Cover Page
Cover Page - shares | 6 Months Ended | |
Jun. 30, 2020 | Jul. 27, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q2 | |
Entity Central Index Key | 0001276520 | |
Current Fiscal Year End Date | --12-31 | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Jun. 30, 2020 | |
Entity Registrant Name | GENWORTH FINANCIAL, INC. | |
Entity File Number | 001-32195 | |
Entity Tax Identification Number | 80-0873306 | |
Entity Incorporation, State or Country Code | DE | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Shell Company | false | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Address, Address Line One | 6620 West Broad Street | |
Entity Address, State or Province | VA | |
Entity Address, City or Town | Richmond | |
Entity Address, Postal Zip Code | 23230 | |
Entity Interactive Data Current | Yes | |
City Area Code | 804 | |
Local Phone Number | 281-6000 | |
Trading Symbol | GNW | |
Security Exchange Name | NYSE | |
Title of 12(b) Security | Class A Common Stock, par value $.001 per share | |
Entity Common Stock, Shares Outstanding | 594,010,907 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 | |
Assets | |||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 63,544 | $ 60,339 | |
Equity securities, at fair value | 206 | 239 | |
Commercial mortgage loans (net of unamortized balance of loan origination fees and costs of $4 as of June 30, 2020 and December 31, 2019) | 6,945 | 6,976 | |
Less: Allowance for credit losses | (28) | (13) | |
Commercial mortgage loans, net | 6,917 | 6,963 | |
Policy loans | 2,182 | 2,058 | |
Other invested assets | 2,473 | 1,632 | |
Total investments | 75,322 | 71,231 | |
Cash, cash equivalents and restricted cash | 2,597 | 3,341 | |
Accrued investment income | 601 | 654 | |
Deferred acquisition costs | 1,718 | 1,836 | |
Intangible assets and goodwill | 223 | 201 | |
Reinsurance recoverable | 16,944 | 17,103 | |
Less: Allowance for credit losses | (44) | 0 | |
Reinsurance recoverable, net | 16,900 | 17,103 | |
Other assets | 454 | 443 | |
Deferred tax asset | 286 | 425 | |
Separate account assets | 5,536 | 6,108 | |
Total assets | 103,637 | 101,342 | |
Liabilities and equity | |||
Future policy benefits | 41,463 | 40,384 | |
Policyholder account balances | 22,921 | 22,217 | |
Liability for policy and contract claims | 11,280 | 10,958 | |
Unearned premiums | 1,804 | 1,893 | |
Other liabilities | 2,075 | 1,428 | |
Non-recourse funding obligations | 0 | 311 | |
Long-term borrowings | 2,817 | 3,277 | [1] |
Separate account liabilities | 5,536 | 6,108 | |
Liabilities related to discontinued operations | 653 | 134 | |
Total liabilities | 88,549 | 86,710 | |
Commitments and contingencies | |||
Equity: | |||
Class A common stock, $0.001 par value; 1.5 billion shares authorized; 594 million and 592 million shares issued as of June 30, 2020 and December 31, 2019, respectively; 506 million and 504 million shares outstanding as of June 30, 2020 and December 31, 2019, respectively | 1 | 1 | |
Additional paid-in capital | 11,996 | 11,990 | |
Accumulated other comprehensive income (loss) | 4,447 | 3,433 | |
Retained earnings | 899 | 1,461 | |
Treasury stock, at cost (88 million shares as of June 30, 2020 and December 31, 2019) | (2,700) | (2,700) | |
Total Genworth Financial, Inc.'s stockholders' equity | 14,643 | 14,185 | |
Noncontrolling interests | 445 | 447 | |
Total equity | 15,088 | 14,632 | |
Total liabilities and equity | $ 103,637 | $ 101,342 | |
[1] | Subordinated floating rate notes issued by Genworth Financial Mortgage Insurance Pty Limited (“GFMIPL”), our indirect majority-owned subsidiary, who has the option to redeem the notes at face value beginning on July 3, 2020, subject to the Australian Prudential Regulation Authority’s (“APRA”) prior written approval. |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Debt securities amortized costs | $ 54,834 | |
Debt securities allowance for credit losses | 7 | |
Unamortized balance of loan origination fees | $ 4 | $ 4 |
Class A common stock, par value | $ 0.001 | $ 0.001 |
Class A common stock, shares authorized | 1,500,000,000 | 1,500,000,000 |
Class A common stock, shares issued | 594,000,000 | 592,000,000 |
Class A common stock, shares outstanding | 506,000,000 | 504,000,000 |
Treasury stock, shares | (88,000,000) | (88,000,000) |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | ||
Revenues: | |||||
Premiums | $ 1,019 | $ 1,001 | $ 2,034 | $ 1,989 | |
Net investment income | 786 | 816 | 1,579 | 1,610 | |
Net investment gains (losses) | 159 | (46) | 7 | 29 | |
Policy fees and other income | 174 | 223 | 355 | 410 | |
Total revenues | 2,138 | 1,994 | 3,975 | 4,038 | |
Benefits and expenses: | |||||
Benefits and other changes in policy reserves | 1,486 | 1,251 | 2,847 | 2,533 | |
Interest credited | 139 | 146 | 280 | 293 | |
Acquisition and operating expenses, net of deferrals | 223 | 229 | 472 | 466 | |
Amortization of deferred acquisition costs and intangibles | 93 | 84 | 209 | 165 | |
Goodwill impairment | 5 | 0 | 5 | 0 | |
Interest expense | 44 | 60 | 96 | 120 | |
Total benefits and expenses | 1,990 | 1,770 | 3,909 | 3,577 | |
Income from continuing operations before income taxes | 148 | 224 | 66 | 461 | |
Provision for income taxes | 46 | 66 | 36 | 135 | |
Income from continuing operations | 102 | 158 | 30 | 326 | |
Income (loss) from discontinued operations, net of taxes | (520) | 60 | (520) | 122 | |
Net income (loss) | (418) | 218 | (490) | 448 | |
Less: net income from continuing operations attributable to noncontrolling interests | 23 | 15 | 17 | 35 | |
Less: net income from discontinued operations attributable to noncontrolling interests | 0 | 35 | 0 | 71 | |
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | (441) | 168 | (507) | 342 | |
Net income (loss) available to Genworth Financial, Inc.'s common stockholders: | |||||
Income from continuing operations available to Genworth Financial, Inc.'s common stockholders | 79 | 143 | 13 | 291 | |
Income (loss) from discontinued operations available to Genworth Financial, Inc.'s common stockholders | (520) | 25 | (520) | 51 | |
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | $ (441) | $ 168 | $ (507) | $ 342 | |
Income from continuing operations available to Genworth Financial, Inc.'s common stockholders per share: | |||||
Basic | $ 0.16 | $ 0.29 | $ 0.03 | $ 0.58 | |
Diluted | 0.15 | 0.28 | 0.03 | 0.57 | |
Net income (loss) available to Genworth Financial, Inc.'s common stockholders per share: | |||||
Basic | [1] | (0.87) | 0.33 | (1) | 0.68 |
Diluted | $ (0.86) | $ 0.33 | $ (0.99) | $ 0.67 | |
Weighted-average common shares outstanding: | |||||
Basic | 505.4 | 503.4 | 504.8 | 502.3 | |
Diluted | 512.5 | 508.7 | 511.1 | 508.7 | |
[1] | May not total due to whole number calculation. |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Net income | $ (418) | $ 218 | $ (490) | $ 448 |
Other comprehensive income (loss), net of taxes: | ||||
Net unrealized gains (losses) on securities without an allowance for credit losses | 682 | 0 | 362 | 0 |
Net unrealized gains (losses) on securities with an allowance for credit losses | (8) | 0 | (8) | 0 |
Net unrealized gains (losses) on securities not other-than-temporarily impaired | 0 | 376 | 0 | 755 |
Net unrealized gains (losses) on other-than-temporarily impaired securities | 0 | 0 | 0 | 1 |
Derivatives qualifying as hedges | (78) | 133 | 675 | 202 |
Foreign currency translation and other adjustments | 73 | 43 | (25) | 97 |
Total other comprehensive income (loss) | 669 | 552 | 1,004 | 1,055 |
Total comprehensive income | 251 | 770 | 514 | 1,503 |
Less: comprehensive income attributable to noncontrolling interests | 60 | 81 | 7 | 192 |
Total comprehensive income available to Genworth Financial, Inc.'s common stockholders | $ 191 | $ 689 | $ 507 | $ 1,311 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - USD ($) $ in Millions | Total | Cumulative effect of change in accounting, net of taxes | Common stock | Common stockCumulative effect of change in accounting, net of taxes | Additional paid-in capital | Additional paid-in capitalCumulative effect of change in accounting, net of taxes | Accumulated other comprehensive income (loss) | Accumulated other comprehensive income (loss)Cumulative effect of change in accounting, net of taxes | Retained earnings | Retained earningsCumulative effect of change in accounting, net of taxes | Treasury stock, at cost | Treasury stock, at costCumulative effect of change in accounting, net of taxes | Total Genworth Financial, Inc.'s stockholders' equity | Total Genworth Financial, Inc.'s stockholders' equityCumulative effect of change in accounting, net of taxes | Noncontrolling interests | Noncontrolling interestsCumulative effect of change in accounting, net of taxes |
Balances, beginning at Dec. 31, 2018 | $ 14,189 | $ 1 | $ 11,987 | $ 2,044 | $ 1,118 | $ (2,700) | $ 12,450 | $ 1,739 | ||||||||
Repurchase of subsidiary shares | (44) | 0 | 0 | 0 | 0 | 0 | 0 | (44) | ||||||||
Comprehensive income (loss): | ||||||||||||||||
Net income (loss) | 448 | 0 | 0 | 0 | 342 | 0 | 342 | 106 | ||||||||
Other comprehensive income (loss), net of taxes | 1,055 | 0 | 0 | 969 | 0 | 0 | 969 | 86 | ||||||||
Total comprehensive income | 1,503 | 1,311 | 192 | |||||||||||||
Dividends to noncontrolling interests | (53) | 0 | 0 | 0 | 0 | 0 | 0 | (53) | ||||||||
Stock-based compensation expense and exercises and other | (3) | 0 | (4) | 0 | 0 | 0 | (4) | 1 | ||||||||
Balances, ending at Jun. 30, 2019 | 15,592 | 1 | 11,983 | 3,013 | 1,460 | (2,700) | 13,757 | 1,835 | ||||||||
Balances, beginning at Mar. 31, 2019 | 14,882 | 1 | 11,989 | 2,492 | 1,292 | (2,700) | 13,074 | 1,808 | ||||||||
Repurchase of subsidiary shares | (32) | 0 | 0 | 0 | 0 | 0 | 0 | (32) | ||||||||
Comprehensive income (loss): | ||||||||||||||||
Net income (loss) | 218 | 0 | 0 | 0 | 168 | 0 | 168 | 50 | ||||||||
Other comprehensive income (loss), net of taxes | 552 | 0 | 0 | 521 | 0 | 0 | 521 | 31 | ||||||||
Total comprehensive income | 770 | 689 | 81 | |||||||||||||
Dividends to noncontrolling interests | (25) | 0 | 0 | 0 | 0 | 0 | 0 | (25) | ||||||||
Stock-based compensation expense and exercises and other | (3) | 0 | (6) | 0 | 0 | 0 | (6) | 3 | ||||||||
Balances, ending at Jun. 30, 2019 | 15,592 | 1 | 11,983 | 3,013 | 1,460 | (2,700) | 13,757 | 1,835 | ||||||||
Balances, beginning at Dec. 31, 2019 | 14,632 | $ (55) | 1 | $ 0 | 11,990 | $ 0 | 3,433 | $ 0 | 1,461 | $ (55) | (2,700) | $ 0 | 14,185 | $ (55) | 447 | $ 0 |
Comprehensive income (loss): | ||||||||||||||||
Net income (loss) | (490) | 0 | 0 | 0 | (507) | 0 | (507) | 17 | ||||||||
Other comprehensive income (loss), net of taxes | 1,004 | 0 | 0 | 1,014 | 0 | 0 | 1,014 | (10) | ||||||||
Total comprehensive income | 514 | 507 | 7 | |||||||||||||
Dividends to noncontrolling interests | (9) | 0 | 0 | 0 | 0 | 0 | 0 | (9) | ||||||||
Stock-based compensation expense and exercises and other | 6 | 0 | 6 | 0 | 0 | 0 | 6 | 0 | ||||||||
Balances, ending at Jun. 30, 2020 | 15,088 | 1 | 11,996 | 4,447 | 899 | (2,700) | 14,643 | 445 | ||||||||
Balances, beginning at Mar. 31, 2020 | 14,834 | 1 | 11,993 | 3,815 | 1,340 | (2,700) | 14,449 | 385 | ||||||||
Comprehensive income (loss): | ||||||||||||||||
Net income (loss) | (418) | 0 | 0 | 0 | (441) | 0 | (441) | 23 | ||||||||
Other comprehensive income (loss), net of taxes | 669 | 0 | 0 | 632 | 0 | 0 | 632 | 37 | ||||||||
Total comprehensive income | 251 | 191 | 60 | |||||||||||||
Stock-based compensation expense and exercises and other | 3 | 0 | 3 | 0 | 0 | 0 | 3 | 0 | ||||||||
Balances, ending at Jun. 30, 2020 | $ 15,088 | $ 1 | $ 11,996 | $ 4,447 | $ 899 | $ (2,700) | $ 14,643 | $ 445 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Cash flows from operating activities: | ||
Net income (loss) | $ (490) | $ 448 |
Less (income) loss from discontinued operations, net of taxes | 520 | (122) |
Adjustments to reconcile net income (loss) to net cash from operating activities: | ||
Amortization of fixed maturity securities discounts and premiums | (50) | (57) |
Net investment (gains) losses | (7) | (29) |
Charges assessed to policyholders | (314) | (364) |
Acquisition costs deferred | (9) | (16) |
Amortization of deferred acquisition costs and intangibles | 209 | 165 |
Goodwill impairment | 5 | 0 |
Deferred income taxes | 28 | 98 |
Derivative instruments, limited partnerships and other | 191 | 18 |
Stock-based compensation expense | 19 | 10 |
Change in certain assets and liabilities: | ||
Accrued investment income and other assets | (131) | (284) |
Insurance reserves | 674 | 609 |
Current tax liabilities | (1) | 13 |
Other liabilities, policy and contract claims and other policy-related balances | 655 | 134 |
Cash from operating activities—discontinued operations | 0 | 172 |
Net cash from operating activities | 1,299 | 795 |
Cash flows used by investing activities: | ||
Fixed maturity securities | 1,687 | 1,774 |
Commercial mortgage loans | 302 | 291 |
Other invested assets | 71 | 51 |
Proceeds from sales of investments: | ||
Fixed maturity and equity securities | 1,657 | 2,362 |
Purchases and originations of investments: | ||
Fixed maturity and equity securities | (4,166) | (4,054) |
Commercial mortgage loans | (271) | (561) |
Other invested assets | (236) | (235) |
Short-term investments, net | 59 | 3 |
Policy loans, net | 10 | 39 |
Cash used by investing activities—discontinued operations | 0 | (21) |
Net cash used by investing activities | (887) | (351) |
Cash flows used by financing activities: | ||
Deposits to universal life and investment contracts | 516 | 444 |
Withdrawals from universal life and investment contracts | (914) | (1,096) |
Redemption of non-recourse funding obligations | (315) | 0 |
Repayment and repurchase of long-term debt | (471) | (1) |
Repurchase of subsidiary shares | 0 | (22) |
Dividends paid to noncontrolling interests | (9) | (14) |
Other, net | 49 | 55 |
Cash used by financing activities—discontinued operations | 0 | (61) |
Net cash used by financing activities | (1,144) | (695) |
Effect of exchange rate changes on cash, cash equivalents and restricted cash (includes $—and $12 related to discontinued operations) | (12) | 12 |
Net change in cash, cash equivalents and restricted cash | (744) | (239) |
Cash, cash equivalents and restricted cash at beginning of period | 3,341 | 2,177 |
Cash, cash equivalents and restricted cash at end of period | 2,597 | 1,938 |
Less cash, cash equivalents and restricted cash of discontinued operations at end of period | 0 | 223 |
Cash, cash equivalents and restricted cash of continuing operations at end of period | $ 2,597 | $ 1,715 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Statement of Cash Flows [Abstract] | ||
Discontinued operations exchange rate effect | $ 0 | $ 12 |
Formation of Genworth and Basis
Formation of Genworth and Basis of Presentation | 6 Months Ended |
Jun. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Formation of Genworth and Basis of Presentation | (1) Formation of Genworth and Basis of Presentation Genworth Holdings, Inc. (“Genworth Holdings”) (formerly known as Genworth Financial, Inc.) was incorporated in Delaware in 2003 in preparation for an initial public offering (“IPO”) of Genworth’s common stock, which was completed on May 28, 2004. On April 1, 2013, Genworth Holdings completed a holding company reorganization pursuant to which Genworth Holdings became a direct, 100% owned subsidiary of a new public holding company that it had formed. The new public holding company was incorporated in Delaware on December 5, 2012, in connection with the reorganization, and was renamed Genworth Financial, Inc. (“Genworth Financial”) upon the completion of the reorganization. On October 21, 2016, Genworth Financial entered into an agreement and plan of merger (the “Merger Agreement”) with Asia Pacific Global Capital Co., Ltd. (“Parent”), a limited liability company incorporated in the People’s Republic of China and a subsidiary of China Oceanwide Holdings Group Co., Ltd., a limited liability company incorporated in the People’s Republic of China (together with its affiliates, “China Oceanwide”), and Asia Pacific Global Capital USA Corporation (“Merger Sub”), a Delaware corporation and a direct, wholly-owned subsidiary of Asia Pacific Insurance USA Holdings LLC (“Asia Pacific Insurance”), which is a Delaware limited liability company and owned by China Oceanwide, pursuant to which, subject to the terms and conditions set forth therein, Merger Sub would merge with and into Genworth Financial with Genworth Financial surviving the merger as a direct, wholly-owned subsidiary of Asia Pacific Insurance. China Oceanwide has agreed to acquire all of our outstanding common stock for a total transaction value of approximately $2.7 billion, or $5.43 per share in cash. At a special meeting held on March 7, 2017, Genworth Financial’s stockholders voted on and approved a proposal to adopt the Merger Agreement. The closing of the transaction remains subject to other closing conditions. The accompanying unaudited condensed financial statements include on a consolidated basis the accounts of Genworth Financial and the affiliate companies in which it holds a majority voting interest or where it is the primary beneficiary of a variable interest entity (“VIE”). All intercompany accounts and transactions have been eliminated in consolidation. References to “Genworth Financial,” “Genworth,” the “Company,” “we” or “our” in the accompanying unaudited condensed consolidated financial statements and the notes thereto are, unless the context otherwise requires, to Genworth Financial, Inc. on a consolidated basis. We operate our business through the following four operating segments: • U.S. Mortgage Insurance. • Australia Mortgage Insurance. • U.S. Life Insurance. • Runoff. since In addition to our four operating business segments, we also have Corporate and Other activities which include debt financing expenses that are incurred at the Genworth Holdings level, unallocated corporate income and expenses, eliminations of inter-segment transactions and the results of other businesses that are managed outside of our operating segments, including certain smaller international mortgage insurance businesses and discontinued operations. On December 12, 2019, we completed the sale of Genworth MI Canada Inc. (“Genworth Canada”), our former Canada mortgage insurance business, to an affiliate of Brookfield Business Partners L.P. (“Brookfield”) and received approximately $1.7 billion in net cash proceeds. Prior to the sale, in the third quarter of 2019, Genworth Canada was reported as discontinued operations and its financial position, results of operations and cash flows were separately reported for all periods presented. All prior periods reflected herein have been re-presented Unless otherwise indicated, references to the condensed consolidated balance sheets, the condensed consolidated statements of income, the condensed consolidated statements of cash flows and the notes to the condensed consolidated financial statements, exclude amounts related to discontinued operations. The accompanying condensed consolidated financial statements are unaudited and have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) and rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). Preparing financial statements in conformity with U.S. GAAP requires us to make estimates and assumptions that affect reported amounts and related disclosures. Actual results could differ from those estimates. These unaudited condensed consolidated financial statements include all adjustments (including normal recurring adjustments) considered necessary by management to present a fair statement of the financial position, results of operations and cash flows for the periods presented. The results reported in these unaudited condensed consolidated financial statements should not be regarded as necessarily indicative of results that may be expected for the entire year. Potential impacts, risks and uncertainties of the coronavirus pandemic (“COVID-19”) 10-K. Each reporting period, we assess our ability to continue as a going concern for one year from • A partial settlement payment in the amount of £100 million ($125 million) paid to AXA S.A. (“AXA”) on July 21 , 2020 in connection with a settlement reached regarding the case titled AXA S.A. v. Genworth Financial International Holdings, LLC et al. As part of the settlement agreement, we issued a secured promissory note agreeing to pay AXA installments in 2022. Under the settlement, certain cash flows to Holdings, including dividends and capital raises, above defined thresholds must be paid to AXA until the promissory note is fully repaid. In addition, over the next year, we expect to pay AXA approximately $25 million in interest on the promissory note, assuming we do not make any pre-payments, and we may make an additional one-time payment of approximately $40 million for an unrelated liability and other expenses. See note 12 for additional details on the case. See note 14 for additional details related to the sale of our former lifestyle protection insurance business and amounts recorded related to loss from discontinued operations. • Genworth Holdings has $356 million of its 7.20% senior notes maturing in February 2021. We are currently in compliance with the terms of our debt agreements and interest payments on our senior notes are forecasted to be $158 million for the next twelve months. See note 9 for additional details on our long-term borrowings. We also evaluate other conditions and events and their relative significance in relation to our ability to meet our obligations. As an example, we are exposed to risks associated with COVID-19, • Due to higher delinquencies and the impact to capital levels resulting from COVID-19, • Due to the uncertain macroeconomic conditions surrounding COVID-19, The consummation of this transaction is dependent on steps outside of our control; accordingly, the associated post-closing from China Oceanwide While conditions and events occurring and expected to occur raise doubt about our ability to meet our financial obligations for the next year, management’s plans alleviate this doubt. We are actively taking steps to raise capital to address our obligations, including a debt financing as well as, should our pending transaction with China Oceanwide not close, preparing for a 19.9% public offering of our U.S. mortgage insurance business subject to market conditions. We expect to engage in a debt financing through our U.S. mortgage insurance business later in 2020 which, along with existing cash and cash equivalents, would provide Genworth Holdings sufficient liquidity to meet its obligations and maintain business operations for one financing is probable to be effectively implemented given the value of the U.S. mortgage insurance business, the healthy conditions of the relevant credit markets, recent similar peer transactions and our history of similar refinancing transactions, among other factors. The impact of the developing coronavirus pandemic is very difficult to predict . Its and the capital markets, and our ability to raise capital , economic impacts of social, global and political influences, and the , among other factors and uncertainties. While these risks exist, we one |
Accounting Changes
Accounting Changes | 6 Months Ended |
Jun. 30, 2020 | |
Disclosure of Accounting Changes [Abstract] | |
Accounting Changes | (2) Accounting Changes Accounting Pronouncements Recently Adopted On January 1, 2020, we adopted new accounting guidance related to disclosure requirements for defined benefit plans as part of the Financial Accounting Standards Board’s (the “FASB”) disclosure framework project. The guidance adds, eliminates and modifies certain disclosure requirements for defined benefit pension and other postretirement benefit plans. We adopted this new accounting guidance using the retrospective method, which did not have a significant impact on our condensed consolidated financial statements and disclosures. On January 1, 2020, we adopted new accounting guidance related to fair value disclosure requirements as part of the FASB’s disclosure framework project. The guidance adds, eliminates and modifies certain disclosure requirements for fair value measurements. The guidance includes new disclosure requirements related to changes in unrealized gains and losses included in other comprehensive income (loss) for recurring Level 3 fair value measurements held at the end of the reporting period and the range and weighted-average of significant unobservable inputs used to develop Level 3 fair value measurements. We adopted this new accounting guidance using the prospective method for disclosures related to changes in unrealized gains and losses included in other comprehensive income (loss) for recurring Level 3 fair value measurements held at the end of the reporting period, the range and weighted-average of significant unobservable inputs used to develop Level 3 fair value measurements and the narrative description of measurement uncertainty and the retrospective method for all other disclosures. This accounting guidance did not impact our condensed consolidated financial statements but impacted our fair value disclosures. In March 2020, the FASB issued new accounting guidance related to reference rate reform, which was effective for us on January 1, 2020. The guidance provides temporary guidance to ease the potential burden in accounting for, or recognizing the effects of, reference rate reform, which includes the transition away from the London Interbank Offered Rate (“LIBOR”). This new guidance provides optional practical expedients and exceptions for applying generally accepted accounting principles to investments, derivatives or other transactions affected by reference rate reform such as those that impact the assessment of derivative hedge effectiveness and contract modifications, to include continuing hedge accounting when certain critical terms of a hedging relationship change and modifying certain effectiveness assessments to exclude certain potential sources of ineffectiveness. In addition to the optional practical expedients, the guidance includes a general principle that permits an entity to consider contract modifications due to reference rate reform to be an event that does not require contract remeasurement at the modification date or reassessment of a previous accounting determination. We adopted this guidance prospectively and it did not have a significant impact on our condensed consolidated financial statements or disclosures. However, the amendments in this guidance may be elected over time through December 31, 2022 as reference rate reform activities occur and therefore, this guidance may impact our procedures, including our process for assessing the effectiveness of our cash flow hedging relationships, determined on an individual hedge basis, as we implement measures to transition away from LIBOR. On January 1, 2020, we adopted new accounting guidance related to accounting for credit losses on financial instruments. The guidance requires entities to recognize an allowance equal to its estimate of lifetime expected credit losses and applies to most financial instruments not measured at fair value, which primarily includes our commercial mortgage loans, bank loan investments and reinsurance recoverables. The new guidance also requires the recognition of an allowance for expected credit losses as a liability in our consolidated balance sheet for off-balance sheet For our commercial mortgage loans, we determine the adequacy of the allowance for credit losses utilizing an analytical model that provides various loss scenarios based on historical experience adjusted for current events, trends, economic conditions and reasonable and supportable forecasts that result in a loss in the loan portfolio over the estimated life of the loans. We revert to historical credit loss experience for periods beyond forecasts that are reasonable and supportable. The allowance for credit losses is measured on a collective basis with consideration for debt service coverage ratio, debt-to-value, inputs into the analytical model include exposure, weighted-average life, return, historical loss rates and forecast scenarios. Actual amounts realized over time could differ from the amounts estimated for the allowance for credit losses reported in the condensed consolidated financial statements. Commercial mortgage loans are written off against the allowance to the extent principal or interest is deemed uncollectible. Accrued interest related to commercial mortgage loans is included in accrued investment income in our condensed consolidated balance sheet and had a carrying value of $ million as of June , . We do not measure an allowance for credit losses related to accrued interest as uncollectible accrued interest related to our commercial mortgage loans are written off after days and once is determined to be uncertain and not probable. Amounts written off related to accrued interest are recorded as a credit loss expense included in net investment gains (losses). We adopted the guidance related to our investments carried at amortized cost using the modified retrospective method and recorded an allowance related to lifetime expected credit losses of $23 million, net of deferred taxes of $6 million, for commercial mortgage loans and bank loan investments, with an offset to cumulative effect of change in accounting within retained earnings. See note 4 for additional disclosures related to commercial mortgage loans. We adopted the guidance related to our off-balance The allowance for credit losses for reinsurance recoverables is evaluated based on historical loss experience adjusted for current events and reasonable and supportable forecasts from both internal and external sources. The allowance is measured by reinsurer, taking into consideration the reinsured product type and collateral type, and is calculated based on an externally reported probability of default corresponding to the reinsurer’s credit rating and the expected duration of the reinsurer’s contractual obligation to reimburse us for ceded claims on the underlying policies. Our estimate of the allowance reflects consideration for collateral securing the reinsurance agreements and expected recoveries of amounts previously charged off and expected to be charged off. We also consider other credit risk factors, including, among other factors, the historical frequency and severity of the associated insurance claims, aging of recoverables and regulatory, legal and economic factors, to determine if an additional incremental allowance for credit losses is required. No reversion adjustments are necessary as the starting point for our allowance for credit losses reflects historical loss experience covering the expected duration of the reinsurer’s contractual obligation to reimburse us. If available facts and circumstances indicate the reinsurance recoverable does not reflect expectations consistent with the collective analysis, the reinsurance recoverable is assessed on a separate basis. Write-offs of reinsurance recoverables are deducted from the allowance in the period the reinsurance recoverable is determined to be uncollectible. We adopted the guidance related to our reinsurance recoverables using the modified retrospective method and recorded an allowance related to lifetime expected credit losses of $31 million, net of deferred taxes of $9 million, with an offset to cumulative effect of change in accounting within retained earnings. See note 8 for additional disclosures related to reinsurance recoverables. The new guidance retains most of the existing impairment guidance for available-for-sale Available-for-sale expected to be collected from the security are compared to the amortized cost basis of the security. If the present available-for-sale available-for-sale available-for-sale available-for-sale Accounting Pronouncements Not Yet Adopted In December 2019, the FASB issued new accounting guidance related to simplifying the accounting for income taxes. The guidance eliminates certain exceptions related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. The guidance is currently effective for us on January 1, 2021 using the retrospective method or modified retrospective method for certain changes and prospective method for all other changes, with early adoption permitted. We are in process of evaluating the impact the guidance may have on our consolidated financial statements and disclosures. In August 2018, the FASB issued new accounting guidance that significantly changes the recognition and measurement of long-duration insurance contracts and expands disclosure requirements, which impacts our life insurance deferred acquisition costs (“DAC”) and liabilities. In accordance with the guidance, the more significant changes include: • assumptions will no longer be locked-in catch-up • the discount rate used to determine the liability for future policy benefits will be a current upper-medium grade (low credit risk) fixed-income instrument yield, which is generally interpreted to mean a single-A • the provision for adverse deviation and the premium deficiency test will be eliminated; • market risk benefits associated with deposit-type contracts will be measured at fair value with changes related to instrument-specific credit risk recorded in other comprehensive income (loss) and remaining changes recorded in net income (loss); • the amortization method for DAC will generally be on a straight-line basis over the expected contract term; and • disclosures will be greatly expanded to include significant assumptions and product liability rollforwards. We expect this guidance to be effective for us on January 1, 2023, subject to the FASB finalizing an additional one-year |
Earnings (Loss) Per Share
Earnings (Loss) Per Share | 6 Months Ended |
Jun. 30, 2020 | |
Earnings (Loss) Per Share | (3) Earnings (Loss) Per Share Basic and diluted earnings (loss) per share are calculated by dividing each income (loss) category presented below by the weighted-average basic and diluted common shares outstanding for the periods indicated: Three months ended Six months ended June 30, June 30, (Amounts in millions, except per share amounts) 2020 2019 2020 2019 Weighted-average shares used in basic earnings per share calculations 505.4 503.4 504.8 502.3 Potentially dilutive securities: Stock options, restricted stock units and stock appreciation rights 7.1 5.3 6.3 6.4 Weighted-average shares used in diluted earnings per share calculations 512.5 508.7 511.1 508.7 Income from continuing operations: Income from continuing operations $ 102 $ 158 $ 30 $ 326 Less: net income from continuing operations attributable to noncontrolling interests 23 15 17 35 Income from continuing operations available to Genworth Financial, Inc.’s common stockholders $ 79 $ 143 $ 13 $ 291 Basic per share $ 0.16 $ 0.29 $ 0.03 $ 0.58 Diluted per share $ 0.15 $ 0.28 $ 0.03 $ 0.57 Income (loss) from discontinued operations: Income (loss) from discontinued operations, net of taxes $ (520 ) $ 60 $ (520 ) $ 122 Less: net income from discontinued operations attributable to noncontrolling interests — 35 — 71 Income (loss) from discontinued operations available to Genworth Financial, Inc.’s common stockholders $ (520 ) $ 25 $ (520 ) $ 51 Basic per share $ (1.03 ) $ 0.05 $ (1.03 ) $ 0.10 Diluted per share $ (1.01 ) $ 0.05 $ (1.02 ) $ 0.10 Net income (loss): Income from continuing operations $ 102 $ 158 $ 30 $ 326 Income (loss) from discontinued operations, net of taxes (520 ) 60 (520 ) 122 Net income (loss) (418 ) 218 (490 ) 448 Less: net income attributable to noncontrolling interests 23 50 17 106 Net income (loss) available to Genworth Financial, Inc.’s common stockholders $ (441 ) $ 168 $ (507 ) $ 342 Basic per share (1) $ (0.87 ) $ 0.33 $ (1.00 ) $ 0.68 Diluted per share $ (0.86 ) $ 0.33 $ (0.99 ) $ 0.67 (1) May not total due to whole number calculation. |
Investments
Investments | 6 Months Ended |
Jun. 30, 2020 | |
Investments | (4) Investments (a) Net Investment Income Sources of net investment income were as follows for the periods indicated: Three months ended Six months ended June 30, June 30, (Amounts in millions) 2020 2019 2020 2019 Fixed maturity securities—taxable $ 601 $ 634 $ 1,223 $ 1,247 Fixed maturity securities—non-taxable 1 2 3 4 Equity securities 2 5 4 9 Commercial mortgage loans 84 85 169 167 Policy loans 49 45 98 91 Other invested assets 66 59 113 118 Cash, cash equivalents, restricted cash and short-term investments 4 11 15 22 Gross investment income before expenses and fees 807 841 1,625 1,658 Expenses and fees (21 ) (25 ) (46 ) (48 ) Net investment income $ 786 $ 816 $ 1,579 $ 1,610 (b) Net Investment Gains (Losses) The following table sets forth net investment gains (losses) for the periods indicated: Three months ended Six months ended June 30, June 30, (Amounts in millions) 2020 2019 2020 2019 Available-for-sale Realized gains $ 119 $ 10 $ 133 $ 74 Realized losses (5 ) (21 ) (6 ) (27 ) Net realized gains (losses) on available-for-sale 114 (11 ) 127 47 Impairments: Total other-than-temporary impairments — — — — Portion of other-than-temporary impairments included in other comprehensive income (loss) — — — — Net other-than-temporary impairments — — — — Net change in allowance for credit losses on available-for-sale (7 ) — (7 ) — Net realized gains (losses) on equity securities sold — — — 3 Net unrealized gains (losses) on equity securities still held 9 5 (10 ) 17 Limited partnerships 37 (11 ) (3 ) 4 Commercial mortgage loans 1 1 1 — Derivative instruments (1) 10 (30 ) (95 ) (42 ) Other (5 ) — (6 ) — Net investment gains (losses) $ 159 $ (46 ) $ 7 $ 29 (1) See note 5 for additional information on the impact of derivative instruments included in net investment gains (losses). See note 2 for a discussion of our policy for evaluating and measuring the allowance for credit losses related to our available-for-sale available-for-sale Increase from Increase securities (decrease) Decrease without from securities due to change allowance in with allowance in intent or Beginning previous in previous Securities requirement Ending (Amounts in millions) balance periods periods sold to sell Write-offs Recoveries balance Fixed maturity securities: Non-U.S. $ — $ 4 $ — $ — $ — $ — $ — $ 4 Commercial mortgage-backed — 3 — — — — — 3 Total available-for-sale $ — $ 7 $ — $ — $ — $ — $ — $ 7 The following represents the activity for credit losses recognized in net income (loss) on debt securities where an other-than-temporary impairment was identified and a portion of other-than-temporary impairments was included in other comprehensive income (“OCI”) as of and for the periods indicated: Three months Six months ended ended June 30, June 30, (Amounts in millions) 2019 2019 Beginning balance $ 23 $ 24 Reductions: Securities sold, paid down or disposed — (1 ) Ending balance $ 23 $ 23 (c) Unrealized Investment Gains and Losses Net unrealized gains and losses on available-for-sale (Amounts in millions) June 30, 2020 December 31, 2019 Net unrealized gains (losses) on fixed maturity securities without an allowance for credit losses (1) $ 8,766 $ 6,676 Net unrealized gains (losses) on fixed maturity securities with an allowance for credit losses (1) (10 ) — Adjustments to deferred acquisition costs, present value of future profits, sales inducements and benefit reserves (6,420 ) (4,789 ) Income taxes, net (501 ) (406 ) Net unrealized investment gains (losses) 1,835 1,481 Less: net unrealized investment gains (losses) attributable to noncontrolling interests 24 25 Net unrealized investment gains (losses) attributable to Genworth Financial, Inc. $ 1,811 $ 1,456 (1) Excludes foreign exchange. The change in net unrealized gains (losses) on available-for-sale As of or for the three months ended June 30, (Amounts in millions) 2020 2019 Beginning balance $ 1,140 $ 943 Unrealized gains (losses) arising during the period: Unrealized gains (losses) on fixed maturity securities 3,911 1,957 Adjustment to deferred acquisition costs (111 ) (52 ) Adjustment to present value of future profits 5 (2 ) Adjustment to sales inducements (34 ) (12 ) Adjustment to benefit reserves (2,802 ) (1,412 ) Provision for income taxes (207 ) (104 ) Change in unrealized gains (losses) on investment securities 762 375 Reclassification adjustments to net investment (gains) losses, net of taxes of $24 and $(1) (88 ) 1 Change in net unrealized investment gains (losses) 674 376 Less: change in net unrealized investment gains (losses) attributable to noncontrolling interests 3 14 Ending balance $ 1,811 $ 1,305 As of or for the six months ended June 30, (Amounts in millions) 2020 2019 Beginning balance $ 1,456 $ 595 Unrealized gains (losses) arising during the period: Unrealized gains (losses) on fixed maturity securities 2,199 3,956 Adjustment to deferred acquisition costs 57 (1,041 ) Adjustment to present value of future profits 4 (55 ) Adjustment to sales inducements 2 (31 ) Adjustment to benefit reserves (1,694 ) (1,800 ) Provision for income taxes (120 ) (227 ) Change in unrealized gains (losses) on investment securities 448 802 Reclassification adjustments to net investment (gains) losses, net of taxes of $25 and $12 (94 ) (46 ) Change in net unrealized investment gains (losses) 354 756 Less: change in net unrealized investment gains (losses) attributable to noncontrolling interests (1 ) 46 Ending balance $ 1,811 $ 1,305 Amounts reclassified out of accumulated other comprehensive income (loss) to net investment gains (losses) include realized gains (losses) on sales of securities, which are determined on a specific identification basis. (d) Fixed Maturity Securities As of June 30, 2020, the amortized cost or cost, gross unrealized gains (losses), allowance for credit losses and fair value of our fixed maturity securities classified as available-for-sale Amortized Gross Gross Allowance cost or unrealized unrealized for credit Fair (Amounts in millions) cost gains losses losses value Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 3,877 $ 1,725 $ — $ — $ 5,602 State and political subdivisions 2,503 496 (1 ) — 2,998 Non-U.S. 1,424 125 (7 ) — 1,542 U.S. corporate: Utilities 4,392 879 (1 ) — 5,270 Energy 2,454 203 (63 ) — 2,594 Finance and insurance 7,400 1,017 (14 ) — 8,403 Consumer—non-cyclical 5,132 1,147 (2 ) — 6,277 Technology and communications 2,912 503 (4 ) — 3,411 Industrial 1,350 157 (4 ) — 1,503 Capital goods 2,580 454 (6 ) — 3,028 Consumer—cyclical 1,748 224 (6 ) — 1,966 Transportation 1,335 254 (24 ) — 1,565 Other 340 38 — — 378 Total U.S. corporate 29,643 4,876 (124 ) — 34,395 Non-U.S. Utilities 811 68 — — 879 Energy 1,141 148 (14 ) — 1,275 Finance and insurance 2,199 284 (16 ) (1 ) 2,466 Consumer—non-cyclical 692 86 (1 ) — 777 Technology and communications 1,066 182 (1 ) — 1,247 Industrial 883 116 (4 ) — 995 Capital goods 565 50 (2 ) — 613 Consumer—cyclical 380 27 — — 407 Transportation 560 84 (6 ) (3 ) 635 Other 1,376 218 (3 ) — 1,591 Total non-U.S. 9,673 1,263 (47 ) (4 ) 10,885 Residential mortgage-backed 1,927 259 (2 ) — 2,184 Commercial mortgage-backed 2,800 225 (52 ) (3 ) 2,970 Other asset-backed 2,987 30 (49 ) — 2,968 Total available-for-sale $ 54,834 $ 8,999 $ (282 ) $ (7 ) $ 63,544 As of December 31, 2019, the amortized cost or cost, gross unrealized gains (losses) and fair value of our fixed maturity securities classified as available-for-sale Gross unrealized gains Gross unrealized losses Amortized Not other-than- Other-than- Not other-than- Other-than- cost or temporarily temporarily temporarily temporarily Fair (Amounts in millions) cost impaired impaired impaired impaired value Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 4,073 $ 952 $ — $ — $ — $ 5,025 State and political subdivisions 2,394 355 — (2 ) — 2,747 Non-U.S. 1,235 117 — (2 ) — 1,350 U.S. corporate: Utilities 4,322 675 — — — 4,997 Energy 2,404 303 — (8 ) — 2,699 Finance and insurance 6,977 798 — (1 ) — 7,774 Consumer—non-cyclical 4,909 796 — (4 ) — 5,701 Technology and communications 2,883 363 — (1 ) — 3,245 Industrial 1,271 125 — — — 1,396 Capital goods 2,345 367 — (1 ) — 2,711 Consumer—cyclical 1,590 172 — (2 ) — 1,760 Transportation 1,320 187 — (1 ) — 1,506 Other 292 30 — — — 322 Total U.S. corporate 28,313 3,816 — (18 ) — 32,111 Non-U.S. Utilities 779 50 — — — 829 Energy 1,140 179 — — — 1,319 Finance and insurance 2,087 232 — — — 2,319 Consumer—non-cyclical 631 55 — (2 ) — 684 Technology and communications 1,010 128 — — — 1,138 Industrial 896 92 — — — 988 Capital goods 565 40 — — — 605 Consumer—cyclical 373 24 — — — 397 Transportation 557 73 — (1 ) — 629 Other 1,431 188 — (2 ) — 1,617 Total non-U.S. 9,469 1,061 — (5 ) — 10,525 Residential mortgage-backed 2,057 199 15 (1 ) — 2,270 Commercial mortgage-backed 2,897 137 — (8 ) — 3,026 Other asset-backed 3,262 30 — (7 ) — 3,285 Total available-for-sale $ 53,700 $ 6,667 $ 15 $ (43 ) $ — $ 60,339 The following table presents the gross unrealized losses and fair values of our fixed maturity securities for which an allowance for credit losses has not been recorded, aggregated by investment type and length of time that individual fixed maturity securities have been in a continuous unrealized loss position, as of June 30, 2020: Less than 12 months 12 months or more Total Gross Gross Gross Fair unrealized Number of Fair unrealized Number of Fair unrealized Number of (Dollar amounts in millions) value losses securities value losses securities value losses securities Description of Securities Fixed maturity securities: State and political subdivisions $ 23 $ (1 ) 6 $ — $ — — $ 23 $ (1 ) 6 Non-U.S. 207 (7 ) 18 — — — 207 (7 ) 18 U.S. corporate 1,785 (107 ) 291 182 (17 ) 18 1,967 (124 ) 309 Non-U.S. 613 (37 ) 125 12 (2 ) 2 625 (39 ) 127 Residential mortgage-backed 36 (1 ) 11 8 (1 ) 4 44 (2 ) 15 Commercial mortgage-backed 625 (50 ) 105 — — — 625 (50 ) 105 Other asset-backed 1,329 (38 ) 291 263 (11 ) 62 1,592 (49 ) 353 Total for fixed maturity securities in an unrealized loss position $ 4,618 $ (241 ) 847 $ 465 $ (31 ) 86 $ 5,083 $ (272 ) 933 % Below cost: <20% Below cost $ 4,538 $ (211 ) 825 $ 442 $ (24 ) 83 $ 4,980 $ (235 ) 908 20%-50% 80 (30 ) 22 22 (6 ) 2 102 (36 ) 24 >50% Below cost — — — 1 (1 ) 1 1 (1 ) 1 Total for fixed maturity securities in an unrealized loss position $ 4,618 $ (241 ) 847 $ 465 $ (31 ) 86 $ 5,083 $ (272 ) 933 Investment grade $ 3,731 $ (163 ) 701 $ 330 $ (18 ) 71 $ 4,061 $ (181 ) 772 Below investment grade 887 (78 ) 146 135 (13 ) 15 1,022 (91 ) 161 Total for fixed maturity securities in an unrealized loss position $ 4,618 $ (241 ) 847 $ 465 $ (31 ) 86 $ 5,083 $ (272 ) 933 The following table presents the gross unrealized losses and fair values of our corporate securities, for which an allowance for credit loss has not been recorded, aggregated by investment type and length of time that individual investment securities have been in a continuous unrealized loss position, based on industry, as of June 30, 2020: Less than 12 months 12 months or more Total Gross Gross Gross Fair unrealized Number of Fair unrealized Number of Fair unrealized Number of (Dollar amounts in millions) value losses securities value losses securities value losses securities Description of Securities U.S. corporate: Utilities $ 35 $ (1 ) 6 $ — $ — — $ 35 $ (1 ) 6 Energy 594 (50 ) 93 88 (13 ) 11 682 (63 ) 104 Finance and insurance 429 (14 ) 56 — — — 429 (14 ) 56 Consumer—non-cyclical 80 (1 ) 17 43 (1 ) 2 123 (2 ) 19 Technology and communications 89 (4 ) 20 — — — 89 (4 ) 20 Industrial 98 (4 ) 9 — — — 98 (4 ) 9 Capital goods 90 (5 ) 14 14 (1 ) 1 104 (6 ) 15 Consumer—cyclical 181 (4 ) 32 37 (2 ) 4 218 (6 ) 36 Transportation 189 (24 ) 44 — — — 189 (24 ) 44 Subtotal, U.S. corporate securities 1,785 (107 ) 291 182 (17 ) 18 1,967 (124 ) 309 Non-U.S. Energy 150 (14 ) 23 — — — 150 (14 ) 23 Finance and insurance 215 (10 ) 43 — — — 215 (10 ) 43 Consumer—non-cyclical — — — 6 (1 ) 1 6 (1 ) 1 Technology and communications 34 (1 ) 16 — — — 34 (1 ) 16 Industrial 80 (4 ) 11 — — — 80 (4 ) 11 Capital goods 62 (2 ) 8 — — — 62 (2 ) 8 Transportation 42 (4 ) 15 — — — 42 (4 ) 15 Other 30 (2 ) 9 6 (1 ) 1 36 (3 ) 10 Subtotal, non-U.S. 613 (37 ) 125 12 (2 ) 2 625 (39 ) 127 Total for corporate securities in an unrealized loss position $ 2,398 $ (144 ) 416 $ 194 $ (19 ) 20 $ 2,592 $ (163 ) 436 We did not recognize an allowance for credit losses on securities in an unrealized loss position included in the tables above. Based on a qualitative and quantitative review of the issuers of the securities, we believe the decline in fair value is largely due to recent market volatility and is not indicative of credit losses. The issuers continue to make timely principal and interest payments. For all securities in an unrealized loss position without an allowance for credit losses, we expect to recover the amortized cost based on our estimate of the amount and timing of cash flows to be collected. We do not intend to sell nor do we expect that we will be required to sell these securities prior to recovering our amortized cost. The following table presents the gross unrealized losses and fair values of our fixed maturity securities, aggregated by investment type and length of time that individual fixed maturity securities have been in a continuous unrealized loss position, as of December 31, 2019: Less than 12 months 12 months or more Total (Dollar amounts in millions) Fair Gross Number Fair Gross Number Fair Gross Number Description of Securities Fixed maturity securities: State and political subdivisions $ 91 $ (2 ) 14 $ — $ — — $ 91 $ (2 ) 14 Non-U.S. 224 (2 ) 20 — — — 224 (2 ) 20 U.S. corporate 123 (5 ) 27 302 (13 ) 33 425 (18 ) 60 Non-U.S. 79 (1 ) 12 62 (4 ) 7 141 (5 ) 19 Residential mortgage-backed 22 (1 ) 10 — — — 22 (1 ) 10 Commercial mortgage-backed 381 (5 ) 51 14 (3 ) 3 395 (8 ) 54 Other asset-backed 532 (2 ) 97 439 (5 ) 115 971 (7 ) 212 Total for fixed maturity securities in an unrealized loss position $ 1,452 $ (18 ) 231 $ 817 $ (25 ) 158 $ 2,269 $ (43 ) 389 % Below cost: <20% Below cost $ 1,452 $ (18 ) 231 $ 807 $ (20 ) 155 $ 2,259 $ (38 ) 386 20%-50% — — — 10 (5 ) 3 10 (5 ) 3 Total for fixed maturity securities in an unrealized loss position $ 1,452 $ (18 ) 231 $ 817 $ (25 ) 158 $ 2,269 $ (43 ) 389 Investment grade $ 1,408 $ (14 ) 223 $ 702 $ (15 ) 145 $ 2,110 $ (29 ) 368 Below investment grade 44 (4 ) 8 115 (10 ) 13 159 (14 ) 21 Total for fixed maturity securities in an unrealized loss position $ 1,452 $ (18 ) 231 $ 817 $ (25 ) 158 $ 2,269 $ (43 ) 389 The following table presents the gross unrealized losses and fair values of our corporate securities, aggregated by investment type and length of time that individual investment securities have been in a continuous unrealized loss position, based on industry, as of December 31, 2019: Less than 12 months 12 months or more Total (Dollar amounts in millions) Fair Gross Number of Fair Gross Number of Fair Gross Number of Description of Securities U.S. corporate: Energy $ 54 $ (3 ) 10 $ 80 $ (5 ) 10 $ 134 $ (8 ) 20 Finance and insurance — — — 34 (1 ) 4 34 (1 ) 4 Consumer—non-cyclical 34 (1 ) 9 93 (3 ) 9 127 (4 ) 18 Technology and communications — — — 18 (1 ) 2 18 (1 ) 2 Capital goods 35 (1 ) 8 — — — 35 (1 ) 8 Consumer—cyclical — — — 54 (2 ) 6 54 (2 ) 6 Transportation — — — 23 (1 ) 2 23 (1 ) 2 Subtotal, U.S. corporate securities 123 (5 ) 27 302 (13 ) 33 425 (18 ) 60 Non-U.S. Consumer—non-cyclical — — — 31 (2 ) 3 31 (2 ) 3 Transportation — — — 25 (1 ) 3 25 (1 ) 3 Other 79 (1 ) 12 6 (1 ) 1 85 (2 ) 13 Subtotal, non-U.S. 79 (1 ) 12 62 (4 ) 7 141 (5 ) 19 Total for corporate securities in an unrealized loss position $ 202 $ (6 ) 39 $ 364 $ (17 ) 40 $ 566 $ (23 ) 79 The scheduled maturity distribution of fixed maturity securities as of June 30, 2020 is set forth below. Actual maturities may differ from contractual maturities because issuers of securities may have the right to call or prepay obligations with or without call or prepayment penalties. (Amounts in millions) Amortized Fair Due one year or less $ 1,494 $ 1,517 Due after one year through five years 9,518 10,054 Due after five years through ten years 12,978 14,478 Due after ten years 23,130 29,373 Subtotal 47,120 55,422 Residential mortgage-backed 1,927 2,184 Commercial mortgage-backed 2,800 2,970 Other asset-backed 2,987 2,968 Total $ 54,834 $ 63,544 As of June 30, 2020, securities issued by finance and insurance, consumer—non-cyclical, As of June 30, 2020, we did not hold any fixed maturity securities in any single issuer, other than securities issued or guaranteed by the U.S. government, which exceeded 10% of stockholders’ equity. (e) Commercial Mortgage Loans Our mortgage loans are collateralized by commercial properties, including multi-family residential buildings. The carrying value of commercial mortgage loans is stated at original cost net of principal payments, amortization and allowance for credit losses. We diversify our commercial mortgage loans by both property type and geographic region. The following tables set forth the distribution across property type and geographic region for commercial mortgage loans as of the dates indicated: June 30, 2020 December 31, 2019 (Amounts in millions) Carrying % of Carrying % of Property type: Retail $ 2,531 36 % $ 2,590 37 % Industrial 1,655 24 1,670 24 Office 1,636 24 1,632 23 Apartments 583 8 541 8 Mixed use 279 4 281 4 Other 261 4 266 4 Subtotal 6,945 100 % 6,980 100 % Unamortized balance of loan origination fees — (4 ) Allowance for credit losses (28 ) (13 ) Total $ 6,917 $ 6,963 June 30, 2020 December 31, 2019 (Amounts in millions) Carrying % of Carrying % of Geographic region: South Atlantic $ 1,751 25 % $ 1,715 25 % Pacific 1,623 23 1,673 24 Middle Atlantic 989 14 992 14 Mountain 765 11 753 11 West North Central 476 7 488 7 East North Central 457 7 455 6 West South Central 436 6 433 6 New England 254 4 257 4 East South Central 194 3 214 3 Subtotal 6,945 100 % 6,980 100 % Unamortized balance of loan origination fees — (4 ) Allowance for credit losses (28 ) (13 ) Total $ 6,917 $ 6,963 The following tables set forth the aging of past due commercial mortgage loans by property type as of the dates indicated: June 30, 2020 (Amounts in millions) 31 - 60 days 61 - 90 days Greater than Total Current Total Property type: Retail $ 10 $ — $ — $ 10 $ 2,521 $ 2,531 Industrial — — — — 1,655 1,655 Office — — — — 1,636 1,636 Apartments — — — — 583 583 Mixed use — — — — 279 279 Other — — — — 261 261 Total amortized cost $ 10 $ — $ — $ 10 $ 6,935 $ 6,945 % of total commercial mortgage loans — % — % — % — % 100 % 100 % December 31, 2019 (Amounts in millions) 31 - 60 days 61 - 90 days Greater than Total Current Total Property type: Retail $ — $ — $ — $ — $ 2,590 $ 2,590 Industrial — — — — 1,670 1,670 Office — — — — 1,632 1,632 Apartments — — — — 541 541 Mixed use — — — — 281 281 Other — — — — 266 266 Total recorded investment $ — $ — $ — $ — $ 6,980 $ 6,980 % of total commercial mortgage loans — % — % — % — % 100 % 100 % For a discussion of our policy related to placing commercial mortgage loans on non-accrual 10-K. non-accrual During the six months ended June 30, 2020 and the year ended December 31, 2019, we did not have any modifications or extensions that were considered troubled debt restructurings. The following table sets forth the allowance for credit losses related to commercial mortgage loans as of or for the periods indicated: Three months ended Six months ended (Amounts in millions) 2020 2019 2020 2019 Allowance for credit losses: Beginning balance $ 29 $ 10 $ 13 $ 9 Cumulative effect of change in accounting — — 16 — Provision (1 ) 1 (1 ) 2 Write-offs — — — — Recoveries — — — — Ending balance $ 28 $ 11 $ 28 $ 11 In evaluating the credit quality of commercial mortgage loans, we assess the performance of the underlying loans using both quantitative and qualitative criteria. Certain risks associated with commercial mortgage loans can be evaluated by reviewing both the debt-to-value debt-to-value debt-to-value one-time late real estate tax payments or non-recurring The following tables set forth the debt-to-value June 30, 2020 (Amounts in millions) 0% - 50% 51% - 60% 61% - 75% 76% - 100% Greater Total Property type: Retail $ 963 $ 572 $ 996 $ — $ — $ 2,531 Industrial 758 344 553 — — 1,655 Office 530 359 739 8 — 1,636 Apartments 218 98 267 — — 583 Mixed use 104 67 108 — — 279 Other 57 65 139 — — 261 Total amortized cost $ 2,630 $ 1,505 $ 2,802 $ 8 $ — $ 6,945 % of total 38 % 22 % 40 % — % — % 100 % Weighted-average debt service coverage ratio 2.31 1.80 1.56 1.42 — 1.90 December 31, 2019 (Amounts in millions) 0% - 50% 51% - 60% 61% - 75% 76% - 100% Greater Total Property type: Retail $ 986 $ 579 $ 1,025 $ — $ — $ 2,590 Industrial 808 337 525 — — 1,670 Office 529 380 723 — — 1,632 Apartments 211 110 220 — — 541 Mixed use 104 70 107 — — 281 Other 56 69 141 — — 266 Total recorded investment $ 2,694 $ 1,545 $ 2,741 $ — $ — $ 6,980 % of total 39 % 22 % 39 % — % — % 100 % Weighted-average debt service coverage ratio 2.32 1.81 1.55 — — 1.90 The following tables set forth the debt service coverage ratio for fixed rate commercial mortgage loans by property type as of the dates indicated: June 30, 2020 (Amounts in millions) Less than 1.00 1.00 - 1.25 1.26 - 1.50 1.51 - 2.00 Greater Total Property type: Retail $ 63 $ 136 $ 599 $ 1,118 $ 615 $ 2,531 Industrial 24 64 215 670 682 1,655 Office 28 112 269 751 476 1,636 Apartments 11 25 178 184 185 583 Mixed use 3 18 37 106 115 279 Other 33 145 19 31 33 261 Total amortized cost $ 162 $ 500 $ 1,317 $ 2,860 $ 2,106 $ 6,945 % of total 3 % 7 % 19 % 41 % 30 % 100 % Weighted-average debt-to-value 57 % 61 % 63 % 58 % 41 % 54 % December 31, 2019 (Amounts in millions) Less than 1.00 1.00 - 1.25 1.26 - 1.50 1.51 - 2.00 Greater Total Property type: Retail $ 68 $ 141 $ 596 $ 1,148 $ 637 $ 2,590 Industrial 24 51 221 658 716 1,670 Office 44 89 277 751 471 1,632 Apartments 16 32 129 175 189 541 Mixed use 4 16 37 107 117 281 Other 34 147 20 31 34 266 Total recorded investment $ 190 $ 476 $ 1,280 $ 2,870 $ 2,164 $ 6,980 % of total 3 % 7 % 18 % 41 % 31 % 100 % Weighted-average debt-to-value 59 % 61 % 63 % 58 % 41 % 54 % The following tables set forth commercial mortgage loans by year of origination and credit quality indicator as of June 30, 2020: (Amounts in millions) 2020 2019 2018 2017 2016 2015 and Total Debt-to-value: 0% - 50% $ 4 $ 15 $ 36 $ 105 $ 118 $ 2,352 $ 2,630 51% - 60% 29 33 190 289 155 809 1,505 61% - 75% 236 748 766 337 226 489 2,802 76% - 100% — — 8 — — — 8 Greater than 100% — — — — — — — Total amortized cost $ 269 $ 796 $ 1,000 $ 731 $ 499 $ 3,650 $ 6,945 Debt service coverage ratio: Less than 1.00 $ — $ — $ 33 $ 3 $ — $ 126 $ 162 1.00 - 1.25 39 12 107 73 13 256 500 1.26 - 1.50 62 359 261 97 88 450 1,317 1.51 - 2.00 130 357 505 322 268 1,278 2,860 Greater than 2.00 38 68 94 236 130 1,540 2,106 Total amortized cost $ 269 $ 796 $ 1,000 $ 731 $ 499 $ 3,650 $ 6,945 Write-offs, gross $ — $ — $ — $ — $ — $ — $ — Recoveries — — — — — — — Write-offs, net $ — $ — $ — $ — $ — $ — $ — (f) Limited Partnerships or Similar Entities Limited partnerships are accounted for at fair value when our partnership interest is considered minor (generally less than 3% ownership in the limited partnerships) and we exercise no influence over operating and financial policies. If our ownership percentage exceeds that threshold, limited partnerships are accounted for using the equity method of accounting. In applying either method, we use financial information provided by the investee generally on a one-to-three Investments in limited partnerships or similar entities are generally considered VIEs when the equity group lacks sufficient financial control. Generally, these investments are limited partner or non-managing |
Derivative Instruments
Derivative Instruments | 6 Months Ended |
Jun. 30, 2020 | |
Derivative Instruments | (5) Derivative Instruments Our business activities routinely deal with fluctuations in interest rates, equity prices, currency exchange rates and other asset and liability prices. We use derivative instruments to mitigate or reduce some of these risks. We have established policies for managing each of these risks, including prohibitions on derivatives market-making and other speculative derivatives activities. These policies require the use of derivative instruments in concert with other techniques to reduce or mitigate these risks. While we use derivatives to mitigate or reduce risks, certain derivatives do not meet the accounting requirements to be designated as hedging instruments and are denoted as “derivatives not designated as hedges” in the following disclosures. For derivatives that meet the accounting requirements to be designated as hedges, the following disclosures for these derivatives are denoted as “derivatives designated as hedges,” which include cash flow hedges. The following table sets forth our positions in derivative instruments as of the dates indicated: Derivative assets Derivative liabilities Fair value Fair value (Amounts in millions) Balance June 30, December 31, Balance June 30, December 31, Derivatives designated as hedges Cash flow hedges: Interest rate swaps Other invested assets $ 939 $ 197 Other liabilities $ — $ 10 Foreign currency swaps Other invested assets 17 4 Other liabilities — — Total cash flow hedges 956 201 — 10 Total derivatives designated as hedges 956 201 — 10 Derivatives not designated as hedges Equity index options Other invested assets 66 81 Other liabilities — — Financial futures Other invested assets — — Other liabilities — — Other foreign currency contracts Other invested assets 2 8 Other liabilities 1 1 GMWB embedded derivatives Reinsurance (1) 38 20 Policyholder (2) 559 323 Fixed index annuity embedded derivatives Other assets — — Policyholder (3) 447 452 Indexed universal life embedded derivatives Reinsurance — — Policyholder (4) 23 19 Total derivatives not designated as hedges 106 109 1,030 795 Total derivatives $ 1,062 $ 310 $ 1,030 $ 805 (1) Represents embedded derivatives associated with the reinsured portion of our guaranteed minimum withdrawal benefits (“GMWB”) liabilities. (2) Represents the embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. (3) Represents the embedded derivatives associated with our fixed index annuity liabilities. (4) Represents the embedded derivatives associated with our indexed universal life liabilities. The fair value of derivative positions presented above was not offset by the respective collateral amounts received or provided under these agreements. The activity associated with derivative instruments can generally be measured by the change in notional value over the periods presented. However, for GMWB embedded derivatives, fixed index annuity embedded derivatives and indexed universal life embedded derivatives, the change between periods is best illustrated by the number of policies. The following tables represent activity associated with derivative instruments as of the dates indicated: (Notional in millions) Measurement December 31, Additions Maturities/ June 30, Derivatives designated as hedges Cash flow hedges: Interest rate swaps Notional $ 8,968 $ 1,158 $ (1,880 ) $ 8,246 Foreign currency swaps Notional 110 — — 110 Total cash flow hedges 9,078 1,158 (1,880 ) 8,356 Total derivatives designated as hedges 9,078 1,158 (1,880 ) 8,356 Derivatives not designated as hedges Interest rate swaps Notional 4,674 — — 4,674 Equity index options Notional 2,451 883 (1,126 ) 2,208 Financial futures Notional 1,182 3,082 (2,914 ) 1,350 Other foreign currency contracts Notional 628 3,009 (2,618 ) 1,019 Total derivatives not designated as hedges 8,935 6,974 (6,658 ) 9,251 Total derivatives $ 18,013 $ 8,132 $ (8,538 ) $ 17,607 (Number of policies) Measurement December 31, Additions Maturities/ June 30, Derivatives not designated as hedges GMWB embedded derivatives Policies 25,623 — (992 ) 24,631 Fixed index annuity embedded derivatives Policies 15,441 — (668 ) 14,773 Indexed universal life embedded derivatives Policies 884 — (28 ) 856 Cash Flow Hedges Certain derivative instruments are designated as cash flow hedges. The changes in fair value of these instruments are recorded as a component of OCI. We designate and account for the following as cash flow hedges when they have met the effectiveness requirements: (i) various types of interest rate swaps to convert floating rate investments to fixed rate investments; (ii) various types of interest rate swaps to convert floating rate liabilities into fixed rate liabilities; (iii) receive U.S. dollar fixed on foreign currency swaps to hedge the foreign currency cash flow exposure of foreign currency denominated investments; (iv) forward starting interest rate swaps to hedge against changes in interest rates associated with future fixed rate bond purchases and/or interest income; and (v) other instruments to hedge the cash flows of various forecasted transactions. The following table provides information about the pre-tax (Amounts in millions) Gain (loss) Gain (loss) Classification of gain Gain (loss) Classification of gain Interest rate swaps hedging assets $ (57 ) $ 46 Net investment $ — Net investment Interest rate swaps hedging liabilities 1 — Interest expense — Net investment Foreign currency swaps (4 ) — Net investment — Net investment Total $ (60 ) $ 46 $ — The following table provides information about the pre-tax (Amounts in millions) Gain (loss) Gain (loss) Classification of gain Gain (loss) Classification of gain Interest rate swaps hedging assets $ 216 $ 42 Net investment $ — Net investment Interest rate swaps hedging assets — (4 ) Net investment — Net investment Interest rate swaps hedging liabilities (20 ) — Interest expense — Net investment Foreign currency swaps 2 (1 ) Net investment — Net investment Total $ 198 $ 37 $ — The following table provides information about the pre-tax (Amounts in millions) Gain (loss) Gain (loss) Classification of gain Gain (loss) Classification of gain Interest rate swaps hedging assets $ 984 $ 89 Net investment $ — Net investment Interest rate swaps hedging assets — 4 Net investment — Net investment Interest rate swaps hedging liabilities (62 ) — Interest expense — Net investment Foreign currency swaps 13 — Net investment — Net investment Total $ 935 $ 93 $ — The following table provides information about the pre-tax (Amounts in millions) Gain (loss) Gain (loss) Classification of gain Gain (loss) Classification of gain Interest rate swaps hedging assets $ 353 $ 80 Net investment $ — Net investment Interest rate swaps hedging assets — 2 Net investment — Net investment Interest rate swaps hedging liabilities (32 ) — Interest expense — Net investment Foreign currency swaps (1 ) (1 ) Net investment — Net investment Foreign currency swaps — — Net investment 2 Net investment Total $ 320 $ 81 $ 2 The following tables provide a reconciliation of current period changes, net of applicable income taxes, for these designated derivatives presented in the separate component of stockholders’ equity labeled “derivatives qualifying as hedges,” for the periods indicated: Three months ended (Amounts in millions) 2020 2019 Derivatives qualifying as effective accounting hedges as of April 1 $ 2,755 $ 1,850 Current period increases (decreases) in fair value, net of deferred taxes of $12 and $(41) (48 ) 157 Reclassification to net (income), net of deferred taxes of $16 and $13 (30 ) (24 ) Derivatives qualifying as effective accounting hedges as of June 30 $ 2,677 $ 1,983 Six months ended (Amounts in millions) 2020 2019 Derivatives qualifying as effective accounting hedges as of January 1 $ 2,002 $ 1,781 Current period increases (decreases) in fair value, net of deferred taxes of $(200) and $(66) 735 254 Reclassification to net (income), net of deferred taxes of $33 and $29 (60 ) (52 ) Derivatives qualifying as effective accounting hedges as of June 30 $ 2,677 $ 1,983 The total of derivatives designated as cash flow hedges of $2,677 million, net of taxes, recorded in stockholders’ equity as of June 30, 2020 is expected to be reclassified to net income (loss) in the future, concurrently with and primarily offsetting changes in interest expense and interest income on floating rate instruments and interest income on future fixed rate bond purchases. Of this amount, $123 million, net of taxes, is expected to be reclassified to net income (loss) in the next 12 months. Actual amounts may vary from this amount as a result of market conditions. All forecasted transactions associated with qualifying cash flow hedges are expected to occur by 2057. During the six months ended June 30, 2020 and 2019, we reclassified $1 million and $2 million, respectively, to net income (loss) in connection with forecasted transactions that were no longer considered probable of occurring. Derivatives Not Designated As Hedges We also enter into certain non-qualifying non-functional The following table provides the pre-tax Three months ended June 30, Classification of gain (loss) recognized in net income (loss) (Amounts in millions) 2020 2019 Interest rate swaps $ (2 ) $ (3 ) Net investment gains (losses) Equity index options 4 10 Net investment gains (losses) Financial futures (123 ) 17 Net investment gains (losses) Other foreign currency contracts 44 (7 ) Net investment gains (losses) GMWB embedded derivatives 129 (22 ) Net investment gains (losses) Fixed index annuity embedded derivatives (45 ) (20 ) Net investment gains (losses) Indexed universal life embedded derivatives 3 (1 ) Net investment gains (losses) Total derivatives not designated as hedges $ 10 $ (26 ) Six months ended June 30, Classification of gain (loss) recognized in net income (loss) (Amounts in millions) 2020 2019 Interest rate swaps $ (12 ) $ (4 ) Net investment gains (losses) Equity index options (9 ) 27 Net investment gains (losses) Financial futures 138 (27 ) Net investment gains (losses) Other foreign currency contracts (3 ) (7 ) Net investment gains (losses) GMWB embedded derivatives (207 ) 23 Net investment gains (losses) Fixed index annuity embedded derivatives (13 ) (58 ) Net investment gains (losses) Indexed universal life embedded derivatives 7 — Net investment gains (losses) Total derivatives not designated as hedges $ (99 ) $ (46 ) Derivative Counterparty Credit Risk Most of our derivative arrangements with counterparties require the posting of collateral upon meeting certain net exposure thresholds. The following table presents additional information about derivative assets and liabilities subject to an enforceable master netting arrangement as of the dates indicated: June 30, 2020 December 31, 2019 (Amounts in millions) Derivative (1) Derivative (2) Net Derivative (1) Derivative (2) Net Amounts presented in the balance sheet: Gross amounts recognized $ 1,024 $ 1 $ 1,023 $ 291 $ 11 $ 280 Gross amounts offset in the balance sheet — — — — — — Net amounts presented in the balance sheet 1,024 1 1,023 291 11 280 Gross amounts not offset in the balance sheet: Financial instruments (3) (1 ) (1 ) — (7 ) (7 ) — Collateral received (864 ) — (864 ) (179 ) — (179 ) Collateral pledged — (434 ) 434 — (405 ) 405 Over collateralization 19 433 (414 ) 18 401 (383 ) Net amount $ 178 $ (1 ) $ 179 $ 123 $ — $ 123 (1) Included $1 million of accruals on derivatives classified as other assets as of December 31, 2019 and does not include amounts related to embedded derivatives as of June 30, 2020 and December 31, 2019. (2) Does not include amounts related to embedded derivatives as of June 30, 2020 and December 31, 2019. (3) Amounts represent derivative assets and/or liabilities that are presented gross within the balance sheet but are held with the same counterparty where we have a master netting arrangement. This adjustment results in presenting the net asset and net liability position for each counterparty. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 6 Months Ended |
Jun. 30, 2020 | |
Fair Value of Financial Instruments | (6) Fair Value of Financial Instruments Recurring Fair Value Measurements We have fixed maturity securities, short-term investments, equity securities, limited partnerships, derivatives, embedded derivatives, securities held as collateral, separate account assets and certain other financial instruments, which are carried at fair value. Below is a description of the valuation techniques and inputs used to determine fair value by class of instrument. Fixed maturity, short-term investments and equity securities The fair value of fixed maturity securities, short-term investments and equity securities are estimated primarily based on information derived from third-party pricing services (“pricing services”), internal models and/or broker quotes, which use a market approach, income approach or a combination of the market and income approach depending on the type of instrument and availability of information. In general, a market approach is utilized if there is readily available and relevant market activity for an individual security. In certain cases where market information is not available for a specific security but is available for similar securities, that security is valued using market information for similar securities, which is also a market approach. When market information is not available for a specific security (or similar securities) or is available but such information is less relevant or reliable, an income approach or a combination of a market and income approach is utilized. For securities with optionality, such as call or prepayment features (including mortgage-backed or asset-backed securities), an income approach may be used. In addition, a combination of the results from market and income approaches may be used to estimate fair value. These valuation techniques may change from period to period, based on the relevance and availability of market data. Further, while we consider the valuations provided by pricing services and broker quotes to be of high quality, management determines the fair value of our investment securities after considering all relevant and available information. In general, we first obtain valuations from pricing services. If prices are unavailable for public securities, we obtain broker quotes. For all securities, excluding certain private fixed maturity securities, if neither a pricing service nor broker quotes valuation is available, we determine fair value using internal models. For certain private fixed maturity securities where we do not obtain valuations from pricing services, we utilize an internal model to determine fair value since transactions for similar securities are not readily observable and these securities are not typically valued by pricing services. Given our understanding of the pricing methodologies and procedures of pricing services, the securities valued by pricing services are typically classified as Level 2 unless we determine the valuation process for a security or group of securities utilizes significant unobservable inputs, which would result in the valuation being classified as Level 3. Broker quotes are typically based on an income approach given the lack of available market data. As the valuation typically includes significant unobservable inputs, we classify the securities where fair value is based on our consideration of broker quotes as Level 3 measurements. For private fixed maturity securities, we utilize an income approach where we obtain public bond spreads and utilize those in an internal model to determine fair value. Other inputs to the model include rating and weighted-average life, as well as sector which is used to assign the spread. We then add an additional premium, which represents an unobservable input, to the public bond spread to adjust for the liquidity and other features of our private placements. We utilize the estimated market yield to discount the expected cash flows of the security to determine fair value. We utilize price caps for securities where the estimated market yield results in a valuation that may exceed the amount that would be received in a market transaction. When a security does not have an external rating, we assign the security an internal rating to determine the appropriate public bond spread that should be utilized in the valuation. While we generally consider the public bond spreads by sector and maturity to be observable inputs, we evaluate the similarities of our private placement with the public bonds, any price caps utilized, liquidity premiums applied, and whether external ratings are available for our private placements to determine whether the spreads utilized would be considered observable inputs. We classify private securities without an external rating or public bond spread as Level 3. In general, a significant increase (decrease) in credit spreads would have resulted in a significant decrease (increase) in the fair value for our fixed maturity securities as of June 30, 2020. For remaining securities priced using internal models, we determine fair value using an income approach. We maximize the use of observable inputs but typically utilize significant unobservable inputs to determine fair value. Accordingly, the valuations are typically classified as Level 3. Our assessment of whether or not there were significant unobservable inputs related to fixed maturity securities was based on our observations obtained through the course of managing our investment portfolio, including interaction with other market participants, observations related to the availability and consistency of pricing and/or rating, and understanding of general market activity such as new issuance and the level of secondary market trading for a class of securities. Additionally, we considered data obtained from pricing services to determine whether our estimated values incorporate significant unobservable inputs that would result in the valuation being classified as Level 3. A summary of the inputs used for our fixed maturity securities, short-term investments and equity securities based on the level in which instruments are classified is included below. We have combined certain classes of instruments together as the nature of the inputs is similar. Level 1 measurements Equity securities. Separate account assets. Level 2 measurements Fixed maturity securities • Third-party pricing services: of our portfolio was priced using third-party pricing services as of June 30, 2020. These pricing services utilize industry-standard valuation techniques that include market-based approaches, income-based approaches, a combination of market-based and income-based approaches or other proprietary, internally generated models as part of the valuation processes. These third-party pricing vendors maximize the use of publicly available data inputs to generate valuations for each asset class. Priority and type of inputs used may change frequently as certain inputs may be more direct drivers of valuation at the time of pricing. Examples of significant inputs incorporated by third-party pricing services may include sector and issuer spreads, seasoning, capital structure, security optionality, collateral data, prepayment assumptions, default assumptions, delinquencies, debt covenants, benchmark yields, trade data, dealer quotes, credit ratings, maturity and weighted-average life. We conduct regular meetings with our third-party pricing services for the purpose of understanding the methodologies, techniques and inputs used by the third-party pricing providers. The following table presents a summary of the significant inputs used by our third-party pricing services for certain fair value measurements of fixed maturity securities that are classified as Level 2 as of June 30, 2020: (Amounts in millions) Fair value Primary methodologies Significant inputs U.S. government, agencies and government-sponsored enterprises $ 5,602 Price quotes from trading desk, broker feeds Bid side prices, trade prices, Option Adjusted Spread (“OAS”) to swap curve, Bond Market Association OAS, Treasury Curve, Agency Bullet Curve, maturity to issuer spread State and political subdivisions $ 2,935 Multi-dimensional attribute-based modeling systems, third-party pricing vendors Trade prices, material event notices, Municipal Market Data benchmark yields, broker quotes Non-U.S. $ 1,527 Matrix pricing, spread priced to benchmark curves, price quotes from market makers Benchmark yields, trade prices, broker quotes, comparative transactions, issuer spreads, bid-offer U.S. corporate $ 30,874 Multi-dimensional attribute-based modeling systems, broker quotes, price quotes from market makers, OAS-based Bid side prices to Treasury Curve, Issuer Curve, which includes sector, quality, duration, OAS percentage and change for spread matrix, trade prices, comparative transactions, Trade Reporting and Compliance Engine (“TRACE”) reports Non-U.S. $ 8,589 Multi-dimensional attribute-based modeling systems, OAS-based Benchmark yields, trade prices, broker quotes, comparative transactions, issuer spreads, bid-offer Residential mortgage-backed $ 2,160 OAS-based models, single factor binomial models, internally priced Prepayment and default assumptions, aggregation of bonds with similar characteristics, including collateral type, vintage, tranche type, weighted-average life, weighted-average loan age, issuer program and delinquency ratio, pay up and pay down factors, TRACE reports Commercial mortgage-backed $ 2,949 Multi-dimensional attribute-based modeling systems, pricing matrix, spread matrix priced to swap curves, Trepp commercial mortgage-backed securities analytics model Credit risk, interest rate risk, prepayment speeds, new issue data, collateral performance, origination year, tranche type, original credit ratings, weighted-average life, cash flows, spreads derived from broker quotes, bid side prices, spreads to daily updated swaps curves, TRACE reports Other asset-backed $ 2,847 Multi-dimensional attribute-based modeling systems, spread matrix priced to swap curves, price quotes from market makers Spreads to daily updated swaps curves, spreads derived from trade prices and broker quotes, bid side prices, new issue data, collateral performance, analysis of prepayment speeds, cash flows, collateral loss analytics, historical issue analysis, trade data from market makers, TRACE reports • Internal models: non-U.S. non-U.S. Equity securities. Securities lending collateral The fair value of securities held as collateral is primarily based on Level 2 inputs from market information for the collateral that is held on our behalf by the custodian. We determine fair value after considering prices obtained by third-party pricing services. Short-term investments The fair value of short-term investments classified as Level 2 is determined after considering prices obtained by third-party pricing services. Level 3 measurements Fixed maturity securities • Broker quotes: non-U.S. valued using broker quotes. Broker quotes are obtained from third-party providers that have current market knowledge to provide a reasonable price for securities not routinely priced by third-party pricing services. Brokers utilized for valuation of assets are reviewed annually. The fair value of our Level 3 fixed maturity securities priced by broker quotes was $863 million as of June 30, 2020. • Internal models: non-U.S. Equity securities. The primary inputs to the valuation include broker quotes where the underlying inputs are unobservable and for internal models, structure of the security and issuer rating. Net asset value Limited partnerships Limited partnerships are valued based on comparable market transactions, discounted future cash flows, quoted market prices and/or estimates using the most recent data available for the underlying instrument. We utilize the net asset value (“NAV”) from the underlying fund statements as a practical expedient for fair value. Derivatives We consider counterparty collateral arrangements and rights of set-off non-performance non-performance non-performance Interest rate swaps. Interest rate caps. Foreign currency swaps. exchange rates, both of which are considered observable inputs, and results in the derivative being classified as Level . Equity index options. Financial futures. Equity return swaps. Other foreign currency contracts. GMWB embedded derivatives We are required to bifurcate an embedded derivative for certain features associated with annuity products and related reinsurance agreements where we provide a GMWB to the policyholder and are required to record the GMWB embedded derivative at fair value. The valuation of our GMWB embedded derivative is based on an income approach that incorporates inputs such as forward interest rates, equity index volatility, equity index and fund correlation, and policyholder assumptions such as utilization, lapse and mortality. We determine fair value using an internal model based on the various inputs noted above. Non-performance reflect an adjustment for the non-performance risk of the GMWB liabilities. non-performance We classify the GMWB valuation as Level 3 based on having significant unobservable non-performance non-performance risk would increase the discount rate and would decrease the fair value of the GMWB liability. Additionally, we consider lapse and utilization assumptions to be significant unobservable inputs. An increase in our lapse assumption would decrease the fair value of the GMWB liability, whereas an increase in our utilization rate would increase the fair value. As of June 30, 2020, a significant change in the unobservable inputs discussed above would have resulted in a significantly lower or higher fair value measurement. Fixed index annuity embedded derivatives We have fixed indexed annuity products where interest is credited to the policyholder’s account balance based on equity index changes. This feature is required to be bifurcated as an embedded derivative and recorded at fair value. Fair value is determined using an income approach where the present value of the excess cash flows above the guaranteed cash flows is used to determine the value attributed to the equity index feature. The inputs used in determining the fair value include policyholder behavior (lapses and withdrawals), near-term equity index volatility, expected future interest credited, forward interest rates and an adjustment to the discount rate to incorporate non-performance Indexed universal life embedded derivatives We have indexed universal life insurance products where interest is credited to the policyholder’s account balance based on equity index changes. This feature is required to be bifurcated as an embedded derivative and recorded at fair value. Fair value is determined using an income approach where the present value of the excess cash flows above the guaranteed cash flows is used to determine the value attributed to the equity index feature. The inputs used in determining the fair value include policyholder behavior (lapses and withdrawals), near-term equity index volatility, expected future interest credited, forward interest rates and an adjustment to the discount rate to incorporate non-performance The following tables set forth our assets by class of instrument that are measured at fair value on a recurring basis as of the dates indicated: June 30, 2020 (Amounts in millions) Total Level 1 Level 2 Level 3 NAV (1) Assets Investments: Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 5,602 $ — $ 5,602 $ — $ — State and political subdivisions 2,998 — 2,935 63 — Non-U.S. 1,542 — 1,542 — — U.S. corporate: Utilities 5,270 — 4,334 936 — Energy 2,594 — 2,471 123 — Finance and insurance 8,403 — 7,852 551 — Consumer—non-cyclical 6,277 — 6,174 103 — Technology and communications 3,411 — 3,345 66 — Industrial 1,503 — 1,464 39 — Capital goods 3,028 — 2,931 97 — Consumer—cyclical 1,966 — 1,768 198 — Transportation 1,565 — 1,511 54 — Other 378 — 213 165 — Total U.S. corporate 34,395 — 32,063 2,332 — Non-U.S. Utilities 879 — 522 357 — Energy 1,275 — 1,038 237 — Finance and insurance 2,466 — 2,155 311 — Consumer—non-cyclical 777 — 723 54 — Technology and communications 1,247 — 1,219 28 — Industrial 995 — 903 92 — Capital goods 613 — 440 173 — Consumer—cyclical 407 — 251 156 — Transportation 635 — 494 141 — Other 1,591 — 1,446 145 — Total non-U.S. 10,885 — 9,191 1,694 — Residential mortgage-backed 2,184 — 2,160 24 — Commercial mortgage-backed 2,970 — 2,949 21 — Other asset-backed 2,968 — 2,847 121 — Total fixed maturity securities 63,544 — 59,289 4,255 — Equity securities 206 45 108 53 — Other invested assets: Derivative assets: Interest rate swaps 939 — 939 — — Foreign currency swaps 17 — 17 — — Equity index options 66 — — 66 — Other foreign currency contracts 2 — 2 — — Total derivative assets 1,024 — 958 66 — Securities lending collateral 59 — 59 — — Short-term investments 190 — 190 — — Limited partnerships 598 — — — 598 Total other invested assets 1,871 — 1,207 66 598 Reinsurance recoverable (2) 38 — — 38 — Separate account assets 5,536 5,536 — — — Total assets $ 71,195 $ 5,581 $ 60,604 $ 4,412 $ 598 (1) Limited partnerships that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been categorized in the fair value hierarchy. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. December 31, 2019 (Amounts in millions) Total Level 1 Level 2 Level 3 NAV (1) Assets Investments: Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 5,025 $ — $ 5,025 $ — $ — State and political subdivisions 2,747 — 2,645 102 — Non-U.S. 1,350 — 1,350 — — U.S. corporate: Utilities 4,997 — 4,132 865 — Energy 2,699 — 2,570 129 — Finance and insurance 7,774 — 7,202 572 — Consumer—non-cyclical 5,701 — 5,607 94 — Technology and communications 3,245 — 3,195 50 — Industrial 1,396 — 1,356 40 — Capital goods 2,711 — 2,609 102 — Consumer—cyclical 1,760 — 1,587 173 — Transportation 1,506 — 1,428 78 — Other 322 — 186 136 — Total U.S. corporate 32,111 — 29,872 2,239 — Non-U.S. Utilities 829 — 455 374 — Energy 1,319 — 1,072 247 — Finance and insurance 2,319 — 2,085 234 — Consumer—non-cyclical 684 — 625 59 — Technology and communications 1,138 — 1,110 28 — Industrial 988 — 884 104 — Capital goods 605 — 444 161 — Consumer—cyclical 397 — 250 147 — Transportation 629 — 438 191 — Other 1,617 — 1,477 140 — Total non-U.S. 10,525 — 8,840 1,685 — Residential mortgage-backed 2,270 — 2,243 27 — Commercial mortgage-backed 3,026 — 3,020 6 — Other asset-backed 3,285 — 3,153 132 — Total fixed maturity securities 60,339 — 56,148 4,191 — Equity securities 239 62 126 51 — Other invested assets: Derivative assets: Interest rate swaps 197 — 197 — — Foreign currency swaps 4 — 4 — — Equity index options 81 — — 81 — Other foreign currency contracts 8 — 8 — — Total derivative assets 290 — 209 81 — Securities lending collateral 51 — 51 — — Short-term investments 211 — 211 — — Limited partnerships 503 — — — 503 Total other invested assets 1,055 — 471 81 503 Reinsurance recoverable (2) 20 — — 20 — Separate account assets 6,108 6,108 — — — Total assets $ 67,761 $ 6,170 $ 56,745 $ 4,343 $ 503 (1) Limited partnerships that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been categorized in the fair value hierarchy. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. The following tables present additional information about assets measured at fair value on a recurring basis and for which we have utilized significant unobservable (Level 3) inputs to determine fair value as of or for the dates indicated: Beginning as of Total realized and Ending as of Total gains (losses) (Amounts in millions) Included Included Purchases Sales Issuances Settlements Transfer (1) Transfer (1) Included Included Fixed maturity securities: State and political subdivisions $ 83 $ — $ 7 $ — $ — $ — $ — $ — $ (27 ) $ 63 $ 1 $ 6 Non-U.S. 1 — — — — — (1 ) — — — — — U.S. corporate: Utilities 843 — 37 32 — — (2 ) 26 — 936 — 37 Energy 124 1 13 — — — (2 ) — (13 ) 123 — 9 Finance and insurance 510 — 33 21 — — (12 ) — (1 ) 551 — 33 Consumer—non-cyclical 88 — 8 8 — — (1 ) — — 103 — 8 Technology and communications 61 — 5 — — — — — — 66 — 5 Industrial 37 — 2 — — — — — — 39 — 2 Capital goods 90 — 7 — — — — — — 97 — 7 Consumer—cyclical 179 — 11 — — — (1 ) 9 — 198 — 11 Transportation 43 — 2 — — — (1 ) 10 — 54 — 2 Other 138 — 2 — — — (2 ) 27 — 165 — 2 Total U.S. corporate 2,113 1 120 61 — — (21 ) 72 (14 ) 2,332 — 116 Non-U.S. Utilities 355 — 23 1 — — — — (22 ) 357 — 23 Energy 236 — 22 — — — (26 ) 5 — 237 — 22 Finance and insurance 223 1 50 — — — — 37 — 311 1 49 Consumer—non-cyclical 58 — 5 — — — — — (9 ) 54 — 4 Technology and communications 27 — 1 — — — — — — 28 — 1 Industrial 92 — 8 — — — — — (8 ) 92 — 7 Capital goods 135 — 9 — — — — 29 — 173 — 9 Consumer—cyclical 164 — 12 — — — (3 ) — (17 ) 156 — 11 Transportation 108 — 11 — — — — 22 — 141 — 11 Other 131 — 9 5 — — — — — 145 — 9 Total non-U.S. 1,529 1 150 6 — — (29 ) 93 (56 ) 1,694 1 146 Residential mortgage-backed 24 — 1 — — — (1 ) 3 (3 ) 24 — — Commercial mortgage-backed — — 1 — — — — 20 — 21 — 1 Other asset-backed 118 — 2 6 — — (5 ) — — 121 — 3 Total fixed maturity securities 3,868 2 281 73 — — (57 ) 188 (100 ) 4,255 2 272 Equity securities 50 — — 6 (3 ) — — — — 53 — — Other invested assets: Derivative assets: Equity index options 62 4 — 7 — — (7 ) — — 66 8 — Total derivative assets 62 4 — 7 — — (7 ) — — 66 8 — Total other invested assets 62 4 — 7 — — (7 ) — — 66 8 — Reinsurance recoverable (2) 47 (9 ) — — — — — — — 38 (9 ) — Total Level 3 assets $ 4,027 $ (3 ) $ 281 $ 86 $ (3 ) $ — $ (64 ) $ 188 $ (100 ) $ 4,412 $ 1 $ 272 (1) The transfers into and out of Level 3 for fixed maturity securities were related to changes in the primary pricing source and changes in the observability of external information used in determining the fair value, such as external ratings or credit spreads, as well as changes in the industry sectors assigned to specific securities. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. Beginning as of Total realized and Purchases Sales Issuances Settlements Transfer (1) Transfer (1) Ending as of Total gains attributable (Amounts in millions) Included Included Fixed maturity securities: State and political subdivisions $ 52 $ 1 $ 8 $ — $ — $ — $ — $ — $ — $ 61 $ — U.S. corporate: Utilities 748 — 20 82 (13 ) — (38 ) — (10 ) 789 — Energy 115 — 3 5 — — (1 ) — — 122 — Finance and insurance 590 — 15 10 — — (8 ) — — 607 — Consumer—non-cyclical 74 — 1 14 — — — — — 89 — Technology and communications 52 — 3 — — — — — (11 ) 44 — Industrial 40 — — — — — — — — 40 — Capital goods 95 — 3 — — — — — — 98 — Consumer—cyclical 195 — 3 — — — (13 ) — — 185 — Transportation 54 — — — — — — — — 54 — Other 199 — 3 — — — (3 ) — — 199 — Total U.S. corporate 2,162 — 51 111 (13 ) — (63 ) — (21 ) 2,227 — Non-U.S. Utilities 435 — 7 — (7 ) — (17 ) — (1 ) 417 — Energy 221 — 5 15 — — — — — 241 — Finance and insurance 182 1 7 2 — — (13 ) — — 179 1 Consumer—non-cyclical 67 — 1 — — — — — — 68 — Technology and communications 27 — — — — — — — — 27 — Industrial 63 — 1 — — — — — — 64 — Capital goods 173 — 3 5 — — — — — 181 — Consumer—cyclical 125 — 2 — — — (1 ) — — 126 — Transportation 192 — 3 4 — — — — — 199 — Other 90 — 4 35 — — — — — 129 — Total non-U.S. 1,575 1 33 61 (7 ) — (31 ) — (1 ) 1,631 1 Residential mortgage-backed 35 — 1 — — — — — — 36 — Commercial mortgage-backed 98 — 7 1 — — — — (14 ) 92 — Other asset-backed 197 — 1 42 — — (29 ) 27 (4 ) 234 — Total fixed maturity securities 4,119 2 101 215 (20 ) — (123 ) 27 (40 ) 4,281 1 Equity securities 55 — — 2 (1 ) — — — — 56 — Other invested assets: Derivative assets: Equity index options 60 10 — 9 — — (14 ) — — 65 7 Total derivative assets 60 10 — 9 — — (14 ) — — 65 7 Total other invested assets 60 10 — 9 — — (14 ) — — 65 7 Reinsurance recoverable (2) 18 2 — — — — — — — 20 2 Total Level 3 assets $ 4,252 $ 14 $ 101 $ 226 $ (21 ) $ — $ (137 ) $ 27 $ (40 ) $ 4,422 $ 10 (1) The transfers into and out of Level 3 for fixed maturity securities were related to changes in the primary pricing source and changes in the observability of external information used in determining the fair value, such as external ratings or credit spreads, as well as changes in the industry sectors assigned to specific securities. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. The following tables present additional information about assets measured at fair value on a recurring basis and for which we have utilized significant unobservable (Level 3) inputs to determine fair value as of or for the dates indicated: Beginning balance as of January 1, 2020 Total realized and unrealized gains (losses) Ending balance as of June 30, 2020 Total gains (losses) attributable to assets still held (Amounts in millions) Included in net income (loss) Included in OCI Purchases Sales Issuances Settlements Transfer into Level 3 (1) Transfer out of Level 3 (1) Included in net income (loss) Included in OCI Fixed maturity securities: State and political subdivisions $ 102 $ 1 $ (12 ) $ — $ — $ — $ (1 ) $ — $ (27 ) $ 63 $ 2 $ (13 ) Non-U.S. — — — — — — (1 ) 1 — — — — U.S. corporate: Utilities 865 — 12 32 — — (2 ) 42 (13 ) 936 — 14 Energy 129 1 (2 ) 10 (21 ) — (3 ) 22 (13 ) 123 — (5 ) Finance and insurance 572 2 2 21 — — (24 ) — (22 ) 551 — 5 Consumer—non-cyclical 94 — 2 8 — — (1 ) — — 103 — 2 Technology and communications 50 — 1 20 — — — — (5 ) 66 — 2 Industrial 40 — (1 ) — — — — — — 39 — (1 ) Capital goods 102 — (1 ) — — — (4 ) — — 97 — (1 ) Consumer—cyclical 173 — 4 — — — (3 ) 24 — 198 — 4 Transportation 78 — (2 ) — — — (2 ) 10 (30 ) 54 — 1 Other 136 — 1 5 — — (4 ) 27 — 165 — 1 Total U.S. corporate 2,239 3 16 96 (21 ) — (43 ) 125 (83 ) 2,332 — 22 Non-U.S. Utilities 374 — 3 12 — — — 21 (53 ) 357 — 3 Energy 247 — (8 ) — — — (26 ) 24 — 237 — (8 ) Finance and insurance 234 2 9 15 — — — 58 (7 ) 311 2 10 Consumer—non-cyclical 59 — 2 8 — — — 1 (16 ) 54 — 1 Technology and communications 28 — — — — — — — — 28 — — Industrial 104 — 1 — — — (5 ) — (8 ) 92 — — Capital goods 161 1 (2 ) — — — (16 ) 29 — 173 — (1 ) Consumer—cyclical 147 — (3 ) 4 — — (7 ) 32 (17 ) 156 — (5 ) Transportation 191 — 2 — — — — 22 (74 ) 141 — 6 Other 140 — — 5 — — (1 ) 1 — 145 — — Total non-U.S. 1,685 3 4 44 — — (55 ) 188 (175 ) 1,694 2 6 Residential mortgage-backed 27 — — — — — (1 ) 4 (6 ) 24 — — Commercial mortgage-backed 6 — 2 — — — — 20 (7 ) 21 — 1 Other asset-backed 132 — (2 ) 15 — — (22 ) — (2 ) 121 — (2 ) Total fixed maturity securities 4,191 7 8 155 (21 ) — (123 ) 338 (300 ) 4,255 4 14 Equity securities 51 — — 6 (4 ) — — — — 53 — — Other invested assets: Derivative assets: Equity index options 81 (9 ) — 18 — — (24 ) — — 66 5 — Total derivative assets 81 (9 ) — 18 — — (24 ) — — 66 5 — Total other invested assets 81 (9 ) — 18 — — (24 ) — — 66 5 — Reinsurance recoverable (2) 20 17 — — — 1 — — — 38 17 — Total Level 3 assets $ 4,343 $ 15 $ 8 $ 179 $ (25 ) $ 1 $ (147 ) $ 338 $ (300 ) $ 4,412 $ 26 $ 14 (1) The transfers into and out of Level 3 for fixed maturity securities were related to changes in the primary pricing source and changes in the observability of external information used in determining the fair value, such as external ratings or credit spreads, as well as changes in the industry sectors assigned to specific securities. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. Beginning as of Total realized and Purchases Sales Issuances Settlements Transfer (1) Transfer (1) Ending as of Total gains attributable (Amounts in millions) Included Included Fixed maturity securities: State and political subdivisions $ 51 $ 2 $ 8 $ — $ — $ — $ — $ — $ — $ 61 $ 1 U.S. corporate: Utilities 643 — 42 96 (14 ) — (40 ) 72 (10 ) 789 — Energy 121 — 7 5 — — (11 ) — — 122 — Finance and insurance 534 — 38 40 — — (12 ) 7 — 607 — Consumer—non-cyclical 73 — 3 14 — — (10 ) 9 — 89 — Technology and communications 50 — 5 — — — — — (11 ) 44 — Industrial 39 — 1 — — — — — — 40 — Capital goods 92 — 6 — — — — — — 98 — Consumer—cyclical 211 — 10 — (13 ) — (14 ) — (9 ) 185 — Transportation 57 — 1 4 — — (8 ) — — 54 — Other 178 — 6 22 — — (15 ) 8 — 199 — Total U.S. corporate 1,998 — 119 181 (27 ) — (110 ) 96 (30 ) 2,227 — Non-U.S. Utilities 404 — 23 30 (7 ) — (17 ) — (16 ) 417 — Energy 217 — 12 16 — — (4 ) — — 241 — Finance and insurance 171 2 18 7 — — (13 ) — (6 ) 179 2 Consumer—non-cyclical 106 2 4 — — — (44 ) — — 68 — Technology and communications 26 — 1 — — — — — — 27 — Industrial 61 — 3 — — — — — — 64 — Capital goods 173 — 9 10 — — (11 ) — — 181 — Consumer—cyclical 122 — 8 — — — (4 ) — — 126 — Transportation 171 — 9 19 — — — — — 199 — Other 81 — 8 35 — — (1 ) 6 — 129 — Total n on-U.S. 1,532 4 95 117 (7 ) — (94 ) 6 (22 ) 1,631 2 Residential mortgage-backed 35 — 1 — — — — — — 36 — Commercial mortgage-backed 95 — 9 2 — — — — (14 ) 92 — Other asset-backed 154 — 2 96 — — (42 ) 28 (4 ) 234 — Total fixed maturity securities 3,865 6 234 396 (34 ) — (246 ) 130 (70 ) 4,281 3 Equity securities 58 — — 2 (4 ) — — — — 56 — Other invested assets: Derivative assets: Equity index options 39 27 — 21 — — (22 ) — — 65 11 Total derivative assets 39 27 — 21 — — (22 ) — — 65 11 Total other invested assets 39 27 — 21 — — (22 ) — — 65 11 Reinsurance recoverable (2) 20 (1 ) — — — 1 — — — 20 (1 ) Total Level 3 assets $ 3,982 $ 32 $ 234 $ 419 $ (38 ) $ 1 $ (268 ) $ 130 $ (70 ) $ 4,422 $ 13 (1) The transfers into and out of Level 3 for fixed maturity securities were related to changes in the primary pricing source and changes in the observability of external information used in determining the fair value, such as external ratings or credit spreads, as well as changes in the industry sectors assigned to specific securities. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. The following table presents the gains and losses included in net income (loss) from assets measured at fair value on a recurring basis and for which we have utilized significant unobservable (Level 3) inputs to determine fair value and the related income statement line item in which these gains and losses were presented for the periods indicated: Three months ended Six months ended (Amounts in millions) 2020 2019 2020 2019 Total realized and unrealized gains (losses) included in net income (loss): Net investment income $ 2 $ 2 $ 6 $ 6 Net investment gains (losses) (5 ) 12 9 26 Total $ (3 ) $ 14 $ 15 $ 32 Total gains (losses) included in net income (loss) attributable to assets still held: Net investment income $ 2 $ 1 $ 4 $ 3 Net investment gains (losses) (1 ) 9 22 10 Total $ 1 $ 10 $ 26 $ 13 The amount presented for realized and unrealized gains (losses) included in net income (loss) for fixed maturity securities primarily represents amortization and accretion of premiums and discounts on certain fixed maturity securities. The following table presents a summary of the significant unobservable inputs used for certain asset fair value measurements that are based on internal models and classified as Level 3 as of June 30, 2020: (Amounts in millions) Valuation technique Fair value Unobservable input Range Weighted-average (1) Fixed maturity securities: U.S. corporate: Utilities Internal models $ 826 Credit spreads 71bps - 427bps 194bps Energy Internal models 8 Credit spreads 108bps N/A Finance and insurance Internal models 497 Credit spreads 73bps - 380bps 206bps Consumer—non-cyclical Internal models 102 Credit spreads 83bps - 395bps 202bps Technology and communications Internal models 66 Credit spreads 212bps - 395bps 271bps Industrial Internal models 39 Credit spreads 199bps - 483bps 293bps Capital goods Internal models 97 Credit spreads 120bps - 294bps 214bps Consumer—cyclical Internal models 161 Credit spreads 131bps - 307bps 208bps Transportation Internal models 44 Credit spreads 76bps - 199bps 144bps Other Internal models 165 Credit spreads 99bps - 213bps 122bps Total U.S. corporate Internal models $ 2,005 Credit spreads 71bps - 483bps 197bps Non-U.S. Utilities Internal models $ 357 Credit spreads 97bps - 286bps 176bps Energy Internal models 82 Credit spreads 120bps - 272bps 175bps Finance and insurance Internal models 209 Credit spreads 136bps - 188bps 133bps Consumer—non-cyclical Internal models 53 Credit spreads 107bps - 182bps 160bps Technology and communications Internal models 28 Credit spreads 153bps - 26 |
Liability for Policy and Contra
Liability for Policy and Contract Claims | 6 Months Ended |
Jun. 30, 2020 | |
Liability for Policy and Contract Claims | (7) Liability for Policy and Contract Claims The following table sets forth changes in our liability for policy and contract claims as of the dates indicated: As of or for the six June 30, (Amounts in millions) 2020 2019 Beginning balance $ 10,958 $ 10,295 Less reinsurance recoverables (2,406 ) (2,379 ) Net beginning balance 8,552 7,916 Incurred related to insured events of: Current year 2,238 1,961 Prior years (255 ) (206 ) Total incurred 1,983 1,755 Paid related to insured events of: Current year (436 ) (407 ) Prior years (1,339 ) (1,253 ) Total paid (1,775 ) (1,660 ) Interest on liability for policy and contract claims 205 188 Foreign currency translation (4 ) (1 ) Net ending balance 8,961 8,198 Add reinsurance recoverables 2,319 2,388 Ending balance $ 11,280 $ 10,586 The liability for policy and contract claims represents our current best estimate; however, there may be future adjustments to this estimate and related assumptions. Such adjustments, reflecting any variety of new and adverse trends, could possibly be significant, and result in increases in reserves by an amount that could be material to our results of operations and financial condition and liquidity. In addition, loss reserves recorded on new delinquencies in our U.S. mortgage insurance business have a high degree of estimation, particularly due to the level of uncertainty regarding whether borrowers in forbearance will ultimately cure or result in a new delinquency. For the six months ended June 30, 2020, the favorable development of $255 million related to insured events of prior years was primarily attributable to our long-term care insurance business largely from favorable claim terminations mostly attributable to higher mortality, favorable These decreases were partially offset by a strengthening of incurred but not reported reserves in the current year For the six months ended June 30, 2020, the liability for policy and contract claims increased $322 million largely related to our U.S. mortgage insurance business, principally attributable to a significant increase in the number of new delinquencies driven largely by borrower forbearance resulting from COVID-19. In addition, existing reserves were strengthened by $28 million in the current year primarily driven by the deterioration of early cure emergence patterns impacting claim frequency along with a modest increase in claim severity. The current year also reflected lower net benefits from cures and aging of existing delinquencies compared to the prior year. The increase was also attributable to our long-term care insurance business primarily attributable to new claims, which includes higher new claims frequency as a result of the aging of the in-force block, as well as higher severity, partially offset by an increase in claim terminations driven mostly by higher mortality and favorable development on prior year incurred but not reported claims in the current year. Given the lower new claim counts submitted during COVID-19, incurred but not reported reserves were strengthened by $37 million reflecting our assumption that new claim incidence during this period will ultimately return to normal levels, partially offsetting the favorable development on incurred but not reported claims. |
Reinsurance
Reinsurance | 6 Months Ended |
Jun. 30, 2020 | |
Reinsurance | (8) Reinsurance The following table sets forth the changes in the allowance for credit losses related to reinsurance recoverables as of or for the periods indicated: Three months ended Six months ended (Amounts in millions) 2020 2020 Allowance for credit losses: Beginning balance $ 42 $ — Cumulative effect of change in accounting — 40 Provision 2 4 Write-offs — — Recoveries — — Ending balance $ 44 $ 44 As discussed in note 2, our policy for evaluating and measuring the allowance for credit losses related to reinsurance recoverables utilizes the reinsurer’s credit rating, updated quarterly, to assess the credit quality of reinsurance recoverables. The following table sets forth A.M. Best Company, Inc.’s (“A.M. Best”) credit ratings related to our reinsurance recoverables, gross of the allowance for credit losses, as of June 30, 2020: (Amounts in millions) Collateralized Non-collateralized Total Credit rating: A++ $ — $ 508 $ 508 A+ 1,267 1,467 2,734 A 20 58 78 B+ — 2 2 Not rated 13,542 80 13,622 Total reinsurance recoverable $ 14,829 $ 2,115 $ 16,944 We have several significant reinsurance transactions (“Reinsurance Transactions”) with Union Fidelity Life Insurance Company (“UFLIC”), an affiliate of our former parent, General Electric Company (“GE”). In the Reinsurance Transactions, we ceded to UFLIC in-force in-force amount required to be held in certain claims-paying accounts. A trustee administers the trust accounts and we are permitted to withdraw from the trust accounts amounts due to us pursuant to the terms of the reinsurance agreements that are not otherwise paid by UFLIC. In addition, pursuant to a Capital Maintenance Agreement, GE is obligated to maintain sufficient capital in UFLIC to maintain UFLIC’s risk-based capital (“RBC”) at not less than 150% of its company action level, as defined by the National Association of Insurance Commissioners (“NAIC”). As of June 30, 2020 and December 31, 2019, we had a reinsurance recoverable of $13,539 million and $13,752 million, respectively, with UFLIC. In March 2019, upon UFLIC’s request, A.M. Best withdrew UFLIC’s credit rating. There was no impact to us Reinsurance recoverables are considered past due when contractual payments have not been received from the reinsurer by the required payment date. Claims submitted for payment are generally due in less than one year. As of June 30, 2020, we did not have any reinsurance recoverables past due, except for Scottish Re US Inc. (“Scottish Re”), a reinsurance company domiciled in Delaware. On March 6, 2019, Scottish Re was ordered into receivership for the purposes of rehabilitation by the Court of Chancery of the State of Delaware. The proposed Plan of Scottish Re . The filing did not include a schedule for affected cedents to object to the proposed rehabilitation plan. We do not know what deadlines will be imposed related to the Court of Chancery’s consideration of the proposed plan, but we expect a final hearing to be scheduled in November or December of this year. As of June 30, 2020, amounts past due related to Scottish Re were $13 million, all of which was included in the allowance for credit losses. We |
Borrowings and Liquidity
Borrowings and Liquidity | 6 Months Ended |
Jun. 30, 2020 | |
Borrowings | (9) Borrowings and Liquidity (a) Long-Term Borrowings The following table sets forth total long-term borrowings as of the dates indicated: (Amounts in millions) June 30, December 31, Genworth Holdings (1) 7.70% Senior Notes, due 2020 $ — $ 397 7.20% Senior Notes, due 2021 356 382 7.625% Senior Notes, due 2021 661 701 4.90% Senior Notes, due 2023 399 399 4.80% Senior Notes, due 2024 400 400 6.50% Senior Notes, due 2034 297 297 Floating Rate Junior Subordinated Notes, due 2066 598 598 Subtotal 2,711 3,174 Bond consent fees (22 ) (25 ) Deferred borrowing charges (10 ) (12 ) Total Genworth Holdings 2,679 3,137 Australia (2) Floating Rate Junior Subordinated Notes, due 2025 138 140 Total Australia 138 140 Total $ 2,817 $ 3,277 (1) We have the option to redeem all or a portion of the senior notes at any time with notice to the noteholders at a price equal to the greater of 100% of principal or the sum of the present value of the remaining scheduled payments of principal and interest discounted at the then-current treasury rate plus an applicable spread. (2) Subordinated floating rate notes issued by Genworth Financial Mortgage Insurance Pty Limited (“GFMIPL”), our indirect majority-owned subsidiary, who has the option to redeem the notes at face value beginning on July 3, 2020, subject to the Australian Prudential Regulation Authority’s (“APRA”) prior written approval. On January 21, 2020, Genworth Holdings early redeemed $397 million of its 7.70% senior notes originally scheduled to mature in June 2020 for a pre-tax During the second quarter of 2020, Genworth Holdings repurchased $52 million principal amount of its senior notes with 2021 maturity dates for a pre-tax pre-tax On July 3, 2020, GFMIPL issued AUD$147 million floating rate subordinated notes due in July 2030 in exchange for AUD$147 million of its floating rate subordinated notes due in July 2025. In addition, on July 3, 2020, GFMIPL issued AUD$43 million floating rate subordinated notes due in July 2030. These notes will pay interest quarterly at a floating rate equal to the three-month bank bill swap reference rate plus a margin of a minimum of 5.0% per annum. GFMIPL has an option to redeem the notes at face value on July 3, 2025 and every interest payment date thereafter up to and excluding the maturity date, and for certain tax and regulatory events (in each case subject to APRA’s prior written approval). Following the settlement of these transactions, GFMIPL has outstanding floating rate subordinated notes of AUD$53 million due in July 2025 and AUD$190 million due in July 2030. (b) Non-Recourse In January 2020, upon receipt of approval from the Director of Insurance of the State of South Carolina, Rivermont Life Insurance Company I (“Rivermont I”) redeemed all of its $315 million of outstanding non-recourse pre-tax write-off |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2020 | |
Income Taxes | (10) Income Taxes The reconciliation of the federal statutory tax rate to the effective income tax rate was as follows for the periods indicated: Three months ended Six months ended June 30, June 30, 2020 2019 2020 2019 Statutory U.S. federal income tax rate 21.0 % 21.0 % 21.0 % 21.0 % Increase (reduction) in rate resulting from: Swaps terminated prior to the TCJA 4.8 3.2 19.1 3.9 Effect of foreign operations 3.7 2.3 7.3 2.7 Non-deductible 1.2 — 2.7 — Non-deductible 0.7 0.6 2.8 0.7 Tax favored investments (0.8 ) (0.5 ) (3.2 ) (0.5 ) Stock-based compensation 0.1 0.1 2.9 — Other, net 0.4 2.8 1.9 1.5 Effective rate 31.1 % 29.5 % 54.5 % 29.3 % The increase in the effective tax rate for the three and six months ended June 30, 2020 was primarily attributable to tax expense on forward starting swaps settled prior to the enactment of the Tax Cuts and Jobs Act (“TCJA”), which are tax effected at 35% as they are amortized into net investment income, in relation to lower pre-tax non-deductible U.S. GAAP generally requires an annualized effective tax rate to be used for interim reporting periods, utilizing projections of full year results. However, in certain circumstances it is appropriate to record the actual effective tax rate for the period if a reliable full year estimate cannot be made. For the three and six months ended June 30, 2020, we have elected to record the actual effective tax rate for the period, primarily due to the sensitivity of the full year annualized effective rate small changes in projected income |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2020 | |
Segment Information | (11) Segment Information We have the following four operating business segments: U.S. Mortgage Insurance; Australia Mortgage Insurance; U.S. Life Insurance (which includes our long-term care insurance, life insurance and fixed annuities businesses); and Runoff (which includes the results of non-strategic We tax our international businesses at their local jurisdictional tax rates and our domestic businesses at the U.S. corporate federal income tax rate of 21%. Our segment tax methodology applies the respective jurisdictional or domestic tax rate to the pre-tax The annually-determined tax rates and adjustments to each segment’s provision for income taxes are estimates which are subject to review and could change from year to year. We use the same accounting policies and procedures to measure segment income (loss) and assets as our consolidated net income and assets. Our chief operating decision maker evaluates segment performance and allocates resources on the basis of “adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders.” We define adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders as income (loss) from continuing operations excluding the after-tax non-operating non-recourse non-operating non-operating While some of these items may be significant components of net income (loss) available to Genworth Financial, Inc.’s common stockholders in accordance with U.S. GAAP, we believe that adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders, and measures that are derived from or incorporate adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders, are appropriate measures that are useful to investors because they identify the income (loss) attributable to the ongoing operations of the business. Management also uses adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders as a basis for determining awards and compensation for senior management and to evaluate performance on a basis comparable to that used by analysts. However, the items excluded from adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders have occurred in the past and could, and in some cases will, recur in the future. Adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders is not a substitute for net income (loss) available to Genworth Financial, Inc.’s common stockholders determined in accordance with U.S. GAAP. In addition, our definition of adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders may differ from the definitions used by other companies. Adjustments to reconcile net income (loss) available to Genworth Financial, Inc.’s common stockholders to adjusted operating income (loss) assume a 21% tax rate for our domestic segments and a 30% tax rate for our Australia Mortgage Insurance segment and are net of the portion attributable to noncontrolling interests. Net investment gains (losses) are also adjusted for DAC and other intangible amortization and certain benefit reserves. In the second quarter of 2020, we recorded a goodwill impairment of $3 million , net of the portion attributable to noncontrolling interests, in our Australia mortgage insurance business. During the second and first quarters of 2020, we repurchased $52 million and $14 million, respectively, principal amount of Genworth Holdings’ senior notes with 2021 maturity dates for a pre-tax pre-tax non-recourse pre-tax write-off We recorded a pre-tax The following is a summary of revenues for our segments and Corporate and Other activities for the periods indicated: Three Six months ended (Amounts in millions) 2020 2019 Revenues: U.S. Mortgage Insurance segment $ 274 $ 235 $ 535 $ 458 Australia Mortgage Insurance segment 136 96 163 206 U.S. Life Insurance segment: Long-term care insurance 1,200 1,055 2,206 2,169 Life insurance 335 382 683 754 Fixed annuities 129 151 262 310 U.S. Life Insurance segment 1,664 1,588 3,151 3,233 Runoff segment 90 78 97 160 Corporate and Other activities (26 ) (3 ) 29 (19 ) Total revenues $ 2,138 $ 1,994 $ 3,975 $ 4,038 The following tables present the reconciliation of net income (loss) available to Genworth Financial, Inc.’s common stockholders to adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders and a summary of adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders for our segments and Corporate and Other activities for the periods indicated: Three months Six months (Amounts in millions) 2020 2019 2020 2019 Net income (loss) available to Genworth Financial, Inc.’s common stockholders $ (441 ) $ 168 $ (507 ) $ 342 Add: net income from continuing operations attributable to noncontrolling interests 23 15 17 35 Add: net income from discontinued operations attributable to noncontrolling interests — 35 — 71 Net income (loss) (418 ) 218 (490 ) 448 Less: income (loss) from discontinued operations, net of taxes (520 ) 60 (520 ) 122 Income from continuing operations 102 158 30 326 Less: net income from continuing operations attributable to noncontrolling interests 23 15 17 35 Income from continuing operations available to Genworth Financial, Inc.’s common stockholders 79 143 13 291 Adjustments to income from continuing operations available to Genworth Financial, Inc.’s common stockholders: Net investment (gains) losses, net (1) (131 ) 43 (16 ) (28 ) Goodwill impairment, net (2) 3 — 3 — (Gains) losses on early extinguishment of debt (3 ) — 9 — Expenses related to restructuring 1 — 2 4 Taxes on adjustments 30 (8 ) 1 6 Adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders $ (21 ) $ 178 $ 12 $ 273 (1) For the three months ended June 30, 2020 and 2019, net investment (gains) losses were adjusted for DAC and other intangible amortization and certain benefit reserves of $(4) and $(3) million, respectively, and adjusted for net investment gains (losses) attributable to noncontrolling interests of $32 million and $—, respectively. For the six months ended June 30, 2020 and 2019, net investment (gains) losses were adjusted for DAC and other intangible amortization and certain benefit reserves of $(15) million and $(5) million, respectively, and adjusted for net investment gains (losses) attributable to noncontrolling interests of $6 (2) For the three and six months ended June 30, 2020, goodwill impairment was adjusted for the portion attributable to noncontrolling interests of $2 million. Three months ended Six months ended June 30, June 30, (Amounts in millions) 2020 2019 2020 2019 Adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders: U.S. Mortgage Insurance segment $ (3 ) $ 147 $ 145 $ 271 Australia Mortgage Insurance segment 1 13 10 27 U.S. Life Insurance segment: Long-term care insurance 48 37 49 17 Life insurance (81 ) 10 (158 ) 8 Fixed annuities 28 19 34 36 U.S. Life Insurance segment (5 ) 66 (75 ) 61 Runoff segment 24 9 11 29 Corporate and Other activities (38 ) (57 ) (79 ) (115 ) Adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders $ (21 ) $ 178 $ 12 $ 273 The following is a summary of total assets for our segments and Corporate and Other activities as of the dates indicated: (Amounts in millions) June 30, December 31, Assets: U.S. Mortgage Insurance segment $ 4,944 $ 4,504 Australia Mortgage Insurance segment 2,439 2,406 U.S. Life Insurance segment 83,829 81,640 Runoff segment 9,783 9,953 Corporate and Other activities 2,642 2,839 Total assets $ 103,637 $ 101,342 |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2020 | |
Commitments and Contingencies | (12) Commitments and Contingencies (a) Litigation and Regulatory Matters We face the risk of litigation and regulatory investigations and actions in the ordinary course of operating our businesses, including the risk of class action lawsuits. Our pending legal and regulatory actions include proceedings specific to us and others generally applicable to business practices in the industries in which we operate. In our insurance operations, we are, have been, or may become subject to class actions and individual suits alleging, among other things, issues relating to sales or underwriting practices, increases to in-force n products , recommending unsuitable products to customers, our pricing structures and business practices in our mortgage insurance businesses, such as captive reinsurance arrangements with lenders and contract underwriting services, violations of the Real Estate Settlement and Procedures Act of 1974 or related state anti-inducement laws, and mortgage insurance policy rescissions and curtailments, and breaching fiduciary or other duties to customers, including but not limited to breach of customer information. Plaintiffs in class action and other lawsuits against us may seek very large or indeterminate amounts which may remain unknown for substantial periods of time. In our investment-related operations, we are subject to litigation involving commercial disputes with counterparties. We are also subject to litigation arising out of our general business activities such as our contractual and employment relationships, post-closing obligations associated with previous dispositions and securities lawsuits. In addition, we are also subject to various regulatory inquiries, such as information requests, subpoenas, books and record examinations and market conduct and financial examinations from state, federal and international regulators and other authorities. A substantial legal liability or a significant regulatory action against us could have an adverse effect on our business, financial condition and results of operations. Moreover, even if we ultimately prevail in the litigation, regulatory action or investigation, we could suffer significant reputational harm, which could have an adverse effect on our business, financial condition or results of operations. In January 2016, Genworth Financial, its current chief executive officer, its former chief executive officer, its former chief financial officer and current and former members of its board of directors were named in a shareholder derivative suit filed by International Union of Operating Engineers Local No. 478 Pension Fund, Richard L. Salberg and David Pinkoski in the Court of Chancery of the State of Delaware. The case was captioned Int’l Union of Operating Engineers Local No. 478 Pension Fund, et al v. McInerney, et al. Cohen v. McInerney, et al Genworth Financial, Inc. Consolidated Derivative Litigation In October 2016, Genworth Financial, its current chief executive officer, its former chief executive officer, its current chief financial officer, its former chief financial officer and current and former members of its board of directors were named in a shareholder derivative suit filed by Esther Chopp in the Court of Chancery of the State of Delaware. The case is captioned Chopp v. McInerney, et al. In December 2017, Genworth Financial International Holdings, LLC (“GFIH”) and Genworth Financial were named as defendants in an action captioned AXA S.A. v. Genworth Financial International Holdings, LLC et al., in the High Court of Justice, Business and Property Courts of England and Wales. In the action, AXA initially sought in excess of £28 million on an indemnity provided for in the 2015 agreement pursuant to which Genworth sold to AXA two insurance companies, Financial Insurance Company Limited (“FICL”) and Financial Assurance Company Limited (“FACL”), relating to alleged remediation it has paid to customers who purchased payment protection insurance (“PPI”). In February 2018, we served a Particulars of Defence and counterclaim against AXA, and also served other counterclaims against various parties, including Santander Cards UK Limited (“Santander”), alleging that Santander is responsible for any remediation paid to PPI customers. AXA and Santander applied to the Court for orders dismissing or staying the counterclaims. A hearing on those applications was held in October 2018, and the Court dismissed our counterclaims. On November 15, 2018, AXA amended its claim and updated its demand to £237 million. We filed our amended Particulars of Defence and amended counterclaim on December 13, 2018, seeking, among other forms of relief, a declaration that in the event we make any payment to AXA pursuant to the indemnity, we are subrogated to FICL’s and FACL’s rights against Santander with respect to those amounts. On February 25, 2019, AXA amended its claim and updated its demand to £265 million. The Court held a case management conference and hearing on February 26, 2019. Santander, FICL and FACL consented to be joined as parties to the proceedings and consented to allow Genworth to amend its pleadings to include the subrogation declarations to reflect the additional parties. On March 29, 2019, AXA, FICL, FACL and Santander filed their respective responses to our amended counterclaim. On June 21, 2019, we filed an application to address certain deficiencies in AXA’s discovery production. On July 18, 2019, we reached an agreement with AXA and Santander regarding our discovery application. The hearing on liability and subrogation matters concluded on November 12, 2019. On December 6, 2019, the Court issued its judgment, ruling in AXA’s favor with respect to its claim against Genworth for 90% of AXA’s payment of PPI mis-selling mis-selling mis-selling On June 8 AXA its claim its to , alleged claim for a amount The damages hearing took place from June 15, 2020 through June 23, 2020 . O pur suant t o which the parties liability of December 6, 2019 and subseque ntly iss ued judgment of July 27, 2020. See note 14 f r details on the terms of the settlement with AXA , the and amo unts recor ded r el ated to loss from d i scon ti n operations In September 2018, Genworth Life and Annuity Insurance Company (“GLAIC”), our indirect wholly-owned subsidiary, was named as a defendant in a putative class action lawsuit pending in the United States District Court for the Eastern District of Virginia captioned TVPX ARX INC., as Securities Intermediary for Consolidated Wealth Management, LTD. on behalf of itself and all others similarly situated v. Genworth Life and Annuity Insurance Company non-mortality costs equitable relief. On October 29, 2018, we filed a motion to enjoin the case in the Middle District of Georgia, and a motion to dismiss and motion to stay in the Eastern District of Virginia. We moved to enjoin the prosecution of the Eastern District of Virginia action on the basis that it involves claims released in a prior nationwide class action settlement (the “McBride settlement”) that was approved by the Middle District of Georgia. Plaintiff filed an amended complaint on November 13, 2018. On December 6, 2018, we moved the Middle District of Georgia for leave to file our counterclaim, which alleges that plaintiff breached the covenant not to sue contained in the prior settlement agreement by filing its current action. On March 15, 2019, the Middle District of Georgia granted our motion to enjoin and denied our motion for leave to file our counterclaim. As such, plaintiff is enjoined from pursuing its class action in the Eastern District of Virginia. On March 29, 2019, plaintiff filed a notice of appeal in the Middle District of Georgia, notifying the Court of its appeal to the United States Court of Appeals for the Eleventh Circuit from the order granting our motion to enjoin. On March 29, 2019, we filed our notice of cross-appeal in the Middle District of Georgia, notifying the Court of our cross-appeal to the Eleventh Circuit from the portion of the order denying our motion for leave to file our counterclaim. On April 8, 2019, the Eastern District of Virginia dismissed the case without prejudice, with leave for plaintiff to refile an amended complaint only if a final appellate Court decision vacates the injunction and reverses the Middle District of Georgia’s opinion. On May 21, 2019, plaintiff filed its appeal and memorandum in support in the Eleventh Circuit. We filed our response to plaintiff’s appeal memorandum on July 3, 2019. The Eleventh Circuit Court of Appeals heard oral argument on plaintiff’s appeal and our cross-appeal on April 21, 2020. On May 26, 2020, the Eleventh Circuit Court of Appeals vacated the Middle District of Georgia’s order enjoining Plaintiff’s class action and remanded the case back to the Middle District of Georgia for further factual development as to whether Genworth has altered how it calculates or charges cost of insurance since the McBride settlement. The Eleventh Circuit Court of Appeals did not reach a decision on Genworth’s counterclaim. We intend to continue to vigorously defend the dismissal of this action. In September 2018, Genworth Financial, Genworth Holdings, Genworth North America Corporation, GFIH and Genworth Life Insurance Company (“GLIC”) were named as defendants in a putative class action lawsuit pending in the Court of Chancery of the State of Delaware captioned Richard F. Burkhart, William E. Kelly, Richard S. Lavery, Thomas R. Pratt, Gerald Green, individually and on behalf of all other persons similarly situated v. Genworth et al In January 2019, Genworth Financial and GLIC were named as defendants Jerome Skochin, Susan Skochin, and Larry Huber, individually and on behalf of all other persons similarly situated v. Genworth Financial, Inc. and Genworth Life Insurance Company Trade COVID-19. The Court conducted final approval hearings on July 10, 2020 and July 14, 2020 and has continued the final approval hearing to September 11, 2020. On April 6, 2020, GLAIC, our indirect wholly-owned subsidiary, was named as a defendant in a putative class action lawsuit filed in the United States District Court for the Eastern District of Virginia, captioned Brighton Trustees, LLC, on behalf of and as trustee for Diamond LS Trust; and Bank of Utah, solely as securities intermediary for Diamond LS Trust; on behalf of themselves and all others similarly situated v. Genworth Life and Annuity Insurance Company. Ronald L. Daubenmier, individually and on behalf of himself and all others similarly situated v. Genworth Life and Annuity Insurance Company At this time we cannot determine or predict the ultimate outcome of any of the pending legal and regulatory matters specifically identified above or the likelihood of potential future legal and regulatory matters against us. Except as disclosed above, we are not able to provide an estimate or range of reasonably possible losses related to these matters. Therefore, we cannot ensure that the current investigations and proceedings will not have a material adverse effect on our business, financial condition or results of operations. In addition, it is possible that related investigations and proceedings may be commenced in the future, and we could become subject to additional unrelated investigations and lawsuits. Increased regulatory scrutiny and any resulting investigations or proceedings could result in new legal precedents and industry-wide regulations or practices that could adversely affect our business, financial condition and results of operations. (b) Commitments As of June 30, 2020, we were committed to fund $1,135 million in limited partnership investments, $84 million in U.S. commercial mortgage loan investments and $32 million in private placement investments. As of June 30, 2020, we were also committed to fund $35 million of bank loan investments which had not yet been drawn. |
Changes in Accumulated Other Co
Changes in Accumulated Other Comprehensive Income (Loss) | 6 Months Ended |
Jun. 30, 2020 | |
Changes In Accumulated Other Comprehensive Income (Loss) | (13) Changes in Accumulated Other Comprehensive Income (Loss) The following tables show the changes in accumulated other comprehensive income (loss), net of taxes, by component as of and for the periods indicated: (Amounts in millions) Net (1) Derivatives (2) Foreign Total Balances as of April 1, 2020 $ 1,140 $ 2,755 $ (80 ) $ 3,815 OCI before reclassifications 762 (48 ) 73 787 Amounts reclassified from (to) OCI (88 ) (30 ) — (118 ) Current period OCI 674 (78 ) 73 669 Balances as of June 30, 2020 before noncontrolling interests 1,814 2,677 (7 ) 4,484 Less: change in OCI attributable to noncontrolling interests 3 — 34 37 Balances as of June 30, 2020 $ 1,811 $ 2,677 $ (41 ) $ 4,447 (1) Net of adjustments to DAC, present value of future profits, sales inducements and benefit reserves. See note 4 for additional information. (2) See note 5 for additional information. (Amounts in millions) Net (1) Derivatives (2) Foreign Total Balances as of April 1, 2019 $ 943 $ 1,850 $ (301 ) $ 2,492 OCI before reclassifications 375 157 43 575 Amounts reclassified from (to) OCI 1 (24 ) — (23 ) Current period OCI 376 133 43 552 Balances as of June 30, 2019 before noncontrolling interests 1,319 1,983 (258 ) 3,044 Less: change in OCI attributable to noncontrolling interests 14 — 17 31 Balances as of June 30, 2019 $ 1,305 $ 1,983 $ (275 ) $ 3,013 (1) Net of adjustments to DAC, present value of future profits, sales inducements and benefit reserves. See note 4 for additional information. (2) See note 5 for additional information. (Amounts in millions) Net (1) Derivatives (2) Foreign Total Balances as of January 1, 2020 $ 1,456 $ 2,002 $ (25 ) $ 3,433 OCI before reclassifications 448 735 (25 ) 1,158 Amounts reclassified from (to) OCI (94 ) (60 ) — (154 ) Current period OCI 354 675 (25 ) 1,004 Balances as of June 30, 2020 before noncontrolling interests 1,810 2,677 (50 ) 4,437 Less: change in OCI attributable to noncontrolling interests (1 ) — (9 ) (10 ) Balances as of June 30, 2020 $ 1,811 $ 2,677 $ (41 ) $ 4,447 (1) Net of adjustments to DAC, present value of future profits, sales inducements and benefit reserves. See note 4 for additional information. (2) See note 5 for additional information. (Amounts in millions) Net (1) Derivatives (2) Foreign Total Balances as of January 1, 2019 $ 595 $ 1,781 $ (332 ) $ 2,044 OCI before reclassifications 802 254 97 1,153 Amounts reclassified from (to) OCI (46 ) (52 ) — (98 ) Current period OCI 756 202 97 1,055 Balances as of June 30, 2019 before noncontrolling interests 1,351 1,983 (235 ) 3,099 Less: change in OCI attributable to noncontrolling interests 46 — 40 86 Balances as of June 30, 2019 $ 1,305 $ 1,983 $ (275 ) $ 3,013 (1) Net of adjustments to DAC, present value of future profits, sales inducements and benefit reserves. See note 4 for additional information. (2) See note 5 for additional information. The foreign currency translation and other adjustments balance in the charts above included $(2) million, net of taxes of $1 million, related to a net unrecognized postretirement benefit obligation as of June 30, 2019. The balance also included taxes of $22 million and $(45) million, respectively, related to foreign currency translation adjustments as of June 30, 2020 and 2019. The following table shows reclassifications in (out) of accumulated other comprehensive income (loss), net of taxes, for the periods presented: Amount reclassified from accumulated other comprehensive income (loss) Affected line item in the consolidated statements of income Three months ended June 30, Six months ended June 30, (Amounts in millions) 2020 2019 2020 2019 Net unrealized investment (gains) losses: Unrealized (gains) losses on investments (1) $ (112 ) $ 2 $ (119 ) $ (58 ) Net investment (gains) losses Income taxes 24 (1 ) 25 12 Provision for income taxes Total $ (88 ) $ 1 $ (94 ) $ (46 ) Derivatives qualifying as hedges: Interest rate swaps hedging assets $ (46 ) $ (42 ) $ (89 ) $ (80 ) Net investment income Interest rate swaps hedging assets — 4 (4 ) (2 ) Net investment (gains) losses Foreign currency swaps — 1 — 1 Net investment income Income taxes 16 13 33 29 Provision for income taxes Total $ (30 ) $ (24 ) $ (60 ) $ (52 ) (1) Amounts exclude adjustments to DAC, present value of future profits, sales inducements and benefit reserves. |
Discontinued Operations
Discontinued Operations | 6 Months Ended |
Jun. 30, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | (14) Discontinued Operations Canada mortgage insurance business On December 12, 2019, we completed the sale of Genworth Canada, our former Canada mortgage insurance business and received approximately $1.7 billion in net cash proceeds. Prior to its sale, in the third quarter of 2019, Genworth Canada was reported as discontinued operations; accordingly, its results of operations were separately reported for the three and six months ended June 30, 2019. A summary of operating results related to Genworth Canada reported as discontinued operations were as follows for the three and six months ended June 30, 2019: (Amounts in millions) Three months Six months Revenues: Premiums $ 125 $ 251 Net investment income 36 71 Net investment gains (losses) 1 — Total revenues 162 322 Benefits and expenses: Benefits and other changes in policy reserves 19 38 Acquisition and operating expenses, net of deferrals 18 32 Amortization of deferred acquisition costs and intangibles 11 21 Interest expense (1) 13 25 Total benefits and expenses 61 116 Income before income taxes (2) 101 206 Provision for income taxes 41 84 Income from discontinued operations, net of taxes 60 122 Less: net income from discontinued operations attributable to noncontrolling interests 35 71 Income from discontinued operations available to Genworth Financial, Inc.’s common stockholders $ 25 $ 51 (1) Interest on debt assumed by Brookfield and interest on debt that was repaid as a result of the sale of Genworth Canada was allocated and reported in discontinued operations. A senior secured term loan facility (“Term Loan”), owed by Genworth Holdings and secured by GFIH’s ownership interest in Genworth Canada’s outstanding common shares, was repaid in connection with the close of the Genworth Canada sale. Accordingly, interest expense related to the Term Loan of $8 million and $16 million for the three and six months ended June 30, 2019, respectively, was allocated and reported in discontinued operations. (2) The three and six months ended June 30, 2019 includes pre-tax Lifestyle protection insurance On December 1, 2015, we completed the sale of our lifestyle protection insurance business to AXA. In June 2020, we accrued a contingent liability of $653 million that was reflected as liabilities related to discontinued operations in our unaudited condensed consolidated balance sheet as of June 30, 2020. The contingent liability was recorded in connection with a settlement agreement reached with AXA on July 20, 2020 f after-tax loss related to the after-tax As part of the settlement agreement, we agreed to make payments for mis -selling a significant p ortion of mis-selling mis-selling The promissory note is also subject to certain mandatory prepayments upon the occurrence of: • the consummation of certain qualifying debt transactions in which total gross proceeds of at least $750 million are raised; • the consummation of certain qualifying equity issuances or dispositions with respect to GMHI, or any of our subsidiaries, in which total net cash proceeds of at least $475 million are raised; • certain dispositions of our U.S. mortgage insurance business; • the consummation of the China Oceanwide merger and the funding of the contemplated capital investment plan; • transactions involving a change of control of Genworth, other than the China Oceanwide transaction; and • receipt of dividends and sale proceeds from certain Genworth subsidiaries above certain threshold amounts. The promissory note also contains certain negative and affirmative covenants, representations and warranties and customary events of default. In January 2020, we made an interim payment to AXA for £100 million ($134 million), which was accrued as a contingent liability and reflected as liabilities related to discontinued operations as of December 31, 2019. This amount was included in income (loss) from discontinued operations for the year ended December 31, 2019. We have established our current best estimates for future claims that are still being processed under the settlement agreement, as well as for an unrelated liability related to certain claims and other expenses; however, there may be future adjustments to these estimates. If amounts are different from our estimates, it could result in an adjustment to our liabilities and an additional amount reflected in income (loss) from discontinued operations. |
Accounting Changes (Policies)
Accounting Changes (Policies) | 6 Months Ended |
Jun. 30, 2020 | |
Disclosure of Accounting Changes [Abstract] | |
Accounting Pronouncements Recently Adopted | Accounting Pronouncements Recently Adopted On January 1, 2020, we adopted new accounting guidance related to disclosure requirements for defined benefit plans as part of the Financial Accounting Standards Board’s (the “FASB”) disclosure framework project. The guidance adds, eliminates and modifies certain disclosure requirements for defined benefit pension and other postretirement benefit plans. We adopted this new accounting guidance using the retrospective method, which did not have a significant impact on our condensed consolidated financial statements and disclosures. On January 1, 2020, we adopted new accounting guidance related to fair value disclosure requirements as part of the FASB’s disclosure framework project. The guidance adds, eliminates and modifies certain disclosure requirements for fair value measurements. The guidance includes new disclosure requirements related to changes in unrealized gains and losses included in other comprehensive income (loss) for recurring Level 3 fair value measurements held at the end of the reporting period and the range and weighted-average of significant unobservable inputs used to develop Level 3 fair value measurements. We adopted this new accounting guidance using the prospective method for disclosures related to changes in unrealized gains and losses included in other comprehensive income (loss) for recurring Level 3 fair value measurements held at the end of the reporting period, the range and weighted-average of significant unobservable inputs used to develop Level 3 fair value measurements and the narrative description of measurement uncertainty and the retrospective method for all other disclosures. This accounting guidance did not impact our condensed consolidated financial statements but impacted our fair value disclosures. In March 2020, the FASB issued new accounting guidance related to reference rate reform, which was effective for us on January 1, 2020. The guidance provides temporary guidance to ease the potential burden in accounting for, or recognizing the effects of, reference rate reform, which includes the transition away from the London Interbank Offered Rate (“LIBOR”). This new guidance provides optional practical expedients and exceptions for applying generally accepted accounting principles to investments, derivatives or other transactions affected by reference rate reform such as those that impact the assessment of derivative hedge effectiveness and contract modifications, to include continuing hedge accounting when certain critical terms of a hedging relationship change and modifying certain effectiveness assessments to exclude certain potential sources of ineffectiveness. In addition to the optional practical expedients, the guidance includes a general principle that permits an entity to consider contract modifications due to reference rate reform to be an event that does not require contract remeasurement at the modification date or reassessment of a previous accounting determination. We adopted this guidance prospectively and it did not have a significant impact on our condensed consolidated financial statements or disclosures. However, the amendments in this guidance may be elected over time through December 31, 2022 as reference rate reform activities occur and therefore, this guidance may impact our procedures, including our process for assessing the effectiveness of our cash flow hedging relationships, determined on an individual hedge basis, as we implement measures to transition away from LIBOR. On January 1, 2020, we adopted new accounting guidance related to accounting for credit losses on financial instruments. The guidance requires entities to recognize an allowance equal to its estimate of lifetime expected credit losses and applies to most financial instruments not measured at fair value, which primarily includes our commercial mortgage loans, bank loan investments and reinsurance recoverables. The new guidance also requires the recognition of an allowance for expected credit losses as a liability in our consolidated balance sheet for off-balance sheet For our commercial mortgage loans, we determine the adequacy of the allowance for credit losses utilizing an analytical model that provides various loss scenarios based on historical experience adjusted for current events, trends, economic conditions and reasonable and supportable forecasts that result in a loss in the loan portfolio over the estimated life of the loans. We revert to historical credit loss experience for periods beyond forecasts that are reasonable and supportable. The allowance for credit losses is measured on a collective basis with consideration for debt service coverage ratio, debt-to-value, inputs into the analytical model include exposure, weighted-average life, return, historical loss rates and forecast scenarios. Actual amounts realized over time could differ from the amounts estimated for the allowance for credit losses reported in the condensed consolidated financial statements. Commercial mortgage loans are written off against the allowance to the extent principal or interest is deemed uncollectible. Accrued interest related to commercial mortgage loans is included in accrued investment income in our condensed consolidated balance sheet and had a carrying value of $ million as of June , . We do not measure an allowance for credit losses related to accrued interest as uncollectible accrued interest related to our commercial mortgage loans are written off after days and once is determined to be uncertain and not probable. Amounts written off related to accrued interest are recorded as a credit loss expense included in net investment gains (losses). We adopted the guidance related to our investments carried at amortized cost using the modified retrospective method and recorded an allowance related to lifetime expected credit losses of $23 million, net of deferred taxes of $6 million, for commercial mortgage loans and bank loan investments, with an offset to cumulative effect of change in accounting within retained earnings. See note 4 for additional disclosures related to commercial mortgage loans. We adopted the guidance related to our off-balance The allowance for credit losses for reinsurance recoverables is evaluated based on historical loss experience adjusted for current events and reasonable and supportable forecasts from both internal and external sources. The allowance is measured by reinsurer, taking into consideration the reinsured product type and collateral type, and is calculated based on an externally reported probability of default corresponding to the reinsurer’s credit rating and the expected duration of the reinsurer’s contractual obligation to reimburse us for ceded claims on the underlying policies. Our estimate of the allowance reflects consideration for collateral securing the reinsurance agreements and expected recoveries of amounts previously charged off and expected to be charged off. We also consider other credit risk factors, including, among other factors, the historical frequency and severity of the associated insurance claims, aging of recoverables and regulatory, legal and economic factors, to determine if an additional incremental allowance for credit losses is required. No reversion adjustments are necessary as the starting point for our allowance for credit losses reflects historical loss experience covering the expected duration of the reinsurer’s contractual obligation to reimburse us. If available facts and circumstances indicate the reinsurance recoverable does not reflect expectations consistent with the collective analysis, the reinsurance recoverable is assessed on a separate basis. Write-offs of reinsurance recoverables are deducted from the allowance in the period the reinsurance recoverable is determined to be uncollectible. We adopted the guidance related to our reinsurance recoverables using the modified retrospective method and recorded an allowance related to lifetime expected credit losses of $31 million, net of deferred taxes of $9 million, with an offset to cumulative effect of change in accounting within retained earnings. See note 8 for additional disclosures related to reinsurance recoverables. The new guidance retains most of the existing impairment guidance for available-for-sale Available-for-sale expected to be collected from the security are compared to the amortized cost basis of the security. If the present available-for-sale available-for-sale available-for-sale available-for-sale |
Accounting Pronouncements Not Yet Adopted | Accounting Pronouncements Not Yet Adopted In December 2019, the FASB issued new accounting guidance related to simplifying the accounting for income taxes. The guidance eliminates certain exceptions related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. The guidance is currently effective for us on January 1, 2021 using the retrospective method or modified retrospective method for certain changes and prospective method for all other changes, with early adoption permitted. We are in process of evaluating the impact the guidance may have on our consolidated financial statements and disclosures. In August 2018, the FASB issued new accounting guidance that significantly changes the recognition and measurement of long-duration insurance contracts and expands disclosure requirements, which impacts our life insurance deferred acquisition costs (“DAC”) and liabilities. In accordance with the guidance, the more significant changes include: • assumptions will no longer be locked-in catch-up • the discount rate used to determine the liability for future policy benefits will be a current upper-medium grade (low credit risk) fixed-income instrument yield, which is generally interpreted to mean a single-A • the provision for adverse deviation and the premium deficiency test will be eliminated; • market risk benefits associated with deposit-type contracts will be measured at fair value with changes related to instrument-specific credit risk recorded in other comprehensive income (loss) and remaining changes recorded in net income (loss); • the amortization method for DAC will generally be on a straight-line basis over the expected contract term; and • disclosures will be greatly expanded to include significant assumptions and product liability rollforwards. We expect this guidance to be effective for us on January 1, 2023, subject to the FASB finalizing an additional one-year |
Earnings (Loss) Per Share (Tabl
Earnings (Loss) Per Share (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Earnings (Loss) Per Share | Basic and diluted earnings (loss) per share are calculated by dividing each income (loss) category presented below by the weighted-average basic and diluted common shares outstanding for the periods indicated: Three months ended Six months ended June 30, June 30, (Amounts in millions, except per share amounts) 2020 2019 2020 2019 Weighted-average shares used in basic earnings per share calculations 505.4 503.4 504.8 502.3 Potentially dilutive securities: Stock options, restricted stock units and stock appreciation rights 7.1 5.3 6.3 6.4 Weighted-average shares used in diluted earnings per share calculations 512.5 508.7 511.1 508.7 Income from continuing operations: Income from continuing operations $ 102 $ 158 $ 30 $ 326 Less: net income from continuing operations attributable to noncontrolling interests 23 15 17 35 Income from continuing operations available to Genworth Financial, Inc.’s common stockholders $ 79 $ 143 $ 13 $ 291 Basic per share $ 0.16 $ 0.29 $ 0.03 $ 0.58 Diluted per share $ 0.15 $ 0.28 $ 0.03 $ 0.57 Income (loss) from discontinued operations: Income (loss) from discontinued operations, net of taxes $ (520 ) $ 60 $ (520 ) $ 122 Less: net income from discontinued operations attributable to noncontrolling interests — 35 — 71 Income (loss) from discontinued operations available to Genworth Financial, Inc.’s common stockholders $ (520 ) $ 25 $ (520 ) $ 51 Basic per share $ (1.03 ) $ 0.05 $ (1.03 ) $ 0.10 Diluted per share $ (1.01 ) $ 0.05 $ (1.02 ) $ 0.10 Net income (loss): Income from continuing operations $ 102 $ 158 $ 30 $ 326 Income (loss) from discontinued operations, net of taxes (520 ) 60 (520 ) 122 Net income (loss) (418 ) 218 (490 ) 448 Less: net income attributable to noncontrolling interests 23 50 17 106 Net income (loss) available to Genworth Financial, Inc.’s common stockholders $ (441 ) $ 168 $ (507 ) $ 342 Basic per share (1) $ (0.87 ) $ 0.33 $ (1.00 ) $ 0.68 Diluted per share $ (0.86 ) $ 0.33 $ (0.99 ) $ 0.67 (1) May not total due to whole number calculation. |
Investments (Tables)
Investments (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Net Investment Income | Sources of net investment income were as follows for the periods indicated: Three months ended Six months ended June 30, June 30, (Amounts in millions) 2020 2019 2020 2019 Fixed maturity securities—taxable $ 601 $ 634 $ 1,223 $ 1,247 Fixed maturity securities—non-taxable 1 2 3 4 Equity securities 2 5 4 9 Commercial mortgage loans 84 85 169 167 Policy loans 49 45 98 91 Other invested assets 66 59 113 118 Cash, cash equivalents, restricted cash and short-term investments 4 11 15 22 Gross investment income before expenses and fees 807 841 1,625 1,658 Expenses and fees (21 ) (25 ) (46 ) (48 ) Net investment income $ 786 $ 816 $ 1,579 $ 1,610 |
Net Investment Gains (Losses) | (b) Net Investment Gains (Losses) The following table sets forth net investment gains (losses) for the periods indicated: Three months ended Six months ended June 30, June 30, (Amounts in millions) 2020 2019 2020 2019 Available-for-sale Realized gains $ 119 $ 10 $ 133 $ 74 Realized losses (5 ) (21 ) (6 ) (27 ) Net realized gains (losses) on available-for-sale 114 (11 ) 127 47 Impairments: Total other-than-temporary impairments — — — — Portion of other-than-temporary impairments included in other comprehensive income (loss) — — — — Net other-than-temporary impairments — — — — Net change in allowance for credit losses on available-for-sale (7 ) — (7 ) — Net realized gains (losses) on equity securities sold — — — 3 Net unrealized gains (losses) on equity securities still held 9 5 (10 ) 17 Limited partnerships 37 (11 ) (3 ) 4 Commercial mortgage loans 1 1 1 — Derivative instruments (1) 10 (30 ) (95 ) (42 ) Other (5 ) — (6 ) — Net investment gains (losses) $ 159 $ (46 ) $ 7 $ 29 (1) See note 5 for additional information on the impact of derivative instruments included in net investment gains (losses). |
Allowance for credit losses related to fixed maturity securities | The following table represents the allowance for credit losses aggregated by security type for available-for-sale Increase from Increase securities (decrease) Decrease without from securities due to change allowance in with allowance in intent or Beginning previous in previous Securities requirement Ending (Amounts in millions) balance periods periods sold to sell Write-offs Recoveries balance Fixed maturity securities: Non-U.S. $ — $ 4 $ — $ — $ — $ — $ — $ 4 Commercial mortgage-backed — 3 — — — — — 3 Total available-for-sale $ — $ 7 $ — $ — $ — $ — $ — $ 7 |
Credit Losses Recognized in Net Income (Loss) | The following represents the activity for credit losses recognized in net income (loss) on debt securities where an other-than-temporary impairment was identified and a portion of other-than-temporary impairments was included in other comprehensive income (“OCI”) as of and for the periods indicated: Three months Six months ended ended June 30, June 30, (Amounts in millions) 2019 2019 Beginning balance $ 23 $ 24 Reductions: Securities sold, paid down or disposed — (1 ) Ending balance $ 23 $ 23 |
Unrealized Investment Gains and Losses | Net unrealized gains and losses on available-for-sale (Amounts in millions) June 30, 2020 December 31, 2019 Net unrealized gains (losses) on fixed maturity securities without an allowance for credit losses (1) $ 8,766 $ 6,676 Net unrealized gains (losses) on fixed maturity securities with an allowance for credit losses (1) (10 ) — Adjustments to deferred acquisition costs, present value of future profits, sales inducements and benefit reserves (6,420 ) (4,789 ) Income taxes, net (501 ) (406 ) Net unrealized investment gains (losses) 1,835 1,481 Less: net unrealized investment gains (losses) attributable to noncontrolling interests 24 25 Net unrealized investment gains (losses) attributable to Genworth Financial, Inc. $ 1,811 $ 1,456 (1) Excludes foreign exchange. |
Change in Net Unrealized Gains (Losses) on Available-for-Sale Investment Securities Reported in Accumulated Other Comprehensive Income (Loss) | The change in net unrealized gains (losses) on available-for-sale As of or for the three months ended June 30, (Amounts in millions) 2020 2019 Beginning balance $ 1,140 $ 943 Unrealized gains (losses) arising during the period: Unrealized gains (losses) on fixed maturity securities 3,911 1,957 Adjustment to deferred acquisition costs (111 ) (52 ) Adjustment to present value of future profits 5 (2 ) Adjustment to sales inducements (34 ) (12 ) Adjustment to benefit reserves (2,802 ) (1,412 ) Provision for income taxes (207 ) (104 ) Change in unrealized gains (losses) on investment securities 762 375 Reclassification adjustments to net investment (gains) losses, net of taxes of $24 and $(1) (88 ) 1 Change in net unrealized investment gains (losses) 674 376 Less: change in net unrealized investment gains (losses) attributable to noncontrolling interests 3 14 Ending balance $ 1,811 $ 1,305 As of or for the six months ended June 30, (Amounts in millions) 2020 2019 Beginning balance $ 1,456 $ 595 Unrealized gains (losses) arising during the period: Unrealized gains (losses) on fixed maturity securities 2,199 3,956 Adjustment to deferred acquisition costs 57 (1,041 ) Adjustment to present value of future profits 4 (55 ) Adjustment to sales inducements 2 (31 ) Adjustment to benefit reserves (1,694 ) (1,800 ) Provision for income taxes (120 ) (227 ) Change in unrealized gains (losses) on investment securities 448 802 Reclassification adjustments to net investment (gains) losses, net of taxes of $25 and $12 (94 ) (46 ) Change in net unrealized investment gains (losses) 354 756 Less: change in net unrealized investment gains (losses) attributable to noncontrolling interests (1 ) 46 Ending balance $ 1,811 $ 1,305 |
Fixed Maturity Securities | As of June 30, 2020, the amortized cost or cost, gross unrealized gains (losses), allowance for credit losses and fair value of our fixed maturity securities classified as available-for-sale Amortized Gross Gross Allowance cost or unrealized unrealized for credit Fair (Amounts in millions) cost gains losses losses value Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 3,877 $ 1,725 $ — $ — $ 5,602 State and political subdivisions 2,503 496 (1 ) — 2,998 Non-U.S. 1,424 125 (7 ) — 1,542 U.S. corporate: Utilities 4,392 879 (1 ) — 5,270 Energy 2,454 203 (63 ) — 2,594 Finance and insurance 7,400 1,017 (14 ) — 8,403 Consumer—non-cyclical 5,132 1,147 (2 ) — 6,277 Technology and communications 2,912 503 (4 ) — 3,411 Industrial 1,350 157 (4 ) — 1,503 Capital goods 2,580 454 (6 ) — 3,028 Consumer—cyclical 1,748 224 (6 ) — 1,966 Transportation 1,335 254 (24 ) — 1,565 Other 340 38 — — 378 Total U.S. corporate 29,643 4,876 (124 ) — 34,395 Non-U.S. Utilities 811 68 — — 879 Energy 1,141 148 (14 ) — 1,275 Finance and insurance 2,199 284 (16 ) (1 ) 2,466 Consumer—non-cyclical 692 86 (1 ) — 777 Technology and communications 1,066 182 (1 ) — 1,247 Industrial 883 116 (4 ) — 995 Capital goods 565 50 (2 ) — 613 Consumer—cyclical 380 27 — — 407 Transportation 560 84 (6 ) (3 ) 635 Other 1,376 218 (3 ) — 1,591 Total non-U.S. 9,673 1,263 (47 ) (4 ) 10,885 Residential mortgage-backed 1,927 259 (2 ) — 2,184 Commercial mortgage-backed 2,800 225 (52 ) (3 ) 2,970 Other asset-backed 2,987 30 (49 ) — 2,968 Total available-for-sale $ 54,834 $ 8,999 $ (282 ) $ (7 ) $ 63,544 As of December 31, 2019, the amortized cost or cost, gross unrealized gains (losses) and fair value of our fixed maturity securities classified as available-for-sale Gross unrealized gains Gross unrealized losses Amortized Not other-than- Other-than- Not other-than- Other-than- cost or temporarily temporarily temporarily temporarily Fair (Amounts in millions) cost impaired impaired impaired impaired value Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 4,073 $ 952 $ — $ — $ — $ 5,025 State and political subdivisions 2,394 355 — (2 ) — 2,747 Non-U.S. 1,235 117 — (2 ) — 1,350 U.S. corporate: Utilities 4,322 675 — — — 4,997 Energy 2,404 303 — (8 ) — 2,699 Finance and insurance 6,977 798 — (1 ) — 7,774 Consumer—non-cyclical 4,909 796 — (4 ) — 5,701 Technology and communications 2,883 363 — (1 ) — 3,245 Industrial 1,271 125 — — — 1,396 Capital goods 2,345 367 — (1 ) — 2,711 Consumer—cyclical 1,590 172 — (2 ) — 1,760 Transportation 1,320 187 — (1 ) — 1,506 Other 292 30 — — — 322 Total U.S. corporate 28,313 3,816 — (18 ) — 32,111 Non-U.S. Utilities 779 50 — — — 829 Energy 1,140 179 — — — 1,319 Finance and insurance 2,087 232 — — — 2,319 Consumer—non-cyclical 631 55 — (2 ) — 684 Technology and communications 1,010 128 — — — 1,138 Industrial 896 92 — — — 988 Capital goods 565 40 — — — 605 Consumer—cyclical 373 24 — — — 397 Transportation 557 73 — (1 ) — 629 Other 1,431 188 — (2 ) — 1,617 Total non-U.S. 9,469 1,061 — (5 ) — 10,525 Residential mortgage-backed 2,057 199 15 (1 ) — 2,270 Commercial mortgage-backed 2,897 137 — (8 ) — 3,026 Other asset-backed 3,262 30 — (7 ) — 3,285 Total available-for-sale $ 53,700 $ 6,667 $ 15 $ (43 ) $ — $ 60,339 |
Gross Unrealized Losses and Fair Values of Securities in a Continuous Unrealized Loss Position | The following table presents the gross unrealized losses and fair values of our fixed maturity securities for which an allowance for credit losses has not been recorded, aggregated by investment type and length of time that individual fixed maturity securities have been in a continuous unrealized loss position, as of June 30, 2020: Less than 12 months 12 months or more Total Gross Gross Gross Fair unrealized Number of Fair unrealized Number of Fair unrealized Number of (Dollar amounts in millions) value losses securities value losses securities value losses securities Description of Securities Fixed maturity securities: State and political subdivisions $ 23 $ (1 ) 6 $ — $ — — $ 23 $ (1 ) 6 Non-U.S. 207 (7 ) 18 — — — 207 (7 ) 18 U.S. corporate 1,785 (107 ) 291 182 (17 ) 18 1,967 (124 ) 309 Non-U.S. 613 (37 ) 125 12 (2 ) 2 625 (39 ) 127 Residential mortgage-backed 36 (1 ) 11 8 (1 ) 4 44 (2 ) 15 Commercial mortgage-backed 625 (50 ) 105 — — — 625 (50 ) 105 Other asset-backed 1,329 (38 ) 291 263 (11 ) 62 1,592 (49 ) 353 Total for fixed maturity securities in an unrealized loss position $ 4,618 $ (241 ) 847 $ 465 $ (31 ) 86 $ 5,083 $ (272 ) 933 % Below cost: <20% Below cost $ 4,538 $ (211 ) 825 $ 442 $ (24 ) 83 $ 4,980 $ (235 ) 908 20%-50% 80 (30 ) 22 22 (6 ) 2 102 (36 ) 24 >50% Below cost — — — 1 (1 ) 1 1 (1 ) 1 Total for fixed maturity securities in an unrealized loss position $ 4,618 $ (241 ) 847 $ 465 $ (31 ) 86 $ 5,083 $ (272 ) 933 Investment grade $ 3,731 $ (163 ) 701 $ 330 $ (18 ) 71 $ 4,061 $ (181 ) 772 Below investment grade 887 (78 ) 146 135 (13 ) 15 1,022 (91 ) 161 Total for fixed maturity securities in an unrealized loss position $ 4,618 $ (241 ) 847 $ 465 $ (31 ) 86 $ 5,083 $ (272 ) 933 The following table presents the gross unrealized losses and fair values of our corporate securities, for which an allowance for credit loss has not been recorded, aggregated by investment type and length of time that individual investment securities have been in a continuous unrealized loss position, based on industry, as of June 30, 2020: Less than 12 months 12 months or more Total Gross Gross Gross Fair unrealized Number of Fair unrealized Number of Fair unrealized Number of (Dollar amounts in millions) value losses securities value losses securities value losses securities Description of Securities U.S. corporate: Utilities $ 35 $ (1 ) 6 $ — $ — — $ 35 $ (1 ) 6 Energy 594 (50 ) 93 88 (13 ) 11 682 (63 ) 104 Finance and insurance 429 (14 ) 56 — — — 429 (14 ) 56 Consumer—non-cyclical 80 (1 ) 17 43 (1 ) 2 123 (2 ) 19 Technology and communications 89 (4 ) 20 — — — 89 (4 ) 20 Industrial 98 (4 ) 9 — — — 98 (4 ) 9 Capital goods 90 (5 ) 14 14 (1 ) 1 104 (6 ) 15 Consumer—cyclical 181 (4 ) 32 37 (2 ) 4 218 (6 ) 36 Transportation 189 (24 ) 44 — — — 189 (24 ) 44 Subtotal, U.S. corporate securities 1,785 (107 ) 291 182 (17 ) 18 1,967 (124 ) 309 Non-U.S. Energy 150 (14 ) 23 — — — 150 (14 ) 23 Finance and insurance 215 (10 ) 43 — — — 215 (10 ) 43 Consumer—non-cyclical — — — 6 (1 ) 1 6 (1 ) 1 Technology and communications 34 (1 ) 16 — — — 34 (1 ) 16 Industrial 80 (4 ) 11 — — — 80 (4 ) 11 Capital goods 62 (2 ) 8 — — — 62 (2 ) 8 Transportation 42 (4 ) 15 — — — 42 (4 ) 15 Other 30 (2 ) 9 6 (1 ) 1 36 (3 ) 10 Subtotal, non-U.S. 613 (37 ) 125 12 (2 ) 2 625 (39 ) 127 Total for corporate securities in an unrealized loss position $ 2,398 $ (144 ) 416 $ 194 $ (19 ) 20 $ 2,592 $ (163 ) 436 The following table presents the gross unrealized losses and fair values of our fixed maturity securities, aggregated by investment type and length of time that individual fixed maturity securities have been in a continuous unrealized loss position, as of December 31, 2019: Less than 12 months 12 months or more Total (Dollar amounts in millions) Fair Gross Number Fair Gross Number Fair Gross Number Description of Securities Fixed maturity securities: State and political subdivisions $ 91 $ (2 ) 14 $ — $ — — $ 91 $ (2 ) 14 Non-U.S. 224 (2 ) 20 — — — 224 (2 ) 20 U.S. corporate 123 (5 ) 27 302 (13 ) 33 425 (18 ) 60 Non-U.S. 79 (1 ) 12 62 (4 ) 7 141 (5 ) 19 Residential mortgage-backed 22 (1 ) 10 — — — 22 (1 ) 10 Commercial mortgage-backed 381 (5 ) 51 14 (3 ) 3 395 (8 ) 54 Other asset-backed 532 (2 ) 97 439 (5 ) 115 971 (7 ) 212 Total for fixed maturity securities in an unrealized loss position $ 1,452 $ (18 ) 231 $ 817 $ (25 ) 158 $ 2,269 $ (43 ) 389 % Below cost: <20% Below cost $ 1,452 $ (18 ) 231 $ 807 $ (20 ) 155 $ 2,259 $ (38 ) 386 20%-50% — — — 10 (5 ) 3 10 (5 ) 3 Total for fixed maturity securities in an unrealized loss position $ 1,452 $ (18 ) 231 $ 817 $ (25 ) 158 $ 2,269 $ (43 ) 389 Investment grade $ 1,408 $ (14 ) 223 $ 702 $ (15 ) 145 $ 2,110 $ (29 ) 368 Below investment grade 44 (4 ) 8 115 (10 ) 13 159 (14 ) 21 Total for fixed maturity securities in an unrealized loss position $ 1,452 $ (18 ) 231 $ 817 $ (25 ) 158 $ 2,269 $ (43 ) 389 The following table presents the gross unrealized losses and fair values of our corporate securities, aggregated by investment type and length of time that individual investment securities have been in a continuous unrealized loss position, based on industry, as of December 31, 2019: Less than 12 months 12 months or more Total (Dollar amounts in millions) Fair Gross Number of Fair Gross Number of Fair Gross Number of Description of Securities U.S. corporate: Energy $ 54 $ (3 ) 10 $ 80 $ (5 ) 10 $ 134 $ (8 ) 20 Finance and insurance — — — 34 (1 ) 4 34 (1 ) 4 Consumer—non-cyclical 34 (1 ) 9 93 (3 ) 9 127 (4 ) 18 Technology and communications — — — 18 (1 ) 2 18 (1 ) 2 Capital goods 35 (1 ) 8 — — — 35 (1 ) 8 Consumer—cyclical — — — 54 (2 ) 6 54 (2 ) 6 Transportation — — — 23 (1 ) 2 23 (1 ) 2 Subtotal, U.S. corporate securities 123 (5 ) 27 302 (13 ) 33 425 (18 ) 60 Non-U.S. Consumer—non-cyclical — — — 31 (2 ) 3 31 (2 ) 3 Transportation — — — 25 (1 ) 3 25 (1 ) 3 Other 79 (1 ) 12 6 (1 ) 1 85 (2 ) 13 Subtotal, non-U.S. 79 (1 ) 12 62 (4 ) 7 141 (5 ) 19 Total for corporate securities in an unrealized loss position $ 202 $ (6 ) 39 $ 364 $ (17 ) 40 $ 566 $ (23 ) 79 |
Maturity Distribution of Fixed Maturity Securities | Actual maturities may differ from contractual maturities because issuers of securities may have the right to call or prepay obligations with or without call or prepayment penalties. (Amounts in millions) Amortized Fair Due one year or less $ 1,494 $ 1,517 Due after one year through five years 9,518 10,054 Due after five years through ten years 12,978 14,478 Due after ten years 23,130 29,373 Subtotal 47,120 55,422 Residential mortgage-backed 1,927 2,184 Commercial mortgage-backed 2,800 2,970 Other asset-backed 2,987 2,968 Total $ 54,834 $ 63,544 |
Aging of Past Due Commercial Mortgage Loans by Property Type | The following tables set forth the aging of past due commercial mortgage loans by property type as of the dates indicated: June 30, 2020 (Amounts in millions) 31 - 60 days 61 - 90 days Greater than Total Current Total Property type: Retail $ 10 $ — $ — $ 10 $ 2,521 $ 2,531 Industrial — — — — 1,655 1,655 Office — — — — 1,636 1,636 Apartments — — — — 583 583 Mixed use — — — — 279 279 Other — — — — 261 261 Total amortized cost $ 10 $ — $ — $ 10 $ 6,935 $ 6,945 % of total commercial mortgage loans — % — % — % — % 100 % 100 % December 31, 2019 (Amounts in millions) 31 - 60 days 61 - 90 days Greater than Total Current Total Property type: Retail $ — $ — $ — $ — $ 2,590 $ 2,590 Industrial — — — — 1,670 1,670 Office — — — — 1,632 1,632 Apartments — — — — 541 541 Mixed use — — — — 281 281 Other — — — — 266 266 Total recorded investment $ — $ — $ — $ — $ 6,980 $ 6,980 % of total commercial mortgage loans — % — % — % — % 100 % 100 % |
Allowance for credit losses related to commercial mortgage loans | The following table sets forth the allowance for credit losses related to commercial mortgage loans as of or for the periods indicated: Three months ended Six months ended (Amounts in millions) 2020 2019 2020 2019 Allowance for credit losses: Beginning balance $ 29 $ 10 $ 13 $ 9 Cumulative effect of change in accounting — — 16 — Provision (1 ) 1 (1 ) 2 Write-offs — — — — Recoveries — — — — Ending balance $ 28 $ 11 $ 28 $ 11 |
Commercial Mortgage Loans By Year of Origination and Credit Quality Indicator | The following tables set forth commercial mortgage loans by year of origination and credit quality indicator as of June 30, 2020: (Amounts in millions) 2020 2019 2018 2017 2016 2015 and Total Debt-to-value: 0% - 50% $ 4 $ 15 $ 36 $ 105 $ 118 $ 2,352 $ 2,630 51% - 60% 29 33 190 289 155 809 1,505 61% - 75% 236 748 766 337 226 489 2,802 76% - 100% — — 8 — — — 8 Greater than 100% — — — — — — — Total amortized cost $ 269 $ 796 $ 1,000 $ 731 $ 499 $ 3,650 $ 6,945 Debt service coverage ratio: Less than 1.00 $ — $ — $ 33 $ 3 $ — $ 126 $ 162 1.00 - 1.25 39 12 107 73 13 256 500 1.26 - 1.50 62 359 261 97 88 450 1,317 1.51 - 2.00 130 357 505 322 268 1,278 2,860 Greater than 2.00 38 68 94 236 130 1,540 2,106 Total amortized cost $ 269 $ 796 $ 1,000 $ 731 $ 499 $ 3,650 $ 6,945 Write-offs, gross $ — $ — $ — $ — $ — $ — $ — Recoveries — — — — — — — Write-offs, net $ — $ — $ — $ — $ — $ — $ — |
Debt Service Coverage Ratio | |
Commercial Mortgage Loans by Property Type | The following tables set forth the debt service coverage ratio for fixed rate commercial mortgage loans by property type as of the dates indicated: June 30, 2020 (Amounts in millions) Less than 1.00 1.00 - 1.25 1.26 - 1.50 1.51 - 2.00 Greater Total Property type: Retail $ 63 $ 136 $ 599 $ 1,118 $ 615 $ 2,531 Industrial 24 64 215 670 682 1,655 Office 28 112 269 751 476 1,636 Apartments 11 25 178 184 185 583 Mixed use 3 18 37 106 115 279 Other 33 145 19 31 33 261 Total amortized cost $ 162 $ 500 $ 1,317 $ 2,860 $ 2,106 $ 6,945 % of total 3 % 7 % 19 % 41 % 30 % 100 % Weighted-average debt-to-value 57 % 61 % 63 % 58 % 41 % 54 % December 31, 2019 (Amounts in millions) Less than 1.00 1.00 - 1.25 1.26 - 1.50 1.51 - 2.00 Greater Total Property type: Retail $ 68 $ 141 $ 596 $ 1,148 $ 637 $ 2,590 Industrial 24 51 221 658 716 1,670 Office 44 89 277 751 471 1,632 Apartments 16 32 129 175 189 541 Mixed use 4 16 37 107 117 281 Other 34 147 20 31 34 266 Total recorded investment $ 190 $ 476 $ 1,280 $ 2,870 $ 2,164 $ 6,980 % of total 3 % 7 % 18 % 41 % 31 % 100 % Weighted-average debt-to-value 59 % 61 % 63 % 58 % 41 % 54 % |
Loan To Value Ratio | |
Commercial Mortgage Loans by Property Type | The following tables set forth the debt-to-value June 30, 2020 (Amounts in millions) 0% - 50% 51% - 60% 61% - 75% 76% - 100% Greater Total Property type: Retail $ 963 $ 572 $ 996 $ — $ — $ 2,531 Industrial 758 344 553 — — 1,655 Office 530 359 739 8 — 1,636 Apartments 218 98 267 — — 583 Mixed use 104 67 108 — — 279 Other 57 65 139 — — 261 Total amortized cost $ 2,630 $ 1,505 $ 2,802 $ 8 $ — $ 6,945 % of total 38 % 22 % 40 % — % — % 100 % Weighted-average debt service coverage ratio 2.31 1.80 1.56 1.42 — 1.90 December 31, 2019 (Amounts in millions) 0% - 50% 51% - 60% 61% - 75% 76% - 100% Greater Total Property type: Retail $ 986 $ 579 $ 1,025 $ — $ — $ 2,590 Industrial 808 337 525 — — 1,670 Office 529 380 723 — — 1,632 Apartments 211 110 220 — — 541 Mixed use 104 70 107 — — 281 Other 56 69 141 — — 266 Total recorded investment $ 2,694 $ 1,545 $ 2,741 $ — $ — $ 6,980 % of total 39 % 22 % 39 % — % — % 100 % Weighted-average debt service coverage ratio 2.32 1.81 1.55 — — 1.90 |
Other Geographic Area | Commercial Mortgage Loan | |
Distribution Across Property Type and Geographic Region for Commercial Mortgage Loans | The following tables set forth the distribution across property type and geographic region for commercial mortgage loans as of the dates indicated: June 30, 2020 December 31, 2019 (Amounts in millions) Carrying % of Carrying % of Property type: Retail $ 2,531 36 % $ 2,590 37 % Industrial 1,655 24 1,670 24 Office 1,636 24 1,632 23 Apartments 583 8 541 8 Mixed use 279 4 281 4 Other 261 4 266 4 Subtotal 6,945 100 % 6,980 100 % Unamortized balance of loan origination fees — (4 ) Allowance for credit losses (28 ) (13 ) Total $ 6,917 $ 6,963 June 30, 2020 December 31, 2019 (Amounts in millions) Carrying % of Carrying % of Geographic region: South Atlantic $ 1,751 25 % $ 1,715 25 % Pacific 1,623 23 1,673 24 Middle Atlantic 989 14 992 14 Mountain 765 11 753 11 West North Central 476 7 488 7 East North Central 457 7 455 6 West South Central 436 6 433 6 New England 254 4 257 4 East South Central 194 3 214 3 Subtotal 6,945 100 % 6,980 100 % Unamortized balance of loan origination fees — (4 ) Allowance for credit losses (28 ) (13 ) Total $ 6,917 $ 6,963 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Schedule Of Positions in Derivative Instruments | The following table sets forth our positions in derivative instruments as of the dates indicated: Derivative assets Derivative liabilities Fair value Fair value (Amounts in millions) Balance June 30, December 31, Balance June 30, December 31, Derivatives designated as hedges Cash flow hedges: Interest rate swaps Other invested assets $ 939 $ 197 Other liabilities $ — $ 10 Foreign currency swaps Other invested assets 17 4 Other liabilities — — Total cash flow hedges 956 201 — 10 Total derivatives designated as hedges 956 201 — 10 Derivatives not designated as hedges Equity index options Other invested assets 66 81 Other liabilities — — Financial futures Other invested assets — — Other liabilities — — Other foreign currency contracts Other invested assets 2 8 Other liabilities 1 1 GMWB embedded derivatives Reinsurance (1) 38 20 Policyholder (2) 559 323 Fixed index annuity embedded derivatives Other assets — — Policyholder (3) 447 452 Indexed universal life embedded derivatives Reinsurance — — Policyholder (4) 23 19 Total derivatives not designated as hedges 106 109 1,030 795 Total derivatives $ 1,062 $ 310 $ 1,030 $ 805 (1) Represents embedded derivatives associated with the reinsured portion of our guaranteed minimum withdrawal benefits (“GMWB”) liabilities. (2) Represents the embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. (3) Represents the embedded derivatives associated with our fixed index annuity liabilities. (4) Represents the embedded derivatives associated with our indexed universal life liabilities. |
Schedule of Notional Amounts Outstanding on Derivative Instruments | The following tables represent activity associated with derivative instruments as of the dates indicated: (Notional in millions) Measurement December 31, Additions Maturities/ June 30, Derivatives designated as hedges Cash flow hedges: Interest rate swaps Notional $ 8,968 $ 1,158 $ (1,880 ) $ 8,246 Foreign currency swaps Notional 110 — — 110 Total cash flow hedges 9,078 1,158 (1,880 ) 8,356 Total derivatives designated as hedges 9,078 1,158 (1,880 ) 8,356 Derivatives not designated as hedges Interest rate swaps Notional 4,674 — — 4,674 Equity index options Notional 2,451 883 (1,126 ) 2,208 Financial futures Notional 1,182 3,082 (2,914 ) 1,350 Other foreign currency contracts Notional 628 3,009 (2,618 ) 1,019 Total derivatives not designated as hedges 8,935 6,974 (6,658 ) 9,251 Total derivatives $ 18,013 $ 8,132 $ (8,538 ) $ 17,607 (Number of policies) Measurement December 31, Additions Maturities/ June 30, Derivatives not designated as hedges GMWB embedded derivatives Policies 25,623 — (992 ) 24,631 Fixed index annuity embedded derivatives Policies 15,441 — (668 ) 14,773 Indexed universal life embedded derivatives Policies 884 — (28 ) 856 |
Schedule of Pre-Tax Income (Loss) Effects of Cash Flow Hedges | The following table provides information about the pre-tax (Amounts in millions) Gain (loss) Gain (loss) Classification of gain Gain (loss) Classification of gain Interest rate swaps hedging assets $ (57 ) $ 46 Net investment $ — Net investment Interest rate swaps hedging liabilities 1 — Interest expense — Net investment Foreign currency swaps (4 ) — Net investment — Net investment Total $ (60 ) $ 46 $ — The following table provides information about the pre-tax (Amounts in millions) Gain (loss) Gain (loss) Classification of gain Gain (loss) Classification of gain Interest rate swaps hedging assets $ 216 $ 42 Net investment $ — Net investment Interest rate swaps hedging assets — (4 ) Net investment — Net investment Interest rate swaps hedging liabilities (20 ) — Interest expense — Net investment Foreign currency swaps 2 (1 ) Net investment — Net investment Total $ 198 $ 37 $ — The following table provides information about the pre-tax (Amounts in millions) Gain (loss) Gain (loss) Classification of gain Gain (loss) Classification of gain Interest rate swaps hedging assets $ 984 $ 89 Net investment $ — Net investment Interest rate swaps hedging assets — 4 Net investment — Net investment Interest rate swaps hedging liabilities (62 ) — Interest expense — Net investment Foreign currency swaps 13 — Net investment — Net investment Total $ 935 $ 93 $ — The following table provides information about the pre-tax (Amounts in millions) Gain (loss) Gain (loss) Classification of gain Gain (loss) Classification of gain Interest rate swaps hedging assets $ 353 $ 80 Net investment $ — Net investment Interest rate swaps hedging assets — 2 Net investment — Net investment Interest rate swaps hedging liabilities (32 ) — Interest expense — Net investment Foreign currency swaps (1 ) (1 ) Net investment — Net investment Foreign currency swaps — — Net investment 2 Net investment Total $ 320 $ 81 $ 2 |
Reconciliation of Current Period Changes, Net of Applicable Income Taxes, for Derivatives Qualifying as Hedge | The following tables provide a reconciliation of current period changes, net of applicable income taxes, for these designated derivatives presented in the separate component of stockholders’ equity labeled “derivatives qualifying as hedges,” for the periods indicated: Three months ended (Amounts in millions) 2020 2019 Derivatives qualifying as effective accounting hedges as of April 1 $ 2,755 $ 1,850 Current period increases (decreases) in fair value, net of deferred taxes of $12 and $(41) (48 ) 157 Reclassification to net (income), net of deferred taxes of $16 and $13 (30 ) (24 ) Derivatives qualifying as effective accounting hedges as of June 30 $ 2,677 $ 1,983 Six months ended (Amounts in millions) 2020 2019 Derivatives qualifying as effective accounting hedges as of January 1 $ 2,002 $ 1,781 Current period increases (decreases) in fair value, net of deferred taxes of $(200) and $(66) 735 254 Reclassification to net (income), net of deferred taxes of $33 and $29 (60 ) (52 ) Derivatives qualifying as effective accounting hedges as of June 30 $ 2,677 $ 1,983 |
Schedule of Pre-Tax Gain (Loss) Recognized in Net Income (loss) for Effects of Derivatives Not Designated as Hedges | The following table provides the pre-tax Three months ended June 30, Classification of gain (loss) recognized in net income (loss) (Amounts in millions) 2020 2019 Interest rate swaps $ (2 ) $ (3 ) Net investment gains (losses) Equity index options 4 10 Net investment gains (losses) Financial futures (123 ) 17 Net investment gains (losses) Other foreign currency contracts 44 (7 ) Net investment gains (losses) GMWB embedded derivatives 129 (22 ) Net investment gains (losses) Fixed index annuity embedded derivatives (45 ) (20 ) Net investment gains (losses) Indexed universal life embedded derivatives 3 (1 ) Net investment gains (losses) Total derivatives not designated as hedges $ 10 $ (26 ) Six months ended June 30, Classification of gain (loss) recognized in net income (loss) (Amounts in millions) 2020 2019 Interest rate swaps $ (12 ) $ (4 ) Net investment gains (losses) Equity index options (9 ) 27 Net investment gains (losses) Financial futures 138 (27 ) Net investment gains (losses) Other foreign currency contracts (3 ) (7 ) Net investment gains (losses) GMWB embedded derivatives (207 ) 23 Net investment gains (losses) Fixed index annuity embedded derivatives (13 ) (58 ) Net investment gains (losses) Indexed universal life embedded derivatives 7 — Net investment gains (losses) Total derivatives not designated as hedges $ (99 ) $ (46 ) |
Derivative Assets and Liabilities Subject to Master Netting Arrangement | The following table presents additional information about derivative assets and liabilities subject to an enforceable master netting arrangement as of the dates indicated: June 30, 2020 December 31, 2019 (Amounts in millions) Derivative (1) Derivative (2) Net Derivative (1) Derivative (2) Net Amounts presented in the balance sheet: Gross amounts recognized $ 1,024 $ 1 $ 1,023 $ 291 $ 11 $ 280 Gross amounts offset in the balance sheet — — — — — — Net amounts presented in the balance sheet 1,024 1 1,023 291 11 280 Gross amounts not offset in the balance sheet: Financial instruments (3) (1 ) (1 ) — (7 ) (7 ) — Collateral received (864 ) — (864 ) (179 ) — (179 ) Collateral pledged — (434 ) 434 — (405 ) 405 Over collateralization 19 433 (414 ) 18 401 (383 ) Net amount $ 178 $ (1 ) $ 179 $ 123 $ — $ 123 (1) Included $1 million of accruals on derivatives classified as other assets as of December 31, 2019 and does not include amounts related to embedded derivatives as of June 30, 2020 and December 31, 2019. (2) Does not include amounts related to embedded derivatives as of June 30, 2020 and December 31, 2019. (3) Amounts represent derivative assets and/or liabilities that are presented gross within the balance sheet but are held with the same counterparty where we have a master netting arrangement. This adjustment results in presenting the net asset and net liability position for each counterparty. |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Summary of Significant Inputs Used by Third-Party Pricing Services for Certain Fair Value Measurements of Fixed Maturity Securities that Classified as Level 2 | The following table presents a summary of the significant inputs used by our third-party pricing services for certain fair value measurements of fixed maturity securities that are classified as Level 2 as of June 30, 2020: (Amounts in millions) Fair value Primary methodologies Significant inputs U.S. government, agencies and government-sponsored enterprises $ 5,602 Price quotes from trading desk, broker feeds Bid side prices, trade prices, Option Adjusted Spread (“OAS”) to swap curve, Bond Market Association OAS, Treasury Curve, Agency Bullet Curve, maturity to issuer spread State and political subdivisions $ 2,935 Multi-dimensional attribute-based modeling systems, third-party pricing vendors Trade prices, material event notices, Municipal Market Data benchmark yields, broker quotes Non-U.S. $ 1,527 Matrix pricing, spread priced to benchmark curves, price quotes from market makers Benchmark yields, trade prices, broker quotes, comparative transactions, issuer spreads, bid-offer U.S. corporate $ 30,874 Multi-dimensional attribute-based modeling systems, broker quotes, price quotes from market makers, OAS-based Bid side prices to Treasury Curve, Issuer Curve, which includes sector, quality, duration, OAS percentage and change for spread matrix, trade prices, comparative transactions, Trade Reporting and Compliance Engine (“TRACE”) reports Non-U.S. $ 8,589 Multi-dimensional attribute-based modeling systems, OAS-based Benchmark yields, trade prices, broker quotes, comparative transactions, issuer spreads, bid-offer Residential mortgage-backed $ 2,160 OAS-based models, single factor binomial models, internally priced Prepayment and default assumptions, aggregation of bonds with similar characteristics, including collateral type, vintage, tranche type, weighted-average life, weighted-average loan age, issuer program and delinquency ratio, pay up and pay down factors, TRACE reports Commercial mortgage-backed $ 2,949 Multi-dimensional attribute-based modeling systems, pricing matrix, spread matrix priced to swap curves, Trepp commercial mortgage-backed securities analytics model Credit risk, interest rate risk, prepayment speeds, new issue data, collateral performance, origination year, tranche type, original credit ratings, weighted-average life, cash flows, spreads derived from broker quotes, bid side prices, spreads to daily updated swaps curves, TRACE reports Other asset-backed $ 2,847 Multi-dimensional attribute-based modeling systems, spread matrix priced to swap curves, price quotes from market makers Spreads to daily updated swaps curves, spreads derived from trade prices and broker quotes, bid side prices, new issue data, collateral performance, analysis of prepayment speeds, cash flows, collateral loss analytics, historical issue analysis, trade data from market makers, TRACE reports |
Assets by Class of Instrument that are Measured at Fair Value on Recurring Basis | The following tables set forth our assets by class of instrument that are measured at fair value on a recurring basis as of the dates indicated: June 30, 2020 (Amounts in millions) Total Level 1 Level 2 Level 3 NAV (1) Assets Investments: Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 5,602 $ — $ 5,602 $ — $ — State and political subdivisions 2,998 — 2,935 63 — Non-U.S. 1,542 — 1,542 — — U.S. corporate: Utilities 5,270 — 4,334 936 — Energy 2,594 — 2,471 123 — Finance and insurance 8,403 — 7,852 551 — Consumer—non-cyclical 6,277 — 6,174 103 — Technology and communications 3,411 — 3,345 66 — Industrial 1,503 — 1,464 39 — Capital goods 3,028 — 2,931 97 — Consumer—cyclical 1,966 — 1,768 198 — Transportation 1,565 — 1,511 54 — Other 378 — 213 165 — Total U.S. corporate 34,395 — 32,063 2,332 — Non-U.S. Utilities 879 — 522 357 — Energy 1,275 — 1,038 237 — Finance and insurance 2,466 — 2,155 311 — Consumer—non-cyclical 777 — 723 54 — Technology and communications 1,247 — 1,219 28 — Industrial 995 — 903 92 — Capital goods 613 — 440 173 — Consumer—cyclical 407 — 251 156 — Transportation 635 — 494 141 — Other 1,591 — 1,446 145 — Total non-U.S. 10,885 — 9,191 1,694 — Residential mortgage-backed 2,184 — 2,160 24 — Commercial mortgage-backed 2,970 — 2,949 21 — Other asset-backed 2,968 — 2,847 121 — Total fixed maturity securities 63,544 — 59,289 4,255 — Equity securities 206 45 108 53 — Other invested assets: Derivative assets: Interest rate swaps 939 — 939 — — Foreign currency swaps 17 — 17 — — Equity index options 66 — — 66 — Other foreign currency contracts 2 — 2 — — Total derivative assets 1,024 — 958 66 — Securities lending collateral 59 — 59 — — Short-term investments 190 — 190 — — Limited partnerships 598 — — — 598 Total other invested assets 1,871 — 1,207 66 598 Reinsurance recoverable (2) 38 — — 38 — Separate account assets 5,536 5,536 — — — Total assets $ 71,195 $ 5,581 $ 60,604 $ 4,412 $ 598 (1) Limited partnerships that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been categorized in the fair value hierarchy. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. December 31, 2019 (Amounts in millions) Total Level 1 Level 2 Level 3 NAV (1) Assets Investments: Fixed maturity securities: U.S. government, agencies and government-sponsored enterprises $ 5,025 $ — $ 5,025 $ — $ — State and political subdivisions 2,747 — 2,645 102 — Non-U.S. 1,350 — 1,350 — — U.S. corporate: Utilities 4,997 — 4,132 865 — Energy 2,699 — 2,570 129 — Finance and insurance 7,774 — 7,202 572 — Consumer—non-cyclical 5,701 — 5,607 94 — Technology and communications 3,245 — 3,195 50 — Industrial 1,396 — 1,356 40 — Capital goods 2,711 — 2,609 102 — Consumer—cyclical 1,760 — 1,587 173 — Transportation 1,506 — 1,428 78 — Other 322 — 186 136 — Total U.S. corporate 32,111 — 29,872 2,239 — Non-U.S. Utilities 829 — 455 374 — Energy 1,319 — 1,072 247 — Finance and insurance 2,319 — 2,085 234 — Consumer—non-cyclical 684 — 625 59 — Technology and communications 1,138 — 1,110 28 — Industrial 988 — 884 104 — Capital goods 605 — 444 161 — Consumer—cyclical 397 — 250 147 — Transportation 629 — 438 191 — Other 1,617 — 1,477 140 — Total non-U.S. 10,525 — 8,840 1,685 — Residential mortgage-backed 2,270 — 2,243 27 — Commercial mortgage-backed 3,026 — 3,020 6 — Other asset-backed 3,285 — 3,153 132 — Total fixed maturity securities 60,339 — 56,148 4,191 — Equity securities 239 62 126 51 — Other invested assets: Derivative assets: Interest rate swaps 197 — 197 — — Foreign currency swaps 4 — 4 — — Equity index options 81 — — 81 — Other foreign currency contracts 8 — 8 — — Total derivative assets 290 — 209 81 — Securities lending collateral 51 — 51 — — Short-term investments 211 — 211 — — Limited partnerships 503 — — — 503 Total other invested assets 1,055 — 471 81 503 Reinsurance recoverable (2) 20 — — 20 — Separate account assets 6,108 6,108 — — — Total assets $ 67,761 $ 6,170 $ 56,745 $ 4,343 $ 503 (1) Limited partnerships that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been categorized in the fair value hierarchy. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. |
Assets Measured at Fair Value on Recurring Basis and Utilized Significant Unobservable (Level 3) Inputs to Determine Fair Value | The following tables present additional information about assets measured at fair value on a recurring basis and for which we have utilized significant unobservable (Level 3) inputs to determine fair value as of or for the dates indicated: Beginning as of Total realized and Ending as of Total gains (losses) (Amounts in millions) Included Included Purchases Sales Issuances Settlements Transfer (1) Transfer (1) Included Included Fixed maturity securities: State and political subdivisions $ 83 $ — $ 7 $ — $ — $ — $ — $ — $ (27 ) $ 63 $ 1 $ 6 Non-U.S. 1 — — — — — (1 ) — — — — — U.S. corporate: Utilities 843 — 37 32 — — (2 ) 26 — 936 — 37 Energy 124 1 13 — — — (2 ) — (13 ) 123 — 9 Finance and insurance 510 — 33 21 — — (12 ) — (1 ) 551 — 33 Consumer—non-cyclical 88 — 8 8 — — (1 ) — — 103 — 8 Technology and communications 61 — 5 — — — — — — 66 — 5 Industrial 37 — 2 — — — — — — 39 — 2 Capital goods 90 — 7 — — — — — — 97 — 7 Consumer—cyclical 179 — 11 — — — (1 ) 9 — 198 — 11 Transportation 43 — 2 — — — (1 ) 10 — 54 — 2 Other 138 — 2 — — — (2 ) 27 — 165 — 2 Total U.S. corporate 2,113 1 120 61 — — (21 ) 72 (14 ) 2,332 — 116 Non-U.S. Utilities 355 — 23 1 — — — — (22 ) 357 — 23 Energy 236 — 22 — — — (26 ) 5 — 237 — 22 Finance and insurance 223 1 50 — — — — 37 — 311 1 49 Consumer—non-cyclical 58 — 5 — — — — — (9 ) 54 — 4 Technology and communications 27 — 1 — — — — — — 28 — 1 Industrial 92 — 8 — — — — — (8 ) 92 — 7 Capital goods 135 — 9 — — — — 29 — 173 — 9 Consumer—cyclical 164 — 12 — — — (3 ) — (17 ) 156 — 11 Transportation 108 — 11 — — — — 22 — 141 — 11 Other 131 — 9 5 — — — — — 145 — 9 Total non-U.S. 1,529 1 150 6 — — (29 ) 93 (56 ) 1,694 1 146 Residential mortgage-backed 24 — 1 — — — (1 ) 3 (3 ) 24 — — Commercial mortgage-backed — — 1 — — — — 20 — 21 — 1 Other asset-backed 118 — 2 6 — — (5 ) — — 121 — 3 Total fixed maturity securities 3,868 2 281 73 — — (57 ) 188 (100 ) 4,255 2 272 Equity securities 50 — — 6 (3 ) — — — — 53 — — Other invested assets: Derivative assets: Equity index options 62 4 — 7 — — (7 ) — — 66 8 — Total derivative assets 62 4 — 7 — — (7 ) — — 66 8 — Total other invested assets 62 4 — 7 — — (7 ) — — 66 8 — Reinsurance recoverable (2) 47 (9 ) — — — — — — — 38 (9 ) — Total Level 3 assets $ 4,027 $ (3 ) $ 281 $ 86 $ (3 ) $ — $ (64 ) $ 188 $ (100 ) $ 4,412 $ 1 $ 272 (1) The transfers into and out of Level 3 for fixed maturity securities were related to changes in the primary pricing source and changes in the observability of external information used in determining the fair value, such as external ratings or credit spreads, as well as changes in the industry sectors assigned to specific securities. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. Beginning as of Total realized and Purchases Sales Issuances Settlements Transfer (1) Transfer (1) Ending as of Total gains attributable (Amounts in millions) Included Included Fixed maturity securities: State and political subdivisions $ 52 $ 1 $ 8 $ — $ — $ — $ — $ — $ — $ 61 $ — U.S. corporate: Utilities 748 — 20 82 (13 ) — (38 ) — (10 ) 789 — Energy 115 — 3 5 — — (1 ) — — 122 — Finance and insurance 590 — 15 10 — — (8 ) — — 607 — Consumer—non-cyclical 74 — 1 14 — — — — — 89 — Technology and communications 52 — 3 — — — — — (11 ) 44 — Industrial 40 — — — — — — — — 40 — Capital goods 95 — 3 — — — — — — 98 — Consumer—cyclical 195 — 3 — — — (13 ) — — 185 — Transportation 54 — — — — — — — — 54 — Other 199 — 3 — — — (3 ) — — 199 — Total U.S. corporate 2,162 — 51 111 (13 ) — (63 ) — (21 ) 2,227 — Non-U.S. Utilities 435 — 7 — (7 ) — (17 ) — (1 ) 417 — Energy 221 — 5 15 — — — — — 241 — Finance and insurance 182 1 7 2 — — (13 ) — — 179 1 Consumer—non-cyclical 67 — 1 — — — — — — 68 — Technology and communications 27 — — — — — — — — 27 — Industrial 63 — 1 — — — — — — 64 — Capital goods 173 — 3 5 — — — — — 181 — Consumer—cyclical 125 — 2 — — — (1 ) — — 126 — Transportation 192 — 3 4 — — — — — 199 — Other 90 — 4 35 — — — — — 129 — Total non-U.S. 1,575 1 33 61 (7 ) — (31 ) — (1 ) 1,631 1 Residential mortgage-backed 35 — 1 — — — — — — 36 — Commercial mortgage-backed 98 — 7 1 — — — — (14 ) 92 — Other asset-backed 197 — 1 42 — — (29 ) 27 (4 ) 234 — Total fixed maturity securities 4,119 2 101 215 (20 ) — (123 ) 27 (40 ) 4,281 1 Equity securities 55 — — 2 (1 ) — — — — 56 — Other invested assets: Derivative assets: Equity index options 60 10 — 9 — — (14 ) — — 65 7 Total derivative assets 60 10 — 9 — — (14 ) — — 65 7 Total other invested assets 60 10 — 9 — — (14 ) — — 65 7 Reinsurance recoverable (2) 18 2 — — — — — — — 20 2 Total Level 3 assets $ 4,252 $ 14 $ 101 $ 226 $ (21 ) $ — $ (137 ) $ 27 $ (40 ) $ 4,422 $ 10 (1) The transfers into and out of Level 3 for fixed maturity securities were related to changes in the primary pricing source and changes in the observability of external information used in determining the fair value, such as external ratings or credit spreads, as well as changes in the industry sectors assigned to specific securities. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. The following tables present additional information about assets measured at fair value on a recurring basis and for which we have utilized significant unobservable (Level 3) inputs to determine fair value as of or for the dates indicated: Beginning balance as of January 1, 2020 Total realized and unrealized gains (losses) Ending balance as of June 30, 2020 Total gains (losses) attributable to assets still held (Amounts in millions) Included in net income (loss) Included in OCI Purchases Sales Issuances Settlements Transfer into Level 3 (1) Transfer out of Level 3 (1) Included in net income (loss) Included in OCI Fixed maturity securities: State and political subdivisions $ 102 $ 1 $ (12 ) $ — $ — $ — $ (1 ) $ — $ (27 ) $ 63 $ 2 $ (13 ) Non-U.S. — — — — — — (1 ) 1 — — — — U.S. corporate: Utilities 865 — 12 32 — — (2 ) 42 (13 ) 936 — 14 Energy 129 1 (2 ) 10 (21 ) — (3 ) 22 (13 ) 123 — (5 ) Finance and insurance 572 2 2 21 — — (24 ) — (22 ) 551 — 5 Consumer—non-cyclical 94 — 2 8 — — (1 ) — — 103 — 2 Technology and communications 50 — 1 20 — — — — (5 ) 66 — 2 Industrial 40 — (1 ) — — — — — — 39 — (1 ) Capital goods 102 — (1 ) — — — (4 ) — — 97 — (1 ) Consumer—cyclical 173 — 4 — — — (3 ) 24 — 198 — 4 Transportation 78 — (2 ) — — — (2 ) 10 (30 ) 54 — 1 Other 136 — 1 5 — — (4 ) 27 — 165 — 1 Total U.S. corporate 2,239 3 16 96 (21 ) — (43 ) 125 (83 ) 2,332 — 22 Non-U.S. Utilities 374 — 3 12 — — — 21 (53 ) 357 — 3 Energy 247 — (8 ) — — — (26 ) 24 — 237 — (8 ) Finance and insurance 234 2 9 15 — — — 58 (7 ) 311 2 10 Consumer—non-cyclical 59 — 2 8 — — — 1 (16 ) 54 — 1 Technology and communications 28 — — — — — — — — 28 — — Industrial 104 — 1 — — — (5 ) — (8 ) 92 — — Capital goods 161 1 (2 ) — — — (16 ) 29 — 173 — (1 ) Consumer—cyclical 147 — (3 ) 4 — — (7 ) 32 (17 ) 156 — (5 ) Transportation 191 — 2 — — — — 22 (74 ) 141 — 6 Other 140 — — 5 — — (1 ) 1 — 145 — — Total non-U.S. 1,685 3 4 44 — — (55 ) 188 (175 ) 1,694 2 6 Residential mortgage-backed 27 — — — — — (1 ) 4 (6 ) 24 — — Commercial mortgage-backed 6 — 2 — — — — 20 (7 ) 21 — 1 Other asset-backed 132 — (2 ) 15 — — (22 ) — (2 ) 121 — (2 ) Total fixed maturity securities 4,191 7 8 155 (21 ) — (123 ) 338 (300 ) 4,255 4 14 Equity securities 51 — — 6 (4 ) — — — — 53 — — Other invested assets: Derivative assets: Equity index options 81 (9 ) — 18 — — (24 ) — — 66 5 — Total derivative assets 81 (9 ) — 18 — — (24 ) — — 66 5 — Total other invested assets 81 (9 ) — 18 — — (24 ) — — 66 5 — Reinsurance recoverable (2) 20 17 — — — 1 — — — 38 17 — Total Level 3 assets $ 4,343 $ 15 $ 8 $ 179 $ (25 ) $ 1 $ (147 ) $ 338 $ (300 ) $ 4,412 $ 26 $ 14 (1) The transfers into and out of Level 3 for fixed maturity securities were related to changes in the primary pricing source and changes in the observability of external information used in determining the fair value, such as external ratings or credit spreads, as well as changes in the industry sectors assigned to specific securities. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. Beginning as of Total realized and Purchases Sales Issuances Settlements Transfer (1) Transfer (1) Ending as of Total gains attributable (Amounts in millions) Included Included Fixed maturity securities: State and political subdivisions $ 51 $ 2 $ 8 $ — $ — $ — $ — $ — $ — $ 61 $ 1 U.S. corporate: Utilities 643 — 42 96 (14 ) — (40 ) 72 (10 ) 789 — Energy 121 — 7 5 — — (11 ) — — 122 — Finance and insurance 534 — 38 40 — — (12 ) 7 — 607 — Consumer—non-cyclical 73 — 3 14 — — (10 ) 9 — 89 — Technology and communications 50 — 5 — — — — — (11 ) 44 — Industrial 39 — 1 — — — — — — 40 — Capital goods 92 — 6 — — — — — — 98 — Consumer—cyclical 211 — 10 — (13 ) — (14 ) — (9 ) 185 — Transportation 57 — 1 4 — — (8 ) — — 54 — Other 178 — 6 22 — — (15 ) 8 — 199 — Total U.S. corporate 1,998 — 119 181 (27 ) — (110 ) 96 (30 ) 2,227 — Non-U.S. Utilities 404 — 23 30 (7 ) — (17 ) — (16 ) 417 — Energy 217 — 12 16 — — (4 ) — — 241 — Finance and insurance 171 2 18 7 — — (13 ) — (6 ) 179 2 Consumer—non-cyclical 106 2 4 — — — (44 ) — — 68 — Technology and communications 26 — 1 — — — — — — 27 — Industrial 61 — 3 — — — — — — 64 — Capital goods 173 — 9 10 — — (11 ) — — 181 — Consumer—cyclical 122 — 8 — — — (4 ) — — 126 — Transportation 171 — 9 19 — — — — — 199 — Other 81 — 8 35 — — (1 ) 6 — 129 — Total n on-U.S. 1,532 4 95 117 (7 ) — (94 ) 6 (22 ) 1,631 2 Residential mortgage-backed 35 — 1 — — — — — — 36 — Commercial mortgage-backed 95 — 9 2 — — — — (14 ) 92 — Other asset-backed 154 — 2 96 — — (42 ) 28 (4 ) 234 — Total fixed maturity securities 3,865 6 234 396 (34 ) — (246 ) 130 (70 ) 4,281 3 Equity securities 58 — — 2 (4 ) — — — — 56 — Other invested assets: Derivative assets: Equity index options 39 27 — 21 — — (22 ) — — 65 11 Total derivative assets 39 27 — 21 — — (22 ) — — 65 11 Total other invested assets 39 27 — 21 — — (22 ) — — 65 11 Reinsurance recoverable (2) 20 (1 ) — — — 1 — — — 20 (1 ) Total Level 3 assets $ 3,982 $ 32 $ 234 $ 419 $ (38 ) $ 1 $ (268 ) $ 130 $ (70 ) $ 4,422 $ 13 (1) The transfers into and out of Level 3 for fixed maturity securities were related to changes in the primary pricing source and changes in the observability of external information used in determining the fair value, such as external ratings or credit spreads, as well as changes in the industry sectors assigned to specific securities. (2) Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. |
Gains and Losses Included in Net Income (Loss) from Assets Measured at Fair Value | The following table presents the gains and losses included in net income (loss) from assets measured at fair value on a recurring basis and for which we have utilized significant unobservable (Level 3) inputs to determine fair value and the related income statement line item in which these gains and losses were presented for the periods indicated: Three months ended Six months ended (Amounts in millions) 2020 2019 2020 2019 Total realized and unrealized gains (losses) included in net income (loss): Net investment income $ 2 $ 2 $ 6 $ 6 Net investment gains (losses) (5 ) 12 9 26 Total $ (3 ) $ 14 $ 15 $ 32 Total gains (losses) included in net income (loss) attributable to assets still held: Net investment income $ 2 $ 1 $ 4 $ 3 Net investment gains (losses) (1 ) 9 22 10 Total $ 1 $ 10 $ 26 $ 13 |
Summary of Significant Unobservable Inputs Used for Certain Asset Fair Value Measurements | The following table presents a summary of the significant unobservable inputs used for certain asset fair value measurements that are based on internal models and classified as Level 3 as of June 30, 2020: (Amounts in millions) Valuation technique Fair value Unobservable input Range Weighted-average (1) Fixed maturity securities: U.S. corporate: Utilities Internal models $ 826 Credit spreads 71bps - 427bps 194bps Energy Internal models 8 Credit spreads 108bps N/A Finance and insurance Internal models 497 Credit spreads 73bps - 380bps 206bps Consumer—non-cyclical Internal models 102 Credit spreads 83bps - 395bps 202bps Technology and communications Internal models 66 Credit spreads 212bps - 395bps 271bps Industrial Internal models 39 Credit spreads 199bps - 483bps 293bps Capital goods Internal models 97 Credit spreads 120bps - 294bps 214bps Consumer—cyclical Internal models 161 Credit spreads 131bps - 307bps 208bps Transportation Internal models 44 Credit spreads 76bps - 199bps 144bps Other Internal models 165 Credit spreads 99bps - 213bps 122bps Total U.S. corporate Internal models $ 2,005 Credit spreads 71bps - 483bps 197bps Non-U.S. Utilities Internal models $ 357 Credit spreads 97bps - 286bps 176bps Energy Internal models 82 Credit spreads 120bps - 272bps 175bps Finance and insurance Internal models 209 Credit spreads 136bps - 188bps 133bps Consumer—non-cyclical Internal models 53 Credit spreads 107bps - 182bps 160bps Technology and communications Internal models 28 Credit spreads 153bps - 260bps 221bps Industrial Internal models 92 Credit spreads 108bps - 272bps 193bps Capital goods Internal models 144 Credit spreads 107bps - 294bps 215bps Consumer—cyclical Internal models 45 Credit spreads 97bps - 272bps 194bps Transportation Internal models 114 Credit spreads 83bps - 294bps 175bps Other Internal models 144 Credit spreads 121bps - 507bps 300bps Total non-U.S. Internal models $ 1,268 Credit spreads 83bps - 507bps 196bps Derivative assets: Equity index options Discounted cash $ 66 Equity index 6% - 38% 28% (1) Unobservable inputs weighted by the relative fair value of the associated instrument for fixed maturity securities and by notional for derivative assets. |
Liabilities by Class of Instrument that are Measured at Fair Value on Recurring Basis | The following tables set forth our liabilities by class of instrument that are measured at fair value on a recurring basis as of the dates indicated: June 30, 2020 (Amounts in millions) Total Level 1 Level 2 Level 3 Liabilities Policyholder account balances: GMWB embedded derivatives (1) $ 559 $ — $ — $ 559 Fixed index annuity embedded derivatives 447 — — 447 Indexed universal life embedded derivatives 23 — — 23 Total policyholder account balances 1,029 — — 1,029 Derivative liabilities: Other foreign currency contracts 1 — 1 — Total derivative liabilities 1 — 1 — Total liabilities $ 1,030 $ — $ 1 $ 1,029 (1) Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. December 31, 2019 (Amounts in millions) Total Level 1 Level 2 Level 3 Liabilities Policyholder account balances: GMWB embedded derivatives (1) $ 323 $ — $ — $ 323 Fixed index annuity embedded derivatives 452 — — 452 Indexed universal life embedded derivatives 19 — — 19 Total policyholder account balances 794 — — 794 Derivative liabilities: Interest rate swaps 10 — 10 — Other foreign currency contracts 1 — 1 — Total derivative liabilities 11 — 11 — Total liabilities $ 805 $ — $ 11 $ 794 (1) Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. |
Liabilities Measured at Fair Value on Recurring Basis and Utilized Significant Unobservable (Level 3) Inputs to Determine Fair Value | The following tables present additional information about liabilities measured at fair value on a recurring basis and for which we have utilized significant unobservable (Level 3) inputs to determine fair value as of or for the dates indicated: (Amounts in millions) Beginning as of Total realized and Purchases Sales Issuances Settlements Transfer Transfer Ending as of Total (gains) losses attributable to Included Included Included Included Policyholder account balances: GMWB embedded derivatives (1) $ 691 $ (138 ) $ — $ — $ — $ 6 $ — $ — $ — $ 559 $ (137 ) $ — Fixed index annuity embedded derivatives 413 45 — — — — (11 ) — — 447 45 — Indexed universal life embedded derivatives 21 (3 ) — — — 5 — — — 23 (3 ) — Total policyholder account balances 1,125 (96 ) — — — 11 (11 ) — — 1,029 (95 ) — Total Level 3 liabilities $ 1,125 $ (96 ) $ — $ — $ — $ 11 $ (11 ) $ — $ — $ 1,029 $ (95 ) $ — (1) Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. Beginning as of Total realized and Purchases Sales Issuances Settlements Transfer Transfer Ending as of Total (gains) attributable (Amounts in millions) Included Included Policyholder account balances: GMWB embedded derivatives (1) $ 295 $ 24 $ — $ — $ — $ 6 $ — $ — $ — $ 325 $ 24 Fixed index annuity embedded derivatives 423 20 — — — — (5 ) — — 438 20 Indexed universal life embedded derivatives 13 1 — — — 1 — — — 15 1 Total policyholder account balances 731 45 — — — 7 (5 ) — — 778 45 Total Level 3 liabilities $ 731 $ 45 $ — $ — $ — $ 7 $ (5 ) $ — $ — $ 778 $ 45 (1) Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. The following tables present additional information about liabilities measured at fair value on a recurring basis and for which we have utilized significant unobservable (Level 3) inputs to determine fair value as of or for the dates indicated: (Amounts in millions) Beginning as of Total realized and Purchases Sales Issuances Settlements Transfer Transfer Ending as of Total (gains) losses attributable to Included Included Included Included Policyholder account balances: GMWB embedded derivatives (1) $ 323 $ 224 $ — $ — $ — $ 12 $ — $ — $ — $ 559 $ 231 $ — Fixed index annuity embedded derivatives 452 13 — — — — (18 ) — — 447 13 — Indexed universal life embedded derivatives 19 (7 ) — — — 11 — — — 23 (7 ) — Total policyholder account balances 794 230 — — — 23 (18 ) — — 1,029 237 — Total Level 3 liabilities $ 794 $ 230 $ — $ — $ — $ 23 $ (18 ) $ — $ — $ 1,029 $ 237 $ — (1) Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. Beginning as of Total realized and Purchases Sales Issuances Settlements Transfer Transfer Ending as of Total (gains) attributable to (Amounts in millions) Included Included Policyholder account balances: GMWB embedded derivatives (1) $ 337 $ (24 ) $ — $ — $ — $ 12 $ — $ — $ — $ 325 $ (20 ) Fixed index annuity embedded derivatives 389 58 — — — — (9 ) — — 438 58 Indexed universal life embedded derivatives 12 — — — — 3 — — — 15 — Total policyholder account balances 738 34 — — — 15 (9 ) — — 778 38 Total Level 3 liabilities $ 738 $ 34 $ — $ — $ — $ 15 $ (9 ) $ — $ — $ 778 $ 38 (1) Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. |
Gains and Losses Included in Net (Income) from Liabilities Measured at Fair Value | The following table presents the gains and losses included in net (income) loss from liabilities measured at fair value on a recurring basis and for which we have utilized significant unobservable (Level 3) inputs to determine fair value and the related income statement line item in which these gains and losses were presented for the periods indicated: Three months ended Six months ended (Amounts in millions) 2020 2019 2020 2019 Total realized and unrealized (gains) losses included in net (income) loss: Net investment income $ — $ — $ — $ — Net investment (gains) losses (96 ) 45 230 34 Total $ (96 ) $ 45 $ 230 $ 34 Total (gains) losses included in net (income) loss attributable to liabilities still held: Net investment income $ — $ — $ — $ — Net investment (gains) losses (95 ) 45 237 38 Total $ (95 ) $ 45 $ 237 $ 38 |
Summary of Significant Unobservable Inputs Used for Certain Liability Fair Value Measurements | The following table presents a summary of the significant unobservable inputs used for certain liability fair value measurements that are based on internal models and classified as Level 3 as of June 30, 2020: (Amounts in millions) Valuation technique Fair value Unobservable input Range Weighted-average (1) Policyholder account balances: Withdrawal 56% - 88% 73 % Lapse rate 2% - 9% 3 % Non-performance risk (credit spreads) 9bps - 83bps 67 bps GMWB embedded derivatives (2) Stochastic cash flow $ 559 Equity index 21% - 30% 24 % Fixed index annuity embedded derivatives Option budget $ 447 Expected future — % 1 % Indexed universal life embedded derivatives Option budget $ 23 Expected future 3% - 11% 6 % (1) Unobservable inputs weighted by the policyholder account balances associated with the instrument. (2) Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. The unobservable inputs associated with GMWB embedded derivatives are not interrelated and therefore, a directional change in one input will not affect the other inputs. |
Fair Value Financial Instruments Not Required to be Carried at Fair Value | The following represents our estimated fair value of financial assets and liabilities that are not required to be carried at fair value as of the dates indicated: June 30, 2020 Notional amount Carrying amount Fair value (Amounts in millions) Total Level 1 Level 2 Level 3 Assets: Commercial mortgage loans (1) $ 6,917 $ 7,225 $ — $ — $ 7,225 Other invested assets (1) 418 421 — 22 399 Liabilities: Long-term borrowings (1) 2,817 2,153 — 2,016 137 Investment contracts (1) 11,258 12,227 — — 12,227 Other firm commitments: Commitments to fund limited partnerships 1,135 — — — — — Commitments to fund bank loan investments 35 — — — — — Ordinary course of business lending commitments 116 — — — — — (1) These financial instruments do not have notional amounts. December 31, 2019 Notional amount Carrying amount Fair value (Amounts in millions) Total Level 1 Level 2 Level 3 Assets: Commercial mortgage loans (1) $ 6,963 $ 7,239 $ — $ — $ 7,239 Other invested assets (1) 432 432 — 49 383 Liabilities: Long-term borrowings (1) 3,277 3,093 — 2,951 142 Non-recourse (1) 311 207 — — 207 Investment contracts (1) 11,466 12,086 — — 12,086 Other firm commitments: Commitments to fund limited partnerships 976 — — — — — Commitments to fund bank loan investments 52 — — — — — Ordinary course of business lending commitments 69 — — — — — (1) These financial instruments do not have notional amounts. |
Liability for Policy and Cont_2
Liability for Policy and Contract Claims (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Changes in Liability for Policy and Contract Claims | The following table sets forth changes in our liability for policy and contract claims as of the dates indicated: As of or for the six June 30, (Amounts in millions) 2020 2019 Beginning balance $ 10,958 $ 10,295 Less reinsurance recoverables (2,406 ) (2,379 ) Net beginning balance 8,552 7,916 Incurred related to insured events of: Current year 2,238 1,961 Prior years (255 ) (206 ) Total incurred 1,983 1,755 Paid related to insured events of: Current year (436 ) (407 ) Prior years (1,339 ) (1,253 ) Total paid (1,775 ) (1,660 ) Interest on liability for policy and contract claims 205 188 Foreign currency translation (4 ) (1 ) Net ending balance 8,961 8,198 Add reinsurance recoverables 2,319 2,388 Ending balance $ 11,280 $ 10,586 |
Reinsurance (Tables)
Reinsurance (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Schedule of Reinsurance Recoverable in Allowance for Credit Losses | The following table sets forth the changes in the allowance for credit losses related to reinsurance recoverables as of or for the periods indicated: Three months ended Six months ended (Amounts in millions) 2020 2020 Allowance for credit losses: Beginning balance $ 42 $ — Cumulative effect of change in accounting — 40 Provision 2 4 Write-offs — — Recoveries — — Ending balance $ 44 $ 44 |
Schedule Of Credit Ratings on Reinsurance Recoverable | As discussed in note 2, our policy for evaluating and measuring the allowance for credit losses related to reinsurance recoverables utilizes the reinsurer’s credit rating, updated quarterly, to assess the credit quality of reinsurance recoverables. The following table sets forth A.M. Best Company, Inc.’s (“A.M. Best”) credit ratings related to our reinsurance recoverables, gross of the allowance for credit losses, as of June 30, 2020: (Amounts in millions) Collateralized Non-collateralized Total Credit rating: A++ $ — $ 508 $ 508 A+ 1,267 1,467 2,734 A 20 58 78 B+ — 2 2 Not rated 13,542 80 13,622 Total reinsurance recoverable $ 14,829 $ 2,115 $ 16,944 |
Borrowings and Liquidity (Tabl
Borrowings and Liquidity (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Schedule of Long Term Borrowings | The following table sets forth total long-term borrowings as of the dates indicated: (Amounts in millions) June 30, December 31, Genworth Holdings (1) 7.70% Senior Notes, due 2020 $ — $ 397 7.20% Senior Notes, due 2021 356 382 7.625% Senior Notes, due 2021 661 701 4.90% Senior Notes, due 2023 399 399 4.80% Senior Notes, due 2024 400 400 6.50% Senior Notes, due 2034 297 297 Floating Rate Junior Subordinated Notes, due 2066 598 598 Subtotal 2,711 3,174 Bond consent fees (22 ) (25 ) Deferred borrowing charges (10 ) (12 ) Total Genworth Holdings 2,679 3,137 Australia (2) Floating Rate Junior Subordinated Notes, due 2025 138 140 Total Australia 138 140 Total $ 2,817 $ 3,277 (1) We have the option to redeem all or a portion of the senior notes at any time with notice to the noteholders at a price equal to the greater of 100% of principal or the sum of the present value of the remaining scheduled payments of principal and interest discounted at the then-current treasury rate plus an applicable spread. (2) Subordinated floating rate notes issued by Genworth Financial Mortgage Insurance Pty Limited (“GFMIPL”), our indirect majority-owned subsidiary, who has the option to redeem the notes at face value beginning on July 3, 2020, subject to the Australian Prudential Regulation Authority’s (“APRA”) prior written approval. |
Income Taxes (Tables)
Income Taxes (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Reconciliation of Federal Statutory Tax Rate to Effective Income Tax Rate | The reconciliation of the federal statutory tax rate to the effective income tax rate was as follows for the periods indicated: Three months ended Six months ended June 30, June 30, 2020 2019 2020 2019 Statutory U.S. federal income tax rate 21.0 % 21.0 % 21.0 % 21.0 % Increase (reduction) in rate resulting from: Swaps terminated prior to the TCJA 4.8 3.2 19.1 3.9 Effect of foreign operations 3.7 2.3 7.3 2.7 Non-deductible 1.2 — 2.7 — Non-deductible 0.7 0.6 2.8 0.7 Tax favored investments (0.8 ) (0.5 ) (3.2 ) (0.5 ) Stock-based compensation 0.1 0.1 2.9 — Other, net 0.4 2.8 1.9 1.5 Effective rate 31.1 % 29.5 % 54.5 % 29.3 % |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Summary of Revenues of Major Product Groups for Segments and Corporate and Other Activities | The following is a summary of revenues for our segments and Corporate and Other activities for the periods indicated: Three Six months ended (Amounts in millions) 2020 2019 Revenues: U.S. Mortgage Insurance segment $ 274 $ 235 $ 535 $ 458 Australia Mortgage Insurance segment 136 96 163 206 U.S. Life Insurance segment: Long-term care insurance 1,200 1,055 2,206 2,169 Life insurance 335 382 683 754 Fixed annuities 129 151 262 310 U.S. Life Insurance segment 1,664 1,588 3,151 3,233 Runoff segment 90 78 97 160 Corporate and Other activities (26 ) (3 ) 29 (19 ) Total revenues $ 2,138 $ 1,994 $ 3,975 $ 4,038 |
Summary of Net Operating Income (Loss) for Segments and Corporate and Other Activities | The following tables present the reconciliation of net income (loss) available to Genworth Financial, Inc.’s common stockholders to adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders and a summary of adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders for our segments and Corporate and Other activities for the periods indicated: Three months Six months (Amounts in millions) 2020 2019 2020 2019 Net income (loss) available to Genworth Financial, Inc.’s common stockholders $ (441 ) $ 168 $ (507 ) $ 342 Add: net income from continuing operations attributable to noncontrolling interests 23 15 17 35 Add: net income from discontinued operations attributable to noncontrolling interests — 35 — 71 Net income (loss) (418 ) 218 (490 ) 448 Less: income (loss) from discontinued operations, net of taxes (520 ) 60 (520 ) 122 Income from continuing operations 102 158 30 326 Less: net income from continuing operations attributable to noncontrolling interests 23 15 17 35 Income from continuing operations available to Genworth Financial, Inc.’s common stockholders 79 143 13 291 Adjustments to income from continuing operations available to Genworth Financial, Inc.’s common stockholders: Net investment (gains) losses, net (1) (131 ) 43 (16 ) (28 ) Goodwill impairment, net (2) 3 — 3 — (Gains) losses on early extinguishment of debt (3 ) — 9 — Expenses related to restructuring 1 — 2 4 Taxes on adjustments 30 (8 ) 1 6 Adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders $ (21 ) $ 178 $ 12 $ 273 (1) For the three months ended June 30, 2020 and 2019, net investment (gains) losses were adjusted for DAC and other intangible amortization and certain benefit reserves of $(4) and $(3) million, respectively, and adjusted for net investment gains (losses) attributable to noncontrolling interests of $32 million and $—, respectively. For the six months ended June 30, 2020 and 2019, net investment (gains) losses were adjusted for DAC and other intangible amortization and certain benefit reserves of $(15) million and $(5) million, respectively, and adjusted for net investment gains (losses) attributable to noncontrolling interests of $6 (2) For the three and six months ended June 30, 2020, goodwill impairment was adjusted for the portion attributable to noncontrolling interests of $2 million. Three months ended Six months ended June 30, June 30, (Amounts in millions) 2020 2019 2020 2019 Adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders: U.S. Mortgage Insurance segment $ (3 ) $ 147 $ 145 $ 271 Australia Mortgage Insurance segment 1 13 10 27 U.S. Life Insurance segment: Long-term care insurance 48 37 49 17 Life insurance (81 ) 10 (158 ) 8 Fixed annuities 28 19 34 36 U.S. Life Insurance segment (5 ) 66 (75 ) 61 Runoff segment 24 9 11 29 Corporate and Other activities (38 ) (57 ) (79 ) (115 ) Adjusted operating income (loss) available to Genworth Financial, Inc.’s common stockholders $ (21 ) $ 178 $ 12 $ 273 |
Summary of Segments and Corporate and Other Activities | The following is a summary of total assets for our segments and Corporate and Other activities as of the dates indicated: (Amounts in millions) June 30, December 31, Assets: U.S. Mortgage Insurance segment $ 4,944 $ 4,504 Australia Mortgage Insurance segment 2,439 2,406 U.S. Life Insurance segment 83,829 81,640 Runoff segment 9,783 9,953 Corporate and Other activities 2,642 2,839 Total assets $ 103,637 $ 101,342 |
Changes in Accumulated Other _2
Changes in Accumulated Other Comprehensive Income (Loss) (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Component of Changes in Accumulated Other Comprehensive Income (Loss), Net of Taxes | The following tables show the changes in accumulated other comprehensive income (loss), net of taxes, by component as of and for the periods indicated: (Amounts in millions) Net (1) Derivatives (2) Foreign Total Balances as of April 1, 2020 $ 1,140 $ 2,755 $ (80 ) $ 3,815 OCI before reclassifications 762 (48 ) 73 787 Amounts reclassified from (to) OCI (88 ) (30 ) — (118 ) Current period OCI 674 (78 ) 73 669 Balances as of June 30, 2020 before noncontrolling interests 1,814 2,677 (7 ) 4,484 Less: change in OCI attributable to noncontrolling interests 3 — 34 37 Balances as of June 30, 2020 $ 1,811 $ 2,677 $ (41 ) $ 4,447 (1) Net of adjustments to DAC, present value of future profits, sales inducements and benefit reserves. See note 4 for additional information. (2) See note 5 for additional information. (Amounts in millions) Net (1) Derivatives (2) Foreign Total Balances as of April 1, 2019 $ 943 $ 1,850 $ (301 ) $ 2,492 OCI before reclassifications 375 157 43 575 Amounts reclassified from (to) OCI 1 (24 ) — (23 ) Current period OCI 376 133 43 552 Balances as of June 30, 2019 before noncontrolling interests 1,319 1,983 (258 ) 3,044 Less: change in OCI attributable to noncontrolling interests 14 — 17 31 Balances as of June 30, 2019 $ 1,305 $ 1,983 $ (275 ) $ 3,013 (1) Net of adjustments to DAC, present value of future profits, sales inducements and benefit reserves. See note 4 for additional information. (2) See note 5 for additional information. (Amounts in millions) Net (1) Derivatives (2) Foreign Total Balances as of January 1, 2020 $ 1,456 $ 2,002 $ (25 ) $ 3,433 OCI before reclassifications 448 735 (25 ) 1,158 Amounts reclassified from (to) OCI (94 ) (60 ) — (154 ) Current period OCI 354 675 (25 ) 1,004 Balances as of June 30, 2020 before noncontrolling interests 1,810 2,677 (50 ) 4,437 Less: change in OCI attributable to noncontrolling interests (1 ) — (9 ) (10 ) Balances as of June 30, 2020 $ 1,811 $ 2,677 $ (41 ) $ 4,447 (1) Net of adjustments to DAC, present value of future profits, sales inducements and benefit reserves. See note 4 for additional information. (2) See note 5 for additional information. (Amounts in millions) Net (1) Derivatives (2) Foreign Total Balances as of January 1, 2019 $ 595 $ 1,781 $ (332 ) $ 2,044 OCI before reclassifications 802 254 97 1,153 Amounts reclassified from (to) OCI (46 ) (52 ) — (98 ) Current period OCI 756 202 97 1,055 Balances as of June 30, 2019 before noncontrolling interests 1,351 1,983 (235 ) 3,099 Less: change in OCI attributable to noncontrolling interests 46 — 40 86 Balances as of June 30, 2019 $ 1,305 $ 1,983 $ (275 ) $ 3,013 (1) Net of adjustments to DAC, present value of future profits, sales inducements and benefit reserves. See note 4 for additional information. (2) See note 5 for additional information. |
Reclassifications in (out) of Accumulated Other Comprehensive Income (Loss), Net of Taxes | The foreign currency translation and other adjustments balance in the charts above included $(2) million, net of taxes of $1 million, related to a net unrecognized postretirement benefit obligation as of June 30, 2019. The balance also included taxes of $22 million and $(45) million, respectively, related to foreign currency translation adjustments as of June 30, 2020 and 2019. The following table shows reclassifications in (out) of accumulated other comprehensive income (loss), net of taxes, for the periods presented: Amount reclassified from accumulated other comprehensive income (loss) Affected line item in the consolidated statements of income Three months ended June 30, Six months ended June 30, (Amounts in millions) 2020 2019 2020 2019 Net unrealized investment (gains) losses: Unrealized (gains) losses on investments (1) $ (112 ) $ 2 $ (119 ) $ (58 ) Net investment (gains) losses Income taxes 24 (1 ) 25 12 Provision for income taxes Total $ (88 ) $ 1 $ (94 ) $ (46 ) Derivatives qualifying as hedges: Interest rate swaps hedging assets $ (46 ) $ (42 ) $ (89 ) $ (80 ) Net investment income Interest rate swaps hedging assets — 4 (4 ) (2 ) Net investment (gains) losses Foreign currency swaps — 1 — 1 Net investment income Income taxes 16 13 33 29 Provision for income taxes Total $ (30 ) $ (24 ) $ (60 ) $ (52 ) (1) Amounts exclude adjustments to DAC, present value of future profits, sales inducements and benefit reserves. |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Assets and liabilities held for sale and operating results related to discontinued operations | A summary of operating results related to Genworth Canada reported as discontinued operations were as follows for the three and six months ended June 30, 2019: (Amounts in millions) Three months Six months Revenues: Premiums $ 125 $ 251 Net investment income 36 71 Net investment gains (losses) 1 — Total revenues 162 322 Benefits and expenses: Benefits and other changes in policy reserves 19 38 Acquisition and operating expenses, net of deferrals 18 32 Amortization of deferred acquisition costs and intangibles 11 21 Interest expense (1) 13 25 Total benefits and expenses 61 116 Income before income taxes (2) 101 206 Provision for income taxes 41 84 Income from discontinued operations, net of taxes 60 122 Less: net income from discontinued operations attributable to noncontrolling interests 35 71 Income from discontinued operations available to Genworth Financial, Inc.’s common stockholders $ 25 $ 51 (1) Interest on debt assumed by Brookfield and interest on debt that was repaid as a result of the sale of Genworth Canada was allocated and reported in discontinued operations. A senior secured term loan facility (“Term Loan”), owed by Genworth Holdings and secured by GFIH’s ownership interest in Genworth Canada’s outstanding common shares, was repaid in connection with the close of the Genworth Canada sale. Accordingly, interest expense related to the Term Loan of $8 million and $16 million for the three and six months ended June 30, 2019, respectively, was allocated and reported in discontinued operations. (2) The three and six months ended June 30, 2019 includes pre-tax |
Formation of Genworth and Bas_2
Formation of Genworth and Basis of Presentation - Additional Information (Detail) $ / shares in Units, £ in Millions, $ in Millions | Jul. 21, 2020USD ($) | Jul. 21, 2020GBP (£) | Oct. 21, 2016USD ($)$ / shares | Jan. 31, 2020 | Jun. 30, 2020USD ($)Segment | Dec. 12, 2019USD ($) | Apr. 01, 2013 |
Number of operating segments | Segment | 4 | ||||||
Unrestricted cash and cash equivalents | $ 494 | ||||||
U.S. Mortgage Insurance Business [member] | |||||||
Percentage of holding to be included in public offering | 19.90% | ||||||
Subsequent Event | AXA Settlement Agreement | |||||||
Payment of legal settlements | $ 125 | £ 100 | |||||
Litigation Settlement Interest | 25 | ||||||
Litigation Settlement, Expense | $ 40 | ||||||
Genworth Canada MI | |||||||
Net cash proceeds for sale of mortgage business | $ 1,700 | ||||||
Genworth Holdings | |||||||
Percentage of subsidiary equity ownership | 100.00% | ||||||
Debt instrument, maturity month and year | 2020-06 | ||||||
Genworth Holdings | 7.20% Senior Notes, Due 2021 | |||||||
Debt instrument face amount | $ 356 | ||||||
Debt instrument interest rate | 7.20% | ||||||
Debt instrument, maturity month and year | 2021-02 | ||||||
Debt instrument annual interest payment | $ 158 | ||||||
China Oceanwide Holdings Group Co., Ltd. | Definitive Acquisition Agreement | |||||||
Total transaction value to acquire all of our outstanding common stock | $ 2,700 | ||||||
Per share amount to acquire all of our outstanding common stock | $ / shares | $ 5.43 |
Accounting Changes - Additional
Accounting Changes - Additional Information (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Disclosure of Accounting Changes [Line Items] | ||
Retained earnings | $ 899 | $ 1,461 |
Commercial mortgage loans | ||
Disclosure of Accounting Changes [Line Items] | ||
Accrued interest carrying value in Accrued investment income | 25 | |
Fixed maturity securities | ||
Disclosure of Accounting Changes [Line Items] | ||
Accrued interest carrying value in Accrued investment income | 544 | |
Accounting Standards Update 2016-13 | Cumulative Effect, Period of Adoption, Adjustment | Investments carried at amortized cost | ||
Disclosure of Accounting Changes [Line Items] | ||
Adoption of new accounting guidance, deferred tax impact | 6 | |
Retained earnings | 23 | |
Accounting Standards Update 2016-13 | Off-balance sheet credit exposures | Cumulative Effect, Period of Adoption, Adjustment | ||
Disclosure of Accounting Changes [Line Items] | ||
Retained earnings | 1 | |
Accounting Standards Update 2016-13 | Reinsurance recoverables | Cumulative Effect, Period of Adoption, Adjustment | ||
Disclosure of Accounting Changes [Line Items] | ||
Adoption of new accounting guidance, deferred tax impact | 9 | |
Retained earnings | $ 31 |
Earnings (Loss) Per Share (Deta
Earnings (Loss) Per Share (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | ||
Earnings Per Share [Abstract] | |||||
Weighted-average shares used in basic earnings per share calculations | 505.4 | 503.4 | 504.8 | 502.3 | |
Stock options, restricted stock units and stock appreciation rights | 7.1 | 5.3 | 6.3 | 6.4 | |
Weighted-average shares used in diluted earnings per share calculations | 512.5 | 508.7 | 511.1 | 508.7 | |
Income from continuing operations: | |||||
Income from continuing operations | $ 102 | $ 158 | $ 30 | $ 326 | |
Less: net income from continuing operations attributable to noncontrolling interests | 23 | 15 | 17 | 35 | |
Income from continuing operations available to Genworth Financial, Inc.'s common stockholders | $ 79 | $ 143 | $ 13 | $ 291 | |
Basic per share | $ 0.16 | $ 0.29 | $ 0.03 | $ 0.58 | |
Diluted per share | $ 0.15 | $ 0.28 | $ 0.03 | $ 0.57 | |
Income (loss) from discontinued operations: | |||||
Income (loss) from discontinued operations, net of taxes | $ (520) | $ 60 | $ (520) | $ 122 | |
Less: net income from discontinued operations attributable to noncontrolling interests | 0 | 35 | 0 | 71 | |
Income (loss) from discontinued operations available to Genworth Financial, Inc.'s common stockholders | $ (520) | $ 25 | $ (520) | $ 51 | |
Basic per share | $ (1.03) | $ 0.05 | $ (1.03) | $ 0.10 | |
Diluted per share | $ (1.01) | $ 0.05 | $ (1.02) | $ 0.10 | |
Net income (loss): | |||||
Income from continuing operations | $ 102 | $ 158 | $ 30 | $ 326 | |
Income (loss) from discontinued operations, net of taxes | (520) | 60 | (520) | 122 | |
Net income (loss) | (418) | 218 | (490) | 448 | |
Less: net income attributable to noncontrolling interests | 23 | 50 | 17 | 106 | |
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | $ (441) | $ 168 | $ (507) | $ 342 | |
Basic per share | [1] | $ (0.87) | $ 0.33 | $ (1) | $ 0.68 |
Diluted per share | $ (0.86) | $ 0.33 | $ (0.99) | $ 0.67 | |
[1] | May not total due to whole number calculation. |
Net Investment Income (Detail)
Net Investment Income (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | $ 807 | $ 841 | $ 1,625 | $ 1,658 |
Expenses and fees | (21) | (25) | (46) | (48) |
Net investment income | 786 | 816 | 1,579 | 1,610 |
Fixed maturity securities—taxable | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | 601 | 634 | 1,223 | 1,247 |
Fixed maturity securities—non-taxable | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | 1 | 2 | 3 | 4 |
Equity Securities | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | 2 | 5 | 4 | 9 |
Commercial mortgage loans | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | 84 | 85 | 169 | 167 |
Policy Loans | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | 49 | 45 | 98 | 91 |
Other invested assets | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | 66 | 59 | 113 | 118 |
Cash, cash equivalents, restricted cash and short-term investments | ||||
Net Investment Income [Line Items] | ||||
Gross investment income before expenses and fees | $ 4 | $ 11 | $ 15 | $ 22 |
Net Investment Gains (Losses) (
Net Investment Gains (Losses) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | ||
Available-for-sale securities: | |||||
Realized gains | $ 119 | $ 10 | $ 133 | $ 74 | |
Realized losses | (5) | (21) | (6) | (27) | |
Net realized gains (losses) on available-for-sale securities | 114 | (11) | 127 | 47 | |
Total other-than-temporary impairments | 0 | 0 | 0 | 0 | |
Portion of other-than-temporary impairments included in other comprehensive income (loss) | 0 | 0 | 0 | 0 | |
Net other-than-temporary impairments | 0 | 0 | 0 | 0 | |
Net change in allowance for credit losses on available-for-sale fixed maturity securities | (7) | 0 | (7) | 0 | |
Net realized gains (losses) on equity securities sold | 0 | 0 | 0 | 3 | |
Net unrealized gains (losses) on equity securities still held | 9 | 5 | (10) | 17 | |
Limited partnerships | 37 | (11) | (3) | 4 | |
Commercial mortgage loans | [1] | 1 | 1 | 1 | 0 |
Derivative instruments | 10 | (30) | (95) | (42) | |
Other | (5) | 0 | (6) | 0 | |
Total net investment gains (losses) | $ 159 | $ (46) | $ 7 | $ 29 | |
[1] | See note 5 for additional information on the impact of derivative instruments included in net investment gains (losses). |
Net Investment Allowance for Cr
Net Investment Allowance for Credit Losses (Detail) $ in Millions | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | |
Ending Balance | $ (7) |
Fixed maturity securities | |
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | |
Beginning Balance | 0 |
Increase from securities without allowance in previous periods | 7 |
Increase (decrease) from securities with allowance in previous periods | 0 |
Securities Sold | 0 |
Decrease due to change in intent or requirement to sell | 0 |
Write-offs | 0 |
Recoveries | 0 |
Ending Balance | 7 |
Non-U.S. corporate | Fixed maturity securities | |
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | |
Beginning Balance | 0 |
Increase from securities without allowance in previous periods | 4 |
Increase (decrease) from securities with allowance in previous periods | 0 |
Securities Sold | 0 |
Decrease due to change in intent or requirement to sell | 0 |
Write-offs | 0 |
Recoveries | 0 |
Ending Balance | 4 |
Commercial mortgage-backed | Fixed maturity securities | |
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | |
Beginning Balance | 0 |
Increase from securities without allowance in previous periods | 3 |
Increase (decrease) from securities with allowance in previous periods | 0 |
Securities Sold | 0 |
Decrease due to change in intent or requirement to sell | 0 |
Write-offs | 0 |
Recoveries | 0 |
Ending Balance | $ 3 |
Investments - Additional Inform
Investments - Additional Information (Detail) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2020 | Dec. 31, 2019 | |
Schedule of Investments [Line Items] | ||
Percentage of investment portfolio by which no other industry group exceeded | 10.00% | |
Percentage of stockholders' equity by which no single issuer of fixed maturity securities exceeded | 10 | |
Modified or extended troubled debt restructurings | $ 0 | $ 0 |
Total Assets | 103,637 | 101,342 |
Variable interest Entity, not primary beneficiary | ||
Schedule of Investments [Line Items] | ||
Total Assets | 743 | 616 |
Fixed Rate Commercial Mortgage Loans | ||
Schedule of Investments [Line Items] | ||
Commercial mortgage loans on nonaccrual status | $ 0 | $ 0 |
Finance and insurance | Fixed maturity securities | ||
Schedule of Investments [Line Items] | ||
Percent of investment portfolio, greater than 10% | 24.00% | |
Utilities | Fixed maturity securities | ||
Schedule of Investments [Line Items] | ||
Percent of investment portfolio, greater than 10% | 14.00% | |
Consumer-non-cyclical | Fixed maturity securities | ||
Schedule of Investments [Line Items] | ||
Percent of investment portfolio, greater than 10% | 16.00% | |
Technology and Communications [Member] | Fixed maturity securities | ||
Schedule of Investments [Line Items] | ||
Percent of investment portfolio, greater than 10% | 10.00% |
Credit Losses Recognized in Net
Credit Losses Recognized in Net Income (Loss) on Debt Securities (Detail) - Debt Securities - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended |
Jun. 30, 2019 | Jun. 30, 2019 | |
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | ||
Cumulative credit losses, beginning balance | $ 23 | $ 24 |
Securities sold, paid down or disposed | 0 | (1) |
Cumulative credit losses, ending balance | $ 23 | $ 23 |
Net Unrealized Gains and Losses
Net Unrealized Gains and Losses on Available-for-Sale Investment Securities Reflected as Separate Component of Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | |
Components of Net Unrealized Investment Gains Losses Included in Accumulated Other Comprehensive Income Loss [Line Items] | |||||||
Net unrealized gains (losses) on fixed maturity securities without an allowance for credit losses | [1] | $ 8,766 | $ 6,676 | ||||
Net unrealized gains (losses) on fixed maturity securities with an allowance for credit losses | [1] | (10) | 0 | ||||
Adjustments to deferred acquisition costs, present value of future profits, sales inducements and benefit reserves | (6,420) | (4,789) | |||||
Income taxes, net | (501) | (406) | |||||
Net unrealized investment gains (losses) | 1,835 | 1,481 | |||||
Less: net unrealized investment gains (losses) attributable to noncontrolling interests | 24 | 25 | |||||
Net unrealized investment gains (losses) attributable to Genworth Financial, Inc. | $ 1,811 | $ 1,140 | $ 1,456 | $ 1,305 | $ 943 | $ 595 | |
[1] | Excludes foreign exchange. |
Change in Net Unrealized Gains
Change in Net Unrealized Gains (Losses) on Available-for-Sale Securities Reported in Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Investments [Abstract] | ||||
Net unrealized investment gains (losses), beginning of period | $ 1,140 | $ 943 | $ 1,456 | $ 595 |
Unrealized gains (losses) arising during the period: | ||||
Unrealized gains (losses) on fixed maturity securities | 3,911 | 1,957 | 2,199 | 3,956 |
Adjustment to deferred acquisition costs | (111) | (52) | 57 | (1,041) |
Adjustment to present value of future profits | 5 | (2) | 4 | (55) |
Adjustment to sales inducements | (34) | (12) | 2 | (31) |
Adjustment to benefit reserves and policyholder contract balances | (2,802) | (1,412) | (1,694) | (1,800) |
Provision for income taxes | (207) | (104) | (120) | (227) |
Change in unrealized gains (losses) on investment securities | 762 | 375 | 448 | 802 |
Reclassification adjustments to net investment (gains) losses, net of taxes of $24 and $(1) | (88) | 1 | (94) | (46) |
Change in net unrealized investment gains (losses) | 674 | 376 | 354 | 756 |
Less: change in net unrealized investment gains (losses) attributable to noncontrolling interests | 3 | 14 | (1) | 46 |
Net unrealized investment gains (losses), end of period | $ 1,811 | $ 1,305 | $ 1,811 | $ 1,305 |
Change in Net Unrealized Gain_2
Change in Net Unrealized Gains (Losses) on Available-for-Sale Securities Reported in Accumulated Other Comprehensive Income (Loss) (Parenthetical) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Components of Net Unrealized Investment Gains Losses Included in Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Reclassification adjustments to net investment (gains) losses, taxes | $ 24 | $ (1) | $ 25 | $ 12 |
Amortized Cost or Cost, Gross U
Amortized Cost or Cost, Gross Unrealized Gains (Losses) and Fair Value of Fixed Maturity and Equity Securities Classified as Available-for-Sale (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Schedule of Investments [Line Items] | ||
Amortized cost or cost, total | $ 54,834 | $ 53,700 |
Gross unrealized gains | 8,999 | |
Gross unrealized losses | (282) | |
Fair value, total | 63,544 | 60,339 |
Amortized cost or cost, fixed maturity securities | 54,834 | |
Allowance for credit losses | (7) | |
Fair value, fixed maturity securities | 63,544 | 60,339 |
Fixed maturity securities | ||
Schedule of Investments [Line Items] | ||
Allowance for credit losses | 7 | 0 |
Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 3,877 | 4,073 |
Gross unrealized gains, fixed maturity securities | 1,725 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 5,602 | 5,025 |
Fixed maturity securities | State and Political Subdivisions | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 2,503 | 2,394 |
Gross unrealized gains, fixed maturity securities | 496 | |
Gross unrealized losses, fixed maturity securities | (1) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 2,998 | 2,747 |
Fixed maturity securities | Non-U.S. government | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 1,424 | 1,235 |
Gross unrealized gains, fixed maturity securities | 125 | |
Gross unrealized losses, fixed maturity securities | (7) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 1,542 | 1,350 |
Fixed maturity securities | U.S. corporate | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 29,643 | 28,313 |
Gross unrealized gains, fixed maturity securities | 4,876 | |
Gross unrealized losses, fixed maturity securities | (124) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 34,395 | 32,111 |
Fixed maturity securities | U.S. corporate | Utilities | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 4,392 | 4,322 |
Gross unrealized gains, fixed maturity securities | 879 | |
Gross unrealized losses, fixed maturity securities | (1) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 5,270 | 4,997 |
Fixed maturity securities | U.S. corporate | Energy | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 2,454 | 2,404 |
Gross unrealized gains, fixed maturity securities | 203 | |
Gross unrealized losses, fixed maturity securities | (63) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 2,594 | 2,699 |
Fixed maturity securities | U.S. corporate | Finance and insurance | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 7,400 | 6,977 |
Gross unrealized gains, fixed maturity securities | 1,017 | |
Gross unrealized losses, fixed maturity securities | (14) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 8,403 | 7,774 |
Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 5,132 | 4,909 |
Gross unrealized gains, fixed maturity securities | 1,147 | |
Gross unrealized losses, fixed maturity securities | (2) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 6,277 | 5,701 |
Fixed maturity securities | U.S. corporate | Technology and communications | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 2,912 | 2,883 |
Gross unrealized gains, fixed maturity securities | 503 | |
Gross unrealized losses, fixed maturity securities | (4) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 3,411 | 3,245 |
Fixed maturity securities | U.S. corporate | Industrial | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 1,350 | 1,271 |
Gross unrealized gains, fixed maturity securities | 157 | |
Gross unrealized losses, fixed maturity securities | (4) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 1,503 | 1,396 |
Fixed maturity securities | U.S. corporate | Capital goods | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 2,580 | 2,345 |
Gross unrealized gains, fixed maturity securities | 454 | |
Gross unrealized losses, fixed maturity securities | (6) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 3,028 | 2,711 |
Fixed maturity securities | U.S. corporate | Consumer-cyclical | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 1,748 | 1,590 |
Gross unrealized gains, fixed maturity securities | 224 | |
Gross unrealized losses, fixed maturity securities | (6) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 1,966 | 1,760 |
Fixed maturity securities | U.S. corporate | Transportation | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 1,335 | 1,320 |
Gross unrealized gains, fixed maturity securities | 254 | |
Gross unrealized losses, fixed maturity securities | (24) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 1,565 | 1,506 |
Fixed maturity securities | U.S. corporate | Other | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 340 | 292 |
Gross unrealized gains, fixed maturity securities | 38 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 378 | 322 |
Fixed maturity securities | Non-U.S. corporate | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 9,673 | 9,469 |
Gross unrealized gains, fixed maturity securities | 1,263 | |
Gross unrealized losses, fixed maturity securities | (47) | |
Allowance for credit losses | 4 | 0 |
Fair value, fixed maturity securities | 10,885 | 10,525 |
Fixed maturity securities | Non-U.S. corporate | Utilities | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 811 | 779 |
Gross unrealized gains, fixed maturity securities | 68 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 879 | 829 |
Fixed maturity securities | Non-U.S. corporate | Energy | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 1,141 | 1,140 |
Gross unrealized gains, fixed maturity securities | 148 | |
Gross unrealized losses, fixed maturity securities | (14) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 1,275 | 1,319 |
Fixed maturity securities | Non-U.S. corporate | Finance and insurance | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 2,199 | 2,087 |
Gross unrealized gains, fixed maturity securities | 284 | |
Gross unrealized losses, fixed maturity securities | (16) | |
Allowance for credit losses | (1) | |
Fair value, fixed maturity securities | 2,466 | 2,319 |
Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 692 | 631 |
Gross unrealized gains, fixed maturity securities | 86 | |
Gross unrealized losses, fixed maturity securities | (1) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 777 | 684 |
Fixed maturity securities | Non-U.S. corporate | Technology and communications | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 1,066 | 1,010 |
Gross unrealized gains, fixed maturity securities | 182 | |
Gross unrealized losses, fixed maturity securities | (1) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 1,247 | 1,138 |
Fixed maturity securities | Non-U.S. corporate | Industrial | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 883 | 896 |
Gross unrealized gains, fixed maturity securities | 116 | |
Gross unrealized losses, fixed maturity securities | (4) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 995 | 988 |
Fixed maturity securities | Non-U.S. corporate | Capital goods | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 565 | 565 |
Gross unrealized gains, fixed maturity securities | 50 | |
Gross unrealized losses, fixed maturity securities | (2) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 613 | 605 |
Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 380 | 373 |
Gross unrealized gains, fixed maturity securities | 27 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 407 | 397 |
Fixed maturity securities | Non-U.S. corporate | Transportation | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 560 | 557 |
Gross unrealized gains, fixed maturity securities | 84 | |
Gross unrealized losses, fixed maturity securities | (6) | |
Allowance for credit losses | (3) | |
Fair value, fixed maturity securities | 635 | 629 |
Fixed maturity securities | Non-U.S. corporate | Other | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 1,376 | 1,431 |
Gross unrealized gains, fixed maturity securities | 218 | |
Gross unrealized losses, fixed maturity securities | (3) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 1,591 | 1,617 |
Fixed maturity securities | Residential mortgage-backed | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 1,927 | 2,057 |
Gross unrealized gains, fixed maturity securities | 259 | |
Gross unrealized losses, fixed maturity securities | (2) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | 2,184 | 2,270 |
Fixed maturity securities | Commercial mortgage-backed | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 2,800 | 2,897 |
Gross unrealized gains, fixed maturity securities | 225 | |
Gross unrealized losses, fixed maturity securities | (52) | |
Allowance for credit losses | 3 | 0 |
Fair value, fixed maturity securities | 2,970 | 3,026 |
Fixed maturity securities | Other asset-backed | ||
Schedule of Investments [Line Items] | ||
Amortized cost or cost, fixed maturity securities | 2,987 | 3,262 |
Gross unrealized gains, fixed maturity securities | 30 | |
Gross unrealized losses, fixed maturity securities | (49) | |
Allowance for credit losses | 0 | |
Fair value, fixed maturity securities | $ 2,968 | 3,285 |
Not other-than-temporary impairments | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains | 6,667 | |
Gross unrealized losses | (43) | |
Not other-than-temporary impairments | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 952 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Not other-than-temporary impairments | Fixed maturity securities | State and Political Subdivisions | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 355 | |
Gross unrealized losses, fixed maturity securities | (2) | |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. government | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 117 | |
Gross unrealized losses, fixed maturity securities | (2) | |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 3,816 | |
Gross unrealized losses, fixed maturity securities | (18) | |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Utilities | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 675 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Energy | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 303 | |
Gross unrealized losses, fixed maturity securities | (8) | |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Finance and insurance | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 798 | |
Gross unrealized losses, fixed maturity securities | (1) | |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 796 | |
Gross unrealized losses, fixed maturity securities | (4) | |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Technology and communications | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 363 | |
Gross unrealized losses, fixed maturity securities | (1) | |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Industrial | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 125 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Capital goods | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 367 | |
Gross unrealized losses, fixed maturity securities | (1) | |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Consumer-cyclical | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 172 | |
Gross unrealized losses, fixed maturity securities | (2) | |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Transportation | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 187 | |
Gross unrealized losses, fixed maturity securities | (1) | |
Not other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Other | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 30 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 1,061 | |
Gross unrealized losses, fixed maturity securities | (5) | |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Utilities | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 50 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Energy | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 179 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Finance and insurance | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 232 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 55 | |
Gross unrealized losses, fixed maturity securities | (2) | |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Technology and communications | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 128 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Industrial | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 92 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Capital goods | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 40 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 24 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Transportation | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 73 | |
Gross unrealized losses, fixed maturity securities | (1) | |
Not other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Other | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 188 | |
Gross unrealized losses, fixed maturity securities | (2) | |
Not other-than-temporary impairments | Fixed maturity securities | Residential mortgage-backed | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 199 | |
Gross unrealized losses, fixed maturity securities | (1) | |
Not other-than-temporary impairments | Fixed maturity securities | Commercial mortgage-backed | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 137 | |
Gross unrealized losses, fixed maturity securities | (8) | |
Not other-than-temporary impairments | Fixed maturity securities | Other asset-backed | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 30 | |
Gross unrealized losses, fixed maturity securities | (7) | |
Other-than-temporary impairments | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains | 15 | |
Gross unrealized losses | 0 | |
Other-than-temporary impairments | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | State and Political Subdivisions | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. government | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Utilities | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Energy | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Finance and insurance | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Technology and communications | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Industrial | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Capital goods | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Consumer-cyclical | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Transportation | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | U.S. corporate | Other | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Utilities | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Energy | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Finance and insurance | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Technology and communications | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Industrial | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Capital goods | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Transportation | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | Non-U.S. corporate | Other | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | Residential mortgage-backed | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 15 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | Commercial mortgage-backed | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | 0 | |
Other-than-temporary impairments | Fixed maturity securities | Other asset-backed | ||
Schedule of Investments [Line Items] | ||
Gross unrealized gains, fixed maturity securities | 0 | |
Gross unrealized losses, fixed maturity securities | $ 0 |
Gross Unrealized Losses and Fai
Gross Unrealized Losses and Fair Value of Investment Securities (Detail) $ in Millions | Jun. 30, 2020USD ($)Securities | Dec. 31, 2019USD ($)Securities |
Schedule of Investments [Line Items] | ||
Less than 12 months, Fair value | $ 4,618 | $ 1,452 |
Less than 12 months, Gross unrealized losses | $ (241) | $ (18) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 847 | 231 |
12 months or more, Fair value | $ 465 | $ 817 |
12 months or more, Gross unrealized losses | $ (31) | $ (25) |
12 months or more, Number of securities in a continuous loss position | Securities | 86 | 158 |
Fair value | $ 5,083 | $ 2,269 |
Gross unrealized losses | $ (272) | $ (43) |
Number of securities in a continuous loss position | Securities | 933 | 389 |
Investment grade | ||
Schedule of Investments [Line Items] | ||
Less than 12 months, Fair value | $ 3,731 | $ 1,408 |
Less than 12 months, Gross unrealized losses | $ (163) | $ (14) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 701 | 223 |
12 months or more, Fair value | $ 330 | $ 702 |
12 months or more, Gross unrealized losses | $ (18) | $ (15) |
12 months or more, Number of securities in a continuous loss position | Securities | 71 | 145 |
Fair value | $ 4,061 | $ 2,110 |
Gross unrealized losses | $ (181) | $ (29) |
Number of securities in a continuous loss position | Securities | 772 | 368 |
Below investment grade | ||
Schedule of Investments [Line Items] | ||
Less than 12 months, Fair value | $ 887 | $ 44 |
Less than 12 months, Gross unrealized losses | $ (78) | $ (4) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 146 | 8 |
12 months or more, Fair value | $ 135 | $ 115 |
12 months or more, Gross unrealized losses | $ (13) | $ (10) |
12 months or more, Number of securities in a continuous loss position | Securities | 15 | 13 |
Fair value | $ 1,022 | $ 159 |
Gross unrealized losses | $ (91) | $ (14) |
Number of securities in a continuous loss position | Securities | 161 | 21 |
Fixed maturity securities | ||
Schedule of Investments [Line Items] | ||
Less than 12 months, Fair value | $ 4,618 | $ 1,452 |
Less than 12 months, Gross unrealized losses | $ (241) | $ (18) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 847 | 231 |
12 months or more, Fair value | $ 465 | $ 817 |
12 months or more, Gross unrealized losses | $ (31) | $ (25) |
12 months or more, Number of securities in a continuous loss position | Securities | 86 | 158 |
Fair value | $ 5,083 | $ 2,269 |
Gross unrealized losses | $ (272) | $ (43) |
Number of securities in a continuous loss position | Securities | 933 | 389 |
Fixed maturity securities | Less Than 20 Percent Below Cost | ||
Schedule of Investments [Line Items] | ||
Less than 12 months, Fair value | $ 4,538 | $ 1,452 |
Less than 12 months, Gross unrealized losses | $ (211) | $ (18) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 825 | 231 |
12 months or more, Fair value | $ 442 | $ 807 |
12 months or more, Gross unrealized losses | $ (24) | $ (20) |
12 months or more, Number of securities in a continuous loss position | Securities | 83 | 155 |
Fair value | $ 4,980 | $ 2,259 |
Gross unrealized losses | $ (235) | $ (38) |
Number of securities in a continuous loss position | Securities | 908 | 386 |
Fixed maturity securities | 20 To 50 percent below cost | ||
Schedule of Investments [Line Items] | ||
Less than 12 months, Fair value | $ 80 | $ 0 |
Less than 12 months, Gross unrealized losses | $ (30) | $ 0 |
Less than 12 months, Number of securities in a continuous loss position | Securities | 22 | 0 |
12 months or more, Fair value | $ 22 | $ 10 |
12 months or more, Gross unrealized losses | $ (6) | $ (5) |
12 months or more, Number of securities in a continuous loss position | Securities | 2 | 3 |
Fair value | $ 102 | $ 10 |
Gross unrealized losses | $ (36) | $ (5) |
Number of securities in a continuous loss position | Securities | 24 | 3 |
Fixed maturity securities | Greater Than 50 Percent Below Cost | ||
Schedule of Investments [Line Items] | ||
Less than 12 months, Fair value | $ 0 | |
Less than 12 months, Gross unrealized losses | $ 0 | |
Less than 12 months, Number of securities in a continuous loss position | Securities | 0 | |
12 months or more, Fair value | $ 1 | |
12 months or more, Gross unrealized losses | $ (1) | |
12 months or more, Number of securities in a continuous loss position | Securities | 1 | |
Fair value | $ 1 | |
Gross unrealized losses | $ (1) | |
Number of securities in a continuous loss position | Securities | 1 | |
Fixed maturity securities | State and Political Subdivisions | ||
Schedule of Investments [Line Items] | ||
Less than 12 months, Fair value | $ 23 | $ 91 |
Less than 12 months, Gross unrealized losses | $ (1) | $ (2) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 6 | 14 |
12 months or more, Fair value | $ 0 | $ 0 |
12 months or more, Gross unrealized losses | $ 0 | $ 0 |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | |
Fair value | $ 23 | $ 91 |
Gross unrealized losses | $ (1) | $ (2) |
Number of securities in a continuous loss position | Securities | 6 | 14 |
Fixed maturity securities | Non-U.S. government | ||
Schedule of Investments [Line Items] | ||
Less than 12 months, Fair value | $ 207 | $ 224 |
Less than 12 months, Gross unrealized losses | $ (7) | $ (2) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 18 | 20 |
12 months or more, Fair value | $ 0 | $ 0 |
12 months or more, Gross unrealized losses | $ 0 | $ 0 |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | 0 |
Fair value | $ 207 | $ 224 |
Gross unrealized losses | $ (7) | $ (2) |
Number of securities in a continuous loss position | Securities | 18 | 20 |
Fixed maturity securities | U.S. corporate | ||
Schedule of Investments [Line Items] | ||
Less than 12 months, Fair value | $ 1,785 | $ 123 |
Less than 12 months, Gross unrealized losses | $ (107) | $ (5) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 291 | 27 |
12 months or more, Fair value | $ 182 | $ 302 |
12 months or more, Gross unrealized losses | $ (17) | $ (13) |
12 months or more, Number of securities in a continuous loss position | Securities | 18 | 33 |
Fair value | $ 1,967 | $ 425 |
Gross unrealized losses | $ (124) | $ (18) |
Number of securities in a continuous loss position | Securities | 309 | 60 |
Fixed maturity securities | Non-U.S. corporate | ||
Schedule of Investments [Line Items] | ||
Less than 12 months, Fair value | $ 613 | $ 79 |
Less than 12 months, Gross unrealized losses | $ (37) | $ (1) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 125 | 12 |
12 months or more, Fair value | $ 12 | $ 62 |
12 months or more, Gross unrealized losses | $ (2) | $ (4) |
12 months or more, Number of securities in a continuous loss position | Securities | 2 | 7 |
Fair value | $ 625 | $ 141 |
Gross unrealized losses | $ (39) | $ (5) |
Number of securities in a continuous loss position | Securities | 127 | 19 |
Fixed maturity securities | Residential mortgage-backed | ||
Schedule of Investments [Line Items] | ||
Less than 12 months, Fair value | $ 36 | $ 22 |
Less than 12 months, Gross unrealized losses | $ (1) | $ (1) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 11 | 10 |
12 months or more, Fair value | $ 8 | $ 0 |
12 months or more, Gross unrealized losses | $ (1) | $ 0 |
12 months or more, Number of securities in a continuous loss position | Securities | 4 | 0 |
Fair value | $ 44 | $ 22 |
Gross unrealized losses | $ (2) | $ (1) |
Number of securities in a continuous loss position | Securities | 15 | 10 |
Fixed maturity securities | Commercial mortgage-backed | ||
Schedule of Investments [Line Items] | ||
Less than 12 months, Fair value | $ 625 | $ 381 |
Less than 12 months, Gross unrealized losses | $ (50) | $ (5) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 105 | 51 |
12 months or more, Fair value | $ 0 | $ 14 |
12 months or more, Gross unrealized losses | $ 0 | $ (3) |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | 3 |
Fair value | $ 625 | $ 395 |
Gross unrealized losses | $ (50) | $ (8) |
Number of securities in a continuous loss position | Securities | 105 | 54 |
Fixed maturity securities | Other asset-backed | ||
Schedule of Investments [Line Items] | ||
Less than 12 months, Fair value | $ 1,329 | $ 532 |
Less than 12 months, Gross unrealized losses | $ (38) | $ (2) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 291 | 97 |
12 months or more, Fair value | $ 263 | $ 439 |
12 months or more, Gross unrealized losses | $ (11) | $ (5) |
12 months or more, Number of securities in a continuous loss position | Securities | 62 | 115 |
Fair value | $ 1,592 | $ 971 |
Gross unrealized losses | $ (49) | $ (7) |
Number of securities in a continuous loss position | Securities | 353 | 212 |
Gross Unrealized Losses and F_2
Gross Unrealized Losses and Fair Value of Corporate Securities Based on Industries (Detail) $ in Millions | Jun. 30, 2020USD ($)Securities | Dec. 31, 2019USD ($)Securities |
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 4,618 | $ 1,452 |
Less than 12 months, Gross unrealized losses | $ (241) | $ (18) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 847 | 231 |
12 months or more, Fair value | $ 465 | $ 817 |
12 months or more, Gross unrealized losses | $ (31) | $ (25) |
12 months or more, Number of securities in a continuous loss position | Securities | 86 | 158 |
Fair value | $ 5,083 | $ 2,269 |
Gross unrealized losses | $ (272) | $ (43) |
Number of securities in a continuous loss position | Securities | 933 | 389 |
Fixed maturity securities | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 4,618 | $ 1,452 |
Less than 12 months, Gross unrealized losses | $ (241) | $ (18) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 847 | 231 |
12 months or more, Fair value | $ 465 | $ 817 |
12 months or more, Gross unrealized losses | $ (31) | $ (25) |
12 months or more, Number of securities in a continuous loss position | Securities | 86 | 158 |
Fair value | $ 5,083 | $ 2,269 |
Gross unrealized losses | $ (272) | $ (43) |
Number of securities in a continuous loss position | Securities | 933 | 389 |
Fixed maturity securities | U.S. corporate | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 1,785 | $ 123 |
Less than 12 months, Gross unrealized losses | $ (107) | $ (5) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 291 | 27 |
12 months or more, Fair value | $ 182 | $ 302 |
12 months or more, Gross unrealized losses | $ (17) | $ (13) |
12 months or more, Number of securities in a continuous loss position | Securities | 18 | 33 |
Fair value | $ 1,967 | $ 425 |
Gross unrealized losses | $ (124) | $ (18) |
Number of securities in a continuous loss position | Securities | 309 | 60 |
Fixed maturity securities | U.S. corporate | Utilities | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 35 | |
Less than 12 months, Gross unrealized losses | $ (1) | |
Less than 12 months, Number of securities in a continuous loss position | Securities | 6 | |
12 months or more, Fair value | $ 0 | |
12 months or more, Gross unrealized losses | $ 0 | |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | |
Fair value | $ 35 | |
Gross unrealized losses | $ (1) | |
Number of securities in a continuous loss position | Securities | 6 | |
Fixed maturity securities | U.S. corporate | Energy | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 594 | $ 54 |
Less than 12 months, Gross unrealized losses | $ (50) | $ (3) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 93 | 10 |
12 months or more, Fair value | $ 88 | $ 80 |
12 months or more, Gross unrealized losses | $ (13) | $ (5) |
12 months or more, Number of securities in a continuous loss position | Securities | 11 | 10 |
Fair value | $ 682 | $ 134 |
Gross unrealized losses | $ (63) | $ (8) |
Number of securities in a continuous loss position | Securities | 104 | 20 |
Fixed maturity securities | U.S. corporate | Finance and insurance | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 429 | $ 0 |
Less than 12 months, Gross unrealized losses | $ (14) | $ 0 |
Less than 12 months, Number of securities in a continuous loss position | Securities | 56 | 0 |
12 months or more, Fair value | $ 0 | $ 34 |
12 months or more, Gross unrealized losses | $ 0 | $ (1) |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | 4 |
Fair value | $ 429 | $ 34 |
Gross unrealized losses | $ (14) | $ (1) |
Number of securities in a continuous loss position | Securities | 56 | 4 |
Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 80 | $ 34 |
Less than 12 months, Gross unrealized losses | $ (1) | $ (1) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 17 | 9 |
12 months or more, Fair value | $ 43 | $ 93 |
12 months or more, Gross unrealized losses | $ (1) | $ (3) |
12 months or more, Number of securities in a continuous loss position | Securities | 2 | 9 |
Fair value | $ 123 | $ 127 |
Gross unrealized losses | $ (2) | $ (4) |
Number of securities in a continuous loss position | Securities | 19 | 18 |
Fixed maturity securities | U.S. corporate | Technology and communications | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 89 | $ 0 |
Less than 12 months, Gross unrealized losses | $ (4) | $ 0 |
Less than 12 months, Number of securities in a continuous loss position | Securities | 20 | 0 |
12 months or more, Fair value | $ 0 | $ 18 |
12 months or more, Gross unrealized losses | $ 0 | $ (1) |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | 2 |
Fair value | $ 89 | $ 18 |
Gross unrealized losses | $ (4) | $ (1) |
Number of securities in a continuous loss position | Securities | 20 | 2 |
Fixed maturity securities | U.S. corporate | Industrial | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 98 | |
Less than 12 months, Gross unrealized losses | $ (4) | |
Less than 12 months, Number of securities in a continuous loss position | Securities | 9 | |
12 months or more, Fair value | $ 0 | |
12 months or more, Gross unrealized losses | $ 0 | |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | |
Fair value | $ 98 | |
Gross unrealized losses | $ (4) | |
Number of securities in a continuous loss position | Securities | 9 | |
Fixed maturity securities | U.S. corporate | Capital goods | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 90 | $ 35 |
Less than 12 months, Gross unrealized losses | $ (5) | $ (1) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 14 | 8 |
12 months or more, Fair value | $ 14 | $ 0 |
12 months or more, Gross unrealized losses | $ (1) | $ 0 |
12 months or more, Number of securities in a continuous loss position | Securities | 1 | 0 |
Fair value | $ 104 | $ 35 |
Gross unrealized losses | $ (6) | $ (1) |
Number of securities in a continuous loss position | Securities | 15 | 8 |
Fixed maturity securities | U.S. corporate | Consumer-cyclical | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 181 | $ 0 |
Less than 12 months, Gross unrealized losses | $ (4) | $ 0 |
Less than 12 months, Number of securities in a continuous loss position | Securities | 32 | 0 |
12 months or more, Fair value | $ 37 | $ 54 |
12 months or more, Gross unrealized losses | $ (2) | $ (2) |
12 months or more, Number of securities in a continuous loss position | Securities | 4 | 6 |
Fair value | $ 218 | $ 54 |
Gross unrealized losses | $ (6) | $ (2) |
Number of securities in a continuous loss position | Securities | 36 | 6 |
Fixed maturity securities | U.S. corporate | Transportation | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 189 | $ 0 |
Less than 12 months, Gross unrealized losses | $ (24) | $ 0 |
Less than 12 months, Number of securities in a continuous loss position | Securities | 44 | 0 |
12 months or more, Fair value | $ 0 | $ 23 |
12 months or more, Gross unrealized losses | $ 0 | $ (1) |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | 2 |
Fair value | $ 189 | $ 23 |
Gross unrealized losses | $ (24) | $ (1) |
Number of securities in a continuous loss position | Securities | 44 | 2 |
Fixed maturity securities | Non-U.S. corporate | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 613 | $ 79 |
Less than 12 months, Gross unrealized losses | $ (37) | $ (1) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 125 | 12 |
12 months or more, Fair value | $ 12 | $ 62 |
12 months or more, Gross unrealized losses | $ (2) | $ (4) |
12 months or more, Number of securities in a continuous loss position | Securities | 2 | 7 |
Fair value | $ 625 | $ 141 |
Gross unrealized losses | $ (39) | $ (5) |
Number of securities in a continuous loss position | Securities | 127 | 19 |
Fixed maturity securities | Non-U.S. corporate | Energy | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 150 | |
Less than 12 months, Gross unrealized losses | $ (14) | |
Less than 12 months, Number of securities in a continuous loss position | Securities | 23 | |
12 months or more, Fair value | $ 0 | |
12 months or more, Gross unrealized losses | $ 0 | |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | |
Fair value | $ 150 | |
Gross unrealized losses | $ (14) | |
Number of securities in a continuous loss position | Securities | 23 | |
Fixed maturity securities | Non-U.S. corporate | Finance and insurance | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 215 | |
Less than 12 months, Gross unrealized losses | $ (10) | |
Less than 12 months, Number of securities in a continuous loss position | Securities | 43 | |
12 months or more, Fair value | $ 0 | |
12 months or more, Gross unrealized losses | $ 0 | |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | |
Fair value | $ 215 | |
Gross unrealized losses | $ (10) | |
Number of securities in a continuous loss position | Securities | 43 | |
Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 0 | $ 0 |
Less than 12 months, Gross unrealized losses | $ 0 | $ 0 |
Less than 12 months, Number of securities in a continuous loss position | Securities | 0 | 0 |
12 months or more, Fair value | $ 6 | $ 31 |
12 months or more, Gross unrealized losses | $ (1) | $ (2) |
12 months or more, Number of securities in a continuous loss position | Securities | 1 | 3 |
Fair value | $ 6 | $ 31 |
Gross unrealized losses | $ (1) | $ (2) |
Number of securities in a continuous loss position | Securities | 1 | 3 |
Fixed maturity securities | Non-U.S. corporate | Technology and communications | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 34 | |
Less than 12 months, Gross unrealized losses | $ (1) | |
Less than 12 months, Number of securities in a continuous loss position | Securities | 16 | |
12 months or more, Fair value | $ 0 | |
12 months or more, Gross unrealized losses | $ 0 | |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | |
Fair value | $ 34 | |
Gross unrealized losses | $ (1) | |
Number of securities in a continuous loss position | Securities | 16 | |
Fixed maturity securities | Non-U.S. corporate | Industrial | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 80 | |
Less than 12 months, Gross unrealized losses | $ (4) | |
Less than 12 months, Number of securities in a continuous loss position | Securities | 11 | |
12 months or more, Fair value | $ 0 | |
12 months or more, Gross unrealized losses | $ 0 | |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | |
Fair value | $ 80 | |
Gross unrealized losses | $ (4) | |
Number of securities in a continuous loss position | Securities | 11 | |
Fixed maturity securities | Non-U.S. corporate | Capital goods | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 62 | |
Less than 12 months, Gross unrealized losses | $ (2) | |
Less than 12 months, Number of securities in a continuous loss position | Securities | 8 | |
12 months or more, Fair value | $ 0 | |
12 months or more, Gross unrealized losses | $ 0 | |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | |
Fair value | $ 62 | |
Gross unrealized losses | $ (2) | |
Number of securities in a continuous loss position | Securities | 8 | |
Fixed maturity securities | Non-U.S. corporate | Transportation | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 42 | $ 0 |
Less than 12 months, Gross unrealized losses | $ (4) | $ 0 |
Less than 12 months, Number of securities in a continuous loss position | Securities | 15 | 0 |
12 months or more, Fair value | $ 0 | $ 25 |
12 months or more, Gross unrealized losses | $ 0 | $ (1) |
12 months or more, Number of securities in a continuous loss position | Securities | 0 | 3 |
Fair value | $ 42 | $ 25 |
Gross unrealized losses | $ (4) | $ (1) |
Number of securities in a continuous loss position | Securities | 15 | 3 |
Fixed maturity securities | Non-U.S. corporate | Other | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 30 | $ 79 |
Less than 12 months, Gross unrealized losses | $ (2) | $ (1) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 9 | 12 |
12 months or more, Fair value | $ 6 | $ 6 |
12 months or more, Gross unrealized losses | $ (1) | $ (1) |
12 months or more, Number of securities in a continuous loss position | Securities | 1 | 1 |
Fair value | $ 36 | $ 85 |
Gross unrealized losses | $ (3) | $ (2) |
Number of securities in a continuous loss position | Securities | 10 | 13 |
Fixed maturity securities | Corporate Debt Securities | ||
Available for Sale Securities Continuous Unrealized Loss Position [Line Items] | ||
Less than 12 months, Fair value | $ 2,398 | $ 202 |
Less than 12 months, Gross unrealized losses | $ (144) | $ (6) |
Less than 12 months, Number of securities in a continuous loss position | Securities | 416 | 39 |
12 months or more, Fair value | $ 194 | $ 364 |
12 months or more, Gross unrealized losses | $ (19) | $ (17) |
12 months or more, Number of securities in a continuous loss position | Securities | 20 | 40 |
Fair value | $ 2,592 | $ 566 |
Gross unrealized losses | $ (163) | $ (23) |
Number of securities in a continuous loss position | Securities | 436 | 79 |
Scheduled Maturity Distribution
Scheduled Maturity Distribution of Fixed Maturity Securities (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Amortized cost or cost | ||
Due one year or less | $ 1,494 | |
Due after one year through five years | 9,518 | |
Due after five years through ten years | 12,978 | |
Due after ten years | 23,130 | |
Subtotal | 47,120 | |
Amortized cost or cost, fixed maturity securities | 54,834 | |
Fair value | ||
Due one year or less | 1,517 | |
Due after one year through five years | 10,054 | |
Due after five years through ten years | 14,478 | |
Due after ten years | 29,373 | |
Subtotal | 55,422 | |
Fair value, fixed maturity securities | 63,544 | $ 60,339 |
Residential mortgage-backed | ||
Amortized cost or cost | ||
Fixed maturity securities | 1,927 | |
Fair value | ||
Fixed maturity securities | 2,184 | |
Commercial mortgage-backed | ||
Amortized cost or cost | ||
Fixed maturity securities | 2,800 | |
Fair value | ||
Fixed maturity securities | 2,970 | |
Other asset-backed | ||
Amortized cost or cost | ||
Fixed maturity securities | 2,987 | |
Fair value | ||
Fixed maturity securities | $ 2,968 |
Distribution Across Property Ty
Distribution Across Property Type and Geographic Region for Commercial Mortgage Loans (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 6,945 | $ 6,976 |
Commercial mortgage loans, recorded investment | 6,980 | |
Unamortized balance of loan origination fees and costs | $ 0 | $ (4) |
% of total | 100.00% | 100.00% |
Allowance for credit losses | $ (28) | $ (13) |
Commercial mortgage loans, net | 6,917 | 6,963 |
Commercial Mortgage Loan | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 6,945 | 6,980 |
Unamortized balance of loan origination fees and costs | $ 0 | $ (4) |
% of total | 100.00% | 100.00% |
Allowance for credit losses | $ (28) | $ (13) |
Commercial mortgage loans, net | 6,917 | 6,963 |
South Atlantic | Commercial Mortgage Loan | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 1,751 | $ 1,715 |
% of total | 25.00% | 25.00% |
Pacific | Commercial Mortgage Loan | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 1,623 | $ 1,673 |
% of total | 23.00% | 24.00% |
Middle Atlantic | Commercial Mortgage Loan | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 989 | $ 992 |
% of total | 14.00% | 14.00% |
Mountain | Commercial Mortgage Loan | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 765 | $ 753 |
% of total | 11.00% | 11.00% |
West North Central | Commercial Mortgage Loan | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 476 | $ 488 |
% of total | 7.00% | 7.00% |
East North Central | Commercial Mortgage Loan | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 457 | $ 455 |
% of total | 7.00% | 6.00% |
West South Central | Commercial Mortgage Loan | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 436 | $ 433 |
% of total | 6.00% | 6.00% |
New England | Commercial Mortgage Loan | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 254 | $ 257 |
% of total | 4.00% | 4.00% |
East South Central | Commercial Mortgage Loan | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 194 | $ 214 |
% of total | 3.00% | 3.00% |
Retail | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 2,531 | $ 2,590 |
% of total | 36.00% | 37.00% |
Industrial | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 1,655 | $ 1,670 |
% of total | 24.00% | 24.00% |
Office | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 1,636 | $ 1,632 |
% of total | 24.00% | 23.00% |
Apartments | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 583 | $ 541 |
% of total | 8.00% | 8.00% |
Mixed Use | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 279 | $ 281 |
% of total | 4.00% | 4.00% |
Other | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 261 | $ 266 |
% of total | 4.00% | 4.00% |
Aging of Past Due Commercial Mo
Aging of Past Due Commercial Mortgage Loans by Property Type (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 6,945 | $ 6,976 |
Commercial mortgage loans, recorded investment | $ 6,980 | |
% of total | 100.00% | 100.00% |
Retail | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 2,531 | $ 2,590 |
% of total | 36.00% | 37.00% |
Industrial | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 1,655 | $ 1,670 |
% of total | 24.00% | 24.00% |
Office | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 1,636 | $ 1,632 |
% of total | 24.00% | 23.00% |
Apartments | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 583 | $ 541 |
% of total | 8.00% | 8.00% |
Mixed Use | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 279 | $ 281 |
% of total | 4.00% | 4.00% |
Other | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 261 | $ 266 |
% of total | 4.00% | 4.00% |
31-60 days past due | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 10 | $ 0 |
% of total | 0.00% | 0.00% |
31-60 days past due | Retail | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 10 | $ 0 |
31-60 days past due | Industrial | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
31-60 days past due | Office | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
31-60 days past due | Apartments | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
31-60 days past due | Mixed Use | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
31-60 days past due | Other | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
61-90 days past due | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 0 | $ 0 |
% of total | 0.00% | 0.00% |
61-90 days past due | Retail | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 0 | $ 0 |
61-90 days past due | Industrial | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
61-90 days past due | Office | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
61-90 days past due | Apartments | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
61-90 days past due | Mixed Use | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
61-90 days past due | Other | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
Greater than 90 days past due | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 0 | $ 0 |
% of total | 0.00% | 0.00% |
Greater than 90 days past due | Retail | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 0 | $ 0 |
Greater than 90 days past due | Industrial | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
Greater than 90 days past due | Office | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
Greater than 90 days past due | Apartments | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
Greater than 90 days past due | Mixed Use | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
Greater than 90 days past due | Other | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
Total past due | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 10 | $ 0 |
% of total | 0.00% | 0.00% |
Total past due | Retail | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 10 | $ 0 |
Total past due | Industrial | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
Total past due | Office | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
Total past due | Apartments | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
Total past due | Mixed Use | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
Total past due | Other | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
Current | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 6,935 | $ 6,980 |
% of total | 100.00% | 100.00% |
Current | Retail | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 2,521 | $ 2,590 |
Current | Industrial | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 1,655 | 1,670 |
Current | Office | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 1,636 | 1,632 |
Current | Apartments | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 583 | 541 |
Current | Mixed Use | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 279 | 281 |
Current | Other | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 261 | $ 266 |
Allowance for Credit Losses and
Allowance for Credit Losses and Recorded Investment in Commercial Mortgage Loans (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Beginning balance | $ 13 | |||
Ending balance | $ 28 | 28 | ||
Allowance for Credit Losses | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Beginning balance | 29 | $ 10 | 13 | $ 9 |
Cumulative effect of change in accounting | 0 | 0 | 16 | 0 |
Provision | (1) | 1 | (1) | 2 |
Write-offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Ending balance | $ 28 | $ 11 | $ 28 | $ 11 |
Loan-to-Value of Commercial Mor
Loan-to-Value of Commercial Mortgage Loans by Property Type (Detail) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2020USD ($) | Dec. 31, 2019USD ($) | |
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 6,945 | $ 6,976 |
Commercial mortgage loans, recorded investment | $ 6,980 | |
% of total | 100.00% | 100.00% |
Weighted-average debt service coverage ratio | 1.90 | 1.90 |
Retail | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 2,531 | $ 2,590 |
% of total | 36.00% | 37.00% |
Industrial | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 1,655 | $ 1,670 |
% of total | 24.00% | 24.00% |
Office | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 1,636 | $ 1,632 |
% of total | 24.00% | 23.00% |
Apartments | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 583 | $ 541 |
% of total | 8.00% | 8.00% |
Mixed Use | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 279 | $ 281 |
% of total | 4.00% | 4.00% |
Other | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 261 | $ 266 |
% of total | 4.00% | 4.00% |
0% - 50% | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 2,630 | $ 2,694 |
% of total | 38.00% | 39.00% |
Weighted-average debt service coverage ratio | 2.31 | 2.32 |
0% - 50% | Retail | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 963 | $ 986 |
0% - 50% | Industrial | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 758 | 808 |
0% - 50% | Office | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 530 | 529 |
0% - 50% | Apartments | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 218 | 211 |
0% - 50% | Mixed Use | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 104 | 104 |
0% - 50% | Other | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 57 | 56 |
51% - 60% | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 1,505 | $ 1,545 |
% of total | 22.00% | 22.00% |
Weighted-average debt service coverage ratio | 1.80 | 1.81 |
51% - 60% | Retail | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 572 | $ 579 |
51% - 60% | Industrial | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 344 | 337 |
51% - 60% | Office | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 359 | 380 |
51% - 60% | Apartments | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 98 | 110 |
51% - 60% | Mixed Use | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 67 | 70 |
51% - 60% | Other | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 65 | 69 |
61% - 75% | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 2,802 | $ 2,741 |
% of total | 40.00% | 39.00% |
Weighted-average debt service coverage ratio | 1.56 | 1.55 |
61% - 75% | Retail | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 996 | $ 1,025 |
61% - 75% | Industrial | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 553 | 525 |
61% - 75% | Office | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 739 | 723 |
61% - 75% | Apartments | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 267 | 220 |
61% - 75% | Mixed Use | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 108 | 107 |
61% - 75% | Other | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 139 | 141 |
76% - 100% | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 8 | $ 0 |
% of total | 0.00% | 0.00% |
Weighted-average debt service coverage ratio | 1.42 | 0 |
76% - 100% | Retail | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 0 | $ 0 |
76% - 100% | Industrial | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
76% - 100% | Office | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 8 | 0 |
76% - 100% | Apartments | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
76% - 100% | Mixed Use | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
76% - 100% | Other | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
Greater than 100% | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 0 | $ 0 |
% of total | 0.00% | 0.00% |
Weighted-average debt service coverage ratio | 0 | 0 |
Greater than 100% | Retail | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 0 | $ 0 |
Greater than 100% | Industrial | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
Greater than 100% | Office | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
Greater than 100% | Apartments | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
Greater than 100% | Mixed Use | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | 0 | 0 |
Greater than 100% | Other | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, amortized cost | $ 0 | $ 0 |
Debt Service Coverage Ratio for
Debt Service Coverage Ratio for Fixed Rate Commercial Mortgage Loans by Property Type (Detail) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2020 | Dec. 31, 2019 | |
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 6,945 | $ 6,976 |
% of total | 100.00% | 100.00% |
Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 6,945 | $ 6,980 |
% of total | 100.00% | 100.00% |
Weighted-average loan-to-value | 54.00% | 54.00% |
Retail | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 2,531 | $ 2,590 |
% of total | 36.00% | 37.00% |
Retail | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 2,531 | $ 2,590 |
Industrial | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,655 | $ 1,670 |
% of total | 24.00% | 24.00% |
Industrial | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,655 | $ 1,670 |
Office | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,636 | $ 1,632 |
% of total | 24.00% | 23.00% |
Office | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,636 | $ 1,632 |
Apartments | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 583 | $ 541 |
% of total | 8.00% | 8.00% |
Apartments | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 583 | $ 541 |
Mixed Use | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 279 | $ 281 |
% of total | 4.00% | 4.00% |
Mixed Use | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 279 | $ 281 |
Other | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 261 | $ 266 |
% of total | 4.00% | 4.00% |
Other | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 261 | $ 266 |
Less than 1.00 | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 162 | $ 190 |
% of total | 3.00% | 3.00% |
Weighted-average loan-to-value | 57.00% | 59.00% |
Less than 1.00 | Retail | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 63 | $ 68 |
Less than 1.00 | Industrial | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 24 | 24 |
Less than 1.00 | Office | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 28 | 44 |
Less than 1.00 | Apartments | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 11 | 16 |
Less than 1.00 | Mixed Use | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 3 | 4 |
Less than 1.00 | Other | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 33 | 34 |
1.00 - 1.25 | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 500 | $ 476 |
% of total | 7.00% | 7.00% |
Weighted-average loan-to-value | 61.00% | 61.00% |
1.00 - 1.25 | Retail | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 136 | $ 141 |
1.00 - 1.25 | Industrial | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 64 | 51 |
1.00 - 1.25 | Office | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 112 | 89 |
1.00 - 1.25 | Apartments | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 25 | 32 |
1.00 - 1.25 | Mixed Use | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 18 | 16 |
1.00 - 1.25 | Other | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 145 | 147 |
1.26 - 1.50 | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,317 | $ 1,280 |
% of total | 19.00% | 18.00% |
Weighted-average loan-to-value | 63.00% | 63.00% |
1.26 - 1.50 | Retail | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 599 | $ 596 |
1.26 - 1.50 | Industrial | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 215 | 221 |
1.26 - 1.50 | Office | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 269 | 277 |
1.26 - 1.50 | Apartments | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 178 | 129 |
1.26 - 1.50 | Mixed Use | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 37 | 37 |
1.26 - 1.50 | Other | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 19 | 20 |
1.51 - 2.00 | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 2,860 | $ 2,870 |
% of total | 41.00% | 41.00% |
Weighted-average loan-to-value | 58.00% | 58.00% |
1.51 - 2.00 | Retail | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,118 | $ 1,148 |
1.51 - 2.00 | Industrial | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 670 | 658 |
1.51 - 2.00 | Office | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 751 | 751 |
1.51 - 2.00 | Apartments | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 184 | 175 |
1.51 - 2.00 | Mixed Use | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 106 | 107 |
1.51 - 2.00 | Other | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 31 | 31 |
Greater than 2.00 | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 2,106 | $ 2,164 |
% of total | 30.00% | 31.00% |
Weighted-average loan-to-value | 41.00% | 41.00% |
Greater than 2.00 | Retail | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 615 | $ 637 |
Greater than 2.00 | Industrial | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 682 | 716 |
Greater than 2.00 | Office | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 476 | 471 |
Greater than 2.00 | Apartments | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 185 | 189 |
Greater than 2.00 | Mixed Use | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | 115 | 117 |
Greater than 2.00 | Other | Fixed Rate Commercial Mortgage Loans | ||
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 33 | $ 34 |
Commercial Mortgage Loans By Ye
Commercial Mortgage Loans By Year of Origination and Credit Quality Indicator (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | |
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 6,945 | $ 6,976 |
Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 6,945 | 6,980 |
Write-offs, gross | 0 | |
Recoveries | 0 | |
Write-offs, net | 0 | |
0% - 50% | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 2,630 | 2,694 |
0% - 50% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 2,630 | |
51% - 60% | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 1,505 | 1,545 |
51% - 60% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 1,505 | |
61% - 75% | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 2,802 | 2,741 |
61% - 75% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 2,802 | |
76% - 100% | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 8 | 0 |
76% - 100% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 8 | |
Greater than 100% | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | 0 |
Greater than 100% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | |
Less than 1.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 162 | 190 |
1.00 - 1.25 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 500 | 476 |
1.26 - 1.50 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 1,317 | 1,280 |
1.51 - 2.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 2,860 | 2,870 |
Greater than 2.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 2,106 | $ 2,164 |
2020 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 269 | |
Write-offs, gross | 0 | |
Recoveries | 0 | |
Write-offs, net | 0 | |
2020 | 0% - 50% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 4 | |
2020 | 51% - 60% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 29 | |
2020 | 61% - 75% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 236 | |
2020 | 76% - 100% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | |
2020 | Greater than 100% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | |
2020 | Less than 1.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | |
2020 | 1.00 - 1.25 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 39 | |
2020 | 1.26 - 1.50 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 62 | |
2020 | 1.51 - 2.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 130 | |
2020 | Greater than 2.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 38 | |
2019 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 796 | |
Write-offs, gross | 0 | |
Recoveries | 0 | |
Write-offs, net | 0 | |
2019 | 0% - 50% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 15 | |
2019 | 51% - 60% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 33 | |
2019 | 61% - 75% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 748 | |
2019 | 76% - 100% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | |
2019 | Greater than 100% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | |
2019 | Less than 1.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | |
2019 | 1.00 - 1.25 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 12 | |
2019 | 1.26 - 1.50 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 359 | |
2019 | 1.51 - 2.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 357 | |
2019 | Greater than 2.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 68 | |
2018 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 1,000 | |
Write-offs, gross | 0 | |
Recoveries | 0 | |
Write-offs, net | 0 | |
2018 | 0% - 50% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 36 | |
2018 | 51% - 60% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 190 | |
2018 | 61% - 75% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 766 | |
2018 | 76% - 100% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 8 | |
2018 | Greater than 100% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | |
2018 | Less than 1.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 33 | |
2018 | 1.00 - 1.25 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 107 | |
2018 | 1.26 - 1.50 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 261 | |
2018 | 1.51 - 2.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 505 | |
2018 | Greater than 2.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 94 | |
2017 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 731 | |
Write-offs, gross | 0 | |
Recoveries | 0 | |
Write-offs, net | 0 | |
2017 | 0% - 50% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 105 | |
2017 | 51% - 60% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 289 | |
2017 | 61% - 75% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 337 | |
2017 | 76% - 100% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | |
2017 | Greater than 100% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | |
2017 | Less than 1.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 3 | |
2017 | 1.00 - 1.25 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 73 | |
2017 | 1.26 - 1.50 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 97 | |
2017 | 1.51 - 2.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 322 | |
2017 | Greater than 2.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 236 | |
2016 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 499 | |
Write-offs, gross | 0 | |
Recoveries | 0 | |
Write-offs, net | 0 | |
2016 | 0% - 50% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 118 | |
2016 | 51% - 60% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 155 | |
2016 | 61% - 75% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 226 | |
2016 | 76% - 100% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | |
2016 | Greater than 100% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | |
2016 | Less than 1.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | |
2016 | 1.00 - 1.25 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 13 | |
2016 | 1.26 - 1.50 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 88 | |
2016 | 1.51 - 2.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 268 | |
2016 | Greater than 2.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 130 | |
2015 and prior | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 3,650 | |
Write-offs, gross | 0 | |
Recoveries | 0 | |
Write-offs, net | 0 | |
2015 and prior | 0% - 50% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 2,352 | |
2015 and prior | 51% - 60% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 809 | |
2015 and prior | 61% - 75% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 489 | |
2015 and prior | 76% - 100% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | |
2015 and prior | Greater than 100% | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 0 | |
2015 and prior | Less than 1.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 126 | |
2015 and prior | 1.00 - 1.25 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 256 | |
2015 and prior | 1.26 - 1.50 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 450 | |
2015 and prior | 1.51 - 2.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | 1,278 | |
2015 and prior | Greater than 2.00 | Fixed Rate Commercial Mortgage Loans [Member] | ||
Disclosure Of Commercial Mortgage Loans By Year Of Origination And Credit Quality Indicator [Line Items] | ||
Commercial mortgage loans, recorded investment | $ 1,540 |
Schedule of Positions in Deriva
Schedule of Positions in Derivative Instruments (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 | |
Derivative [Line Items] | |||
Derivative assets, fair value | $ 1,062 | $ 310 | |
Derivative liabilities, fair value | 1,030 | 805 | |
Policyholder account balances | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 1,029 | 794 | |
Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 1 | 11 | |
Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 1,024 | 290 | |
Interest rate swaps | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 10 | ||
Interest rate swaps | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 939 | 197 | |
Foreign currency swaps | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 17 | 4 | |
Equity index options | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 66 | 81 | |
Other foreign currency contracts | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 1 | 1 | |
Other foreign currency contracts | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 2 | 8 | |
GMWB embedded derivatives | Policyholder account balances | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | [1] | 559 | 323 |
GMWB embedded derivatives | Reinsurance recoverable | |||
Derivative [Line Items] | |||
Derivative assets, fair value | [2] | 38 | 20 |
Fixed index annuity embedded derivatives | Policyholder account balances | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 447 | 452 | |
Indexed universal life embedded derivatives | Policyholder account balances | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 23 | 19 | |
Designated As Hedging Instrument | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 956 | 201 | |
Derivative liabilities, fair value | 0 | 10 | |
Designated As Hedging Instrument | Cash Flow Hedges | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 956 | 201 | |
Derivative liabilities, fair value | 0 | 10 | |
Designated As Hedging Instrument | Cash Flow Hedges | Interest rate swaps | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 0 | 10 | |
Designated As Hedging Instrument | Cash Flow Hedges | Interest rate swaps | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 939 | 197 | |
Designated As Hedging Instrument | Cash Flow Hedges | Foreign currency swaps | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Designated As Hedging Instrument | Cash Flow Hedges | Foreign currency swaps | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 17 | 4 | |
Derivatives not designated as hedges | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 106 | 109 | |
Derivative liabilities, fair value | 1,030 | 795 | |
Derivatives not designated as hedges | Equity index options | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Derivatives not designated as hedges | Equity index options | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 66 | 81 | |
Derivatives not designated as hedges | Financial futures | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Derivatives not designated as hedges | Financial futures | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 0 | 0 | |
Derivatives not designated as hedges | Other foreign currency contracts | Other liabilities | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | 1 | 1 | |
Derivatives not designated as hedges | Other foreign currency contracts | Other invested assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 2 | 8 | |
Derivatives not designated as hedges | GMWB embedded derivatives | Policyholder account balances | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | [3] | 559 | 323 |
Derivatives not designated as hedges | GMWB embedded derivatives | Reinsurance recoverable | |||
Derivative [Line Items] | |||
Derivative assets, fair value | [4] | 38 | 20 |
Derivatives not designated as hedges | Fixed index annuity embedded derivatives | Policyholder account balances | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | [5] | 447 | 452 |
Derivatives not designated as hedges | Fixed index annuity embedded derivatives | Other assets | |||
Derivative [Line Items] | |||
Derivative assets, fair value | 0 | 0 | |
Derivatives not designated as hedges | Indexed universal life embedded derivatives | Policyholder account balances | |||
Derivative [Line Items] | |||
Derivative liabilities, fair value | [6] | 23 | 19 |
Derivatives not designated as hedges | Indexed universal life embedded derivatives | Reinsurance recoverable | |||
Derivative [Line Items] | |||
Derivative assets, fair value | $ 0 | $ 0 | |
[1] | Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. | ||
[2] | Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. | ||
[3] | Represents the embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. | ||
[4] | Represents embedded derivatives associated with the reinsured portion of our guaranteed minimum withdrawal benefits (“GMWB”) liabilities. | ||
[5] | Represents the embedded derivatives associated with our fixed index annuity liabilities. | ||
[6] | Represents the embedded derivatives associated with our indexed universal life liabilities. |
Activity Associated with Deriva
Activity Associated with Derivative Instruments (Detail) $ in Millions | 6 Months Ended |
Jun. 30, 2020USD ($)Policies | |
Derivative [Line Items] | |
Notional amount, beginning balance | $ 18,013 |
Additions | 8,132 |
Maturities/ terminations | (8,538) |
Notional amount, ending balance | 17,607 |
Designated As Hedging Instrument | |
Derivative [Line Items] | |
Notional amount, beginning balance | 9,078 |
Additions | 1,158 |
Maturities/ terminations | (1,880) |
Notional amount, ending balance | 8,356 |
Designated As Hedging Instrument | Cash Flow Hedges | |
Derivative [Line Items] | |
Notional amount, beginning balance | 9,078 |
Additions | 1,158 |
Maturities/ terminations | (1,880) |
Notional amount, ending balance | 8,356 |
Designated As Hedging Instrument | Cash Flow Hedges | Interest rate swaps | |
Derivative [Line Items] | |
Notional amount, beginning balance | 8,968 |
Additions | 1,158 |
Maturities/ terminations | (1,880) |
Notional amount, ending balance | 8,246 |
Designated As Hedging Instrument | Cash Flow Hedges | Foreign currency swaps | |
Derivative [Line Items] | |
Notional amount, beginning balance | 110 |
Additions | 0 |
Maturities/ terminations | 0 |
Notional amount, ending balance | 110 |
Derivatives not designated as hedges | |
Derivative [Line Items] | |
Notional amount, beginning balance | 8,935 |
Additions | 6,974 |
Maturities/ terminations | (6,658) |
Notional amount, ending balance | 9,251 |
Derivatives not designated as hedges | Interest rate swaps | |
Derivative [Line Items] | |
Notional amount, beginning balance | 4,674 |
Additions | 0 |
Maturities/ terminations | 0 |
Notional amount, ending balance | 4,674 |
Derivatives not designated as hedges | Equity index options | |
Derivative [Line Items] | |
Notional amount, beginning balance | 2,451 |
Additions | 883 |
Maturities/ terminations | (1,126) |
Notional amount, ending balance | 2,208 |
Derivatives not designated as hedges | Financial futures | |
Derivative [Line Items] | |
Notional amount, beginning balance | 1,182 |
Additions | 3,082 |
Maturities/ terminations | (2,914) |
Notional amount, ending balance | 1,350 |
Derivatives not designated as hedges | Other foreign currency contracts | |
Derivative [Line Items] | |
Notional amount, beginning balance | 628 |
Additions | 3,009 |
Maturities/ terminations | (2,618) |
Notional amount, ending balance | $ 1,019 |
Derivatives not designated as hedges | GMWB embedded derivatives | |
Derivative [Line Items] | |
Notional amount, beginning balance | Policies | 25,623 |
Additions | Policies | 0 |
Maturities/ terminations | Policies | (992) |
Notional amount, ending balance | Policies | 24,631 |
Derivatives not designated as hedges | Fixed index annuity embedded derivatives | |
Derivative [Line Items] | |
Notional amount, beginning balance | Policies | 15,441 |
Additions | Policies | 0 |
Maturities/ terminations | Policies | (668) |
Notional amount, ending balance | Policies | 14,773 |
Derivatives not designated as hedges | Indexed universal life embedded derivatives | |
Derivative [Line Items] | |
Notional amount, beginning balance | Policies | 884 |
Additions | Policies | 0 |
Maturities/ terminations | Policies | (28) |
Notional amount, ending balance | Policies | 856 |
Schedule of Pre-Tax Income (Los
Schedule of Pre-Tax Income (Loss) Effects of Cash Flow Hedges (Detail) - Cash Flow Hedges - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in OCI | $ (60) | $ 198 | $ 935 | $ 320 |
Gain (loss) reclassified into net income from OCI | 46 | 37 | 93 | 81 |
Gain (loss) recognized in net income (loss) | 0 | 0 | 0 | 2 |
Interest Rate Swaps Hedging Assets | Net Investment Income | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in OCI | (57) | 216 | 984 | 353 |
Gain (loss) reclassified into net income from OCI | 46 | 42 | 89 | 80 |
Gain (loss) recognized in net income (loss) | 0 | 0 | 0 | 0 |
Interest Rate Swaps Hedging Assets | Net Investment Gains (Losses) | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in OCI | 0 | 0 | 0 | |
Gain (loss) reclassified into net income from OCI | (4) | 4 | 2 | |
Gain (loss) recognized in net income (loss) | 0 | 0 | 0 | |
Interest Rate Swaps Hedging Liabilities | Interest Expense | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in OCI | 1 | (20) | (62) | (32) |
Gain (loss) reclassified into net income from OCI | 0 | 0 | 0 | 0 |
Gain (loss) recognized in net income (loss) | 0 | 0 | 0 | 0 |
Foreign currency swaps | Net Investment Income | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in OCI | (4) | 2 | 13 | (1) |
Gain (loss) reclassified into net income from OCI | 0 | (1) | 0 | (1) |
Gain (loss) recognized in net income (loss) | $ 0 | $ 0 | $ 0 | 0 |
Foreign currency swaps | Net Investment Gains (Losses) | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (loss) recognized in OCI | 0 | |||
Gain (loss) reclassified into net income from OCI | 0 | |||
Gain (loss) recognized in net income (loss) | $ 2 |
Reconciliation of Current Perio
Reconciliation of Current Period Changes, Net of Applicable Income Taxes, for Derivatives Qualifying as Hedges (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Derivative Instruments [Abstract] | ||||
Derivatives qualifying as effective accounting hedges, beginning of period | $ 2,755 | $ 1,850 | $ 2,002 | $ 1,781 |
Cumulative effect of changes in accounting: | ||||
Current period increases (decreases) in fair value, net of deferred taxes | (48) | 157 | 735 | 254 |
Reclassification to net (income), net of deferred taxes | (30) | (24) | (60) | (52) |
Derivatives qualifying as effective accounting hedges, end of period | $ 2,677 | $ 1,983 | $ 2,677 | $ 1,983 |
Reconciliation of Current Per_2
Reconciliation of Current Period Changes, Net of Applicable Income Taxes, for Derivatives Qualifying as Hedges (Parenthetical) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Current period increases (decreases) in fair value, deferred taxes | $ 12 | $ (41) | $ (200) | $ (66) |
Reclassification to net (income), deferred taxes | $ 16 | $ 13 | $ 33 | $ 29 |
Derivative Instruments - Additi
Derivative Instruments - Additional Information (Detail) - USD ($) $ in Millions | 6 Months Ended | |||||
Jun. 30, 2020 | Jun. 30, 2019 | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | |
Derivative [Line Items] | ||||||
Derivatives designated as cash flow hedges gain (loss), amount expected to be reclassified to future net income (loss), net of tax | $ 2,677 | $ 1,983 | $ 2,755 | $ 2,002 | $ 1,850 | $ 1,781 |
Year by which all forecasted transactions associated with qualifying cash flow hedges are expected to occur | 2057 | |||||
Derivatives designated as cash flow hedges gain (loss), amount expected to be reclassified to net income in the next 12 months, net of tax | $ 123 | |||||
Amount reclassified to net income in connection with forecasted transactions that were no longer considered probable of occurring | $ 1 | $ 2 |
Schedule of Pre-Tax Gain (Loss)
Schedule of Pre-Tax Gain (Loss) Recognized in Net Income (Loss) for Effects of Derivatives not Designated as Hedges (Detail) - Derivatives not designated as hedges - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | $ 10 | $ (26) | $ (99) | $ (46) |
Interest rate swaps | Net Investment Gains (Losses) | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | (2) | (3) | (12) | (4) |
Equity index options | Net Investment Gains (Losses) | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | 4 | 10 | (9) | 27 |
Financial futures | Net Investment Gains (Losses) | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | (123) | 17 | 138 | (27) |
Other foreign currency contracts | Net Investment Gains (Losses) | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | 44 | (7) | (3) | (7) |
GMWB embedded derivatives | Net Investment Gains (Losses) | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | 129 | (22) | (207) | 23 |
Fixed index annuity embedded derivatives | Net Investment Gains (Losses) | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | (45) | (20) | (13) | (58) |
Indexed universal life embedded derivatives | Net Investment Gains (Losses) | ||||
Derivative [Line Items] | ||||
Pre-tax gain (loss) recognized in net loss | $ 3 | $ (1) | $ 7 | $ 0 |
Additional Information about De
Additional Information about Derivative Assets and Liabilities Subject to Enforceable Master Netting Arrangement (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 | |
Derivative [Line Items] | |||
Gross amounts recognized, derivatives assets | $ 1,062 | $ 310 | |
Gross amounts recognized, derivatives liabilities | 1,030 | 805 | |
Subject to enforceable master netting arrangement | |||
Derivative [Line Items] | |||
Gross amounts recognized, net derivatives | 1,023 | 280 | |
Gross amounts offset in the balance sheet, net derivatives | 0 | 0 | |
Net amounts presented in the balance sheet, net derivatives | 1,023 | 280 | |
Gross amounts not offset in the balance sheet, financial instruments, net derivatives | [1] | 0 | 0 |
Collateral received | (864) | (179) | |
Collateral pledged | 434 | 405 | |
Over collateralization, net derivatives | (414) | (383) | |
Net amount | 179 | 123 | |
Subject to enforceable master netting arrangement | Derivative assets | |||
Derivative [Line Items] | |||
Gross amounts recognized, derivatives assets | 1,024 | 291 | |
Gross amounts offset in the balance sheet, derivatives assets | 0 | 0 | |
Net amounts presented in the balance sheet, derivatives assets | 1,024 | 291 | |
Gross amounts not offset in the balance sheet, financial instruments, derivatives assets | [1],[2] | (1) | (7) |
Collateral received | (864) | (179) | |
Collateral pledged | 0 | 0 | |
Over collateralization, derivatives assets | 19 | 18 | |
Net amount, derivatives assets | 178 | 123 | |
Subject to enforceable master netting arrangement | Derivative liabilities | |||
Derivative [Line Items] | |||
Gross amounts recognized, derivatives liabilities | 1 | 11 | |
Gross amounts offset in the balance sheet, derivatives liabilities | 0 | 0 | |
Net amounts presented in the balance sheet, derivatives liabilities | 1 | 11 | |
Gross amounts not offset in the balance sheet, financial instruments, derivative liabilities | [1],[3] | (1) | (7) |
Collateral received | 0 | 0 | |
Collateral pledged | (434) | (405) | |
Over collateralization, derivatives liabilities | 433 | 401 | |
Net amount, derivatives liabilities | $ (1) | $ 0 | |
[1] | Amounts represent derivative assets and/or liabilities that are presented gross within the balance sheet but are held with the same counterparty where we have a master netting arrangement. This adjustment results in presenting the net asset and net liability position for each counterparty. | ||
[2] | Included $1 million of accruals on derivatives classified as other assets as of December 31, 2019 and does not include amounts related to embedded derivatives as of June 30, 2020 and December 31, 2019. | ||
[3] | Does not include amounts related to embedded derivatives as of June 30, 2020 and December 31, 2019. |
Additional Information about _2
Additional Information about Derivative Assets and Liabilities Subject to Enforceable Master Netting Arrangement (Parenthetical) (Detail) - Derivative assets - Subject to enforceable master netting arrangement - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Derivative [Line Items] | ||
Net amounts presented in the balance sheet, accruals on derivative assets | $ 1,024 | $ 291 |
Other assets | ||
Derivative [Line Items] | ||
Net amounts presented in the balance sheet, accruals on derivative assets | $ 1 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - Additional Information (Detail) $ in Millions | 6 Months Ended | |
Jun. 30, 2020USD ($) | Dec. 31, 2019USD ($) | |
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | $ 63,544 | $ 60,339 |
GMWB non-performance risk impact | $ 91 | 62 |
Period end valuation | 0 | |
Fixed maturity securities | Non-U.S. government | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | $ 1,542 | 1,350 |
Fixed maturity securities | U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 34,395 | 32,111 |
Fixed maturity securities | Non-U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 10,885 | 10,525 |
Level 2 | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 59,289 | 56,148 |
Level 2 | Fixed maturity securities | Non-U.S. government | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 1,542 | 1,350 |
Level 2 | Fixed maturity securities | U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 32,063 | 29,872 |
Level 2 | Fixed maturity securities | Non-U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | $ 9,191 | 8,840 |
Level 2 | Fixed maturity securities | Third-Party Pricing Services | ||
Fair Value of Financial Instruments [Line Items] | ||
Percentage of available for sale debt securities | 90.00% | |
Level 2 | Fixed maturity securities | Third-Party Pricing Services | Non-U.S. government | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | $ 1,527 | |
Level 2 | Fixed maturity securities | Third-Party Pricing Services | U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 30,874 | |
Level 2 | Fixed maturity securities | Third-Party Pricing Services | Non-U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 8,589 | |
Level 2 | Fixed maturity securities | Internal models | Non-U.S. government | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 15 | |
Level 2 | Fixed maturity securities | Internal models | U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 1,189 | |
Level 2 | Fixed maturity securities | Internal models | Non-U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 602 | |
Level 3 | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 4,255 | 4,191 |
Level 3 | Fixed maturity securities | Non-U.S. government | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 0 | 0 |
Level 3 | Fixed maturity securities | U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 2,332 | 2,239 |
Level 3 | Fixed maturity securities | Non-U.S. corporate | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 1,694 | $ 1,685 |
Level 3 | Fixed maturity securities | Internal models | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | 3,392 | |
Level 3 | Fixed maturity securities | Broker Quotes | ||
Fair Value of Financial Instruments [Line Items] | ||
Available-for-sale debt securities | $ 863 |
Summary of Significant Inputs U
Summary of Significant Inputs Used by Third-Party Pricing Services for Certain Fair Value Measurements of Fixed Maturity Securities that Classified as Level 2 (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | |
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 63,544 | $ 60,339 |
Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 5,602 | 5,025 |
Fixed maturity securities | State and Political Subdivisions | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 2,998 | 2,747 |
Fixed maturity securities | Non-U.S. government | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 1,542 | 1,350 |
Fixed maturity securities | U.S. corporate | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 34,395 | 32,111 |
Fixed maturity securities | Non-U.S. corporate | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 10,885 | 10,525 |
Fixed maturity securities | Residential mortgage-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 2,184 | 2,270 |
Fixed maturity securities | Commercial mortgage-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 2,970 | 3,026 |
Fixed maturity securities | Other asset-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 2,968 | 3,285 |
Level 2 | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 59,289 | 56,148 |
Level 2 | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 5,602 | 5,025 |
Level 2 | Fixed maturity securities | State and Political Subdivisions | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 2,935 | 2,645 |
Level 2 | Fixed maturity securities | Non-U.S. government | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 1,542 | 1,350 |
Level 2 | Fixed maturity securities | U.S. corporate | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 32,063 | 29,872 |
Level 2 | Fixed maturity securities | Non-U.S. corporate | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 9,191 | 8,840 |
Level 2 | Fixed maturity securities | Residential mortgage-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 2,160 | 2,243 |
Level 2 | Fixed maturity securities | Commercial mortgage-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 2,949 | 3,020 |
Level 2 | Fixed maturity securities | Other asset-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | 2,847 | $ 3,153 |
Level 2 | Third-Party Pricing Services | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 5,602 | |
Primary methodologies | Price quotes from trading desk, broker feeds | |
Significant inputs | Bid side prices, trade prices, Option Adjusted Spread (“OAS”) to swap curve, Bond Market Association OAS, Treasury Curve, Agency Bullet Curve, maturity to issuer spread | |
Level 2 | Third-Party Pricing Services | Fixed maturity securities | State and Political Subdivisions | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 2,935 | |
Primary methodologies | Multi-dimensional attribute-based modeling systems, third-party pricing vendors | |
Significant inputs | Trade prices, material event notices, Municipal Market Data benchmark yields, broker quotes | |
Level 2 | Third-Party Pricing Services | Fixed maturity securities | Non-U.S. government | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 1,527 | |
Primary methodologies | Matrix pricing, spread priced to benchmark curves, price quotes from market makers | |
Significant inputs | Benchmark yields, trade prices, broker quotes, comparative transactions, issuer spreads, bid-offer spread, market research publications, third-party pricing sources | |
Level 2 | Third-Party Pricing Services | Fixed maturity securities | U.S. corporate | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 30,874 | |
Primary methodologies | Multi-dimensional attribute-based modeling systems, broker quotes, price quotes from market makers, OAS-based models | |
Significant inputs | Bid side prices to Treasury Curve, Issuer Curve, which includes sector, quality, duration, OAS percentage and change for spread matrix, trade prices, comparative transactions, Trade Reporting and Compliance Engine (“TRACE”) reports | |
Level 2 | Third-Party Pricing Services | Fixed maturity securities | Non-U.S. corporate | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 8,589 | |
Primary methodologies | Multi-dimensional attribute-based modeling systems, OAS-based models, price quotes from market makers | |
Significant inputs | Benchmark yields, trade prices, broker quotes, comparative transactions, issuer spreads, bid-offer spread, market research publications, third-party pricing sources | |
Level 2 | Third-Party Pricing Services | Fixed maturity securities | Residential mortgage-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 2,160 | |
Primary methodologies | OAS-based models, single factor binomial models, internally priced | |
Significant inputs | Prepayment and default assumptions, aggregation of bonds with similar characteristics, including collateral type, vintage, tranche type, weighted-average life, weighted-average loan age, issuer program and delinquency ratio, pay up and pay down factors, TRACE reports | |
Level 2 | Third-Party Pricing Services | Fixed maturity securities | Commercial mortgage-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 2,949 | |
Primary methodologies | Multi-dimensional attribute-based modeling systems, pricing matrix, spread matrix priced to swap curves, Trepp commercial mortgage-backed securities analytics model | |
Significant inputs | Credit risk, interest rate risk, prepayment speeds, new issue data, collateral performance, origination year, tranche type, original credit ratings, weighted-average life, cash flows, spreads derived from broker quotes, bid side prices, spreads to daily updated swaps curves, TRACE reports | |
Level 2 | Third-Party Pricing Services | Fixed maturity securities | Other asset-backed | ||
Fair value measurements Significant unobservable inputs [Line Items] | ||
Available-for-sale debt securities | $ 2,847 | |
Primary methodologies | Multi-dimensional attribute-based modeling systems, spread matrix priced to swap curves, price quotes from market makers | |
Significant inputs | Spreads to daily updated swaps curves, spreads derived from trade prices and broker quotes, bid side prices, new issue data, collateral performance, analysis of prepayment speeds, cash flows, collateral loss analytics, historical issue analysis, trade data from market makers, TRACE reports |
Assets by Class of Instrument t
Assets by Class of Instrument that are Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | $ 63,544 | $ 60,339 | ||
Available-for-sale equity securities | 206 | 239 | ||
Derivative assets, fair value | 1,062 | 310 | ||
Total other invested assets | 2,473 | 1,632 | ||
Separate account assets | 5,536 | 6,108 | ||
Total assets | 71,195 | 67,761 | ||
Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Available-for-sale equity securities | [1] | 0 | 0 | |
Separate account assets | [1] | 0 | 0 | |
Total assets | [1] | 598 | 503 | |
Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 1,024 | 290 | ||
Securities lending collateral | 59 | 51 | ||
Short-term investments | 190 | 211 | ||
Limited partnerships | 598 | 503 | ||
Total other invested assets | 1,871 | 1,055 | ||
Other invested assets | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | [1] | 0 | 0 | |
Securities lending collateral | [1] | 0 | 0 | |
Short-term investments | [1] | 0 | 0 | |
Limited partnerships | [1] | 598 | 503 | |
Total other invested assets | [1] | 598 | 503 | |
Interest rate swaps | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 939 | 197 | ||
Interest rate swaps | Other invested assets | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | [1] | 0 | 0 | |
Foreign currency swaps | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 17 | 4 | ||
Foreign currency swaps | Other invested assets | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | [1] | 0 | 0 | |
Equity index options | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 66 | 81 | ||
Equity index options | Other invested assets | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | [1] | 0 | 0 | |
Other foreign currency contracts | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 2 | 8 | ||
Other foreign currency contracts | Other invested assets | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | [1] | 0 | 0 | |
GMWB embedded derivatives | Reinsurance recoverable | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | [2] | 38 | 20 | |
GMWB embedded derivatives | Reinsurance recoverable | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | [1],[2] | 0 | 0 | |
Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 5,602 | 5,025 | ||
Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | State and Political Subdivisions | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 2,998 | 2,747 | ||
Fixed maturity securities | State and Political Subdivisions | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | Non-U.S. government | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 1,542 | 1,350 | ||
Fixed maturity securities | Non-U.S. government | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | U.S. corporate | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 34,395 | 32,111 | ||
Fixed maturity securities | U.S. corporate | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | U.S. corporate | Utilities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 5,270 | 4,997 | ||
Fixed maturity securities | U.S. corporate | Utilities | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | U.S. corporate | Energy | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 2,594 | 2,699 | ||
Fixed maturity securities | U.S. corporate | Energy | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | U.S. corporate | Finance and insurance | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 8,403 | 7,774 | ||
Fixed maturity securities | U.S. corporate | Finance and insurance | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 6,277 | 5,701 | ||
Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | U.S. corporate | Technology and communications | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 3,411 | 3,245 | ||
Fixed maturity securities | U.S. corporate | Technology and communications | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | U.S. corporate | Industrial | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 1,503 | 1,396 | ||
Fixed maturity securities | U.S. corporate | Industrial | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | U.S. corporate | Capital goods | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 3,028 | 2,711 | ||
Fixed maturity securities | U.S. corporate | Capital goods | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | U.S. corporate | Consumer-cyclical | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 1,966 | 1,760 | ||
Fixed maturity securities | U.S. corporate | Consumer-cyclical | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | U.S. corporate | Transportation | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 1,565 | 1,506 | ||
Fixed maturity securities | U.S. corporate | Transportation | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | U.S. corporate | Other | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 378 | 322 | ||
Fixed maturity securities | U.S. corporate | Other | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | Non-U.S. corporate | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 10,885 | 10,525 | ||
Fixed maturity securities | Non-U.S. corporate | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | Non-U.S. corporate | Utilities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 879 | 829 | ||
Fixed maturity securities | Non-U.S. corporate | Utilities | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | Non-U.S. corporate | Energy | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 1,275 | 1,319 | ||
Fixed maturity securities | Non-U.S. corporate | Energy | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | Non-U.S. corporate | Finance and insurance | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 2,466 | 2,319 | ||
Fixed maturity securities | Non-U.S. corporate | Finance and insurance | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 777 | 684 | ||
Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | Non-U.S. corporate | Technology and communications | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 1,247 | 1,138 | ||
Fixed maturity securities | Non-U.S. corporate | Technology and communications | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | Non-U.S. corporate | Industrial | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 995 | 988 | ||
Fixed maturity securities | Non-U.S. corporate | Industrial | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | Non-U.S. corporate | Capital goods | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 613 | 605 | ||
Fixed maturity securities | Non-U.S. corporate | Capital goods | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 407 | 397 | ||
Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | Non-U.S. corporate | Transportation | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 635 | 629 | ||
Fixed maturity securities | Non-U.S. corporate | Transportation | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | Non-U.S. corporate | Other | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 1,591 | 1,617 | ||
Fixed maturity securities | Non-U.S. corporate | Other | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | Residential mortgage-backed | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 2,184 | 2,270 | ||
Fixed maturity securities | Residential mortgage-backed | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | Commercial mortgage-backed | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 2,970 | 3,026 | ||
Fixed maturity securities | Commercial mortgage-backed | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Fixed maturity securities | Other asset-backed | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 2,968 | 3,285 | ||
Fixed maturity securities | Other asset-backed | Net Asset Value | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | [1] | 0 | 0 | |
Level 1 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Available-for-sale equity securities | 45 | 62 | ||
Total other invested assets | [3] | 0 | 0 | |
Separate account assets | 5,536 | 6,108 | ||
Total assets | 5,581 | 6,170 | ||
Level 1 | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 0 | 0 | ||
Securities lending collateral | 0 | 0 | ||
Short-term investments | 0 | 0 | ||
Limited partnerships | 0 | 0 | ||
Total other invested assets | 0 | 0 | ||
Level 1 | Interest rate swaps | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 0 | 0 | ||
Level 1 | Foreign currency swaps | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 0 | 0 | ||
Level 1 | Equity index options | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 0 | 0 | ||
Level 1 | Other foreign currency contracts | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 0 | 0 | ||
Level 1 | GMWB embedded derivatives | Reinsurance recoverable | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | [2] | 0 | 0 | |
Level 1 | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | State and Political Subdivisions | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | Non-U.S. government | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | U.S. corporate | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | U.S. corporate | Utilities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | U.S. corporate | Energy | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | U.S. corporate | Finance and insurance | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | U.S. corporate | Technology and communications | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | U.S. corporate | Industrial | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | U.S. corporate | Capital goods | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | U.S. corporate | Consumer-cyclical | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | U.S. corporate | Transportation | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | U.S. corporate | Other | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | Non-U.S. corporate | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | Non-U.S. corporate | Utilities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | Non-U.S. corporate | Energy | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | Non-U.S. corporate | Finance and insurance | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | Non-U.S. corporate | Technology and communications | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | Non-U.S. corporate | Industrial | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | Non-U.S. corporate | Capital goods | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | Non-U.S. corporate | Transportation | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | Non-U.S. corporate | Other | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | Residential mortgage-backed | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | Commercial mortgage-backed | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 1 | Fixed maturity securities | Other asset-backed | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 2 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 59,289 | 56,148 | ||
Available-for-sale equity securities | 108 | 126 | ||
Total other invested assets | [3] | 22 | 49 | |
Separate account assets | 0 | 0 | ||
Total assets | 60,604 | 56,745 | ||
Level 2 | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 958 | 209 | ||
Securities lending collateral | 59 | 51 | ||
Short-term investments | 190 | 211 | ||
Limited partnerships | 0 | 0 | ||
Total other invested assets | 1,207 | 471 | ||
Level 2 | Interest rate swaps | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 939 | 197 | ||
Level 2 | Foreign currency swaps | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 17 | 4 | ||
Level 2 | Equity index options | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 0 | 0 | ||
Level 2 | Other foreign currency contracts | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 2 | [1] | 8 | |
Level 2 | GMWB embedded derivatives | Reinsurance recoverable | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | [2] | 0 | 0 | |
Level 2 | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 5,602 | 5,025 | ||
Level 2 | Fixed maturity securities | State and Political Subdivisions | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 2,935 | 2,645 | ||
Level 2 | Fixed maturity securities | Non-U.S. government | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 1,542 | 1,350 | ||
Level 2 | Fixed maturity securities | U.S. corporate | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 32,063 | 29,872 | ||
Level 2 | Fixed maturity securities | U.S. corporate | Utilities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 4,334 | 4,132 | ||
Level 2 | Fixed maturity securities | U.S. corporate | Energy | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 2,471 | 2,570 | ||
Level 2 | Fixed maturity securities | U.S. corporate | Finance and insurance | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 7,852 | 7,202 | ||
Level 2 | Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 6,174 | 5,607 | ||
Level 2 | Fixed maturity securities | U.S. corporate | Technology and communications | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 3,345 | 3,195 | ||
Level 2 | Fixed maturity securities | U.S. corporate | Industrial | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 1,464 | 1,356 | ||
Level 2 | Fixed maturity securities | U.S. corporate | Capital goods | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 2,931 | 2,609 | ||
Level 2 | Fixed maturity securities | U.S. corporate | Consumer-cyclical | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 1,768 | 1,587 | ||
Level 2 | Fixed maturity securities | U.S. corporate | Transportation | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 1,511 | 1,428 | ||
Level 2 | Fixed maturity securities | U.S. corporate | Other | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 213 | 186 | ||
Level 2 | Fixed maturity securities | Non-U.S. corporate | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 9,191 | 8,840 | ||
Level 2 | Fixed maturity securities | Non-U.S. corporate | Utilities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 522 | 455 | ||
Level 2 | Fixed maturity securities | Non-U.S. corporate | Energy | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 1,038 | 1,072 | ||
Level 2 | Fixed maturity securities | Non-U.S. corporate | Finance and insurance | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 2,155 | 2,085 | ||
Level 2 | Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 723 | 625 | ||
Level 2 | Fixed maturity securities | Non-U.S. corporate | Technology and communications | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 1,219 | 1,110 | ||
Level 2 | Fixed maturity securities | Non-U.S. corporate | Industrial | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 903 | 884 | ||
Level 2 | Fixed maturity securities | Non-U.S. corporate | Capital goods | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 440 | 444 | ||
Level 2 | Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 251 | 250 | ||
Level 2 | Fixed maturity securities | Non-U.S. corporate | Transportation | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 494 | 438 | ||
Level 2 | Fixed maturity securities | Non-U.S. corporate | Other | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 1,446 | 1,477 | ||
Level 2 | Fixed maturity securities | Residential mortgage-backed | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 2,160 | 2,243 | ||
Level 2 | Fixed maturity securities | Commercial mortgage-backed | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 2,949 | 3,020 | ||
Level 2 | Fixed maturity securities | Other asset-backed | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 2,847 | 3,153 | ||
Level 3 | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 4,255 | 4,191 | ||
Available-for-sale equity securities | 53 | 51 | ||
Total other invested assets | [3] | 399 | 383 | |
Separate account assets | 0 | 0 | ||
Total assets | 4,412 | 4,343 | ||
Level 3 | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 66 | 81 | ||
Securities lending collateral | 0 | 0 | ||
Short-term investments | 0 | 0 | ||
Limited partnerships | 0 | 0 | ||
Total other invested assets | 66 | 81 | ||
Level 3 | Interest rate swaps | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 0 | 0 | ||
Level 3 | Foreign currency swaps | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 0 | 0 | ||
Level 3 | Equity index options | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 66 | 81 | ||
Level 3 | Other foreign currency contracts | Other invested assets | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | 0 | 0 | ||
Level 3 | GMWB embedded derivatives | Reinsurance recoverable | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Derivative assets, fair value | [2] | 38 | 20 | |
Level 3 | Fixed maturity securities | U.S. government, agencies and government-sponsored enterprises | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 3 | Fixed maturity securities | State and Political Subdivisions | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 63 | 102 | ||
Level 3 | Fixed maturity securities | Non-U.S. government | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 0 | 0 | ||
Level 3 | Fixed maturity securities | U.S. corporate | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 2,332 | 2,239 | ||
Level 3 | Fixed maturity securities | U.S. corporate | Utilities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 936 | 865 | ||
Level 3 | Fixed maturity securities | U.S. corporate | Energy | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 123 | 129 | ||
Level 3 | Fixed maturity securities | U.S. corporate | Finance and insurance | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 551 | 572 | ||
Level 3 | Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 103 | 94 | ||
Level 3 | Fixed maturity securities | U.S. corporate | Technology and communications | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 66 | 50 | ||
Level 3 | Fixed maturity securities | U.S. corporate | Industrial | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 39 | 40 | ||
Level 3 | Fixed maturity securities | U.S. corporate | Capital goods | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 97 | 102 | ||
Level 3 | Fixed maturity securities | U.S. corporate | Consumer-cyclical | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 198 | 173 | ||
Level 3 | Fixed maturity securities | U.S. corporate | Transportation | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 54 | 78 | ||
Level 3 | Fixed maturity securities | U.S. corporate | Other | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 165 | 136 | ||
Level 3 | Fixed maturity securities | Non-U.S. corporate | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 1,694 | 1,685 | ||
Level 3 | Fixed maturity securities | Non-U.S. corporate | Utilities | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 357 | 374 | ||
Level 3 | Fixed maturity securities | Non-U.S. corporate | Energy | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 237 | 247 | ||
Level 3 | Fixed maturity securities | Non-U.S. corporate | Finance and insurance | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 311 | 234 | ||
Level 3 | Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 54 | 59 | ||
Level 3 | Fixed maturity securities | Non-U.S. corporate | Technology and communications | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 28 | 28 | ||
Level 3 | Fixed maturity securities | Non-U.S. corporate | Industrial | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 92 | 104 | ||
Level 3 | Fixed maturity securities | Non-U.S. corporate | Capital goods | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 173 | 161 | ||
Level 3 | Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 156 | 147 | ||
Level 3 | Fixed maturity securities | Non-U.S. corporate | Transportation | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 141 | 191 | ||
Level 3 | Fixed maturity securities | Non-U.S. corporate | Other | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 145 | 140 | ||
Level 3 | Fixed maturity securities | Residential mortgage-backed | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 24 | 27 | ||
Level 3 | Fixed maturity securities | Commercial mortgage-backed | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | 21 | 6 | ||
Level 3 | Fixed maturity securities | Other asset-backed | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Available-for-sale debt securities | $ 121 | $ 132 | ||
[1] | Limited partnerships that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been categorized in the fair value hierarchy. | |||
[2] | Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. | |||
[3] | These financial instruments do not have notional amounts. |
Assets Measured at Fair Value o
Assets Measured at Fair Value on Recurring Basis and Utilized Significant Unobservable (Level 3) Inputs to Determine Fair Value (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | $ 4,027 | $ 4,252 | $ 4,343 | $ 3,982 | |
Total realized and unrealized gains (losses), Included in net income | (3) | 14 | 15 | 32 | |
Total realized and unrealized gains (losses), Included in OCI | 281 | 101 | 8 | 234 | |
Purchases | 86 | 226 | 179 | 419 | |
Sales | (3) | (21) | (25) | (38) | |
Issuances | 0 | 0 | 1 | 1 | |
Settlements | (64) | (137) | (147) | (268) | |
Transfer into Level 3 | [1] | 188 | 27 | 338 | 130 |
Transfer out of Level 3 | [1] | (100) | (40) | (300) | (70) |
Ending balance | 4,412 | 4,422 | 4,412 | 4,422 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 1 | 10 | 26 | 13 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 272 | 14 | |||
Other invested assets | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 62 | 60 | 81 | 39 | |
Total realized and unrealized gains (losses), Included in net income | 4 | 10 | (9) | 27 | |
Total realized and unrealized gains (losses), Included in OCI | 0 | 0 | 0 | 0 | |
Purchases | 7 | 9 | 18 | 21 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (7) | (14) | (24) | (22) | |
Transfer into Level 3 | [1] | 0 | 0 | 0 | 0 |
Transfer out of Level 3 | [1] | 0 | 0 | 0 | 0 |
Ending balance | 66 | 65 | 66 | 65 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 8 | 7 | 5 | 11 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 0 | 0 | |||
Other invested assets | Derivative assets | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 62 | 60 | 81 | 39 | |
Total realized and unrealized gains (losses), Included in net income | 4 | 10 | (9) | 27 | |
Total realized and unrealized gains (losses), Included in OCI | 0 | 0 | 0 | 0 | |
Purchases | 7 | 9 | 18 | 21 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (7) | (14) | (24) | (22) | |
Transfer into Level 3 | [1] | 0 | 0 | 0 | 0 |
Transfer out of Level 3 | [1] | 0 | 0 | 0 | 0 |
Ending balance | 66 | 65 | 66 | 65 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 8 | 7 | 5 | 11 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 0 | 0 | |||
Other invested assets | Derivative assets | Equity index options | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 62 | 60 | 81 | 39 | |
Total realized and unrealized gains (losses), Included in net income | 4 | 10 | (9) | 27 | |
Total realized and unrealized gains (losses), Included in OCI | 0 | 0 | 0 | 0 | |
Purchases | 7 | 9 | 18 | 21 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (7) | (14) | (24) | (22) | |
Transfer into Level 3 | [1] | 0 | 0 | 0 | 0 |
Transfer out of Level 3 | [1] | 0 | 0 | 0 | 0 |
Ending balance | 66 | 65 | 66 | 65 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 8 | 7 | 5 | 11 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 0 | 0 | |||
Reinsurance recoverable | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | [2] | 47 | 18 | 20 | 20 |
Total realized and unrealized gains (losses), Included in net income | [2] | (9) | 2 | 17 | (1) |
Total realized and unrealized gains (losses), Included in OCI | [2] | 0 | 0 | 0 | 0 |
Purchases | [2] | 0 | 0 | 0 | 0 |
Sales | [2] | 0 | 0 | 0 | 0 |
Issuances | [2] | 0 | 0 | 1 | 1 |
Settlements | [2] | 0 | 0 | 0 | 0 |
Transfer into Level 3 | [1],[2] | 0 | 0 | 0 | 0 |
Transfer out of Level 3 | [1],[2] | 0 | 0 | 0 | 0 |
Ending balance | [2] | 38 | 20 | 38 | 20 |
Total gains (losses) included in net income attributable to assets still held, Included in net income | [2] | (9) | 2 | 17 | (1) |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | [2] | 0 | 0 | ||
Fixed maturity securities | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 3,868 | 4,119 | 4,191 | 3,865 | |
Total realized and unrealized gains (losses), Included in net income | 2 | 2 | 7 | 6 | |
Total realized and unrealized gains (losses), Included in OCI | 281 | 101 | 8 | 234 | |
Purchases | 73 | 215 | 155 | 396 | |
Sales | 0 | (20) | (21) | (34) | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (57) | (123) | (123) | (246) | |
Transfer into Level 3 | [1] | 188 | 27 | 338 | 130 |
Transfer out of Level 3 | [1] | (100) | (40) | (300) | (70) |
Ending balance | 4,255 | 4,281 | 4,255 | 4,281 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 2 | 1 | 4 | 3 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 272 | 14 | |||
Fixed maturity securities | Non-U.S. government | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 1 | 0 | |||
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | |||
Total realized and unrealized gains (losses), Included in OCI | 0 | 0 | |||
Purchases | 0 | 0 | |||
Sales | 0 | 0 | |||
Issuances | 0 | 0 | |||
Settlements | (1) | (1) | |||
Transfer into Level 3 | [1] | 0 | 1 | ||
Transfer out of Level 3 | [1] | 0 | 0 | ||
Ending balance | 0 | 0 | |||
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | |||
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 0 | 0 | |||
Fixed maturity securities | State and political subdivisions | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 83 | 52 | 102 | 51 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 1 | 1 | 2 | |
Total realized and unrealized gains (losses), Included in OCI | 7 | 8 | (12) | 8 | |
Purchases | 0 | 0 | 0 | 0 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | 0 | 0 | (1) | 0 | |
Transfer into Level 3 | [1] | 0 | 0 | 0 | 0 |
Transfer out of Level 3 | [1] | (27) | 0 | (27) | 0 |
Ending balance | 63 | 61 | 63 | 61 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 1 | 0 | 2 | 1 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 6 | (13) | |||
Fixed maturity securities | U.S. corporate | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 2,113 | 2,162 | 2,239 | 1,998 | |
Total realized and unrealized gains (losses), Included in net income | 1 | 0 | 3 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 120 | 51 | 16 | 119 | |
Purchases | 61 | 111 | 96 | 181 | |
Sales | 0 | (13) | (21) | (27) | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (21) | (63) | (43) | (110) | |
Transfer into Level 3 | [1] | 72 | 0 | 125 | 96 |
Transfer out of Level 3 | [1] | (14) | (21) | (83) | (30) |
Ending balance | 2,332 | 2,227 | 2,332 | 2,227 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 116 | 22 | |||
Fixed maturity securities | U.S. corporate | Utilities | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 843 | 748 | 865 | 643 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 37 | 20 | 12 | 42 | |
Purchases | 32 | 82 | 32 | 96 | |
Sales | 0 | (13) | 0 | (14) | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (2) | (38) | (2) | (40) | |
Transfer into Level 3 | [1] | 26 | 0 | 42 | 72 |
Transfer out of Level 3 | [1] | 0 | (10) | (13) | (10) |
Ending balance | 936 | 789 | 936 | 789 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 37 | 14 | |||
Fixed maturity securities | U.S. corporate | Energy | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 124 | 115 | 129 | 121 | |
Total realized and unrealized gains (losses), Included in net income | 1 | 0 | 1 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 13 | 3 | (2) | 7 | |
Purchases | 0 | 5 | 10 | 5 | |
Sales | 0 | 0 | (21) | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (2) | (1) | (3) | (11) | |
Transfer into Level 3 | [1] | 0 | 0 | 22 | 0 |
Transfer out of Level 3 | [1] | (13) | 0 | (13) | 0 |
Ending balance | 123 | 122 | 123 | 122 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 9 | (5) | |||
Fixed maturity securities | U.S. corporate | Finance and insurance | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 510 | 590 | 572 | 534 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 2 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 33 | 15 | 2 | 38 | |
Purchases | 21 | 10 | 21 | 40 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (12) | (8) | (24) | (12) | |
Transfer into Level 3 | [1] | 0 | 0 | 0 | 7 |
Transfer out of Level 3 | [1] | (1) | 0 | (22) | 0 |
Ending balance | 551 | 607 | 551 | 607 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 33 | 5 | |||
Fixed maturity securities | U.S. corporate | Consumer-non-cyclical | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 88 | 74 | 94 | 73 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 8 | 1 | 2 | 3 | |
Purchases | 8 | 14 | 8 | 14 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (1) | 0 | (1) | (10) | |
Transfer into Level 3 | [1] | 0 | 0 | 0 | 9 |
Transfer out of Level 3 | [1] | 0 | 0 | 0 | 0 |
Ending balance | 103 | 89 | 103 | 89 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 8 | 2 | |||
Fixed maturity securities | U.S. corporate | Technology and communications | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 61 | 52 | 50 | 50 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 5 | 3 | 1 | 5 | |
Purchases | 0 | 0 | 20 | 0 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | 0 | 0 | 0 | 0 | |
Transfer into Level 3 | [1] | 0 | 0 | 0 | 0 |
Transfer out of Level 3 | [1] | 0 | (11) | (5) | (11) |
Ending balance | 66 | 44 | 66 | 44 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 5 | 2 | |||
Fixed maturity securities | U.S. corporate | Industrial | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 37 | 40 | 40 | 39 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 2 | 0 | (1) | 1 | |
Purchases | 0 | 0 | 0 | 0 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | 0 | 0 | 0 | 0 | |
Transfer into Level 3 | [1] | 0 | 0 | 0 | 0 |
Transfer out of Level 3 | [1] | 0 | 0 | 0 | 0 |
Ending balance | 39 | 40 | 39 | 40 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 2 | (1) | |||
Fixed maturity securities | U.S. corporate | Capital goods | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 90 | 95 | 102 | 92 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 7 | 3 | (1) | 6 | |
Purchases | 0 | 0 | 0 | 0 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | 0 | 0 | (4) | 0 | |
Transfer into Level 3 | [1] | 0 | 0 | 0 | 0 |
Transfer out of Level 3 | [1] | 0 | 0 | 0 | 0 |
Ending balance | 97 | 98 | 97 | 98 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 7 | (1) | |||
Fixed maturity securities | U.S. corporate | Consumer-cyclical | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 179 | 195 | 173 | 211 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 11 | 3 | 4 | 10 | |
Purchases | 0 | 0 | 0 | 0 | |
Sales | 0 | 0 | 0 | (13) | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (1) | (13) | (3) | (14) | |
Transfer into Level 3 | [1] | 9 | 0 | 24 | 0 |
Transfer out of Level 3 | [1] | 0 | 0 | 0 | (9) |
Ending balance | 198 | 185 | 198 | 185 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 11 | 4 | |||
Fixed maturity securities | U.S. corporate | Transportation | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 43 | 54 | 78 | 57 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 2 | 0 | (2) | 1 | |
Purchases | 0 | 0 | 0 | 4 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (1) | 0 | (2) | (8) | |
Transfer into Level 3 | [1] | 10 | 0 | 10 | 0 |
Transfer out of Level 3 | [1] | 0 | 0 | (30) | 0 |
Ending balance | 54 | 54 | 54 | 54 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 2 | 1 | |||
Fixed maturity securities | U.S. corporate | Other | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 138 | 199 | 136 | 178 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 2 | 3 | 1 | 6 | |
Purchases | 0 | 0 | 5 | 22 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (2) | (3) | (4) | (15) | |
Transfer into Level 3 | [1] | 27 | 0 | 27 | 8 |
Transfer out of Level 3 | [1] | 0 | 0 | 0 | 0 |
Ending balance | 165 | 199 | 165 | 199 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 2 | 1 | |||
Fixed maturity securities | Non-U.S. corporate | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 1,529 | 1,575 | 1,685 | 1,532 | |
Total realized and unrealized gains (losses), Included in net income | 1 | 1 | 3 | 4 | |
Total realized and unrealized gains (losses), Included in OCI | 150 | 33 | 4 | 95 | |
Purchases | 6 | 61 | 44 | 117 | |
Sales | 0 | (7) | 0 | (7) | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (29) | (31) | (55) | (94) | |
Transfer into Level 3 | [1] | 93 | 0 | 188 | 6 |
Transfer out of Level 3 | [1] | (56) | (1) | (175) | (22) |
Ending balance | 1,694 | 1,631 | 1,694 | 1,631 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 1 | 1 | 2 | 2 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 146 | 6 | |||
Fixed maturity securities | Non-U.S. corporate | Utilities | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 355 | 435 | 374 | 404 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 23 | 7 | 3 | 23 | |
Purchases | 1 | 0 | 12 | 30 | |
Sales | 0 | (7) | 0 | (7) | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | 0 | (17) | 0 | (17) | |
Transfer into Level 3 | [1] | 0 | 0 | 21 | 0 |
Transfer out of Level 3 | [1] | (22) | (1) | (53) | (16) |
Ending balance | 357 | 417 | 357 | 417 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 23 | 3 | |||
Fixed maturity securities | Non-U.S. corporate | Energy | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 236 | 221 | 247 | 217 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 22 | 5 | (8) | 12 | |
Purchases | 0 | 15 | 0 | 16 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (26) | 0 | (26) | (4) | |
Transfer into Level 3 | [1] | 5 | 0 | 24 | 0 |
Transfer out of Level 3 | [1] | 0 | 0 | 0 | 0 |
Ending balance | 237 | 241 | 237 | 241 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 22 | (8) | |||
Fixed maturity securities | Non-U.S. corporate | Finance and insurance | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 223 | 182 | 234 | 171 | |
Total realized and unrealized gains (losses), Included in net income | 1 | 1 | 2 | 2 | |
Total realized and unrealized gains (losses), Included in OCI | 50 | 7 | 9 | 18 | |
Purchases | 0 | 2 | 15 | 7 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | 0 | (13) | 0 | (13) | |
Transfer into Level 3 | [1] | 37 | 0 | 58 | 0 |
Transfer out of Level 3 | [1] | 0 | 0 | (7) | (6) |
Ending balance | 311 | 179 | 311 | 179 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 1 | 1 | 2 | 2 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 49 | 10 | |||
Fixed maturity securities | Non-U.S. corporate | Consumer-non-cyclical | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 58 | 67 | 59 | 106 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 2 | |
Total realized and unrealized gains (losses), Included in OCI | 5 | 1 | 2 | 4 | |
Purchases | 0 | 0 | 8 | 0 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | 0 | 0 | 0 | (44) | |
Transfer into Level 3 | [1] | 0 | 0 | 1 | 0 |
Transfer out of Level 3 | [1] | (9) | 0 | (16) | 0 |
Ending balance | 54 | 68 | 54 | 68 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 4 | 1 | |||
Fixed maturity securities | Non-U.S. corporate | Technology and communications | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 27 | 27 | 28 | 26 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 1 | 0 | 0 | 1 | |
Purchases | 0 | 0 | 0 | 0 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | 0 | 0 | 0 | 0 | |
Transfer into Level 3 | [1] | 0 | 0 | 0 | 0 |
Transfer out of Level 3 | [1] | 0 | 0 | 0 | 0 |
Ending balance | 28 | 27 | 28 | 27 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 1 | 0 | |||
Fixed maturity securities | Non-U.S. corporate | Industrial | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 92 | 63 | 104 | 61 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 8 | 1 | 1 | 3 | |
Purchases | 0 | 0 | 0 | 0 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | 0 | 0 | (5) | 0 | |
Transfer into Level 3 | [1] | 0 | 0 | 0 | 0 |
Transfer out of Level 3 | [1] | (8) | 0 | (8) | 0 |
Ending balance | 92 | 64 | 92 | 64 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 7 | 0 | |||
Fixed maturity securities | Non-U.S. corporate | Capital goods | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 135 | 173 | 161 | 173 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 1 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 9 | 3 | (2) | 9 | |
Purchases | 0 | 5 | 0 | 10 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | 0 | 0 | (16) | (11) | |
Transfer into Level 3 | [1] | 29 | 0 | 29 | 0 |
Transfer out of Level 3 | [1] | 0 | 0 | 0 | 0 |
Ending balance | 173 | 181 | 173 | 181 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 9 | (1) | |||
Fixed maturity securities | Non-U.S. corporate | Consumer-cyclical | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 164 | 125 | 147 | 122 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 12 | 2 | (3) | 8 | |
Purchases | 0 | 0 | 4 | 0 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (3) | (1) | (7) | (4) | |
Transfer into Level 3 | [1] | 0 | 0 | 32 | 0 |
Transfer out of Level 3 | [1] | (17) | 0 | (17) | 0 |
Ending balance | 156 | 126 | 156 | 126 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 11 | (5) | |||
Fixed maturity securities | Non-U.S. corporate | Transportation | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 108 | 192 | 191 | 171 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 11 | 3 | 2 | 9 | |
Purchases | 0 | 4 | 0 | 19 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | 0 | 0 | 0 | 0 | |
Transfer into Level 3 | [1] | 22 | 0 | 22 | 0 |
Transfer out of Level 3 | [1] | 0 | 0 | (74) | 0 |
Ending balance | 141 | 199 | 141 | 199 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 11 | 6 | |||
Fixed maturity securities | Non-U.S. corporate | Other | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 131 | 90 | 140 | 81 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 9 | 4 | 0 | 8 | |
Purchases | 5 | 35 | 5 | 35 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | 0 | 0 | (1) | (1) | |
Transfer into Level 3 | [1] | 0 | 0 | 1 | 6 |
Transfer out of Level 3 | [1] | 0 | 0 | 0 | 0 |
Ending balance | 145 | 129 | 145 | 129 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 9 | 0 | |||
Fixed maturity securities | Residential mortgage-backed | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 24 | 35 | 27 | 35 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 1 | 1 | 0 | 1 | |
Purchases | 0 | 0 | 0 | 0 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (1) | 0 | (1) | 0 | |
Transfer into Level 3 | [1] | 3 | 0 | 4 | 0 |
Transfer out of Level 3 | [1] | (3) | 0 | (6) | 0 |
Ending balance | 24 | 36 | 24 | 36 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 0 | 0 | |||
Fixed maturity securities | Commercial mortgage-backed | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 0 | 98 | 6 | 95 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 1 | 7 | 2 | 9 | |
Purchases | 0 | 1 | 0 | 2 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | 0 | 0 | 0 | 0 | |
Transfer into Level 3 | [1] | 20 | 0 | 20 | 0 |
Transfer out of Level 3 | [1] | 0 | (14) | (7) | (14) |
Ending balance | 21 | 92 | 21 | 92 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 1 | 1 | |||
Fixed maturity securities | Other asset-backed | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 118 | 197 | 132 | 154 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 2 | 1 | (2) | 2 | |
Purchases | 6 | 42 | 15 | 96 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (5) | (29) | (22) | (42) | |
Transfer into Level 3 | [1] | 0 | 27 | 0 | 28 |
Transfer out of Level 3 | [1] | 0 | (4) | (2) | (4) |
Ending balance | 121 | 234 | 121 | 234 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | 0 | 0 | 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | 3 | (2) | |||
Equity Securities | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 50 | 55 | 51 | 58 | |
Total realized and unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 | |
Total realized and unrealized gains (losses), Included in OCI | 0 | 0 | 0 | 0 | |
Purchases | 6 | 2 | 6 | 2 | |
Sales | (3) | (1) | (4) | (4) | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | 0 | 0 | 0 | 0 | |
Transfer into Level 3 | [1] | 0 | 0 | 0 | 0 |
Transfer out of Level 3 | [1] | 0 | 0 | 0 | 0 |
Ending balance | 53 | 56 | 53 | 56 | |
Total gains (losses) included in net income attributable to assets still held, Included in net income | 0 | $ 0 | 0 | $ 0 | |
Total gains (losses) included in net income attributable to assets still held, Included in OCI | $ 0 | $ 0 | |||
[1] | The transfers into and out of Level 3 for fixed maturity securities were related to changes in the primary pricing source and changes in the observability of external information used in determining the fair value, such as external ratings or credit spreads, as well as changes in the industry sectors assigned to specific securities. | ||||
[2] | Represents embedded derivatives associated with the reinsured portion of our GMWB liabilities. |
Gains and Losses Included in Ne
Gains and Losses Included in Net Income (Loss) from Assets Measured at Fair Value (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Fair value of financial instruments [Abstract] | ||||
Total realized and unrealized gains (losses) included in net income (loss), assets | $ (3) | $ 14 | $ 15 | $ 32 |
Total gains (losses) included in net income (loss) attributable to assets still held, assets | 1 | 10 | 26 | 13 |
Net Investment Income | ||||
Fair value of financial instruments [Abstract] | ||||
Total realized and unrealized gains (losses) included in net income (loss), assets | 2 | 2 | 6 | 6 |
Total gains (losses) included in net income (loss) attributable to assets still held, assets | 2 | 1 | 4 | 3 |
Net investment gains (losses) | ||||
Fair value of financial instruments [Abstract] | ||||
Total realized and unrealized gains (losses) included in net income (loss), assets | (5) | 12 | 9 | 26 |
Total gains (losses) included in net income (loss) attributable to assets still held, assets | $ (1) | $ 9 | $ 22 | $ 10 |
Summary of Significant Unobserv
Summary of Significant Unobservable Inputs Used for Fair Value Measurements Classified As Level 3 (Detail) $ in Millions | 6 Months Ended | ||
Jun. 30, 2020USD ($) | Dec. 31, 2019USD ($) | ||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Derivative liabilities, fair value | $ 1,030 | $ 805 | |
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | 63,544 | 60,339 | |
Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Derivative liabilities, fair value | 1,029 | 794 | |
Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 4,255 | 4,191 | |
Level 3 | U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 2,005 | ||
Fair value input, credit spreads, lower limit | 71 | ||
Fair value input, credit spreads, upper limit | 483 | ||
Fair value input, credit spreads, weighted-average | [1] | 197 | |
Level 3 | Non-U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 1,268 | ||
Fair value input, credit spreads, lower limit | 83 | ||
Fair value input, credit spreads, upper limit | 507 | ||
Fair value input, credit spreads, weighted-average | [1] | 196 | |
Level 3 | Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Derivative liabilities, fair value | $ 1,029 | 794 | |
Capital goods | Level 3 | U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 97 | ||
Fair value input, credit spreads, lower limit | 120 | ||
Fair value input, credit spreads, upper limit | 294 | ||
Fair value input, credit spreads, weighted-average | [1] | 214 | |
Capital goods | Level 3 | Non-U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 144 | ||
Fair value input, credit spreads, lower limit | 107 | ||
Fair value input, credit spreads, upper limit | 294 | ||
Fair value input, credit spreads, weighted-average | [1] | 215 | |
Consumer-cyclical | Level 3 | U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 161 | ||
Fair value input, credit spreads, lower limit | 131 | ||
Fair value input, credit spreads, upper limit | 307 | ||
Fair value input, credit spreads, weighted-average | [1] | 208 | |
Consumer-cyclical | Level 3 | Non-U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 45 | ||
Fair value input, credit spreads, lower limit | 97 | ||
Fair value input, credit spreads, upper limit | 272 | ||
Fair value input, credit spreads, weighted-average | [1] | 194 | |
Consumer-non-cyclical | Level 3 | U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 102 | ||
Fair value input, credit spreads, lower limit | 83 | ||
Fair value input, credit spreads, upper limit | 395 | ||
Fair value input, credit spreads, weighted-average | [1] | 202 | |
Consumer-non-cyclical | Level 3 | Non-U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 53 | ||
Fair value input, credit spreads, lower limit | 107 | ||
Fair value input, credit spreads, upper limit | 182 | ||
Fair value input, credit spreads, weighted-average | [1] | 160 | |
Energy | Level 3 | U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 8 | ||
Fair value input, credit spreads, upper limit | 108 | ||
Energy | Level 3 | Non-U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 82 | ||
Fair value input, credit spreads, lower limit | 120 | ||
Fair value input, credit spreads, upper limit | 272 | ||
Fair value input, credit spreads, weighted-average | [1] | 175 | |
Finance and insurance | Level 3 | U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 497 | ||
Fair value input, credit spreads, lower limit | 73 | ||
Fair value input, credit spreads, upper limit | 380 | ||
Fair value input, credit spreads, weighted-average | [1] | 206 | |
Finance and insurance | Level 3 | Non-U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 209 | ||
Fair value input, credit spreads, lower limit | 136 | ||
Fair value input, credit spreads, upper limit | 188 | ||
Fair value input, credit spreads, weighted-average | [1] | 133 | |
Industrial | Level 3 | U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 39 | ||
Fair value input, credit spreads, lower limit | 199 | ||
Fair value input, credit spreads, upper limit | 483 | ||
Fair value input, credit spreads, weighted-average | [1] | 293 | |
Industrial | Level 3 | Non-U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 92 | ||
Fair value input, credit spreads, lower limit | 108 | ||
Fair value input, credit spreads, upper limit | 272 | ||
Fair value input, credit spreads, weighted-average | [1] | 193 | |
Other | Level 3 | U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 165 | ||
Fair value input, credit spreads, lower limit | 99 | ||
Fair value input, credit spreads, upper limit | 213 | ||
Fair value input, credit spreads, weighted-average | [1] | 122 | |
Other | Level 3 | Non-U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 144 | ||
Fair value input, credit spreads, lower limit | 121 | ||
Fair value input, credit spreads, upper limit | 507 | ||
Fair value input, credit spreads, weighted-average | [1] | 300 | |
Technology and communications | Level 3 | U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 66 | ||
Fair value input, credit spreads, lower limit | 212 | ||
Fair value input, credit spreads, upper limit | 395 | ||
Fair value input, credit spreads, weighted-average | [1] | 271 | |
Technology and communications | Level 3 | Non-U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 28 | ||
Fair value input, credit spreads, lower limit | 153 | ||
Fair value input, credit spreads, upper limit | 260 | ||
Fair value input, credit spreads, weighted-average | [1] | 221 | |
Transportation | Level 3 | U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 44 | ||
Fair value input, credit spreads, lower limit | 76 | ||
Fair value input, credit spreads, upper limit | 199 | ||
Fair value input, credit spreads, weighted-average | [1] | 144 | |
Transportation | Level 3 | Non-U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 114 | ||
Fair value input, credit spreads, lower limit | 83 | ||
Fair value input, credit spreads, upper limit | 294 | ||
Fair value input, credit spreads, weighted-average | [1] | 175 | |
Utilities | Level 3 | U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 826 | ||
Fair value input, credit spreads, lower limit | 71 | ||
Fair value input, credit spreads, upper limit | 427 | ||
Fair value input, credit spreads, weighted-average | [1] | 194 | |
Utilities | Level 3 | Non-U.S. corporate | Internal Models | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Internal models | ||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 357 | ||
Fair value input, credit spreads, lower limit | 97 | ||
Fair value input, credit spreads, upper limit | 286 | ||
Fair value input, credit spreads, weighted-average | [1] | 176 | |
Fixed index annuity embedded derivatives | Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Derivative liabilities, fair value | $ 447 | 452 | |
Fixed index annuity embedded derivatives | Level 3 | Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Option budgetmethod | ||
Derivative liabilities, fair value | $ 447 | 452 | |
Fair value, expected future interest credited, lower limit | 0.00% | ||
Fair value, expected future interest credited, upper limit | 3.00% | ||
Fair value, expected future interest credited, weighted-average | 1.00% | ||
Equity index options | Level 3 | Other invested assets | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Fixed maturity securities available-for-sale, at fair value (amortized cost of $54,834 and allowance for credit losses of $7 as of June 30, 2020) | $ 66 | ||
Fair value input, equity index volatility, lower limit | 6.00% | ||
Fair value input, equity index volatility, upper limit | 38.00% | ||
Fair value input, equity index volatility, weighted-average | [1] | 28.00% | |
Indexed universal life embedded derivatives | Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Derivative liabilities, fair value | $ 23 | 19 | |
Indexed universal life embedded derivatives | Level 3 | Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Option budgetmethod | ||
Derivative liabilities, fair value | $ 23 | 19 | |
Fair value, expected future interest credited, lower limit | 3.00% | ||
Fair value, expected future interest credited, upper limit | 11.00% | ||
Fair value, expected future interest credited, weighted-average | 6.00% | ||
GMWB embedded derivatives | Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Derivative liabilities, fair value | [2] | $ 559 | 323 |
GMWB embedded derivatives | Level 3 | Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Valuation technique | Stochastic cash flowmodel | ||
Derivative liabilities, fair value | [2] | $ 559 | $ 323 |
Fair value, withdrawal utilization rate, lower limit | 56.00% | ||
Fair value, withdrawal utilization rate, upper limit | 88.00% | ||
Fair value, lapse rate, lower limit | 2.00% | ||
Fair value, lapse rate, upper limit | 9.00% | ||
Fair value input, credit spreads, lower limit | 9 | ||
Fair value input, credit spreads, upper limit | 83 | ||
Fair value input, credit spreads, weighted-average | 67 | ||
Fair value input, equity index volatility, lower limit | 21.00% | ||
Fair value input, equity index volatility, upper limit | 30.00% | ||
Fair value, withdrawal utilization rate, weighted-average | 73.00% | ||
Fair value, lapse rate, weighted-average | 3.00% | ||
Fair value input, equity index volatility, weighted-average | 24.00% | ||
[1] | Unobservable inputs weighted by the relative fair value of the associated instrument for fixed maturity securities and by notional for derivative assets. | ||
[2] | Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. |
Liabilities by Class of Instrum
Liabilities by Class of Instrument that are Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | $ 1,030 | $ 805 | |
Total liabilities | 1,030 | 805 | |
Other liabilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 1 | 11 | |
Other liabilities | Interest rate swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 10 | ||
Other liabilities | Other foreign currency contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 1 | 1 | |
Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 1,029 | 794 | |
Policyholder account balances | GMWB embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | [1] | 559 | 323 |
Policyholder account balances | Fixed index annuity embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 447 | 452 | |
Policyholder account balances | Indexed universal life embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 23 | 19 | |
Level 1 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total liabilities | 0 | 0 | |
Level 1 | Other liabilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 1 | Other liabilities | Interest rate swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | ||
Level 1 | Other liabilities | Other foreign currency contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 1 | Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 1 | Policyholder account balances | GMWB embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | [1] | 0 | 0 |
Level 1 | Policyholder account balances | Fixed index annuity embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 1 | Policyholder account balances | Indexed universal life embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 2 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total liabilities | 1 | 11 | |
Level 2 | Other liabilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 1 | 11 | |
Level 2 | Other liabilities | Interest rate swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 10 | ||
Level 2 | Other liabilities | Other foreign currency contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 1 | 1 | |
Level 2 | Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 2 | Policyholder account balances | GMWB embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | [1] | 0 | 0 |
Level 2 | Policyholder account balances | Fixed index annuity embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 2 | Policyholder account balances | Indexed universal life embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total liabilities | 1,029 | 794 | |
Level 3 | Other liabilities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 3 | Other liabilities | Interest rate swaps | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | ||
Level 3 | Other liabilities | Other foreign currency contracts | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 0 | 0 | |
Level 3 | Policyholder account balances | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 1,029 | 794 | |
Level 3 | Policyholder account balances | GMWB embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | [1] | 559 | 323 |
Level 3 | Policyholder account balances | Fixed index annuity embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | 447 | 452 | |
Level 3 | Policyholder account balances | Indexed universal life embedded derivatives | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liabilities, fair value | $ 23 | $ 19 | |
[1] | Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. |
Liabilities Measured at Fair Va
Liabilities Measured at Fair Value on Recurring Basis and Utilized Significant Unobservable (Level 3) Inputs to Determine Fair Value (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | $ 1,125 | $ 731 | $ 794 | $ 738 | |
Total realized and unrealized (gains) losses included in net (income) | (96) | 45 | 230 | 34 | |
Total realized and unrealized (gains) losses included in OCI | 0 | 0 | 0 | 0 | |
Purchases | 0 | 0 | 0 | 0 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 11 | 7 | 23 | 15 | |
Settlements | (11) | (5) | (18) | (9) | |
Transfer into Level 3 | 0 | 0 | 0 | 0 | |
Transfer out of Level 3 | 0 | 0 | 0 | 0 | |
Ending balance | 1,029 | 778 | 1,029 | 778 | |
Total (gains) losses included in net (income) attributable to liabilities still held | (95) | 45 | 237 | 38 | |
Total (gains) losses included in OCI attributable to liabilities still held | 0 | 0 | |||
Policyholder account balances | |||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 1,125 | 731 | 794 | 738 | |
Total realized and unrealized (gains) losses included in net (income) | (96) | 45 | 230 | 34 | |
Total realized and unrealized (gains) losses included in OCI | 0 | 0 | 0 | 0 | |
Purchases | 0 | 0 | 0 | 0 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 11 | 7 | 23 | 15 | |
Settlements | (11) | (5) | (18) | (9) | |
Transfer into Level 3 | 0 | 0 | 0 | 0 | |
Transfer out of Level 3 | 0 | 0 | 0 | 0 | |
Ending balance | 1,029 | 778 | 1,029 | 778 | |
Total (gains) losses included in net (income) attributable to liabilities still held | (95) | 45 | 237 | 38 | |
Total (gains) losses included in OCI attributable to liabilities still held | 0 | 0 | |||
Policyholder account balances | GMWB embedded derivatives | |||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | [1] | 691 | 295 | 323 | 337 |
Total realized and unrealized (gains) losses included in net (income) | [1] | (138) | 24 | 224 | (24) |
Total realized and unrealized (gains) losses included in OCI | [1] | 0 | 0 | 0 | 0 |
Purchases | [1] | 0 | 0 | 0 | 0 |
Sales | [1] | 0 | 0 | 0 | 0 |
Issuances | [1] | 6 | 6 | 12 | 12 |
Settlements | [1] | 0 | 0 | 0 | 0 |
Transfer into Level 3 | [1] | 0 | 0 | 0 | 0 |
Transfer out of Level 3 | [1] | 0 | 0 | 0 | 0 |
Ending balance | [1] | 559 | 325 | 559 | 325 |
Total (gains) losses included in net (income) attributable to liabilities still held | [1] | (137) | 24 | 231 | (20) |
Total (gains) losses included in OCI attributable to liabilities still held | [1] | 0 | 0 | ||
Policyholder account balances | Fixed index annuity embedded derivatives | |||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 413 | 423 | 452 | 389 | |
Total realized and unrealized (gains) losses included in net (income) | 45 | 20 | 13 | 58 | |
Total realized and unrealized (gains) losses included in OCI | 0 | 0 | 0 | 0 | |
Purchases | 0 | 0 | 0 | 0 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 0 | 0 | 0 | 0 | |
Settlements | (11) | (5) | (18) | (9) | |
Transfer into Level 3 | 0 | 0 | 0 | 0 | |
Transfer out of Level 3 | 0 | 0 | 0 | 0 | |
Ending balance | 447 | 438 | 447 | 438 | |
Total (gains) losses included in net (income) attributable to liabilities still held | 45 | 20 | 13 | 58 | |
Total (gains) losses included in OCI attributable to liabilities still held | 0 | 0 | |||
Policyholder account balances | Indexed universal life embedded derivatives | |||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Beginning balance | 21 | 13 | 19 | 12 | |
Total realized and unrealized (gains) losses included in net (income) | (3) | 1 | (7) | 0 | |
Total realized and unrealized (gains) losses included in OCI | 0 | 0 | 0 | 0 | |
Purchases | 0 | 0 | 0 | 0 | |
Sales | 0 | 0 | 0 | 0 | |
Issuances | 5 | 1 | 11 | 3 | |
Settlements | 0 | 0 | 0 | 0 | |
Transfer into Level 3 | 0 | 0 | 0 | 0 | |
Transfer out of Level 3 | 0 | 0 | 0 | 0 | |
Ending balance | 23 | 15 | 23 | 15 | |
Total (gains) losses included in net (income) attributable to liabilities still held | (3) | $ 1 | (7) | $ 0 | |
Total (gains) losses included in OCI attributable to liabilities still held | $ 0 | $ 0 | |||
[1] | Represents embedded derivatives associated with our GMWB liabilities, excluding the impact of reinsurance. |
Gains and Losses Included in _2
Gains and Losses Included in Net (Income) from Liabilities Measured at Fair Value (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Total realized and unrealized (gains) losses included in net (income) loss, liabilities | $ (96) | $ 45 | $ 230 | $ 34 |
Total (gains) losses included in net (income) loss attributable to liabilities still held, liabilities | (95) | 45 | 237 | 38 |
Net Investment Income | ||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Total realized and unrealized (gains) losses included in net (income) loss, liabilities | 0 | 0 | 0 | 0 |
Total (gains) losses included in net (income) loss attributable to liabilities still held, liabilities | 0 | 0 | 0 | 0 |
Net investment (gains) losses | ||||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Total realized and unrealized (gains) losses included in net (income) loss, liabilities | (96) | 45 | 230 | 34 |
Total (gains) losses included in net (income) loss attributable to liabilities still held, liabilities | $ (95) | $ 45 | $ 237 | $ 38 |
Fair Value Financial Instrument
Fair Value Financial Instruments Not Required to Be Carried at Fair Value (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 | Jun. 30, 2019 | [1] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Commercial mortgage loans | $ 6,917 | $ 6,963 | ||||
Other invested assets | 2,473 | 1,632 | ||||
Liabilities: | ||||||
Long-term borrowings | 2,817 | 3,277 | [1] | $ 2,817 | ||
Non-recourse funding obligations | 0 | 311 | ||||
Commitments to fund limited partnerships | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 1,135 | |||||
Commitments to fund bank loan investments | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 35 | |||||
Level 1 | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Commercial mortgage loans | [2] | 0 | 0 | |||
Other invested assets | [2] | 0 | 0 | |||
Liabilities: | ||||||
Long-term borrowings | [2] | 0 | 0 | |||
Non-recourse funding obligations | [2] | 0 | ||||
Investment contracts | [2] | 0 | 0 | |||
Level 1 | Commitments to fund limited partnerships | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 0 | 0 | ||||
Level 1 | Commitments to fund bank loan investments | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 0 | 0 | ||||
Level 1 | Ordinary course of business lending commitments | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 0 | 0 | ||||
Level 2 | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Commercial mortgage loans | [2] | 0 | 0 | |||
Other invested assets | [2] | 22 | 49 | |||
Liabilities: | ||||||
Long-term borrowings | [2] | 2,016 | 2,951 | |||
Non-recourse funding obligations | [2] | 0 | ||||
Investment contracts | [2] | 0 | 0 | |||
Level 2 | Commitments to fund limited partnerships | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 0 | 0 | ||||
Level 2 | Commitments to fund bank loan investments | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 0 | 0 | ||||
Level 2 | Ordinary course of business lending commitments | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 0 | 0 | ||||
Level 3 | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Commercial mortgage loans | [2] | 7,225 | 7,239 | |||
Other invested assets | [2] | 399 | 383 | |||
Liabilities: | ||||||
Long-term borrowings | [2] | 137 | 142 | |||
Non-recourse funding obligations | [2] | 207 | ||||
Investment contracts | [2] | 12,227 | 12,086 | |||
Level 3 | Commitments to fund limited partnerships | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 0 | 0 | ||||
Level 3 | Commitments to fund bank loan investments | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 0 | 0 | ||||
Level 3 | Ordinary course of business lending commitments | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 0 | 0 | ||||
Carrying value | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Commercial mortgage loans | [2] | 6,917 | 6,963 | |||
Other invested assets | [2] | 418 | 432 | |||
Liabilities: | ||||||
Long-term borrowings | [2] | 2,817 | 3,277 | |||
Non-recourse funding obligations | [2] | 311 | ||||
Investment contracts | [2] | 11,258 | 11,466 | |||
Carrying value | Commitments to fund limited partnerships | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 0 | 0 | ||||
Carrying value | Commitments to fund bank loan investments | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 0 | 0 | ||||
Carrying value | Ordinary course of business lending commitments | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 0 | 0 | ||||
Fair value | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Commercial mortgage loans | [2] | 7,225 | 7,239 | |||
Other invested assets | [2] | 421 | 432 | |||
Liabilities: | ||||||
Long-term borrowings | [2] | 2,153 | 3,093 | |||
Non-recourse funding obligations | [2] | 207 | ||||
Investment contracts | [2] | 12,227 | 12,086 | |||
Fair value | Commitments to fund limited partnerships | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 0 | 0 | ||||
Fair value | Commitments to fund bank loan investments | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 0 | 0 | ||||
Fair value | Ordinary course of business lending commitments | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 0 | 0 | ||||
Notional amount | Commitments to fund limited partnerships | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 1,135 | 976 | ||||
Notional amount | Commitments to fund bank loan investments | ||||||
Liabilities: | ||||||
Off-balance sheet risk | 35 | 52 | ||||
Notional amount | Ordinary course of business lending commitments | ||||||
Liabilities: | ||||||
Off-balance sheet risk | $ 116 | $ 69 | ||||
[1] | Subordinated floating rate notes issued by Genworth Financial Mortgage Insurance Pty Limited (“GFMIPL”), our indirect majority-owned subsidiary, who has the option to redeem the notes at face value beginning on July 3, 2020, subject to the Australian Prudential Regulation Authority’s (“APRA”) prior written approval. | |||||
[2] | These financial instruments do not have notional amounts. |
Changes in Liability for Policy
Changes in Liability for Policy and Contract Claims (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward] | ||
Beginning balance | $ 10,958 | |
Ending balance | 11,280 | |
Long-term Care Insurance | ||
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward] | ||
Beginning balance | 10,958 | $ 10,295 |
Less reinsurance recoverables | (2,406) | (2,379) |
Net beginning balance | 8,552 | 7,916 |
Current year | 2,238 | 1,961 |
Prior years | (255) | (206) |
Total incurred | 1,983 | 1,755 |
Current year | (436) | (407) |
Prior years | (1,339) | (1,253) |
Total paid | (1,775) | (1,660) |
Interest on liability for policy and contract claims | 205 | 188 |
Foreign currency translation | (4) | (1) |
Net ending balance | 8,961 | 8,198 |
Add reinsurance recoverables | 2,319 | 2,388 |
Ending balance | $ 11,280 | $ 10,586 |
Liability for Policy and Cont_3
Liability for Policy and Contract Claims - Additional Information (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Long-term Care Insurance | ||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Incurred related to insured events of prior year | $ (255) | $ (206) |
Increase decrease in reserves for liability for policy and contract claims | 37 | |
U.S. Mortgage Insurance | ||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Increase decrease in reserves for liability for policy and contract claims | 28 | |
Policy Contract | ||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Increase decrease in reserves for liability for policy and contract claims | $ 322 |
Reinsurance - Additional Inform
Reinsurance - Additional Information (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | |
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | ||
Reinsurance recoverable | $ 16,900 | $ 17,103 |
Reinsurance Recoverable, Past Due | 0 | |
Scottish RE Group Limited | ||
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | ||
Reinsurance Recoverable, Past Due | $ 13 | |
Union Fidelity Life Insurance Company | ||
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | ||
Minimum amount of risk-based capital General Electric Company agreed to maintain in UFLIC | 150.00% | |
Union Fidelity Life Insurance Company | Ceded Credit Risk | ||
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | ||
Reinsurance recoverable | $ 13,539 | $ 13,752 |
Reinsurance - Schedule of Reins
Reinsurance - Schedule of Reinsurance Recoverable in Allowance for Credit Losses (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended |
Jun. 30, 2020 | Jun. 30, 2020 | |
Beginning balance | $ 42 | $ 0 |
Cumulative effect of change in accounting | 0 | 40 |
Provision | 2 | 4 |
Write-offs | 0 | 0 |
Recoveries | 0 | 0 |
Ending balance | $ 44 | $ 44 |
Reinsurance - Schedule Of Credi
Reinsurance - Schedule Of Credit Ratings on Reinsurance Recoverable (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Reinsurance recoverable | $ 16,944 | $ 17,103 |
A++ | ||
Reinsurance recoverable | 508 | |
A+ | ||
Reinsurance recoverable | 2,734 | |
A | ||
Reinsurance recoverable | 78 | |
B+ | ||
Reinsurance recoverable | 2 | |
Non rated | ||
Reinsurance recoverable | 13,622 | |
Collateralized | ||
Reinsurance recoverable | 14,829 | |
Collateralized | A++ | ||
Reinsurance recoverable | 0 | |
Collateralized | A+ | ||
Reinsurance recoverable | 1,267 | |
Collateralized | A | ||
Reinsurance recoverable | 20 | |
Collateralized | B+ | ||
Reinsurance recoverable | 0 | |
Collateralized | Non rated | ||
Reinsurance recoverable | 13,542 | |
Non-collateralized | ||
Reinsurance recoverable | 2,115 | |
Non-collateralized | A++ | ||
Reinsurance recoverable | 508 | |
Non-collateralized | A+ | ||
Reinsurance recoverable | 1,467 | |
Non-collateralized | A | ||
Reinsurance recoverable | 58 | |
Non-collateralized | B+ | ||
Reinsurance recoverable | 2 | |
Non-collateralized | Non rated | ||
Reinsurance recoverable | $ 80 |
Borrowings and Liquidity - Lon
Borrowings and Liquidity - Long Term Borrowings (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 | Jun. 30, 2019 | [1] | ||
Debt Instrument [Line Items] | ||||||
Total | $ 2,817 | $ 3,277 | [1] | $ 2,817 | ||
Genworth Holdings | ||||||
Debt Instrument [Line Items] | ||||||
Long-term borrowings | [2] | 2,711 | 3,174 | |||
Bond consent fees | [2] | (22) | (25) | |||
Deferred borrowing charges | [2] | (10) | (12) | |||
Total | [2] | 2,679 | 3,137 | |||
Genworth Holdings | 7.70% Senior Notes, Due 2020 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term borrowings | [2] | 0 | 397 | |||
Genworth Holdings | 7.20% Senior Notes, Due 2021 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term borrowings | [2] | 356 | 382 | |||
Genworth Holdings | 7.625% Senior Notes, Due 2021 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term borrowings | [2] | 661 | 701 | |||
Genworth Holdings | 4.90% Senior Notes, Due 2023 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term borrowings | [2] | 399 | 399 | |||
Genworth Holdings | 4.80% Senior Notes, Due 2024 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term borrowings | [2] | 400 | 400 | |||
Genworth Holdings | 6.50% Senior Notes, Due 2034 | ||||||
Debt Instrument [Line Items] | ||||||
Long-term borrowings | [2] | 297 | 297 | |||
Genworth Holdings | Floating Rate Junior Subordinated Notes, due 2066 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Long-term borrowings | [2] | 598 | 598 | |||
Genworth Financial Mortgage Insurance Pty Limited | ||||||
Debt Instrument [Line Items] | ||||||
Total | [1] | 138 | 140 | |||
Genworth Financial Mortgage Insurance Pty Limited | Floating Rate Junior Subordinated Notes, due 2025 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Long-term borrowings | [1] | $ 138 | $ 140 | |||
[1] | Subordinated floating rate notes issued by Genworth Financial Mortgage Insurance Pty Limited (“GFMIPL”), our indirect majority-owned subsidiary, who has the option to redeem the notes at face value beginning on July 3, 2020, subject to the Australian Prudential Regulation Authority’s (“APRA”) prior written approval. | |||||
[2] | We have the option to redeem all or a portion of the senior notes at any time with notice to the noteholders at a price equal to the greater of 100% of principal or the sum of the present value of the remaining scheduled payments of principal and interest discounted at the then-current treasury rate plus an applicable spread. |
Borrowings and Liquidity - Addi
Borrowings and Liquidity - Additional Information (Detail) $ in Millions, $ in Millions | Jul. 31, 2020AUD ($) | Jul. 03, 2020AUD ($) | Jan. 21, 2020USD ($) | Mar. 31, 2020USD ($) | Jan. 31, 2020USD ($) | Jun. 30, 2020USD ($) | Mar. 31, 2020USD ($) | Jun. 30, 2019USD ($) | Jun. 30, 2020USD ($) | Jun. 30, 2019USD ($) | Dec. 31, 2019USD ($) | ||||
Debt Instrument [Line Items] | |||||||||||||||
Pre-tax gain (loss) on early extinguishment of debt | $ 3 | $ 0 | $ (9) | $ 0 | |||||||||||
Long-term Debt | 2,817 | $ 2,817 | [1] | 2,817 | $ 2,817 | [1] | $ 3,277 | [1] | |||||||
Non-Recourse Funding Obligations | Floating Rate Subordinated Notes Due in 2050 | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Pre-tax gain (loss) on early extinguishment of debt | $ (4) | ||||||||||||||
Debt instrument, maturity year | 2050 | ||||||||||||||
Redemption of secured debt | $ 315 | ||||||||||||||
Genworth Holdings | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, maturity month and year | 2020-06 | ||||||||||||||
Pre-tax make-whole expense on redemption of senior notes | $ 9 | ||||||||||||||
Long-term Debt | [2] | 2,679 | $ 2,679 | 3,137 | |||||||||||
Genworth Holdings | 7.70% Senior Notes, Due 2020 | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Interest rate | 7.70% | ||||||||||||||
Debt instrument, maturity month and year | 2020-06 | ||||||||||||||
Early redemption of senior notes | $ 409 | ||||||||||||||
Pre-tax make-whole expense on redemption of senior notes | 9 | ||||||||||||||
Pre-tax gain (loss) on early extinguishment of debt | (9) | ||||||||||||||
Aggregate principal amount of notes repurchased | 397 | ||||||||||||||
Interest paid | 3 | ||||||||||||||
Early redemption of senior notes, principal amount | $ 397 | ||||||||||||||
Genworth Holdings | Senior Notes 2021 | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Pre-tax gain (loss) on early extinguishment of debt | $ 1 | $ 3 | $ 1 | ||||||||||||
Debt instrument, maturity year | 2021 | 2021 | 2021 | ||||||||||||
Aggregate principal amount of notes repurchased | $ 14 | $ 52 | $ 14 | $ 52 | |||||||||||
Genworth Financial Mortgage Insurance Pty Limited | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Long-term Debt | [1] | $ 138 | $ 138 | $ 140 | |||||||||||
Genworth Financial Mortgage Insurance Pty Limited | Floating Rate Junior Subordinated Notes Due in 2030 | Subsequent Event | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt Instrument, Description of Variable Rate Basis | swap reference rate plus a margin of a minimum of 5.0% per annum. | ||||||||||||||
Debt instrument face amount | $ 43 | ||||||||||||||
Debt instrument face amount issued in exchange | $ 147 | ||||||||||||||
Debt instrument, maturity month and year | 2030-07 | 2030-07 | |||||||||||||
Long-term Debt | $ 190 | ||||||||||||||
Debt instrument, Option to redeem date | Jul. 3, 2025 | ||||||||||||||
Genworth Financial Mortgage Insurance Pty Limited | Floating Rate Junior Subordinated Notes Due in 2025 | Subsequent Event | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument, maturity month and year | 2025-07 | ||||||||||||||
Long-term Debt | $ 53 | ||||||||||||||
Aggregate principal amount of notes exchanged | $ 147 | ||||||||||||||
[1] | Subordinated floating rate notes issued by Genworth Financial Mortgage Insurance Pty Limited (“GFMIPL”), our indirect majority-owned subsidiary, who has the option to redeem the notes at face value beginning on July 3, 2020, subject to the Australian Prudential Regulation Authority’s (“APRA”) prior written approval. | ||||||||||||||
[2] | We have the option to redeem all or a portion of the senior notes at any time with notice to the noteholders at a price equal to the greater of 100% of principal or the sum of the present value of the remaining scheduled payments of principal and interest discounted at the then-current treasury rate plus an applicable spread. |
Reconciliation of Federal Statu
Reconciliation of Federal Statutory Tax Rate to Effective Income Tax Rate (Detail) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Income Tax Examination [Line Items] | ||||
Statutory U.S. federal income tax rate | 21.00% | 21.00% | 21.00% | 21.00% |
Swaps terminated prior to the TCJA | 4.80% | 3.20% | 19.10% | 3.90% |
Effect of foreign operations | 3.70% | 2.30% | 7.30% | 2.70% |
Non-deductible goodwill | 1.20% | 0.00% | 2.70% | 0.00% |
Non-deductible expense | 0.70% | 0.60% | 2.80% | 0.70% |
Tax favored investments | (0.80%) | (0.50%) | (3.20%) | (0.50%) |
Stock-based compensation | 0.10% | 0.10% | 2.90% | 0.00% |
Other, net | 0.40% | 2.80% | 1.90% | 1.50% |
Effective rate | 31.10% | 29.50% | 54.50% | 29.30% |
Segment Information - Additiona
Segment Information - Additional Information (Detail) $ in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||
Mar. 31, 2020USD ($) | Jan. 31, 2020USD ($) | Jun. 30, 2020USD ($) | Mar. 31, 2020USD ($) | Jun. 30, 2019USD ($) | Jun. 30, 2020USD ($)Segment | Jun. 30, 2019USD ($) | |
Segment Reporting Information [Line Items] | |||||||
Number of operating segments | Segment | 4 | ||||||
Assumed tax rate on adjustments to adjusted operating income | 21.00% | ||||||
Expenses related to restructuring | $ 1 | $ 0 | $ 2 | $ 4 | |||
Pre-tax gain (loss) on early extinguishment of debt | 3 | 0 | (9) | 0 | |||
Goodwill impairment | 5 | $ 0 | $ 5 | $ 0 | |||
Floating Rate Subordinated Notes Due in 2050 | Non-Recourse Funding Obligations | |||||||
Segment Reporting Information [Line Items] | |||||||
Pre-tax gain (loss) on early extinguishment of debt | $ (4) | ||||||
Redemption of secured debt | $ 315 | ||||||
Debt instrument, maturity year | 2050 | ||||||
Australia Mortgage Insurance | |||||||
Segment Reporting Information [Line Items] | |||||||
Goodwill impairment | 3 | ||||||
Segment, Continuing Operations | Australia Mortgage Insurance | |||||||
Segment Reporting Information [Line Items] | |||||||
Assumed tax rate on adjustments to adjusted operating income | 30.00% | ||||||
Genworth Holdings | |||||||
Segment Reporting Information [Line Items] | |||||||
Pre-tax make-whole expense | $ 9 | ||||||
Debt instrument, maturity month and year | 2020-06 | ||||||
Genworth Holdings | Senior Notes 2021 | |||||||
Segment Reporting Information [Line Items] | |||||||
Pre-tax gain (loss) on early extinguishment of debt | $ 1 | 3 | $ 1 | ||||
Aggregate principal amount of notes repurchased | $ 14 | $ 52 | $ 14 | $ 52 | |||
Debt instrument, maturity year | 2021 | 2021 | 2021 |
Summary of Revenues for Segment
Summary of Revenues for Segments and Corporate and Other Activities (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Segment Reporting Information [Line Items] | ||||
Revenues | $ 2,138 | $ 1,994 | $ 3,975 | $ 4,038 |
Segment, Continuing Operations | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 2,138 | 1,994 | 3,975 | 4,038 |
Segment, Continuing Operations | U.S. Mortgage Insurance | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 274 | 235 | 535 | 458 |
Segment, Continuing Operations | Australia Mortgage Insurance | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 136 | 96 | 163 | 206 |
Segment, Continuing Operations | Long-term Care Insurance | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 1,200 | 1,055 | 2,206 | 2,169 |
Segment, Continuing Operations | Life Insurance | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 335 | 382 | 683 | 754 |
Segment, Continuing Operations | Fixed Annuities | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 129 | 151 | 262 | 310 |
Segment, Continuing Operations | U.S. Life Insurance | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 1,664 | 1,588 | 3,151 | 3,233 |
Segment, Continuing Operations | Runoff | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 90 | 78 | 97 | 160 |
Segment, Continuing Operations | Corporate and Other | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | $ (26) | $ (3) | $ 29 | $ (19) |
Summary of Net Operating Income
Summary of Net Operating Income (Loss) for Segments and Corporate and Other Activities (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | ||
Segment Reporting Information [Line Items] | |||||
Net income (loss) available to Genworth Financial, Inc.'s common stockholders | $ (441) | $ 168 | $ (507) | $ 342 | |
Add: net income from continuing operations attributable to noncontrolling interests | 23 | 15 | 17 | 35 | |
Add: net income from discontinued operations attributable to noncontrolling interests | 0 | 35 | 0 | 71 | |
Net income (loss) | (418) | 218 | (490) | 448 | |
Less: income (loss) from discontinued operations, net of taxes | (520) | 60 | (520) | 122 | |
Income from continuing operations | 102 | 158 | 30 | 326 | |
Less: net income from continuing operations attributable to noncontrolling interests | 23 | 15 | 17 | 35 | |
Income from continuing operations available to Genworth Financial, Inc.'s common stockholders | 79 | 143 | 13 | 291 | |
Net investment (gains) losses, net | [1] | (131) | 43 | (16) | (28) |
Goodwill impairment, net | [2] | 3 | 0 | 3 | 0 |
(Gains) losses on early extinguishment of debt | (3) | 0 | 9 | 0 | |
Expenses related to restructuring | 1 | 0 | 2 | 4 | |
Taxes on adjustments | 30 | (8) | 1 | 6 | |
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | (21) | 178 | 12 | 273 | |
Segment, Continuing Operations | U.S. Mortgage Insurance | |||||
Segment Reporting Information [Line Items] | |||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | (3) | 147 | 145 | 271 | |
Segment, Continuing Operations | Australia Mortgage Insurance | |||||
Segment Reporting Information [Line Items] | |||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | 1 | 13 | 10 | 27 | |
Segment, Continuing Operations | Long-term Care Insurance | |||||
Segment Reporting Information [Line Items] | |||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | 48 | 37 | 49 | 17 | |
Segment, Continuing Operations | Life Insurance | |||||
Segment Reporting Information [Line Items] | |||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | (81) | 10 | (158) | 8 | |
Segment, Continuing Operations | Fixed Annuities | |||||
Segment Reporting Information [Line Items] | |||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | 28 | 19 | 34 | 36 | |
Segment, Continuing Operations | U.S. Life Insurance | |||||
Segment Reporting Information [Line Items] | |||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | (5) | 66 | (75) | 61 | |
Segment, Continuing Operations | Runoff | |||||
Segment Reporting Information [Line Items] | |||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | 24 | 9 | 11 | 29 | |
Segment, Continuing Operations | Corporate and Other | |||||
Segment Reporting Information [Line Items] | |||||
Adjusted operating income (loss) available to Genworth Financial, Inc.'s common stockholders | $ (38) | $ (57) | $ (79) | $ (115) | |
[1] | For the three months ended June 30, 2020 and 2019, net investment (gains) losses were adjusted for DAC and other intangible amortization and certain benefit reserves of $(4) and $(3) million, respectively, and adjusted for net investment gains (losses) attributable to noncontrolling interests of $32 million and $—, respectively. For the six months ended June 30, 2020 and 2019, net investment (gains) losses were adjusted for DAC and other intangible amortization and certain benefit reserves of $(15) million and $(5) million, respectively, and adjusted for net investment gains (losses) attributable to noncontrolling interests of $6 million in both periods. | ||||
[2] | For the three and six months ended June 30, 2020, goodwill impairment was adjusted for the portion attributable to noncontrolling interests of $2 million. |
Summary of Net Operating Inco_2
Summary of Net Operating Income (Loss) for Segments and Corporate and Other Activities (Parenthetical) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Segment Reporting Information [Line Items] | ||||
Adjustment for DAC and other intangibles and certain benefit reserves | $ (4) | $ (3) | $ (15) | $ (5) |
Adjustment for portion attributable to noncontrolling interests | 32 | $ 0 | 6 | $ 6 |
Goodwill impairment loss attributable to noncontrolling interest | $ 2 | $ 2 |
Summary of Segments and Corpora
Summary of Segments and Corporate and Other Activities (Detail) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Segment Reporting Information [Line Items] | ||
Total assets | $ 103,637 | $ 101,342 |
Segment, Continuing Operations | ||
Segment Reporting Information [Line Items] | ||
Total assets | 103,637 | 101,342 |
U.S. Mortgage Insurance | Segment, Continuing Operations | ||
Segment Reporting Information [Line Items] | ||
Total assets | 4,944 | 4,504 |
Australia Mortgage Insurance | Segment, Continuing Operations | ||
Segment Reporting Information [Line Items] | ||
Total assets | 2,439 | 2,406 |
U.S. Life Insurance | Segment, Continuing Operations | ||
Segment Reporting Information [Line Items] | ||
Total assets | 83,829 | 81,640 |
Runoff | Segment, Continuing Operations | ||
Segment Reporting Information [Line Items] | ||
Total assets | 9,783 | 9,953 |
Corporate and Other | Segment, Continuing Operations | ||
Segment Reporting Information [Line Items] | ||
Total assets | $ 2,642 | $ 2,839 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) £ in Millions, $ in Millions | Jun. 08, 2020GBP (£) | Jan. 31, 2020USD ($) | Dec. 06, 2019 | Sep. 11, 2019USD ($) | Feb. 25, 2019GBP (£) | Nov. 15, 2018GBP (£) | Dec. 01, 2017GBP (£)Company | Apr. 30, 2020USD ($) | Jan. 31, 2020USD ($) | Jan. 31, 2019USD ($) | Jun. 30, 2020GBP (£) | Dec. 31, 2019USD ($) | Jun. 30, 2020USD ($) |
Commitments and Contingencies Disclosure [Line Items] | |||||||||||||
Loss contingencies actions by plaintiff | On September 11, 2019, plaintiffs filed a renewed motion seeking the same relief from their August 7, 2019 motion with an exception that allowed GFIH to transfer $450 million of expected proceeds from the sale of Genworth Canada through a dividend to Genworth Holdings to allow the pay off of a senior secured term loan facility dated March 7, 2018 among Genworth Holdings as the borrower, GFIH as the limited guarantor and the lending parties thereto. Oral arguments on our motion to dismiss and plaintiffs’ motion occurred on October 21, 2019, and plaintiffs’ motion was denied. On January 31, 2020, the Court granted in part our motion to dismiss, dismissing claims relating to $395 million in dividends GLIC paid to its parent from 2012 to 2014 (out of the $410 million in total dividends subject to plaintiffs’ claims). The Court denied the balance of the motion to dismiss leaving a claim relating to $15 million in dividends and unquantified claims relating to the 2016 termination of a reinsurance transaction. On March 27, 2020, we filed our answer to plaintiffs’ amended complaint. We intend to continue to vigorously defend this action. | ||||||||||||
Commitments to Fund Limited Partnerships | |||||||||||||
Commitments and Contingencies Disclosure [Line Items] | |||||||||||||
Off-balance sheet risk | $ 1,135 | ||||||||||||
Commitments to fund U.S. commercial mortgage loan investments | |||||||||||||
Commitments and Contingencies Disclosure [Line Items] | |||||||||||||
Off-balance sheet risk | 84 | ||||||||||||
Commitments to Fund Private Placement Investments | |||||||||||||
Commitments and Contingencies Disclosure [Line Items] | |||||||||||||
Off-balance sheet risk | 32 | ||||||||||||
Commitments to Fund Bank Loan Investments | |||||||||||||
Commitments and Contingencies Disclosure [Line Items] | |||||||||||||
Off-balance sheet risk | $ 35 | ||||||||||||
AXA Damages Hearing | |||||||||||||
Commitments and Contingencies Disclosure [Line Items] | |||||||||||||
Number of insurance company sold | Company | 2 | ||||||||||||
Loss Contingency, Damages Sought | £ | £ 499 | £ 265 | £ 237 | £ 28 | |||||||||
Percentage of losses sought as claims | 90.00% | ||||||||||||
Payments for accruals | $ 134 | ||||||||||||
Damages sought, tax gross up amount | £ | £ 117 | ||||||||||||
Other Litigation | |||||||||||||
Commitments and Contingencies Disclosure [Line Items] | |||||||||||||
Plaintiff's Motion Dismissed | $ 395 | ||||||||||||
Loss Contingency, Damages Sought | $ 5 | $ 5 | |||||||||||
Plaintiffs' motion | $ 15 | $ 410 | |||||||||||
Restricted cash proceeds on sale per litigation | $ 450 |
Component of Changes in Accumul
Component of Changes in Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Beginning balance | $ 3,815 | $ 2,492 | $ 3,433 | $ 2,044 | ||||
OCI before reclassifications | 787 | 575 | 1,158 | 1,153 | ||||
Amounts reclassified from (to) OCI | (118) | (23) | (154) | (98) | ||||
Total other comprehensive income (loss) | 669 | 552 | 1,004 | 1,055 | ||||
Balances before nonnontrolling interests | 4,484 | 3,044 | 4,437 | 3,099 | ||||
Less: change in OCI attributable to noncontrolling interests | 37 | 31 | (10) | 86 | ||||
Ending balance | 4,447 | 3,013 | 4,447 | 3,013 | ||||
Net unrealized investment (gains) losses | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Beginning balance | 1,140 | [1] | 943 | [1] | 1,456 | [1] | 595 | |
OCI before reclassifications | 762 | [1] | 375 | [1] | 448 | [1] | 802 | |
Amounts reclassified from (to) OCI | (88) | [1] | 1 | [1] | (94) | [1] | (46) | |
Total other comprehensive income (loss) | 674 | [1] | 376 | [1] | 354 | [1] | 756 | |
Balances before nonnontrolling interests | 1,814 | [1] | 1,319 | [1] | 1,810 | [1] | 1,351 | |
Less: change in OCI attributable to noncontrolling interests | 3 | [1] | 14 | [1] | (1) | [1] | 46 | |
Ending balance | [1] | 1,811 | 1,305 | 1,811 | 1,305 | |||
Derivatives qualifying as hedges | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Beginning balance | 2,755 | [2] | 1,850 | [2] | 2,002 | [2] | 1,781 | |
OCI before reclassifications | (48) | [2] | 157 | [2] | 735 | [2] | 254 | |
Amounts reclassified from (to) OCI | (30) | [2] | (24) | [2] | (60) | [2] | (52) | |
Total other comprehensive income (loss) | (78) | [2] | 133 | [2] | 675 | [2] | 202 | |
Balances before nonnontrolling interests | 2,677 | [2] | 1,983 | [2] | 2,677 | [2] | 1,983 | |
Less: change in OCI attributable to noncontrolling interests | 0 | [2] | 0 | [2] | 0 | [2] | 0 | |
Ending balance | [2] | 2,677 | 1,983 | 2,677 | 1,983 | |||
Foreign currency translation and other adjustments | ||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Beginning balance | (80) | (301) | (25) | (332) | ||||
OCI before reclassifications | 73 | 43 | (25) | 97 | ||||
Amounts reclassified from (to) OCI | 0 | 0 | 0 | 0 | ||||
Total other comprehensive income (loss) | 73 | 43 | (25) | 97 | ||||
Balances before nonnontrolling interests | (7) | (258) | (50) | (235) | ||||
Less: change in OCI attributable to noncontrolling interests | 34 | 17 | (9) | 40 | ||||
Ending balance | $ (41) | $ (275) | $ (41) | $ (275) | ||||
[1] | Net of adjustments to DAC, present value of future profits, sales inducements and benefit reserves. See note 4 for additional information. | |||||||
[2] | See note 5 for additional information. |
Changes In Accumulated Other _3
Changes In Accumulated Other Comprehensive Income (Loss) - Additional Information (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Unrecognized postretirement benefit obligation, current period OCI | $ (2) | |
Unrecognized postretirement benefit obligation, current period OCI, tax | 1 | |
Foreign currency translation and other adjustments, current period OCI, tax | $ 22 | $ (45) |
Reclassifications In (Out) of A
Reclassifications In (Out) of Accumulated Other Comprehensive Income (Loss), Net of Taxes (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Net investment income | $ (786) | $ (816) | $ (1,579) | $ (1,610) | |
Net investment (gains) losses | (159) | 46 | (7) | (29) | |
Income taxes | 46 | 66 | 36 | 135 | |
(Income) loss from continuing operations | (102) | (158) | (30) | (326) | |
Amount reclassified from accumulated other comprehensive income (loss) | Net unrealized investment (gains) losses | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Net investment (gains) losses | [1] | (112) | 2 | (119) | (58) |
Income taxes | 24 | (1) | 25 | 12 | |
(Income) loss from continuing operations | (88) | 1 | (94) | (46) | |
Amount reclassified from accumulated other comprehensive income (loss) | Derivatives qualifying as hedges | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Income taxes | 16 | 13 | 33 | 29 | |
(Income) loss from continuing operations | (30) | (24) | (60) | (52) | |
Amount reclassified from accumulated other comprehensive income (loss) | Derivatives qualifying as hedges | Interest rate swaps | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Net investment income | (46) | (42) | (89) | (80) | |
Net investment (gains) losses | 0 | 4 | (4) | (2) | |
Amount reclassified from accumulated other comprehensive income (loss) | Derivatives qualifying as hedges | Foreign currency swaps | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Net investment income | $ 0 | $ 1 | $ 0 | $ 1 | |
[1] | Amounts exclude adjustments to DAC, present value of future profits, sales inducements and benefit reserves. |
Summary of Operating Results Re
Summary of Operating Results Related to Genworth Canada reported as Discontinued Operations (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | ||
Revenues: | |||||
Premiums | $ 1,019 | $ 1,001 | $ 2,034 | $ 1,989 | |
Net investment income | 786 | 816 | 1,579 | 1,610 | |
Net investment gains (losses) | 159 | (46) | 7 | 29 | |
Benefits and expenses: | |||||
Benefits and other changes in policy reserves | 1,486 | 1,251 | 2,847 | 2,533 | |
Acquisition and operating expenses, net of deferrals | 223 | 229 | 472 | 466 | |
Amortization of deferred acquisition costs and intangibles | 93 | 84 | 209 | 165 | |
Total benefits and expenses | 1,990 | 1,770 | 3,909 | 3,577 | |
Income from discontinued operations, net of taxes | (520) | 60 | (520) | 122 | |
Less: net income from discontinued operations attributable to noncontrolling interests | 0 | 35 | 0 | 71 | |
Income (loss) from discontinued operations available to Genworth Financial, Inc.'s common stockholders | $ (520) | 25 | $ (520) | 51 | |
Assets Held For Sale Related To Discontinued Operations | Canada Mortgage Insurance | |||||
Revenues: | |||||
Premiums | 125 | 251 | |||
Net investment income | 36 | 71 | |||
Net investment gains (losses) | 1 | 0 | |||
Total revenues | 162 | 322 | |||
Benefits and expenses: | |||||
Benefits and other changes in policy reserves | 19 | 38 | |||
Acquisition and operating expenses, net of deferrals | 18 | 32 | |||
Amortization of deferred acquisition costs and intangibles | 11 | 21 | |||
Interest expense | [1] | 13 | 25 | ||
Total benefits and expenses | 61 | 116 | |||
Income before income taxes | [2] | 101 | 206 | ||
Provision for income taxes | 41 | 84 | |||
Income from discontinued operations, net of taxes | 60 | 122 | |||
Less: net income from discontinued operations attributable to noncontrolling interests | 35 | 71 | |||
Income (loss) from discontinued operations available to Genworth Financial, Inc.'s common stockholders | $ 25 | $ 51 | |||
[1] | Interest on debt assumed by Brookfield and interest on debt that was repaid as a result of the sale of Genworth Canada was allocated and reported in discontinued operations. A senior secured term loan facility (“Term Loan”), owed by Genworth Holdings and secured by GFIH’s ownership interest in Genworth Canada’s outstanding common shares, was repaid in connection with the close of the Genworth Canada sale. Accordingly, interest expense related to the Term Loan of $8 million and $16 million for the three and six months ended June 30, 2019, respectively, was allocated and reported in discontinued operations. | ||||
[2] | The three and six months ended June 30, 2019 includes pre-tax income from discontinued operations available to Genworth Financial, Inc.’s common stockholders of $55 million and $111 million, respectively. |
Summary of Operating Results _2
Summary of Operating Results Related to Genworth Canada reported as Discontinued Operations (Parenthetical) (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended |
Jun. 30, 2019 | Jun. 30, 2019 | |
Parent Company [Member] | ||
Discontinued operation pretax income attributable to parent | $ 55 | $ 111 |
Genworth Canada MI [Member] | ||
Interest expense-term loan | $ 8 | $ 16 |
Discontinued Operations - Addit
Discontinued Operations - Additional Information (Detail) £ in Millions, $ in Millions | Jul. 21, 2020USD ($) | Jul. 21, 2020GBP (£) | Jul. 20, 2020USD ($) | Jan. 31, 2020USD ($) | Jan. 31, 2020GBP (£) | Jun. 30, 2020USD ($) | Jun. 30, 2020USD ($) | Dec. 31, 2019USD ($) | Dec. 12, 2019USD ($) |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||
Liabilities held for sale related to discontinued operations | $ 653 | $ 653 | $ 134 | ||||||
AXA Settlement Agreement [Member] | |||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||
Loss Associated With Discontinued Opertions | 516 | 516 | |||||||
other costs on legal settlement | 4 | 4 | |||||||
AXA Damages - Interim Payment | |||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||
Payments for accruals | $ 134 | £ 100 | |||||||
Subsequent Event [Member] | AXA Settlement Agreement [Member] | |||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||
Loss Associated With Discontinued Opertions | $ 125 | £ 100 | |||||||
Discontinued Operations [Member] | Subsequent Event [Member] | AXA Settlement Agreement [Member] | |||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||
Debt instrument face amount | £ | £ 317 | ||||||||
Debt instrument interest rate | 5.25% | ||||||||
Proceeds from Issuance of debt gross | $ 750 | ||||||||
Debt Instrument, Interest Rate Decrease | 2.75% | ||||||||
Percent Of Security Interest Pledged | 19.90% | ||||||||
Proceeds from Issuance or Sale of Equity | $ 475 | ||||||||
Genworth Canada MI | |||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||
Net cash proceeds | $ 1,700 | ||||||||
AXA [Member] | Contingent Liability [Member] | |||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||
Liabilities held for sale related to discontinued operations | $ 653 | $ 653 |