Voya 2013 Annual Report Download - page 310

ING U.S., Inc.
Notes to the Consolidated Financial Statements
(Dollar amounts in millions, unless otherwise stated)
2012
Direct Assumed Ceded
Total, Net of
Reinsurance
Assets
Premiums receivable ............................... $ 96.9 $ 384.7 $ (411.4) $ 70.2
Reinsurance recoverable ............................ — — 7,379.3 7,379.3
Total ............................................... $ 96.9 $ 384.7 $ 6,967.9 $ 7,449.5
Liabilities ...........................................
Future policy benefits and contract owner account
balances ....................................... $82,185.3 $3,870.4 $(7,379.3) $78,676.4
Liability for funds withheld under reinsurance
agreements .................................... 1,236.6 — — 1,236.6
Total ............................................... $83,421.9 $3,870.4 $(7,379.3) $79,913.0
Information regarding the effect of reinsurance is as follows for the years ended December 31, 2013, 2012 and
2011:
2013 2012 2011
Premiums:
Direct premiums ............................................ $2,184.1 $ 2,084.0 $ 1,999.2
Reinsurance assumed ........................................ 1,233.0 1,303.6 1,329.2
Reinsurance ceded ........................................... (1,460.8) (1,526.5) (1,558.4)
Net premiums .......................................... $1,956.3 $ 1,861.1 $ 1,770.0
Fee income:
Gross fee income ............................................ $3,671.4 $ 3,520.7 $ 3,609.6
Reinsurance ceded ........................................... (5.1) (5.3) (6.0)
Net fee income ......................................... $3,666.3 $ 3,515.4 $ 3,603.6
Interest credited and other benefits to contract owners / policyholders:
Direct interest credited and other benefits to contract owners /
policyholders ............................................. $4,786.9 $ 5,205.5 $ 6,179.9
Reinsurance assumed ........................................ 1,221.9 1,153.4 1,333.2
Reinsurance ceded(1) ......................................... (1,511.0) (1,497.3) (1,771.1)
Net interest credited and other benefits to contract owners /
policyholders ......................................... $4,497.8 $ 4,861.6 $ 5,742.0
(1) Includes $414.8, $399.7 and $391.6 for amounts paid to reinsurers in connection with our UL contracts for the
years ended December 31, 2013, 2012 and 2011, respectively.
Effective October 1, 1998, the Company disposed of a block of its individual life insurance business under an
indemnity reinsurance arrangement with a subsidiary of Lincoln National Corporation (“Lincoln”) for $1.0 billion.
Under the agreement, Lincoln contractually assumed from the Company certain policyholder liabilities and
obligations, although the Company remains obligated to contract owners. The Lincoln subsidiary established a trust
to secure its obligations to the Company under the reinsurance transaction. Of the Reinsurance recoverable on the
Consolidated Balance Sheets, $2.0 billion and $2.1 billion as of December 31, 2013 and 2012, respectively, is
related to the reinsurance recoverable from the subsidiary of Lincoln under this reinsurance agreement.
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