2 16 4 55 63 Effect of the remeasurement of the liability at a current single A rate 156 63 2,977 1,655 7,611 12,462 Adjustment for the removal of loss recognition balances related to unrealized gain or loss on securities and other (63) (60) 4 (292) — (411) Post-adoption January 1, 2021 liability for future policy benefits balance $ 1,323 $ 279 $ 14,126 $ 11,630 $ 29,013 $ 56,371 Adjustments for the reclassification between the liability for future policy benefits and deferred profit liability represent changes in the NPRs that are less than 100% at transition for certain limited pay cohorts, resulting in a reclassification between the two liabilities, with no impact on Retained earnings. Adjustments for changes in cash flow assumptions represents revised NPRs in excess of 100% for certain cohorts at transition, with an offset to Retained earnings. The effect of the remeasurement at the current single A rate is reported at the transition date and each subsequent balance sheet date, with an offset in AOCI. Prior to adoption, loss recognition for traditional products was adjusted for the effect of unrealized gains on fixed maturity securities available for sale. At the transition date, these adjustments were removed with a corresponding offset in AOCI. The following tables present the balances and changes in the liability for future policy benefits and a reconciliation of the net liability for future policy benefits to the liability for future policy benefits in the Consolidated Balance Sheets: Year Ended December 31, 2022 Individual Group Life Institutional Corporate and Other Total (in millions, expect liability durations) Present value of expected net premiums Balance, beginning of year $ — $ — $ 14,369 $ — $ 1,274 $ 15,643 Effect of changes in discount rate assumptions (AOCI) — — (706) — (150) (856) Beginning balance at original discount rate — — 13,663 — 1,124 14,787 Effect of changes in cash flow assumptions — — 123 — — 123 Effect of actual variances from expected experience — — (79) — 7 (72) Adjusted beginning of year balance — — 13,707 — 1,131 14,838 Issuances — — 1,358 — — 1,358 Interest accrual — — 397 — 48 445 Net premium collected — — (1,418) — (123) (1,541) Foreign exchange impact — — (517) — — (517) Other — — (1) — 1 — Ending balance at original discount rate — — 13,526 — 1,057 14,583 Effect of changes in discount rate assumptions (AOCI) — — (1,872) — (66) (1,938) Balance, end of year $ — $ — $ 11,654 $ — $ 991 $ 12,645 Present value of expected future policy benefits Balance, beginning of year $ 1,373 $ 264 $ 27,442 $ 13,890 $ 27,674 $ 70,643 Effect of changes in discount rate assumptions (AOCI) (95) (46) (2,717) (870) (5,673) (9,401) Beginning balance at original discount rate 1,278 218 24,725 13,020 22,001 61,242 Effect of changes in cash flow assumptions (a) — — 140 (6) — 134 Effect of actual variances from expected experience (a) (30) (2) (94) 3 1 (122) Adjusted beginning of year balance 1,248 216 24,771 13,017 22,002 61,254 Issuances 216 12 1,374 2,782 9 4,393 Interest accrual 42 10 876 459 1,233 2,620 Benefit payments (116) (26) (1,757) (821) (1,483) (4,203) Foreign exchange impact — — (657) (339) — (996) Other — 1 (4) — (249) (252) Ending balance at original discount rate 1,390 213 24,603 15,098 21,512 62,816 Effect of changes in discount rate assumptions (AOCI) (167) (2) (3,424) (2,634) (1,083) (7,310) Balance, end of year $ 1,223 $ 211 $ 21,179 $ 12,464 $ 20,429 $ 55,506 Net liability for future policy benefits, end of year 1,223 211 9,525 12,464 19,438 42,861 Year Ended December 31, 2022 Individual Group Life Institutional Corporate and Other Total (in millions, expect liability durations) Liability for future policy benefits for certain participating contracts — — 14 — 1,338 1,352 Liability for universal life policies with secondary guarantees and similar features (b) — — 3,300 — 55 3,355 Deferred profit liability 99 12 15 1,281 896 2,303 Other reconciling items (c) 37 — 500 — 110 647 Future policy benefits for life and accident and health insurance contracts 1,359 223 13,354 13,745 21,837 50,518 Less: Reinsurance recoverable: (4) — (1,107) (36) (21,837) (22,984) Net liability for future policy benefits after reinsurance recoverable $ 1,355 $ 223 $ 12,247 $ 13,709 $ — $ 27,534 Weighted average liability duration of the liability for future policy benefits (d) 7.6 6.9 12.2 10.8 11.4 Year Ended December 31, 2021 Individual Group Life Institutional Corporate and Other Total (in millions, expect liability durations) Present value of expected net premiums Balance, beginning of year $ — $ — $ 13,793 $ — $ 1,506 $ 15,299 Effect of changes in discount rate assumptions (AOCI) — — (1,374) — (249) (1,623) Beginning balance at original discount rate — — 12,419 — 1,257 13,676 Effect of changes in cash flow assumptions — — 164 — (72) 92 Effect of actual variances from expected experience — — 371 — 14 385 Adjusted beginning of year balance — — 12,954 — 1,199 14,153 Issuances — — 1,727 — — 1,727 Interest accrual — — 392 — 54 446 Net premium collected — — (1,364) — (129) (1,493) Foreign exchange impact — — (46) — — (46) Other — — — — — — Ending balance at original discount rate — — 13,663 — 1,124 14,787 Effect of changes in discount rate assumptions (AOCI) — — 706 — 150 856 Balance, end of year — — 14,369 — 1,274 15,643 Present value of expected future policy benefits Balance, beginning of year $ 1,323 $ 279 $ 27,919 $ 11,630 $ 30,519 $ 71,670 Effect of changes in discount rate assumptions (AOCI) (156) (63) (4,351) (1,654) (7,862) (14,086) Beginning balance at original discount rate 1,167 216 23,568 9,976 22,657 57,584 Effect of changes in cash flow assumptions (a) — — 193 — (83) 110 Effect of actual variances from expected experience (a) 1 (1) 413 (3) (121) 289 Adjusted beginning of year balance 1,168 215 24,174 9,973 22,453 57,983 Issuances 172 21 1,713 3,366 15 5,287 Interest accrual 41 11 876 380 1,085 2,393 Benefit payments (101) (28) (1,981) (696) (1,530) (4,336) Foreign exchange impact — — (60) (3) — (63) Other (2) (1) 3 — (22) (22) Ending balance at original discount rate 1,278 218 24,725 13,020 22,001 61,242 Effect of changes in discount rate assumptions (AOCI) 95 46 2,717 870 5,673 9,401 Balance, end of year 1,373 264 27,442 13,890 27,674 70,643 Net liability for future policy benefits, end of year 1,373 264 13,073 13,890 26,400 55,000 Liability for future policy benefits for certain participating contracts — — 15 — 1,382 1,397 Liability for universal life policies with secondary guarantees and similar features (b) — — 4,952 — 55 5,007 Deferred profit liability 81 11 10 1,218 916 2,236 Other reconciling items (c) 42 — 485 1 102 630 Future policy benefits for life and accident and health insurance contracts 1,496 275 18,535 15,109 28,855 64,270 Less: Reinsurance recoverable: (4) — (1,715) (47) (28,855) (30,621) Year Ended December 31, 2021 Individual Group Life Institutional Corporate and Other Total (in millions, expect liability durations) Net liability for future policy benefits after reinsurance recoverable $ 1,492 $ 275 $ 16,820 $ 15,062 $ — $ 33,649 Weighted average liability duration of the liability for future policy benefits (d) 8.6 7.8 14.4 13.0 13.7 __________________ (a) Effect of changes in cash flow assumptions and variances from actual experience are partially offset by changes in deferred profit liability. (b) Additional details can be found in the table that presents the balances and changes in the liability for universal life policies with secondary guarantees and similar features. (c) Other reconciling items primarily include the Accident and Health as well as Group Benefits (short-duration) contracts. (d) The weighted average liability durations are calculated as the modified duration using projected future net liability cashflows that are aggregated at the segment level, utilizing the segment level weighted average interest rates and current discount rate, which can be found in the table below. For the years ended December 31, 2022 and 2021 in the traditional term life insurance block, capping of NPRs at 100% causes our reserves to be higher by $26 million and $15 million, respectively. The discount rate was updated based on market observable information. Relative to prior period, the increase in upper-medium-grade fixed income yields resulted in a decrease in the liability for future policy benefits. The following table presents the amount of undiscounted expected future benefit payments and expected gross premiums for future policy benefits for nonparticipating contracts: Year Ended December 31, (in millions) 2022 2021 Individual Retirement Expected future benefits and expense $ 1,959 $ 1,747 Expected future gross premiums $ — $ — Group Retirement Expected future benefits and expense $ 321 $ 328 Expected future gross premiums $ — $ — Life Insurance Expected future benefits and expense $ 38,909 $ 38,869 Expected future gross premiums $ 29,035 $ 29,272 Institutional Markets Expected future benefits and expense $ 25,066 $ 20,839 Expected future gross premiums $ — $ — Corporate and Other Expected future benefits and expense $ 44,530 $ 46,038 Expected future gross premiums $ 2,262 $ 2,437 The following table presents the amount of revenue and interest recognized in the Consolidated Statement of Income (Loss) for future policy benefits for nonparticipating contracts: Gross Premiums Interest Accretion Year Ended 31, (in millions) 2022 2021 2022 2021 Individual Retirement $ 224 $ 186 $ 42 $ 41 Group Retirement $ 19 $ 21 $ 10 $ 11 Life Insurance $ 2,342 $ 2,319 $ 479 $ 484 Institutional Markets $ 2,940 $ 3,818 $ 459 $ 380 Corporate and Other $ 224 $ 236 $ 1,185 $ 1,031 Total $ 5,749 $ 6,580 $ 2,175 $ 1,947 The following table presents the weighted-average interest rate for future policy benefits for nonparticipating contracts: December 31, 2022 Individual Group Life Institutional Corporate and Other Weighted-average interest rate, original discount rate 3.58 % 5.17 % 4.08 % 3.56 % 4.88 % Weighted-average interest rate, current discount rate 5.32 % 5.30 % 5.33 % 5.30 % 5.36 % December 31, 2021 Weighted-average interest rate, original discount rate 3.23 % 4.96 % 4.11 % 3.22 % 4.83 % Weighted-average interest rate, current discount rate 2.75 % 2.68 % 2.85 % 2.71 % 3.08 % The weighted average interest rates are calculated using projected future net liability cash flows that are aggregated to the segment level, and are represented as an annual rate. Actuarial Assumption Updates for Liability for Future Policy Benefits Corebridge undertook a review of all significant assumptions in 2022, 2021, and 2020. Corebridge recognized a $7 million favorable (mostly offset by corresponding DPL adjustment), $25 million unfavorable, and $0 impact in net income for 2022, 2021, and 2020, respectively, attributable to the annual actuarial assumption review. For 2022, the impact was due to updates to mortality and retirement assumption on certain pension risk transfer products. For 2021, the impact was mainly due to updated mortality on Traditional Life products. Assumptions left unchanged were deemed to be consistent with management’s best estimate at the time of the review. Deferred Profit Liability : Corebridge issues certain annuity and life insurance contracts where premiums are paid up-front or for a shorter period than benefits will be paid (i.e., limited pay contracts). A DPL is required to be established to avoid recognition of gains when these contracts are issued. DPLs are amortized over the life of the contracts to align the revenue recognized with the related benefit expenses. The DPL is amortized in a constant relationship to the amount of discounted insurance in force for life insurance or expected future benefit payments for annuity contracts over the term of the contract. Prior to the adoption of the Targeted Improvements to the Accounting for Long-Duration Contracts Standard Limited pay contracts were subject to a lock-in concept and assumptions derived at policy issue were not subsequently updated unless a loss recognition event occurred. The net premiums were recorded as revenue. The difference between the gross premium received and the net premium was deferred and recognized in premiums in a constant relationship to insurance in-force, or for annuities, the amount of expected future policy benefits. This unearned revenue (deferred profit) was recorded in the Consolidated Balance Sheets in Other policyholder funds. Subsequent to the adoption of the Targeted Improvements to the Accounting for Long-Duration Contracts Standard The difference between the gross premium received and recorded as revenue and the net premium is deferred and recognized in Policyholder benefits in a constant relationship to insurance in-force, or for annuities, the amount of expected future policy benefits. This deferred profit liability accretes interest and is recorded in the Consolidated Balance Sheets in Future policy benefits. Cash flow assumptions included in the measurement of the DPL are the same as those utilized in the respective LFPBs and are reviewed at least annually. The cash flow estimates for DPLs are updated on a retrospective catch-up basis at the same time as the cash flow estimates for the related LFPBs. The updated LFPB cash flows are used to recalculate the DPL at the inception of the applicable related LFPB cohort. The difference between the recalculated DPL at the beginning of the current reporting period and the carrying amount of the DPL at the current reporting period is recognized as a gain or loss in Policyholder benefits in the Consolidated Statements of Income (Loss). The following table presents the transition rollforward for deferred profit liability for long-duration contracts: Individual Group Life Institutional Corporate and Other Total (in millions) Pre-adoption December 31, 2020 deferred profit liability balance $ 2 $ — $ 5 $ 64 $ — $ 71 Adjustments for the reclassification from/(to) the liability for the future policy benefits 65 8 — 766 859 1,698 Post-adoption January 1, 2021 deferred profit liability balance $ 67 $ 8 $ 5 $ 830 $ 859 $ 1,769 Adjustments for the reclassification between the liability for future policy benefits and deferred profit liability represent changes in the NPRs that are less than 100% at transition for certain limited pay cohorts, resulting in a reclassification between the two liabilities, with no impact on retained earnings. The following table presents the transition rollforward of the additional liabilities: Individual Group Life Corporate and Other Total (in millions) Pre-adoption December 31, 2020 additional liabilities $ 1,391 $ 219 $ 5,117 $ 55 $ 6,782 Adjustment for the reclassification of additional liabilities from Future policy benefits to Market risk benefits (a) (875) (130) — — (1,005) Adjustment for removal of related balances in Accumulated other comprehensive income originating from unrealized gains (losses) (b) (516) (89) — — (605) Post-adoption January 1, 2021 additional liabilities $ — $ — $ 5,117 $ 55 $ 5,172 __________________ (a) Adjustments for the reclassification of additional liabilities from Future policy benefits to MRBs represent contract guarantees (e.g., GMDBs) that were previously classified as insurance liabilities within Future policy benefits, but have been reclassified as MRBs as of January 1, 2021. Refer to Note 13 for additional information on the transition impacts associated with LDTI. (b) Adjustments for the removal of related balances in AOCI originating from unrealized gains (losses) relate to the additional liabilities reclassified from Future policy benefits in the line above. Post-adoption, our additional liabilities primarily consist of universal life policies with secondary guarantees and these additional liabilities are recognized in addition to the Policyholder account balances. For universal life policies with secondary guarantees, as well as other universal life policies for which profits followed by losses are expected at contract inception, a liability is recognized based on a benefit ratio of (a) the present value of total expected payments, in excess of the account value, over the life of the contract, divided by (b) the present value of total expected assessments over the life of the contract. For universal life policies without secondary guarantees, for which profits followed by losses are first expected after contract inception, we establish a liability, in addition to policyholder account balances, so that expected future losses are recognized in proportion to the emergence of profits in the earlier (profitable) years. Universal life account balances are reported within Policyholder contract deposits, while these additional liabilities are reported within the liability for future policy benefits in the Consolidated Balance Sheets. These additional liabilities are also adjusted to reflect the effect of unrealized gains or losses on fixed maturity securities available for sale on accumulated assessments, with related changes recognized through Other comprehensive income. The policyholder behavior assumptions for these liabilities include mortality, lapses and premium persistency. The capital market assumptions used for the liability for universal life secondary guarantees include discount rates and net earned rates. The following table presents the balances and changes in the liability for universal life policies: Year Ended December 31, 2022 Year Ended December 31, 2021 (in millions, except weighted average duration of liability ) Life Corporate and Other Total Life Corporate and Other Total Balance, beginning of year $ 4,952 $ 55 $ 5,007 $ 5,117 $ 55 $ 5,172 Effect of changes in assumptions (24) — (24) (116) — (116) Effect of changes in experience 303 (4) 299 331 (4) 327 Adjusted beginning balance $ 5,231 $ 51 $ 5,282 $ 5,332 $ 51 $ 5,383 Assessments 687 2 689 669 2 671 Excess benefits paid (909) — (909) (859) — (859) Interest accrual 126 2 128 136 2 138 Other (11) — (11) 24 — 24 Changes related to unrealized appreciation (depreciation) of investments (1,824) — (1,824) (350) — (350) Balance, end of year $ 3,300 $ 55 $ 3,355 $ 4,952 $ 55 $ 5,007 Less: Reinsurance recoverable (191) — (191) (200) — (200) Balance, end of period net of Reinsurance recoverable $ 3,109 $ 55 $ 3,164 $ 4,752 $ 55 $ 4,807 Weighted average duration of liability* 26.3 9.5 27.1 9.8 __________________ * The weighted average duration of liability is calculated as the modified duration using projected future net liability cashflows that are aggregated at the segment level, utilizing the segment level weighted average interest rates, which can be found in the table below. The following table presents the amount of revenue and interest recognized in the Consolidated Statement of Income (Loss) for the liability for universal life policies with secondary guarantees and similar features: Gross Assessments Interest Accretion Year Ended December 31, (in millions) 2022 2021 2022 2021 Life Insurance $ 1,193 $ 1,187 $ 126 $ 136 Corporate and Other 39 39 2 2 Total $ 1,232 $ 1,226 $ 128 $ 138 The following table presents the calculation of weighted average interest rate for the liability for universal life policies with secondary guarantees and similar features: December 31, 2022 2021 Life Corporate and Other Life Corporate and Other Weighted-average interest rate 3.76 % 4.24 % 3.74 % 4.21 % The weighted average interest rates are calculated using projected future net liability cash flows that are aggregated to the segment level, and are represented as an annual rate. The following table presents details concerning our universal life policies with secondary guarantees and similar features: Years Ended December 31, (in millions, except for attained age of contract holders) 2022 2021 Account value $ 3,514 $ 3,313 Net amount at risk $ 69,335 $ 65,801 Average attained age of contract holders 53 53 Corebridge undertook a review of all significant assumptions in 2022, 2021, and 2020. Corebridge recognized a $24 million favorable, $117 million favorable, and $251 million unfavorable impact in net income for 2022, 2021, and 2020, respectively, attributable to the annual actuarial assumption review. For 2022, the impacts were due to modeling refinements to reflect actual versus expected asset data related to calls and capital gains. For 2021, the impacts were primarily due to the update in the reserving methodology, partially offset by assumption updates to mortality. Assumptions left unchanged were deemed to be consistent with management’s best estimate at the time of the review. For 2020, the impacts were driven by assumption updates to mortality. POLICYHOLDER CONTRACT DEPOSITS The liability for Policyholder contract deposits is primarily recorded at accumulated value (deposits received and net transfers from separate accounts, plus accrued interest credited at rates ranging from 0.0% to 9.0% at December 31, 2022, less withdrawals and assessed fees). Deposits collected on investment-oriented products are not reflected as revenues. They are recorded directly to Policyholder contract deposits upon receipt. Amounts assessed against the contract holders for mortality, administrative, and other services are included as Policy fees in revenues. In addition to liabilities for universal life, fixed annuities, fixed options within variable annuities, annuities without life contingencies, funding agreements and GICs, policyholder contract deposits also include our liability for (i) index features accounted for as embedded derivatives at fair value, (ii) annuities issued in a structured settlement arrangement with no life contingency and (iii) certain contracts we have elected to account for at fair value. Changes in the fair value of the embedded derivatives related to policy index features and the fair value of derivatives hedging these liabilities are recognized in realized gains and losses. For additional information on index credits accounted for as embedded derivatives, see Note 4. The following table presents the transition rollforward of Policyholder contract deposits account balances: (in millions) Individual Group Life Institutional Corporate and Other Total Pre-adoption December 31, 2020 Policyholder contract deposits $ 85,097 $ 43,805 $ 10,286 $ 11,559 $ 4,145 $ 154,892 Adjustment for the reclassification of the embedded derivative liability to market risk benefits, net of the host adjustment(s) (5,894) (577) — — — (6,471) Post-adoption January 1, 2021 Policyholder contract deposits $ 79,203 $ 43,228 $ 10,286 $ 11,559 $ 4,145 $ 148,421 The following table presents the balances and changes in Policyholder contract deposits account balances (a) : Year Ended December 31, 2022 Individual Group Life Institutional Corporate and Other Total (in millions, except for average crediting rate) Policyholder contract deposits account balance, beginning of year $ 84,097 $ 43,902 $ 10,183 $ 10,804 $ 3,823 $ 152,809 Issuances 15,175 4,927 190 1,468 15 21,775 Deposits received 11 19 1,484 26 33 1,573 Policy charges (870) (462) (1,570) (69) (65) (3,036) Surrenders and withdrawals (8,921) (5,712) (211) (134) (64) (15,042) Benefit payments (3,798) (2,528) (216) (775) (349) (7,666) Net transfers from (to) separate account 2,248 2,149 (5) 144 — 4,536 Interest credited 1,608 1,100 377 301 178 3,564 Other 4 — (8) (31) 16 (19) Ending Policyholder contract deposits account balance $ 89,554 $ 43,395 $ 10,224 $ 11,734 $ 3,587 $ 158,494 Other reconciling items (b) (2,136) (319) 34 (16) 1 (2,436) Policyholder contract deposits $ 87,418 $ 43,076 $ 10,258 $ 11,718 $ 3,588 $ 156,058 Weighted average crediting rate 2.43 % 2.77 % 4.29 % 2.71 % 4.91 % Cash surrender value (o) 83,278 41,831 8,866 2,537 1,808 138,320 Year Ended December 31, 2021 Individual Group Life Institutional Corporate and Other Total (in millions, except for average crediting rate) Policyholder contract deposits account balance, beginning of year $ 80,012 $ 43,406 $ 10,012 $ 11,351 $ 4,143 $ 148,924 Issuances 13,760 5,124 225 1,230 18 20,357 Deposits received 14 22 1,477 42 35 1,590 Policy charges (781) (523) (1,567) (65) (69) (3,005) Surrenders and withdrawals (8,863) (5,795) (212) (91) (76) (15,037) Benefit payments (4,031) (2,329) (245) (1,948) (374) (8,927) Net transfers from (to) separate account 1,531 2,750 (2) 61 — 4,340 Interest credited 2,444 1,249 447 263 191 4,594 Other 11 (2) 48 (39) (45) (27) Ending Policyholder contract deposits account balance $ 84,097 $ 43,902 $ 10,183 $ 10,804 $ 3,823 $ 152,809 Other reconciling items (b) (1,289) (259) 117 165 2 (1,264) Policyholder contract deposits $ 82,808 $ 43,643 $ 10,300 $ 10,969 $ 3,825 $ 151,545 Weighted average crediting rate 2.42 % 2.79 % 4.28 % 2.41 % 4.92 % Cash surrender value (c) $ 79,787 $ 43,359 $ 8,826 $ 2,520 $ 1,880 $ 136,372 __________________ (a) Transactions between the general account and the separate account are presented in this table on a gross basis (e.g., a policyholder's funds are initially deposited into the general account and then simultaneously transferred to the separate account), and thus, did not impact the ending balance of policyholder contract deposits. (b) Reconciling items principally relate to MRBs that are bifurcated and reported separately, net of embedded derivatives that are recorded in PCD. (c) Cash surrender value is related to the portion of policyholder contract deposits that have a defined cash surrender value (e.g. GICs, do not have a cash surrender value). For information related to net amount at risk, refer to the table that presents the balances of and changes in MRBs in Note 13. The following table presents Policyholder contract deposits account balance by range of guaranteed minimum crediting rates and the related range of difference, in basis points, between rates being credited to policyholders and the respective guaranteed minimums: December 31, 2022 At Guaranteed Minimum 1 Basis Point - 50 Basis Points Above More than 50 Basis Points Above Minimum Guarantee Total (in millions, except percentage of total) Individual Retirement Range of Guaranteed Minimum Credited Rate <=1% 8,766 2,161 21,702 32,629 > 1% - 2% 4,208 24 2,195 6,427 > 2% - 3% 9,502 — 17 9,519 > 3% - 4% 7,630 40 6 7,676 > 4% - 5% 456 — 5 461 > 5% 33 — 4 37 Total $ 30,595 $ 2,225 $ 23,929 $ 56,749 Group Retirement Range of Guaranteed Minimum Credited Rate <=1% 3,611 1,427 5,609 10,647 > 1% - 2% 5,628 727 150 6,505 > 2% - 3% 13,968 3 — 13,971 > 3% - 4% 666 — — 666 > 4% - 5% 6,843 — — 6,843 > 5% 154 — — 154 Total $ 30,870 $ 2,157 $ 5,759 $ 38,786 Life Insurance Range of Guaranteed Minimum Credited Rate <=1% — — — — > 1% - 2% 1 129 352 482 > 2% - 3% 32 831 1,116 1,979 > 3% - 4% 1,369 180 195 1,744 > 4% - 5% 2,974 — — 2,974 > 5% 223 — — 223 Total 4,599 1,140 1,663 7,402 Total* $ 66,064 $ 5,522 $ 31,351 $ 102,937 Percentage of total 64 % 5 % 30 % 100 % December 31, 2021 At Guaranteed Minimum 1 Basis Point - 50 Basis Points Above More than 50 Basis Points Above Minimum Guarantee Total (in millions, except percentage of total) Individual Retirement Range of Guaranteed Minimum Credited Rate <=1% 10,212 1,911 17,935 30,058 > 1% - 2% 4,540 28 1,681 6,249 > 2% - 3% 10,353 — 18 10,371 > 3% - 4% 8,150 41 6 8,197 > 4% - 5% 477 — 5 482 > 5% 34 — 4 38 Total $ 33,766 $ 1,980 $ 19,649 $ 55,395 Group Retirement Range of Guaranteed Minimum Credited Rate <=1% 2,134 3,254 4,682 10,070 > 1% - 2% 6,027 644 99 6,770 > 2% - 3% 14,699 — — 14,699 > 3% - 4% 708 — — 708 > 4% - 5% 6,962 — — 6,962 > 5% 159 — — 159 Total $ 30,689 $ 3,898 $ 4,781 $ 39,368 Life Insurance Range of Guaranteed Minimum Credited Rate <=1% — — — — > 1% - 2% 103 25 359 487 > 2% - 3% 258 533 1,208 1,999 > 3% - 4% 1,417 178 213 1,808 > 4% - 5% 3,085 2 — 3,087 > 5% 236 — — 236 Total $ 5,099 $ 738 $ 1,780 $ 7,617 Total* $ 69,554 $ 6,616 $ 26,210 $ 102,380 Percentage of total 68 % 6 % 26 % 100 % __________________ * Excludes policyholder contract deposits account balance |
