Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Feb. 13, 2015 | Jun. 30, 2014 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | FALSE | ||
Document Period End Date | 31-Dec-14 | ||
Document Fiscal Year Focus | 2014 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | L | ||
Entity Registrant Name | LOEWS CORP | ||
Entity Central Index Key | 60086 | ||
Current Fiscal Year End Date | -19 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 373,176,361 | ||
Entity Public Float | $14,173,000,000 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Assets: | ||
Fixed maturities, amortized cost of $37,469 and $39,426 | $40,885 | $41,320 |
Equity securities, cost of $733 and $881 | 728 | 871 |
Limited partnership investments | 3,674 | 3,420 |
Other invested assets, primarily mortgage loans | 731 | 562 |
Short term investments | 6,014 | 6,772 |
Total investments | 52,032 | 52,945 |
Cash | 364 | 294 |
Receivables | 7,770 | 9,338 |
Property, plant and equipment | 15,611 | 13,524 |
Goodwill | 374 | 357 |
Assets of discontinued operations | 1,041 | |
Other assets | 1,616 | 1,635 |
Deferred acquisition costs of insurance subsidiaries | 600 | 624 |
Separate account business | 181 | |
Total assets | 78,367 | 79,939 |
Liabilities and Equity: | ||
Claim and claim adjustment expense | 23,271 | 24,089 |
Future policy benefits | 9,490 | 10,471 |
Unearned premiums | 3,592 | 3,718 |
Policyholders' funds | 27 | 116 |
Total insurance reserves | 36,380 | 38,394 |
Payable to brokers | 673 | 134 |
Short term debt | 335 | 819 |
Long term debt | 10,333 | 9,525 |
Deferred incomes taxes | 893 | 716 |
Liabilities of discontinued operations | 632 | |
Other liabilities | 5,103 | 4,632 |
Separate account business | 181 | |
Total liabilities | 53,717 | 55,033 |
Commitments and contingent liabilities | ||
Shareholders' equity: | ||
Preferred stock, $0.10 par value: Authorized - 100,000,000 shares | ||
Common stock, $0.01 par value: Authorized - 1,800,000,000 shares Issued and outstanding - 372,934,540 and 387,210,096 shares | 4 | 4 |
Additional paid-in capital | 3,481 | 3,607 |
Retained earnings | 15,515 | 15,508 |
Accumulated other comprehensive income | 280 | 339 |
Total shareholders' equity | 19,280 | 19,458 |
Noncontrolling interests | 5,370 | 5,448 |
Total equity | 24,650 | 24,906 |
Total liabilities and equity | $78,367 | $79,939 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, except Share data, unless otherwise specified | ||
Statement of Financial Position [Abstract] | ||
Fixed maturities, amortized cost | $37,469 | $39,426 |
Equity securities, cost | $733 | $881 |
Preferred stock, par value | $0.10 | $0.10 |
Preferred stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 1,800,000,000 | 1,800,000,000 |
Common stock, shares issued | 372,934,540 | 387,210,096 |
Common stock, shares outstanding | 372,934,540 | 387,210,096 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (USD $) | 12 Months Ended | |||||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Revenues: | ||||||
Insurance premiums | $7,212 | $7,271 | $6,881 | |||
Net investment income | 2,163 | 2,425 | 2,177 | |||
Investment gains (losses): | ||||||
Other-than-temporary impairment losses | -77 | -74 | -127 | |||
Portion of other-than-temporary impairment losses recognized in Other comprehensive income (loss) | -2 | -23 | ||||
Net impairment losses recognized in earnings | -77 | -76 | -150 | |||
Other net investment gains | 131 | 92 | 198 | |||
Total investment gains | 54 | [1] | 16 | [1] | 48 | [1] |
Contract drilling revenues | 2,737 | 2,844 | 2,936 | |||
Other revenues | 2,159 | 2,057 | 2,030 | |||
Total | 14,325 | 14,613 | 14,072 | |||
Expenses: | ||||||
Insurance claims and policyholders' benefits | 5,591 | 5,806 | 5,729 | |||
Amortization of deferred acquisition costs | 1,317 | 1,362 | 1,274 | |||
Contract drilling expenses | 1,524 | 1,573 | 1,537 | |||
Other operating expenses | 3,585 | 3,170 | 3,084 | |||
Interest | 498 | 425 | 426 | |||
Total | 12,515 | 12,336 | 12,050 | |||
Income before income tax | 1,810 | 2,277 | 2,022 | |||
Income tax expense | -457 | -656 | -513 | |||
Income from continuing operations | 1,353 | 1,621 | 1,509 | |||
Discontinued operations, net | -391 | -552 | -399 | |||
Net income | 962 | 1,069 | 1,110 | |||
Amounts attributable to noncontrolling interests | -371 | -474 | -542 | |||
Net income | 591 | 595 | 568 | |||
Net income attributable to Loews Corporation: | ||||||
Income from continuing operations | 962 | 1,149 | 968 | |||
Discontinued operations, net | -371 | -554 | -400 | |||
Net income | $591 | $595 | $568 | |||
Basic net income per common share: | ||||||
Income from continuing operations | $2.52 | $2.96 | $2.45 | |||
Discontinued operations, net | ($0.97) | ($1.43) | ($1.01) | |||
Net income | $1.55 | $1.53 | $1.44 | |||
Diluted net income per common share: | ||||||
Income from continuing operations | $2.52 | $2.95 | $2.44 | |||
Discontinued operations, net | ($0.97) | ($1.42) | ($1.01) | |||
Net income | $1.55 | $1.53 | $1.43 | |||
Dividends per share | $0.25 | $0.25 | $0.25 | |||
Basic weighted average number of shares outstanding | 381.92 | 388.64 | 395.12 | |||
Diluted weighted average number of shares outstanding | 382.55 | 389.51 | 395.87 | |||
[1] | Includes gross realized gains of $178, $198 and $241 and gross realized losses of $136, $179 and $187 on available-for-sale securities for the years ended December 31, 2014, 2013 and 2012. |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Amounts Reclassified Out Of Accumulated Other Comprehensive Income Loss [Abstract] | |||
Net income | $962 | $1,069 | $1,110 |
Other comprehensive income (loss), after tax Changes in: | |||
Net unrealized gains on investments with other-than-temporary impairments | 15 | 6 | 84 |
Net other unrealized gains (losses) on investments | 267 | -679 | 339 |
Total unrealized gains (losses) on available-for-sale investments | 282 | -673 | 423 |
Discontinued operations | -19 | -23 | -11 |
Unrealized gains (losses) on cash flow hedges | -3 | 3 | |
Pension liability | -235 | 329 | -132 |
Foreign currency | -94 | -11 | 39 |
Other comprehensive income (loss) | -69 | -378 | 322 |
Comprehensive income | 893 | 691 | 1,432 |
Amounts attributable to noncontrolling interests | -361 | -437 | -575 |
Total comprehensive income attributable to Loews Corporation | $532 | $254 | $857 |
Consolidated_Statements_of_Equ
Consolidated Statements of Equity (USD $) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income [Member] | Common Stock Held in Treasury [Member] | Noncontrolling Interests [Member] |
In Millions | |||||||
Beginning Balance at Dec. 31, 2011 | $23,203 | $4 | $3,494 | $14,890 | $384 | $4,431 | |
Net income | 1,110 | 568 | 542 | ||||
Other comprehensive income (loss) | 322 | 289 | 33 | ||||
Dividends paid | -549 | -99 | -450 | ||||
Issuance of equity securities by subsidiary | 774 | 115 | 5 | 654 | |||
Purchases of Loews treasury stock | -222 | -222 | |||||
Retirement of treasury stock | -47 | -165 | 212 | ||||
Issuance of Loews common stock | 13 | 13 | |||||
Stock-based compensation | 23 | 20 | 3 | ||||
Other | 2 | -2 | 4 | ||||
Ending Balance at Dec. 31, 2012 | 24,676 | 4 | 3,595 | 15,192 | 678 | -10 | 5,217 |
Net income | 1,069 | 595 | 474 | ||||
Other comprehensive income (loss) | -378 | -341 | -37 | ||||
Dividends paid | -597 | -97 | -500 | ||||
Issuance of equity securities by subsidiary | 337 | 51 | 2 | 284 | |||
Purchases of Loews treasury stock | -218 | -218 | |||||
Retirement of treasury stock | -48 | -180 | 228 | ||||
Issuance of Loews common stock | 5 | 5 | |||||
Stock-based compensation | 18 | 3 | 15 | ||||
Other | -6 | 1 | -2 | -5 | |||
Ending Balance at Dec. 31, 2013 | 24,906 | 4 | 3,607 | 15,508 | 339 | 5,448 | |
Net income | 962 | 591 | 371 | ||||
Other comprehensive income (loss) | -69 | -59 | -10 | ||||
Dividends paid | -433 | -95 | -338 | ||||
Purchases of subsidiary stock from noncontrolling interests | -144 | -9 | -135 | ||||
Purchases of Loews treasury stock | -622 | -622 | |||||
Retirement of treasury stock | -136 | -486 | 622 | ||||
Issuance of Loews common stock | 6 | 6 | |||||
Stock-based compensation | 26 | 13 | 13 | ||||
Other | 18 | -3 | 21 | ||||
Ending Balance at Dec. 31, 2014 | $24,650 | $4 | $3,481 | $15,515 | $280 | $5,370 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Operating Activities: | |||
Net income | $962 | $1,069 | $1,110 |
Adjustments to reconcile net income to net cash provided (used) by operating activities: | |||
Loss on sale of subsidiaries | 451 | ||
Investment gains | -47 | -26 | -57 |
Undistributed (earnings) losses | 64 | -380 | -103 |
Amortization of investments | 3 | -24 | -50 |
Depreciation, depletion and amortization | 899 | 871 | 905 |
Impairment of goodwill | 636 | ||
Asset impairments | 228 | 325 | 742 |
Provision for deferred income taxes | 11 | 6 | -22 |
Other non-cash items | 134 | 49 | -7 |
Changes in operating assets and liabilities, net: | |||
Receivables | 738 | 87 | 327 |
Deferred acquisition costs | 44 | 2 | -16 |
Insurance reserves | -363 | -68 | 430 |
Other assets | -128 | -20 | 74 |
Other liabilities | 123 | 470 | -73 |
Trading securities | -129 | -901 | -406 |
Net cash flow operating activities | 2,990 | 2,096 | 2,854 |
Investing Activities: | |||
Purchases of fixed maturities | -9,381 | -11,197 | -10,299 |
Proceeds from sales of fixed maturities | 4,914 | 6,869 | 6,123 |
Proceeds from maturities of fixed maturities | 3,983 | 3,271 | 3,699 |
Purchases of equity securities | -67 | -77 | -54 |
Proceeds from sales of equity securities | 31 | 103 | 86 |
Purchases of limited partnership investments | -271 | -323 | -372 |
Proceeds from sales of limited partnership investments | 167 | 204 | 227 |
Purchases of property, plant and equipment | -2,753 | -1,737 | -1,405 |
Acquisitions | -448 | -235 | -987 |
Dispositions | 1,031 | 182 | 221 |
Change in short term investments | 1,396 | -101 | -192 |
Other, net | -72 | -257 | -142 |
Net cash flow investing activities | -1,470 | -3,298 | -3,095 |
Financing Activities: | |||
Dividends paid | -95 | -97 | -99 |
Dividends paid to noncontrolling interests | -338 | -500 | -450 |
Purchases of subsidiary stock from noncontrolling interests | -149 | ||
Purchases of Loews treasury stock | -622 | -228 | -212 |
Issuance of Loews common stock | 6 | 5 | 13 |
Proceeds from sale of subsidiary stock | 5 | 370 | 849 |
Principal payments on debt | -2,269 | -1,494 | -2,910 |
Issuance of debt | 2,004 | 3,255 | 3,152 |
Other, net | 16 | -40 | -7 |
Net cash flow financing activities | -1,442 | 1,271 | 336 |
Effect of foreign exchange rate on cash | -8 | -3 | 4 |
Net change in cash | 70 | 66 | 99 |
Cash, beginning of year | 294 | 228 | 129 |
Cash, end of year | $364 | $294 | $228 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Accounting Policies [Abstract] | |||||||||||||
Summary of Significant Accounting Policies | Note 1. Summary of Significant Accounting Policies | ||||||||||||
Basis of presentation – Loews Corporation is a holding company. Its subsidiaries are engaged in the following lines of business: commercial property and casualty insurance (CNA Financial Corporation (“CNA”), a 90% owned subsidiary); the operation of offshore oil and gas drilling rigs (Diamond Offshore Drilling, Inc. (“Diamond Offshore”), a 52.5% owned subsidiary); transportation and storage of natural gas and natural gas liquids and gathering and processing of natural gas (Boardwalk Pipeline Partners, LP (“Boardwalk Pipeline”), a 53% owned subsidiary); and the operation of a chain of hotels (Loews Hotels Holding Corporation (“Loews Hotels”), a wholly owned subsidiary). Unless the context otherwise requires, the terms “Company,” “Loews” and “Registrant” as used herein mean Loews Corporation excluding its subsidiaries and the term “Net income (loss) attributable to Loews Corporation” as used herein means Net income (loss) attributable to Loews Corporation shareholders. | |||||||||||||
Loews segments are CNA Financial, including Specialty, Commercial, International and Other Non-Core; Diamond Offshore; Boardwalk Pipeline; Loews Hotels; and Corporate and other. See Note 21 for additional information on segments. | |||||||||||||
Principles of consolidation – The Consolidated Financial Statements include all subsidiaries and intercompany accounts and transactions have been eliminated. The equity method of accounting is used for investments in associated companies in which the Company generally has an interest of 20% to 50%. | |||||||||||||
Accounting estimates – The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and the related notes. Actual results could differ from those estimates. | |||||||||||||
Investments – The Company classifies its fixed maturity securities and equity securities as either available-for-sale or trading, and as such, they are carried at fair value. Short term investments are carried at fair value. Changes in fair value of trading securities are reported within Net investment income on the Consolidated Statements of Income. Changes in fair value related to available-for-sale securities are reported as a component of Other comprehensive income. The cost of fixed maturity securities classified as available-for-sale is adjusted for amortization of premiums and accretion of discounts to maturity, which are included in Net investment income on the Consolidated Statements of Income. Losses may be recognized within the Consolidated Statements of Income when a decline in value is determined by the Company to be other-than-temporary. | |||||||||||||
To the extent that unrealized gains on fixed income securities supporting long term care products and payout annuity contracts would result in a premium deficiency if those gains were realized, a related decrease in Deferred acquisition costs and/or increase in Insurance reserves are recorded, net of tax and noncontrolling interests, as a reduction of net unrealized gains through Other comprehensive income (“Shadow Adjustments”). Shadow Adjustments increased $679 million (after tax and noncontrolling interests) and decreased $880 million (after tax and noncontrolling interests) for the years ended December 31, 2014 and 2013. At December 31, 2014 and 2013, net unrealized gains on investments included in Accumulated other comprehensive income (“AOCI”) were correspondingly reduced by $1.2 billion and $478 million (after tax and noncontrolling interests). | |||||||||||||
For asset-backed securities included in fixed maturity securities, the Company recognizes income using an effective yield based on anticipated prepayments and the estimated economic life of the securities. When estimates of prepayments change, the effective yield is recalculated to reflect actual payments to date and anticipated future payments. The amortized cost of high credit quality fixed rate securities is adjusted to the amount that would have existed had the new effective yield been applied since the acquisition of the securities. Such adjustments are reflected in Net investment income on the Consolidated Statements of Income. Interest income on lower rated and variable rate securities is determined using the prospective yield method. | |||||||||||||
The Company’s carrying value of investments in limited partnerships is its share of the net asset value of each partnership, as determined by the General Partner. Certain partnerships for which results are not available on a timely basis are reported on a lag, primarily three months or less. These investments are accounted for under the equity method and changes in net asset values are recorded within Net investment income on the Consolidated Statements of Income. | |||||||||||||
Investments in derivative securities are carried at fair value with changes in fair value reported as a component of Investment gains (losses), Income (loss) from trading portfolio, or Other comprehensive income (loss), depending on their hedge designation. A derivative is typically defined as an instrument whose value is “derived” from an underlying instrument, index or rate, has a notional amount, requires little or no initial investment and can be net settled. Derivatives include, but are not limited to, the following types of investments: interest rate swaps, interest rate caps and floors, put and call options, warrants, futures, forwards, commitments to purchase securities, credit default swaps and combinations of the foregoing. Derivatives embedded within non-derivative instruments (such as call options embedded in convertible bonds) must be split from the host instrument when the embedded derivative is not clearly and closely related to the host instrument. | |||||||||||||
A security is impaired if the fair value of the security is less than its cost adjusted for accretion, amortization and previously recorded other-than-temporary impairment (“OTTI”) losses, otherwise defined as an unrealized loss. When a security is impaired, the impairment is evaluated to determine whether it is temporary or other-than-temporary. | |||||||||||||
Significant judgment is required in the determination of whether an OTTI loss has occurred for a security. CNA follows a consistent and systematic process for determining and recording an OTTI loss. CNA has established a committee responsible for the OTTI process. This committee, referred to as the Impairment Committee, is made up of three officers appointed by CNA’s Chief Financial Officer. The Impairment Committee is responsible for evaluating all securities in an unrealized loss position on at least a quarterly basis. | |||||||||||||
The Impairment Committee’s assessment of whether an OTTI loss has occurred incorporates both quantitative and qualitative information. Fixed maturity securities that CNA intends to sell, or it more likely than not will be required to sell before recovery of amortized cost, are considered to be other-than-temporarily impaired and the entire difference between the amortized cost basis and fair value of the security is recognized as an OTTI loss in earnings. The remaining fixed maturity securities in an unrealized loss position are evaluated to determine if a credit loss exists. The factors considered by the Impairment Committee include: (i) the financial condition and near term prospects of the issuer, (ii) whether the debtor is current on interest and principal payments, (iii) credit ratings of the securities and (iv) general market conditions and industry or sector specific outlook. CNA also considers results and analysis of cash flow modeling for asset-backed securities, and when appropriate, other fixed maturity securities. | |||||||||||||
The focus of the analysis for asset-backed securities is on assessing the sufficiency and quality of underlying collateral and timing of cash flows based on scenario tests. If the present value of the modeled expected cash flows equals or exceeds the amortized cost of a security, no credit loss is judged to exist and the asset-backed security is deemed to be temporarily impaired. If the present value of the expected cash flows is less than amortized cost, the security is judged to be other-than-temporarily impaired for credit reasons and that shortfall, referred to as the credit component, is recognized as an OTTI loss in earnings. The difference between the adjusted amortized cost basis and fair value, referred to as the non-credit component, is recognized as OTTI in Other comprehensive income. In subsequent reporting periods, a change in intent to sell or further credit impairment on a security whose fair value has not deteriorated will cause the non-credit component originally recorded as OTTI in Other comprehensive income to be recognized as an OTTI loss in earnings. | |||||||||||||
CNA performs the discounted cash flow analysis using stressed scenarios to determine future expectations regarding recoverability. Significant assumptions enter into these cash flow projections including delinquency rates, probable risk of default, loss severity upon a default, over collateralization and interest coverage triggers and credit support from lower level tranches. | |||||||||||||
CNA applies the same impairment model as described above for the majority of non-redeemable preferred stock securities on the basis that these securities possess characteristics similar to debt securities and that the issuers maintain their ability to pay dividends. For all other equity securities, in determining whether the security is other-than-temporarily impaired, the Impairment Committee considers a number of factors including, but not limited to: (i) the length of time and the extent to which the fair value has been less than amortized cost, (ii) the financial condition and near term prospects of the issuer, (iii) the intent and ability of CNA to retain its investment for a period of time sufficient to allow for an anticipated recovery in value and (iv) general market conditions and industry or sector specific outlook. | |||||||||||||
Joint venture investments – The Company has 20% to 50% interests in operating joint ventures related to hotel properties and had joint venture interests in the Bluegrass Project, as discussed in Note 2, that are accounted for under the equity method. The Company’s investment in these entities was $158 million and $242 million for the years ended December 31, 2014 and 2013 and reported in Other assets on the Company’s Consolidated Balance Sheets. Equity income (loss) for these investments was $(62) million, $12 million and $24 million for the years ended December 31, 2014, 2013 and 2012 and reported in Other operating expenses on the Company’s Consolidated Statements of Income. Some of these investments are variable interest entities (“VIE”) as defined in the accounting guidance because the entities will require additional funding from each equity owner throughout the development and construction phase and are accounted for under the equity method since the Company is not the primary beneficiary. The maximum exposure to loss for the VIE investments is $252 million, consisting of the amount of the investment and debt guarantees. | |||||||||||||
The following tables present summarized financial information for these joint ventures: | |||||||||||||
Year Ended December 31 | 2014 | 2013 | |||||||||||
(In millions) | |||||||||||||
Total assets | $ | 1,231 | $ | 1,336 | |||||||||
Total liabilities | 1,025 | 954 | |||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||
Revenues | $ | 491 | $ | 349 | $ | 294 | |||||||
Net income | 32 | 7 | 32 | ||||||||||
Hedging – The Company formally documents all relationships between hedging instruments and hedged items, as well as its risk-management objective and strategy for undertaking various hedging transactions. The Company also formally assesses (both at the hedge’s inception and on an ongoing basis) whether the derivatives that are used in hedging transactions have been highly effective in offsetting changes in fair value or cash flows of hedged items and whether those derivatives may be expected to remain highly effective in future periods. When it is determined that a derivative for which hedge accounting has been designated is not (or ceases to be) highly effective, the Company discontinues hedge accounting prospectively. See Note 5 for additional information on the Company’s use of derivatives. | |||||||||||||
Securities lending activities – The Company lends securities for the purpose of enhancing income or to finance positions to unrelated parties who have been designated as primary dealers by the Federal Reserve Bank of New York. Borrowers of these securities must deposit and maintain collateral with the Company of no less than 100% of the fair value of the securities loaned. U.S. Government securities and cash are accepted as collateral. The Company maintains effective control over loaned securities and, therefore, continues to report such securities as investments on the Consolidated Balance Sheets. | |||||||||||||
Securities lending is typically done on a matched-book basis where the collateral is invested to substantially match the term of the loan. This matching of terms tends to limit risk. In accordance with the Company’s lending agreements, securities on loan are returned immediately to the Company upon notice. Collateral is not reflected as an asset of the Company. There was no collateral held at December 31, 2014 and 2013. | |||||||||||||
Revenue recognition – Premiums on property and casualty insurance contracts are recognized in proportion to the underlying risk insured which principally are earned ratably over the duration of the policies. Premiums on long term care contracts are earned ratably over the policy year in which they are due. The reserve for unearned premiums represents the portion of premiums written relating to the unexpired terms of coverage. | |||||||||||||
Insurance receivables include balances due currently or in the future, including amounts due from insureds related to losses under high deductible policies, and are presented at unpaid balances, net of an allowance for doubtful accounts. Amounts are considered past due based on policy payment terms. That allowance is determined based on periodic evaluations of aged receivables, management’s experience and current economic conditions. Insurance receivables and any related allowance are written off after collection efforts are exhausted or a negotiated settlement is reached. | |||||||||||||
Property and casualty contracts that are retrospectively rated contain provisions that result in an adjustment to the initial policy premium depending on the contract provisions and loss experience of the insured during the experience period. For such contracts, CNA estimates the amount of ultimate premiums that it may earn upon completion of the experience period and recognizes either an asset or a liability for the difference between the initial policy premium and the estimated ultimate premium. CNA adjusts such estimated ultimate premium amounts during the course of the experience period based on actual results to date. The resulting adjustment is recorded as either a reduction of or an increase to the earned premiums for the period. | |||||||||||||
Contract drilling revenue from dayrate drilling contracts is recognized as services are performed. In connection with such drilling contracts, Diamond Offshore may receive fees (either lump-sum or dayrate) for the mobilization of equipment. These fees are earned as services are performed over the initial term of the related drilling contracts. Absent a contract, mobilization costs are recognized currently. From time to time, Diamond Offshore may receive fees from its customers for capital improvements to their rigs. Diamond Offshore defers such fees received and recognizes these fees into revenue on a straight-line basis over the period of the related drilling contract. Diamond Offshore capitalizes the costs of such capital improvements and depreciates them over the estimated useful life of the improvement. | |||||||||||||
Revenues from transportation and storage services are recognized in the period the service is provided based on contractual terms and the related transported and stored volumes. The majority of Boardwalk Pipeline’s operating subsidiaries are subject to Federal Energy Regulatory Commission (“FERC”) regulations and, accordingly, certain revenues collected may be subject to possible refunds to its customers. An estimated refund liability is recorded considering regulatory proceedings, advice of counsel and estimated total exposure. | |||||||||||||
Claim and claim adjustment expense reserves – Claim and claim adjustment expense reserves, except reserves for structured settlements not associated with asbestos and environmental pollution (“A&EP”), workers’ compensation lifetime claims and accident and health claims are not discounted and are based on (i) case basis estimates for losses reported on direct business, adjusted in the aggregate for ultimate loss expectations; (ii) estimates of incurred but not reported losses; (iii) estimates of losses on assumed reinsurance; (iv) estimates of future expenses to be incurred in the settlement of claims; (v) estimates of salvage and subrogation recoveries and (vi) estimates of amounts due from insureds related to losses under high deductible policies. Management considers current conditions and trends as well as past CNA and industry experience in establishing these estimates. The effects of inflation, which can be significant, are implicitly considered in the reserving process and are part of the recorded reserve balance. Ceded claim and claim adjustment expense reserves are reported as a component of Receivables on the Consolidated Balance Sheets. | |||||||||||||
Claim and claim adjustment expense reserves are presented net of anticipated amounts due from insureds related to losses under deductible policies of $1.4 billion and $1.3 billion as of December 31, 2014 and 2013. A significant portion of these amounts are supported by collateral. CNA also has an allowance for uncollectible deductible amounts, which is presented as a component of the allowance for doubtful accounts included in Receivables on the Consolidated Balance Sheets. | |||||||||||||
Structured settlements have been negotiated for certain property and casualty insurance claims. Structured settlements are agreements to provide fixed periodic payments to claimants. CNA’s obligations for structured settlements not funded by annuities are included in claim and claim adjustment expense reserves and carried at present values determined using interest rates ranging from 5.5% to 8.0% at December 31, 2014 and 7.1% to 9.7% at December 31, 2013. At December 31, 2014 and 2013, the discounted reserves for unfunded structured settlements were $582 million and $580 million, net of discount of $924 million and $969 million. | |||||||||||||
Workers’ compensation lifetime claim reserves are calculated using mortality assumptions determined through statutory regulation and economic factors. Accident and health claim reserves are calculated using mortality and morbidity assumptions based on CNA and industry experience. Workers’ compensation lifetime claim reserves and accident and health claim reserves are discounted at interest rates ranging from 3.5% to 6.8% at December 31, 2014 and 3.0% to 6.8% at December 31, 2013. At December 31, 2014 and 2013, such discounted reserves totaled $2.5 billion and $2.4 billion, net of discount of $654 million and $617 million. | |||||||||||||
Future policy benefits reserves – Reserves for long term care policies and payout annuity contracts are computed using the net level premium method, which incorporates actuarial assumptions as to morbidity, persistency, discount rate and expenses. Expense assumptions primarily relate to claim adjudication. Actuarial assumptions generally vary by plan, age at issue and policy duration. The initial assumptions are determined at issuance, include a margin for adverse deviation and are locked in throughout the life of the contract unless a premium deficiency develops. If a premium deficiency emerges, the assumptions are unlocked and deferred acquisition costs, if any, and the future policy benefit reserves are adjusted. Interest rates for long term care products range from 4.5% to 7.9% at December 31, 2014 and 2013. Interest rates for payout annuity contracts ranged from 5.0% to 8.7% at December 31, 2013. | |||||||||||||
Policyholders’ funds reserves – Policyholders’ funds reserves on the Consolidated Balance Sheet as of December 31, 2013 primarily included reserves for investment contracts without life contingencies. For these contracts, policyholder liabilities are generally equal to the accumulated policy account values, which consist of an accumulation of deposit payments plus credited interest, less withdrawals and amounts assessed through the end of the period. | |||||||||||||
Guaranty fund and other insurance-related assessments – Liabilities for guaranty fund and other insurance-related assessments are accrued when an assessment is probable, when it can be reasonably estimated and when the event obligating the entity to pay an imposed or probable assessment has occurred. Liabilities for guaranty funds and other insurance-related assessments are not discounted and are included as part of Other liabilities on the Consolidated Balance Sheets. As of December 31, 2014 and 2013, the liability balances were $131 million and $143 million. | |||||||||||||
Reinsurance – Reinsurance accounting allows for contractual cash flows to be reflected as premiums and losses. To qualify for reinsurance accounting, reinsurance agreements must include risk transfer. To meet risk transfer requirements, a reinsurance contract must include both insurance risk, consisting of underwriting and timing risk, and a reasonable possibility of a significant loss for the assuming entity. | |||||||||||||
Reinsurance receivables related to paid losses are presented at unpaid balances. Reinsurance receivables related to unpaid losses are estimated in a manner consistent with claim and claim adjustment expense reserves or future policy benefits reserves. Reinsurance receivables are reported net of an allowance for doubtful accounts on the Consolidated Balance Sheets. The cost of reinsurance is primarily accounted for over the life of the underlying reinsured policies using assumptions consistent with those used to account for the underlying policies or over the reinsurance contract period. The ceding of insurance does not discharge the primary liability of CNA. | |||||||||||||
CNA has established an allowance for doubtful accounts on reinsurance receivables which relates to both amounts already billed on ceded paid losses as well as ceded reserves that will be billed when losses are paid in the future. The allowance for doubtful accounts on reinsurance receivables is estimated on the basis of periodic evaluations of balances due from reinsurers, reinsurer solvency, management’s experience and current economic conditions. Reinsurer financial strength ratings are updated and reviewed on an annual basis or sooner if CNA becomes aware of significant changes related to a reinsurer. Because billed receivables generally approximate 5% or less of total reinsurance receivables, the age of the reinsurance receivables related to paid losses is not a significant input into the allowance analysis. Changes in the allowance for doubtful accounts on reinsurance receivables are presented as a component of Insurance claims and policyholders’ benefits on the Consolidated Statements of Income. | |||||||||||||
Amounts are considered past due based on the reinsurance contract terms. Reinsurance receivables related to paid losses and any related allowance are written off after collection efforts have been exhausted or a negotiated settlement is reached with the reinsurer. Reinsurance receivables related to paid losses from insolvent insurers are written off when the settlement due from the estate can be reasonably estimated. At the time reinsurance receivables related to paid losses are written off, any required adjustment to reinsurance receivables related to unpaid losses is recorded as a component of Insurance claims and policyholders’ benefits on the Consolidated Statements of Income. | |||||||||||||
Reinsurance contracts that do not effectively transfer the economic risk of loss on the underlying policies are recorded using the deposit method of accounting, which requires that premium paid or received by the ceding company or assuming company be accounted for as a deposit asset or liability. CNA had $3 million recorded as deposit assets at December 31, 2014 and 2013, and $9 million and $130 million recorded as deposit liabilities at December 31, 2014 and 2013. Income on reinsurance contracts accounted for under the deposit method is recognized using an effective yield based on the anticipated timing of payments and the remaining life of the contract. When the anticipated timing of payments changes, the effective yield is recalculated to reflect actual payments to date and the estimated timing of future payments. The deposit asset or liability is adjusted to the amount that would have existed had the new effective yield been applied since the inception of the contract. | |||||||||||||
A loss portfolio transfer is a retroactive reinsurance contract. If the cumulative claim and allocated claim adjustment expenses ceded under a loss portfolio transfer exceed the consideration paid, the resulting gain from such excess is deferred and amortized into earnings in future periods in proportion to actual recoveries under the loss portfolio transfer. In the period in which an excess arises, a portion of the deferred gain is cumulatively recognized in earnings as if the revised estimate was available at the inception date of the loss portfolio transfer. | |||||||||||||
Deferred acquisition costs – Acquisition costs include commissions, premium taxes and certain underwriting and policy issuance costs which are incremental direct costs of successful contract acquisitions. Deferred acquisition costs related to long term care contracts issued prior to January 1, 2004 include costs which vary with and are primarily related to the acquisition of business. | |||||||||||||
Acquisition costs related to property and casualty business are deferred and amortized ratably over the period the related premiums are earned. | |||||||||||||
Deferred acquisition costs related to long term care contracts are amortized over the premium-paying period of the related policies using assumptions consistent with those used for computing future policy benefit reserves for such contracts. Assumptions are made at the date of policy issuance or acquisition and are consistently applied during the lives of the contracts. Deviations from estimated experience are included in results of operations when they occur. For these contracts, the amortization period is typically the estimated life of the policy. At December 31, 2014 and 2013, deferred acquisition costs were presented net of Shadow Adjustments of $314 million and $342 million. | |||||||||||||
CNA evaluates deferred acquisition costs for recoverability. Anticipated investment income is considered in the determination of the recoverability of deferred acquisition costs. Adjustments, if necessary, are recorded in current period results of operations. | |||||||||||||
Deferred acquisition costs are presented net of ceding commissions and other ceded acquisition costs. Unamortized deferred acquisition costs relating to contracts that have been substantially changed by a modification in benefits, features, rights or coverages that were not anticipated in the original contract are not deferred and are included as a charge to operations in the period during which the contract modification occurred. | |||||||||||||
Investments in life settlement contracts and related revenue recognition – Prior to 2002, CNA purchased investments in life settlement contracts. A life settlement contract is a contract between the owner of a life insurance policy (the policy owner) and a third party investor (investor). Under a life settlement contract, CNA obtained the ownership and beneficiary rights of an underlying life insurance policy. | |||||||||||||
CNA accounts for its investments in life settlement contracts using the fair value method. Under the fair value method, each life settlement contract is carried at its fair value at the end of each reporting period. The change in fair value, life insurance proceeds received and periodic maintenance costs, such as premiums, necessary to keep the underlying policy in force, are recorded in Other revenues on the Consolidated Statements of Income. | |||||||||||||
The fair value of CNA’s investments in life settlement contracts were $82 million and $88 million at December 31, 2014 and 2013, and are included in Other assets on the Consolidated Balance Sheets. The cash receipts and payments related to life settlement contracts are included in Cash flows from operating activities on the Consolidated Statements of Cash Flows. | |||||||||||||
The following table details the values for life settlement contracts. The determination of fair value is discussed in Note 4. | |||||||||||||
Number of Life | Fair Value of Life | Face Amount of | |||||||||||
Settlement | Settlement | Life Insurance | |||||||||||
Contracts | Contracts | Policies | |||||||||||
(Dollar amounts in millions) | |||||||||||||
Estimated maturity during: | |||||||||||||
2015 | 60 | $ | 11 | $ | 37 | ||||||||
2016 | 60 | 10 | 33 | ||||||||||
2017 | 50 | 9 | 30 | ||||||||||
2018 | 50 | 7 | 26 | ||||||||||
2019 | 50 | 6 | 26 | ||||||||||
Thereafter | 318 | 39 | 187 | ||||||||||
Total | 588 | $ | 82 | $ | 339 | ||||||||
CNA uses an actuarial model to estimate the aggregate face amount of life insurance that is expected to mature in each future year and the corresponding fair value. This model projects the likelihood of the insured’s death for each inforce policy based upon CNA’s estimated mortality rates, which may vary due to the relatively small size of the portfolio of life settlement contracts. The number of life settlement contracts presented in the table above is based upon the average face amount of inforce policies estimated to mature in each future year. | |||||||||||||
The increase (decrease) in fair value recognized for the years ended December 31, 2014, 2013 and 2012 on contracts still held was $8 million, $(2) million and $11 million. The gains recognized during the years ended December 31, 2014, 2013 and 2012 on contracts that settled were $25 million, $15 million and $42 million. | |||||||||||||
Separate account business – Separate account assets and liabilities on the Consolidated Balance Sheet as of December 31, 2013 represented contract holder funds related to investment and annuity products for which the policyholder assumes substantially all the risk and reward. The assets were segregated into accounts with specific underlying investment objectives and are legally segregated from CNA. All assets of the separate account business were carried at fair value with an equal amount recorded for separate account liabilities. | |||||||||||||
Goodwill – Goodwill represents the excess of purchase price over fair value of net assets of acquired entities. Goodwill is tested for impairment annually or when certain triggering events require additional tests. Subsequent reversal of a goodwill impairment charge is not permitted. See Note 8 for additional information on goodwill. | |||||||||||||
Property, plant and equipment – Property, plant and equipment is carried at cost less accumulated depreciation, depletion and amortization (“DD&A”). Depreciation is computed principally by the straight-line method over the estimated useful lives of the various classes of properties. Leaseholds and leasehold improvements are depreciated or amortized over the terms of the related leases (including optional renewal periods where appropriate) or the estimated lives of improvements, if less than the lease term. | |||||||||||||
The principal service lives used in computing provisions for depreciation are as follows: | |||||||||||||
Years | |||||||||||||
Pipeline equipment | 30 to 50 | ||||||||||||
Offshore drilling equipment | 15 to 30 | ||||||||||||
Other | 3 to 40 | ||||||||||||
Impairment of long-lived assets – The Company reviews its long-lived assets for impairment when changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Long-lived assets and intangibles with finite lives, under certain circumstances, are reported at the lower of carrying amount or fair value. Assets to be disposed of and assets not expected to provide any future service potential to the Company are recorded at the lower of carrying amount or fair value less cost to sell. | |||||||||||||
Income taxes – The Company and its eligible subsidiaries file a consolidated tax return. Deferred income taxes are recognized for temporary differences between the financial statement and tax return bases of assets and liabilities, based on enacted tax rates and other provisions of the tax law. The effect of a change in tax laws or rates on deferred tax assets and liabilities is recognized in income in the period in which such change is enacted. Future tax benefits are recognized to the extent that realization of such benefits is more likely than not, and a valuation allowance is established for any portion of a deferred tax asset that management believes may not be realized. | |||||||||||||
The Company recognizes uncertain tax positions that it has taken or expects to take on a tax return. The tax benefit of a qualifying position is the largest amount of tax benefit that is greater than 50% likely of being realized upon ultimate settlement with a taxing authority having full knowledge of all relevant information. See Note 11 for additional information on the provision for income taxes. | |||||||||||||
Pension and postretirement benefits – The Company recognizes the overfunded or underfunded status of its defined benefit plans in Other assets or Other liabilities in the Consolidated Balance Sheets. Changes in funded status related to prior service costs and credits and actuarial gains and losses are recognized in the year in which the changes occur through Accumulated other comprehensive income (loss). The Company measures its benefit plan assets and obligations at December 31. Annual service cost, interest cost, expected return on plan assets, amortization of prior service costs and credits and amortization of actuarial gains and losses are recognized in the Consolidated Statements of Income. | |||||||||||||
Stock based compensation – The Company records compensation expense upon issuance of share-based payment awards for all awards it grants, modifies or cancels primarily on a straight-line basis over the requisite service period, generally three to four years. The share-based payment awards are valued using the Black-Scholes option pricing model. The application of this valuation model involves assumptions that are judgmental and highly sensitive in the valuation of these awards. These assumptions include the term that the awards are expected to be outstanding, an estimate of the volatility of the underlying stock price, applicable risk-free interest rates and the dividend yield of the Company’s stock. | |||||||||||||
The Company recognized compensation expense that decreased net income by $12 million, $11 million and $13 million for the years ended December 31, 2014, 2013 and 2012. Several of the Company’s subsidiaries also maintain their own stock option plans. The amounts reported above include the Company’s share of expense related to its subsidiaries’ plans. | |||||||||||||
Net income per share – Companies with complex capital structures are required to present basic and diluted net income per share. Basic net income per share excludes dilution and is computed by dividing net income attributable to common stock by the weighted average number of common shares outstanding for the period. Diluted net income per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock. | |||||||||||||
For each of the years ended December 31, 2014, 2013 and 2012, approximately 0.6 million, 0.9 million and 0.8 million potential shares attributable to exercises under the Loews Corporation Stock Option Plan were included in the calculation of diluted net income per share. For those same periods, approximately 2.3 million, 1.5 million and 2.6 million Stock Appreciation Rights (“SARs”) were not included in the calculation of diluted net income per share due to the exercise price being greater than the average stock price. | |||||||||||||
Foreign currency – Foreign currency translation gains and losses are reflected in Shareholders’ equity as a component of Accumulated other comprehensive income (loss). The Company’s foreign subsidiaries’ balance sheet accounts are translated at the exchange rates in effect at each reporting date and income statement accounts are translated at the average exchange rates. Foreign currency transaction losses of $22 million and $3 million and gains of $10 million for the years ended December 31, 2014, 2013 and 2012 were included in the Consolidated Statements of Income. | |||||||||||||
Regulatory accounting – The majority of Boardwalk Pipeline’s operating subsidiaries are regulated by FERC. GAAP for regulated entities requires Texas Gas Transmission, LLC (“Texas Gas”), a wholly owned subsidiary of Boardwalk Pipeline, to report certain assets and liabilities consistent with the economic effect of the manner in which independent third party regulators establish rates. Accordingly, certain costs and benefits are capitalized as regulatory assets and liabilities in order to provide for recovery from or refund to customers in future periods. Regulatory accounting is not applicable to Boardwalk Pipeline’s other FERC regulated entities. | |||||||||||||
Supplementary cash flow information – Cash payments made for interest on long term debt, net of capitalized interest, amounted to $501 million, $415 million and $450 million for the years ended December 31, 2014, 2013 and 2012. Cash payments for federal, foreign, state and local income taxes amounted to $189 million, $183 million and $120 million for the years ended December 31, 2014, 2013 and 2012. Investing activities include $14 million of previously accrued capital expenditures for the year ended December 31, 2014 and exclude $43 million and $35 million of accrued capital expenditures for the years ended December 31, 2013 and 2012. | |||||||||||||
Updated accounting guidance not yet adopted – In April of 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-08, “Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity.” Under the new accounting guidance, only disposals representing a strategic shift in operations should be presented as discontinued operations. The update also requires new disclosures for discontinued operations and disposals that do not meet the definition of a discontinued operation. The new accounting guidance is to be applied prospectively for fiscal years, and interim periods within those years, beginning after December 15, 2014, and will not have a material impact on the Company’s consolidated financial statements. | |||||||||||||
In May of 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606).” The core principle of the new accounting guidance is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. The new accounting guidance provides a five-step analysis of transactions to determine when and how revenue is recognized and requires enhanced disclosures about revenue. This update is effective for annual reporting periods beginning after December 15, 2016, including interim periods, and can be adopted either retrospectively or as a cumulative effect adjustment at the date of adoption. The Company is currently evaluating the effect that adopting this new accounting guidance will have on its consolidated financial statements. |
Acquisitions_and_Divestitures
Acquisitions and Divestitures | 12 Months Ended |
Dec. 31, 2014 | |
Business Combinations [Abstract] | |
Acquisitions and Divestitures | Note 2. Acquisitions and Divestitures |
CNA Financial | |
On August 1, 2014, CNA completed the sale of CAC, its life insurance subsidiary. The business sold, which was previously reported within the Other Non-Core segment, is reported as discontinued operations in the Consolidated Statements of Income for years ended December 31, 2014, 2013 and 2012. | |
In connection with the sale of CAC, CNA entered into a 100% coinsurance agreement on a separate small block of annuity business outside of CAC. The coinsurance agreement required the transfer of assets with a book value equal to the ceded reserves on the inception date of the contract. Because a substantial portion of the assets supporting these liabilities are held in trust for the benefit of the original cedant, those assets were transferred on a funds withheld basis. Under this approach CNA maintains legal ownership of the assets, but the investment income and realized gains and losses on those assets inure to the reinsurer. As a result, the $31 million (after tax and noncontrolling interests) difference between market value and book value of the funds withheld assets at the coinsurance contract’s inception was recognized in Other operating expenses. | |
On July 2, 2012, CNA acquired Hardy Underwriting Bermuda Limited (“Hardy”), a specialized Lloyd’s of London (“Lloyd’s”) underwriter for $231 million. | |
HighMount | |
In May of 2014, the Company announced that HighMount Exploration & Production LLC (“HighMount”), its natural gas and oil exploration and production subsidiary, was pursuing strategic alternatives, including a potential sale of the business. On August 7, 2014, the Company entered into an agreement to sell HighMount to privately held affiliates of EnerVest, Ltd. and on September 30, 2014, HighMount was sold for net proceeds of $787 million. HighMount’s bank debt of $480 million was repaid from proceeds of the sale. A loss of $200 million ($138 million after tax) was recorded in connection with the sale. Results of HighMount are reported as discontinued operations in the Consolidated Statements of Income for the years ended December 31, 2014, 2013 and 2012. As of December 31, 2014, the Company had no remaining natural gas and oil properties. | |
See Note 20 for further discussion of discontinued operations. | |
Boardwalk Pipeline | |
In October of 2014, Boardwalk Pipeline acquired Boardwalk Petrochemical, formerly known as Chevron Petrochemical Pipeline, LLC, which owns the Evangeline ethylene pipeline system for $295 million in cash, subject to customary adjustments. This acquisition was made as part of Boardwalk Pipeline’s long term growth and diversification strategy and to complement existing natural gas liquids (“NGLs”) and ethylene midstream assets. The purchase price was funded through borrowings under Boardwalk Pipeline’s revolving credit facility. Boardwalk Pipeline recorded $20 million of identifiable finite-lived intangible assets and $22 million of goodwill. | |
In 2013, Boardwalk Pipeline executed a series of agreements with the Williams Companies, Inc. (“Williams”) to develop the Bluegrass Project. In 2014, the Company expensed the previously capitalized project costs related to the development process due to cost escalations, construction delays and the lack of customer commitments, resulting in a charge of $94 million ($55 million after tax and noncontrolling interests), inclusive of a $10 million charge recorded by Boardwalk Pipeline Partners, LP. This charge was recorded within Other operating expenses on the Consolidated Statements of Income. In the fourth quarter of 2014, Boardwalk Pipeline and Williams dissolved the Bluegrass project entities. | |
On October 1, 2012, a joint venture between Boardwalk Pipeline and Boardwalk Pipeline Holding Corp. (“BPHC”) acquired Boardwalk Louisiana Midstream LLC, a company that provides salt dome storage, pipeline transportation, fractionation and brine supply services, from PL Logistics LLC for approximately $620 million. The acquisition was funded with proceeds from a $225 million five-year variable rate term loan and equity contributions by BPHC of $269 million for a 65% equity interest and of $148 million by Boardwalk Pipeline for a 35% equity interest. The joint venture recorded $25 million of identifiable finite-lived intangible assets and $52 million of goodwill. On October 15, 2012, Boardwalk Pipeline acquired BPHC’s 65% equity interest in the joint venture for $269 million, which did not result in any significant adjustments to the Consolidated Financial Statements. | |
Loews Hotels | |
In 2014, Loews Hotels acquired three hotels for a total cost of approximately $230 million and has a commitment to purchase an additional hotel in the first quarter of 2015, upon substantial completion, for approximately $170 million, funded with a combination of cash and property-level debt. |
Investments
Investments | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||
Investments | Note 3. Investments | ||||||||||||||||||||||||
Net investment income is as follows: | |||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Fixed maturity securities | $ 1,803 | $ 1,827 | $ 1,846 | ||||||||||||||||||||||
Short term investments | 4 | 5 | 12 | ||||||||||||||||||||||
Limited partnership investments | 304 | 519 | 283 | ||||||||||||||||||||||
Equity securities | 12 | 12 | 12 | ||||||||||||||||||||||
Income from trading portfolio (a) | 64 | 90 | 52 | ||||||||||||||||||||||
Other | 34 | 25 | 24 | ||||||||||||||||||||||
Total investment income | 2,221 | 2,478 | 2,229 | ||||||||||||||||||||||
Investment expenses | -58 | -53 | (52) | ||||||||||||||||||||||
Net investment income | $ 2,163 | $ 2,425 | $ 2,177 | ||||||||||||||||||||||
(a) | Includes net unrealized gains (losses) related to changes in fair value on trading securities still held of $42, $(2) and $6 for the years ended December 31, 2014, 2013 and 2012. | ||||||||||||||||||||||||
As of December 31, 2014 and 2013, the Company held no non-income producing fixed maturity securities. As of December 31, 2014 and 2013, no investments in a single issuer exceeded 10% of shareholders’ equity other than investments in securities issued by the U.S. Treasury and obligations of government-sponsored enterprises. | |||||||||||||||||||||||||
Investment gains (losses) are as follows: | |||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Fixed maturity securities | $ 41 | $ 41 | $ 77 | ||||||||||||||||||||||
Equity securities | 1 | -22 | (23) | ||||||||||||||||||||||
Derivative instruments | -1 | -9 | (5) | ||||||||||||||||||||||
Short term investments and other | 13 | 6 | (1) | ||||||||||||||||||||||
Investment gains (a) | $ 54 | $ 16 | $ 48 | ||||||||||||||||||||||
(a) | Includes gross realized gains of $178, $198 and $241 and gross realized losses of $136, $179 and $187 on available-for-sale securities for the years ended December 31, 2014, 2013 and 2012. | ||||||||||||||||||||||||
Net change in unrealized gains (losses) on available-for-sale investments is as follows: | |||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Fixed maturity securities | $ 1,511 | $ (2,541) | $ 1,871 | ||||||||||||||||||||||
Equity securities | 6 | -15 | 5 | ||||||||||||||||||||||
Other | (1) | ||||||||||||||||||||||||
Total net change in unrealized gains on available-for-sale investments | $ 1,517 | $ (2,556) | $ 1,875 | ||||||||||||||||||||||
The components of OTTI losses recognized in earnings by asset type are as follows: | |||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Fixed maturity securities available-for-sale: | |||||||||||||||||||||||||
Corporate and other bonds | $ 18 | $ 20 | $ 25 | ||||||||||||||||||||||
States, municipalities and political subdivisions | 46 | 34 | |||||||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||
Residential mortgage-backed | 5 | 19 | 48 | ||||||||||||||||||||||
Other asset-backed | 1 | 2 | |||||||||||||||||||||||
Total asset-backed | 6 | 21 | 48 | ||||||||||||||||||||||
U.S. Treasury and obligations of government-sponsored enterprises | 1 | ||||||||||||||||||||||||
Total fixed maturities available-for-sale | 70 | 41 | 108 | ||||||||||||||||||||||
Equity securities available-for-sale: | |||||||||||||||||||||||||
Common stock | 7 | 8 | 6 | ||||||||||||||||||||||
Preferred stock | 26 | 36 | |||||||||||||||||||||||
Total equity securities available-for-sale | 7 | 34 | 42 | ||||||||||||||||||||||
Short term investments | 1 | ||||||||||||||||||||||||
Net OTTI losses recognized in earnings | $ 77 | $ 76 | $ 150 | ||||||||||||||||||||||
The amortized cost and fair values of securities are as follows: | |||||||||||||||||||||||||
December 31, 2014 | Cost or | Gross | Gross | Estimated | Unrealized | ||||||||||||||||||||
Amortized | Unrealized | Unrealized | Fair Value | OTTI Losses | |||||||||||||||||||||
Cost | Gains | Losses | (Gains) | ||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||
Corporate and other bonds | $ 17,226 | $ 1,721 | $ 61 | $ 18,886 | |||||||||||||||||||||
States, municipalities and political subdivisions | 11,285 | 1,463 | 8 | 12,740 | |||||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||
Residential mortgage-backed | 5,028 | 218 | 13 | 5,233 | $ (53) | ||||||||||||||||||||
Commercial mortgage-backed | 2,056 | 93 | 5 | 2,144 | (2) | ||||||||||||||||||||
Other asset-backed | 1,234 | 11 | 10 | 1,235 | |||||||||||||||||||||
Total asset-backed | 8,318 | 322 | 28 | 8,612 | (55) | ||||||||||||||||||||
U.S. Treasury and obligations of government-sponsored enterprises | 26 | 5 | 31 | ||||||||||||||||||||||
Foreign government | 438 | 16 | 454 | ||||||||||||||||||||||
Redeemable preferred stock | 39 | 3 | 42 | ||||||||||||||||||||||
Fixed maturities available-for-sale | 37,332 | 3,530 | 97 | 40,765 | (55) | ||||||||||||||||||||
Fixed maturities, trading | 137 | 17 | 120 | ||||||||||||||||||||||
Total fixed maturities | 37,469 | 3,530 | 114 | 40,885 | (55) | ||||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
Common stock | 38 | 9 | 47 | ||||||||||||||||||||||
Preferred stock | 172 | 5 | 2 | 175 | |||||||||||||||||||||
Equity securities available-for-sale | 210 | 14 | 2 | 222 | - | ||||||||||||||||||||
Equity securities, trading | 523 | 96 | 113 | 506 | |||||||||||||||||||||
Total equity securities | 733 | 110 | 115 | 728 | - | ||||||||||||||||||||
Total | $ 38,202 | $ 3,640 | $ 229 | $ 41,613 | $ (55) | ||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||
Corporate and other bonds | $ 19,352 | $ 1,645 | $ 135 | $ | 20,862 | ||||||||||||||||||||
States, municipalities and political subdivisions | 11,281 | 548 | 272 | 11,557 | |||||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||
Residential mortgage-backed | 4,940 | 123 | 92 | 4,971 | $ (37) | ||||||||||||||||||||
Commercial mortgage-backed | 1,995 | 90 | 22 | 2,063 | (3) | ||||||||||||||||||||
Other asset-backed | 945 | 13 | 3 | 955 | |||||||||||||||||||||
Total asset-backed | 7,880 | 226 | 117 | 7,989 | (40) | ||||||||||||||||||||
U.S. Treasury and obligations of government-sponsored enterprises | 139 | 6 | 1 | 144 | |||||||||||||||||||||
Foreign government | 531 | 15 | 3 | 543 | |||||||||||||||||||||
Redeemable preferred stock | 92 | 10 | 102 | ||||||||||||||||||||||
Fixed maturities available-for-sale | 39,275 | 2,450 | 528 | 41,197 | (40) | ||||||||||||||||||||
Fixed maturities, trading | 151 | 28 | 123 | ||||||||||||||||||||||
Total fixed maturities | 39,426 | 2,450 | 556 | 41,320 | (40) | ||||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
Common stock | 36 | 9 | 45 | ||||||||||||||||||||||
Preferred stock | 143 | 1 | 4 | 140 | |||||||||||||||||||||
Equity securities available-for-sale | 179 | 10 | 4 | 185 | - | ||||||||||||||||||||
Equity securities, trading | 702 | 119 | 135 | 686 | |||||||||||||||||||||
Total equity securities | 881 | 129 | 139 | 871 | - | ||||||||||||||||||||
Total | $ 40,307 | $ 2,579 | $ 695 | $ 42,191 | $ (40) | ||||||||||||||||||||
The available-for-sale securities in a gross unrealized loss position are as follows: | |||||||||||||||||||||||||
Less than | 12 Months | Total | |||||||||||||||||||||||
12 Months | or Longer | ||||||||||||||||||||||||
December 31, 2014 | Estimated | Gross | Estimated | Gross | Estimated | Gross | |||||||||||||||||||
Fair Value | Unrealized | Fair Value | Unrealized | Fair Value | Unrealized | ||||||||||||||||||||
Losses | Losses | Losses | |||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||
Corporate and other bonds | $ 1,330 | $ 46 | $ 277 | $ 15 | $ 1,607 | $ 61 | |||||||||||||||||||
States, municipalities and political subdivisions | 335 | 5 | 127 | 3 | 462 | 8 | |||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||
Residential mortgage-backed | 293 | 5 | 189 | 8 | 482 | 13 | |||||||||||||||||||
Commercial mortgage-backed | 264 | 2 | 99 | 3 | 363 | 5 | |||||||||||||||||||
Other asset-backed | 607 | 10 | 7 | 614 | 10 | ||||||||||||||||||||
Total asset-backed | 1,164 | 17 | 295 | 11 | 1,459 | 28 | |||||||||||||||||||
U.S. Treasury and obligations of government-sponsored enterprises | 3 | 4 | 7 | ||||||||||||||||||||||
Foreign government | 3 | 3 | 6 | ||||||||||||||||||||||
Redeemable preferred stock | 3 | 3 | |||||||||||||||||||||||
Total fixed maturity securities | 2,838 | 68 | 706 | 29 | 3,544 | 97 | |||||||||||||||||||
Preferred stock | 17 | 2 | 1 | 18 | 2 | ||||||||||||||||||||
Total | $ 2,855 | $ 70 | $ 707 | $ 29 | $ 3,562 | $ 99 | |||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||
Corporate and other bonds | $ 3,592 | $ 129 | $ 72 | $ 6 | $ 3,664 | $ 135 | |||||||||||||||||||
States, municipalities and political subdivisions | 3,251 | 197 | 129 | 75 | 3,380 | 272 | |||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||
Residential mortgage-backed | 1,293 | 29 | 343 | 63 | 1,636 | 92 | |||||||||||||||||||
Commercial mortgage-backed | 640 | 22 | 640 | 22 | |||||||||||||||||||||
Other asset-backed | 269 | 3 | 269 | 3 | |||||||||||||||||||||
Total asset-backed | 2,202 | 54 | 343 | 63 | 2,545 | 117 | |||||||||||||||||||
U.S. Treasury and obligations of government-sponsored enterprises | 13 | 1 | 13 | 1 | |||||||||||||||||||||
Foreign government | 111 | 3 | 111 | 3 | |||||||||||||||||||||
Total fixed maturity securities | 9,169 | 384 | 544 | 144 | 9,713 | 528 | |||||||||||||||||||
Preferred stock | 87 | 4 | 87 | 4 | |||||||||||||||||||||
Total | $ 9,256 | $ 388 | $ 544 | $ 144 | $ 9,800 | $ 532 | |||||||||||||||||||
Based on current facts and circumstances, the Company believes the unrealized losses presented in the table above are not indicative of the ultimate collectibility of the current amortized cost of the securities, but rather are primarily attributable to changes in interest rates and credit spreads, market illiquidity and other factors. The Company has no current intent to sell securities with unrealized losses, nor is it more likely than not that it will be required to sell prior to recovery of amortized cost; accordingly, the Company has determined that there are no additional OTTI losses to be recorded at December 31, 2014. | |||||||||||||||||||||||||
The following table summarizes the activity for the years ended December 31, 2014, 2013 and 2012 related to the pretax credit loss component reflected in Retained earnings on fixed maturity securities still held at December 31, 2014, 2013 and 2012 for which a portion of an OTTI loss was recognized in Other comprehensive income. | |||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Beginning balance of credit losses on fixed maturity securities | $ | 74 | $ | 95 | $ | 92 | |||||||||||||||||||
Additional credit losses for securities for which an OTTI loss was previously recognized | 2 | 23 | |||||||||||||||||||||||
Credit losses for securities for which an OTTI loss was not previously recognized | 2 | ||||||||||||||||||||||||
Reductions for securities sold during the period | (9 | ) | (23 | ) | (14) | ||||||||||||||||||||
Reductions for securities the Company intends to sell or more likely than not will be required to sell | (3 | ) | (8) | ||||||||||||||||||||||
Ending balance of credit losses on fixed maturity securities | $ | 62 | $ | 74 | $ | 95 | |||||||||||||||||||
Contractual Maturity | |||||||||||||||||||||||||
The following table summarizes available-for-sale fixed maturity securities by contractual maturity. Actual maturities may differ from contractual maturities because certain securities may be called or prepaid with or without call or prepayment penalties. Securities not due at a single date are allocated based on weighted average life. | |||||||||||||||||||||||||
December 31 | 2014 | 2013 | |||||||||||||||||||||||
Cost or | Estimated | Cost or | Estimated | ||||||||||||||||||||||
Amortized | Fair Value | Amortized | Fair Value | ||||||||||||||||||||||
Cost | Cost | ||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Due in one year or less | $ 2,479 | $ | 2,511 | $ | 2,420 | $ | 2,455 | ||||||||||||||||||
Due after one year through five years | 9,070 | 9,621 | 9,496 | 10,068 | |||||||||||||||||||||
Due after five years through ten years | 12,055 | 12,584 | 11,667 | 11,954 | |||||||||||||||||||||
Due after ten years | 13,728 | 16,049 | 15,692 | 16,720 | |||||||||||||||||||||
Total | $ 37,332 | $ | 40,765 | $ | 39,275 | $ | 41,197 | ||||||||||||||||||
Limited Partnerships | |||||||||||||||||||||||||
The carrying value of limited partnerships as of December 31, 2014 and 2013 was approximately $3.7 billion and $3.4 billion which includes undistributed earnings of $1.3 billion and $1.2 billion. Limited partnerships comprising 72.4% of the total carrying value are reported on a current basis through December 31, 2014 with no reporting lag, 12.6% are reported on a one month lag and the remainder are reported on more than a one month lag. As of December 31, 2014 and 2013, the Company had 92 and 93 active limited partnership investments. The number of limited partnerships held and the strategies employed provide diversification to the limited partnership portfolio and the overall invested asset portfolio. | |||||||||||||||||||||||||
Of the limited partnerships held, 78.6% and 79.2% at December 31, 2014 and 2013 employ hedge fund strategies that generate returns through investing in marketable securities in the public fixed income and equity markets. Limited partnerships representing 18.6% and 17.8% at December 31, 2014 and 2013 were invested in private debt and equity, and the remaining limited partnerships were primarily invested in real estate strategies. Hedge fund strategies include both long and short positions in fixed income, equity and derivative instruments. These hedge fund strategies may seek to generate gains from mispriced or undervalued securities, price differentials between securities, distressed investments, sector rotation or various arbitrage disciplines. Within hedge fund strategies, approximately 57.2% were equity related, 28.3% pursued a multi-strategy approach, 10.7% were focused on distressed investments and 3.8% were fixed income related at December 31, 2014. | |||||||||||||||||||||||||
The ten largest limited partnership positions held totaled $1.8 billion and $1.7 billion as of December 31, 2014 and 2013. Based on the most recent information available regarding the Company’s percentage ownership of the individual limited partnerships, the carrying value reflected on the Consolidated Balance Sheets represents approximately 3.9% of the aggregate partnership equity at December 31, 2014 and 2013, and the related income reflected on the Consolidated Statements of Income represents approximately 4.3%, 3.7% and 3.3% of the changes in total partnership equity for the years ended December 31, 2014, 2013 and 2012. | |||||||||||||||||||||||||
While the Company generally does not invest in highly leveraged partnerships, there are risks which may result in losses due to short-selling, derivatives or other speculative investment practices. The use of leverage increases volatility generated by the underlying investment strategies. | |||||||||||||||||||||||||
The Company’s limited partnership investments contain withdrawal provisions that generally limit liquidity for a period of thirty days up to one year and in some cases do not permit withdrawals until the termination of the partnership. Typically, withdrawals require advance written notice of up to 90 days. | |||||||||||||||||||||||||
Investment Commitments | |||||||||||||||||||||||||
As of December 31, 2014, the Company had committed approximately $327 million to future capital calls from various third party limited partnership investments in exchange for an ownership interest in the related partnerships. | |||||||||||||||||||||||||
The Company invests in various privately placed debt securities, including bank loans, as part of its overall investment strategy and has committed to additional future purchases, sales and funding. As of December 31, 2014, the Company had commitments to purchase or fund additional amounts of $75 million and sell $97 million under the terms of such securities. | |||||||||||||||||||||||||
Investments on Deposit | |||||||||||||||||||||||||
Securities with carrying values of approximately $3.0 billion and $3.3 billion were deposited by CNA’s insurance subsidiaries under requirements of regulatory authorities and others as of December 31, 2014 and 2013. | |||||||||||||||||||||||||
Cash and securities with carrying values of approximately $361 million and $353 million were deposited with financial institutions as collateral for letters of credit as of December 31, 2014 and 2013. In addition, cash and securities were deposited in trusts with financial institutions to secure reinsurance and other obligations with various third parties. The carrying values of these deposits were approximately $302 million and $294 million as of December 31, 2014 and 2013. |
Fair_Value
Fair Value | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||
Fair Value | Note 4. Fair Value | ||||||||||||||||||||||||||||||||||||||||
Fair value is the price that would be received upon sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The following fair value hierarchy is used in selecting inputs, with the highest priority given to Level 1, as these are the most transparent or reliable: | |||||||||||||||||||||||||||||||||||||||||
— | Level 1 – Quoted prices for identical instruments in active markets. | ||||||||||||||||||||||||||||||||||||||||
— | Level 2 – Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs are observable in active markets. | ||||||||||||||||||||||||||||||||||||||||
— | Level 3 – Valuations derived from valuation techniques in which one or more significant inputs are not observable. | ||||||||||||||||||||||||||||||||||||||||
Prices may fall within Level 1, 2 or 3 depending upon the methodologies and inputs used to estimate fair value for each specific security. In general, the Company seeks to price securities using third party pricing services. Securities not priced by pricing services are submitted to independent brokers for valuation and, if those are not available, internally developed pricing models are used to value assets using methodologies and inputs the Company believes market participants would use to value the assets. Prices obtained from third party pricing services or brokers are not adjusted by the Company. | |||||||||||||||||||||||||||||||||||||||||
The Company performs control procedures over information obtained from pricing services and brokers to ensure prices received represent a reasonable estimate of fair value and to confirm representations regarding whether inputs are observable or unobservable. Procedures include (i) the review of pricing service or broker pricing methodologies, (ii) back-testing, where past fair value estimates are compared to actual transactions executed in the market on similar dates, (iii) exception reporting, where changes in price, period-over-period, are reviewed and challenged with the pricing service or broker based on exception criteria, (iv) detailed analysis, where the Company performs an independent analysis of the inputs and assumptions used to price individual securities and (v) pricing validation, where prices received are compared to prices independently estimated by the Company. | |||||||||||||||||||||||||||||||||||||||||
The fair values of CNA’s life settlement contracts are included in Other assets on the Consolidated Balance Sheets. Equity options purchased are included in Equity securities, and all other derivative assets are included in Receivables. Derivative liabilities are included in Payable to brokers. Assets and liabilities measured at fair value on a recurring basis are summarized in the tables below: | |||||||||||||||||||||||||||||||||||||||||
December 31, 2014 | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||||||||||||||||
Corporate and other bonds | $ | 32 | $ | 18,692 | $ | 162 | $ | 18,886 | |||||||||||||||||||||||||||||||||
States, municipalities and political subdivisions | 12,646 | 94 | 12,740 | ||||||||||||||||||||||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed | 5,044 | 189 | 5,233 | ||||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed | 2,061 | 83 | 2,144 | ||||||||||||||||||||||||||||||||||||||
Other asset-backed | 580 | 655 | 1,235 | ||||||||||||||||||||||||||||||||||||||
Total asset-backed | 7,685 | 927 | 8,612 | ||||||||||||||||||||||||||||||||||||||
U.S. Treasury and obligations of government-sponsored enterprises | 28 | 3 | 31 | ||||||||||||||||||||||||||||||||||||||
Foreign government | 41 | 413 | 454 | ||||||||||||||||||||||||||||||||||||||
Redeemable preferred stock | 30 | 12 | 42 | ||||||||||||||||||||||||||||||||||||||
Fixed maturities available-for-sale | 131 | 39,451 | 1,183 | 40,765 | |||||||||||||||||||||||||||||||||||||
Fixed maturities trading | 30 | 90 | 120 | ||||||||||||||||||||||||||||||||||||||
Total fixed maturities | $ | 131 | $ | 39,481 | $ | 1,273 | $ | 40,885 | |||||||||||||||||||||||||||||||||
Equity securities available-for-sale | $ | 145 | $ | 61 | $ | 16 | $ | 222 | |||||||||||||||||||||||||||||||||
Equity securities trading | 505 | 1 | 506 | ||||||||||||||||||||||||||||||||||||||
Total equity securities | $ | 650 | $ | 61 | $ | 17 | $ | 728 | |||||||||||||||||||||||||||||||||
Short term investments | $ | 4,989 | $ | 963 | $ | 5,952 | |||||||||||||||||||||||||||||||||||
Other invested assets | 102 | 41 | 143 | ||||||||||||||||||||||||||||||||||||||
Receivables | 2 | 7 | 9 | ||||||||||||||||||||||||||||||||||||||
Life settlement contracts | $ | 82 | 82 | ||||||||||||||||||||||||||||||||||||||
Payable to brokers | (546 | ) | (6 | ) | (552) | ||||||||||||||||||||||||||||||||||||
December 31, 2013 | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||||||||||||||||
Corporate and other bonds | $ | 33 | $ | 20,625 | $ | 204 | $ | 20,862 | |||||||||||||||||||||||||||||||||
States, municipalities and political subdivisions | 11,486 | 71 | 11,557 | ||||||||||||||||||||||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed | 4,640 | 331 | 4,971 | ||||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed | 1,912 | 151 | 2,063 | ||||||||||||||||||||||||||||||||||||||
Other asset-backed | 509 | 446 | 955 | ||||||||||||||||||||||||||||||||||||||
Total asset-backed | 7,061 | 928 | 7,989 | ||||||||||||||||||||||||||||||||||||||
U.S. Treasury and obligations of government-sponsored enterprises | 116 | 28 | 144 | ||||||||||||||||||||||||||||||||||||||
Foreign government | 81 | 462 | 543 | ||||||||||||||||||||||||||||||||||||||
Redeemable preferred stock | 45 | 57 | 102 | ||||||||||||||||||||||||||||||||||||||
Fixed maturities available-for-sale | 275 | 39,719 | 1,203 | 41,197 | |||||||||||||||||||||||||||||||||||||
Fixed maturities trading | 43 | 80 | 123 | ||||||||||||||||||||||||||||||||||||||
Total fixed maturities | $ | 275 | $ | 39,762 | $ | 1,283 | $ | 41,320 | |||||||||||||||||||||||||||||||||
Equity securities available-for-sale | $ | 126 | $ | 48 | $ | 11 | $ | 185 | |||||||||||||||||||||||||||||||||
Equity securities trading | 678 | 8 | 686 | ||||||||||||||||||||||||||||||||||||||
Total equity securities | $ | 804 | $ | 48 | $ | 19 | $ | 871 | |||||||||||||||||||||||||||||||||
Short term investments | $ | 6,134 | $ | 563 | $ | 6,697 | |||||||||||||||||||||||||||||||||||
Other invested assets | 54 | 54 | |||||||||||||||||||||||||||||||||||||||
Receivables | 3 | 3 | |||||||||||||||||||||||||||||||||||||||
Life settlement contracts | $ | 88 | 88 | ||||||||||||||||||||||||||||||||||||||
Separate account business | 9 | 171 | 1 | 181 | |||||||||||||||||||||||||||||||||||||
Payable to brokers | (40 | ) | (1 | ) | (3 | ) | (44) | ||||||||||||||||||||||||||||||||||
Assets of discontinued operations | 28 | 2 | 2 | 32 | |||||||||||||||||||||||||||||||||||||
Liabilities of discontinued operations | (6 | ) | (2 | ) | (8) | ||||||||||||||||||||||||||||||||||||
The tables below present reconciliations for all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the years ended December 31, 2014 and 2013: | |||||||||||||||||||||||||||||||||||||||||
Unrealized | |||||||||||||||||||||||||||||||||||||||||
Gains | |||||||||||||||||||||||||||||||||||||||||
(Losses) | |||||||||||||||||||||||||||||||||||||||||
Recognized in | |||||||||||||||||||||||||||||||||||||||||
Net Realized Gains | Net Income | ||||||||||||||||||||||||||||||||||||||||
(Losses) and Net Change | on Level | ||||||||||||||||||||||||||||||||||||||||
in Unrealized Gains | 3 Assets and | ||||||||||||||||||||||||||||||||||||||||
(Losses) | Transfers | Transfers | Liabilities | ||||||||||||||||||||||||||||||||||||||
Balance, | Included in | Included in | into | out of | Balance, | Held at | |||||||||||||||||||||||||||||||||||
2014 | January 1 | Net Income | OCI | Purchases | Sales | Settlements | Level 3 | Level 3 | December 31 | 31-Dec | |||||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||||||||||||||||
Corporate and other bonds | $ | 204 | $ | 2 | $ | (1) | $ | 33 | $ | (23) | $ | (16) | $ | 18 | $ | (55) | $ | 162 | |||||||||||||||||||||||
States, municipalities and political subdivisions | 71 | 1 | 4 | 14 | -10 | 14 | 94 | ||||||||||||||||||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed | 331 | (21) | 61 | 94 | -174 | (72) | 32 | (62) | 189 | ||||||||||||||||||||||||||||||||
Commercial mortgage-backed | 151 | 7 | (6) | 28 | -60 | (29) | 43 | (51) | 83 | ||||||||||||||||||||||||||||||||
Other asset-backed | 446 | 2 | (6) | 488 | -111 | (117) | (47) | 655 | $ | (1) | |||||||||||||||||||||||||||||||
Total asset-backed | 928 | (12) | 49 | 610 | -345 | (218) | 75 | (160) | 927 | (1) | |||||||||||||||||||||||||||||||
Fixed maturities available-for-sale | 1,203 | (9) | 52 | 657 | -378 | (234) | 107 | (215) | 1,183 | (1) | |||||||||||||||||||||||||||||||
Fixed maturities trading | 80 | 11 | -1 | 90 | 11 | ||||||||||||||||||||||||||||||||||||
Total fixed maturities | $ | 1,283 | $ | 2 | $ | 52 | $ | 657 | $ | -379 | $ | (234) | $ | 107 | $ | (215) | $ | 1,273 | $ | 10 | |||||||||||||||||||||
Equity securities available-for-sale | $ | 11 | $ | 3 | $ | (6) | $ | 16 | $ | -8 | $ | 16 | |||||||||||||||||||||||||||||
Equity securities trading | 8 | (1) | -6 | 1 | $ | 1 | |||||||||||||||||||||||||||||||||||
Total equity securities | $ | 19 | $ | 2 | $ | (6) | $ | 16 | $ | -14 | $ | - | $ | - | $ | - | $ | 17 | $ | 1 | |||||||||||||||||||||
Life settlement contracts | $ | 88 | $ | 33 | $ | (39) | $ | 82 | $ | 8 | |||||||||||||||||||||||||||||||
Separate account business | 1 | $ | (1) | - | |||||||||||||||||||||||||||||||||||||
Derivative financial instruments, net | (3) | 1 | $ | 2 | - | 2 | |||||||||||||||||||||||||||||||||||
Unrealized | |||||||||||||||||||||||||||||||||||||||||
Gains | |||||||||||||||||||||||||||||||||||||||||
(Losses) | |||||||||||||||||||||||||||||||||||||||||
Recognized in | |||||||||||||||||||||||||||||||||||||||||
Net Realized Gains | Net Income | ||||||||||||||||||||||||||||||||||||||||
(Losses) and Net Change | on Level | ||||||||||||||||||||||||||||||||||||||||
in Unrealized Gains | 3 Assets and | ||||||||||||||||||||||||||||||||||||||||
(Losses) | Transfers | Transfers | Liabilities | ||||||||||||||||||||||||||||||||||||||
Balance, | Included in | Included in | into | out of | Balance, | Held at | |||||||||||||||||||||||||||||||||||
2013 | January 1 | Net Income | OCI | Purchases | Sales | Settlements | Level 3 | Level 3 | December 31 | 31-Dec | |||||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||||||||||||||||
Corporate and other bonds | $ | 219 | $ | 3 | $ | 123 | $ | (97) | $ | (44) | $ | 51 | $ | (51) | $ | 204 | $ | (2) | |||||||||||||||||||||||
States, municipalities and political subdivisions | 96 | (2) | $ | 4 | 122 | -79 | (61) | 18 | (27) | 71 | |||||||||||||||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed | 413 | 4 | (14) | 116 | -10 | (75) | 4 | (107) | 331 | (3) | |||||||||||||||||||||||||||||||
Commercial mortgage-backed | 129 | 11 | 107 | -3 | (11) | 21 | (103) | 151 | |||||||||||||||||||||||||||||||||
Other asset-backed | 368 | 5 | (4) | 314 | -197 | (35) | (5) | 446 | (2) | ||||||||||||||||||||||||||||||||
Total asset-backed | 910 | 9 | (7) | 537 | -210 | (121) | 25 | (215) | 928 | (5) | |||||||||||||||||||||||||||||||
Redeemable preferred stock | 26 | (1) | (25) | - | |||||||||||||||||||||||||||||||||||||
Fixed maturities available-for-sale | 1,251 | 9 | (3) | 782 | -386 | (251) | 94 | (293) | 1,203 | (7) | |||||||||||||||||||||||||||||||
Fixed maturities trading | 89 | (4) | 19 | -24 | 80 | (4) | |||||||||||||||||||||||||||||||||||
Total fixed maturities | $ | 1,340 | $ | 5 | $ | (3) | $ | 801 | $ | -410 | $ | (251) | $ | 94 | $ | (293) | $ | 1,283 | $ | (11) | |||||||||||||||||||||
Equity securities available-for-sale | $ | 34 | $ | (27) | $ | 3 | $ | 2 | $ | (1) | $ | 11 | $ | (27) | |||||||||||||||||||||||||||
Equity securities trading | 7 | (5) | 6 | 8 | (5) | ||||||||||||||||||||||||||||||||||||
Total equity securities | $ | 41 | $ | (32) | $ | 3 | $ | 8 | $ | - | $ | - | $ | - | $ | (1) | $ | 19 | $ | (32) | |||||||||||||||||||||
Short term investments | $ | 6 | $ | -6 | $ | - | |||||||||||||||||||||||||||||||||||
Other invested assets | 1 | -1 | - | ||||||||||||||||||||||||||||||||||||||
Life settlement contracts | 100 | $ | 13 | $ | (25) | 88 | $ | (2) | |||||||||||||||||||||||||||||||||
Separate account business | 2 | $ | 1 | -2 | 1 | ||||||||||||||||||||||||||||||||||||
Derivative financial instruments, net | 5 | 8 | $ | (9) | (2) | 1 | (6) | (3) | 1 | ||||||||||||||||||||||||||||||||
Net realized and unrealized gains and losses are reported in Net income as follows: | |||||||||||||||||||||||||||||||||||||||||
Major Category of Assets and Liabilities | Consolidated Statements of Income Line Items | ||||||||||||||||||||||||||||||||||||||||
Fixed maturity securities available-for-sale | Investment gains (losses) | ||||||||||||||||||||||||||||||||||||||||
Fixed maturity securities, trading | Net investment income | ||||||||||||||||||||||||||||||||||||||||
Equity securities available-for-sale | Investment gains (losses) | ||||||||||||||||||||||||||||||||||||||||
Equity securities, trading | Net investment income | ||||||||||||||||||||||||||||||||||||||||
Other invested assets | Investment gains (losses) and Net investment income | ||||||||||||||||||||||||||||||||||||||||
Derivative financial instruments held in a trading portfolio | Net investment income | ||||||||||||||||||||||||||||||||||||||||
Derivative financial instruments, other | Investment gains (losses) and Other revenues | ||||||||||||||||||||||||||||||||||||||||
Derivative financial instruments included in Assets and Liabilities of discontinued operations | Discontinued operations, net | ||||||||||||||||||||||||||||||||||||||||
Life settlement contracts | Other revenues | ||||||||||||||||||||||||||||||||||||||||
Securities may be transferred in or out of levels within the fair value hierarchy based on the availability of observable market information and quoted prices used to determine the fair value of the security. The availability of observable market information and quoted prices varies based on market conditions and trading volume. There were $24 million of transfers from Level 2 to Level 1 and $1 million of transfers from Level 1 to Level 2 during the year ended December 31, 2014. There were no transfers between Level 1 and Level 2 during the year ended December 31, 2013. The Company’s policy is to recognize transfers between levels at the beginning of quarterly reporting periods. | |||||||||||||||||||||||||||||||||||||||||
Valuation Methodologies and Inputs | |||||||||||||||||||||||||||||||||||||||||
The following section describes the valuation methodologies and relevant inputs used to measure different financial instruments at fair value, including an indication of the level in the fair value hierarchy in which the instruments are generally classified. | |||||||||||||||||||||||||||||||||||||||||
Fixed Maturity Securities | |||||||||||||||||||||||||||||||||||||||||
Fixed maturity securities are valued using methodologies that model information generated by market transactions involving identical or comparable assets, as well as discounted cash flow methodologies. Common inputs include: prices from recently executed transactions of similar securities, broker/dealer quotes, benchmark yields, spreads off benchmark yields, interest rates and U.S. Treasury or swap curves. Specifically for asset-backed securities, key inputs include prepayment and default projections based on past performance of the underlying collateral and current market data. | |||||||||||||||||||||||||||||||||||||||||
Level 1 securities include exchange traded bonds, highly liquid U.S. and foreign government bonds and redeemable preferred stock, valued using quoted market prices. Level 2 securities include most other fixed maturity securities as the significant inputs are observable in the marketplace. Securities are generally assigned to Level 3 in cases where broker/dealer quotes are significant inputs to the valuation and there is a lack of transparency as to whether these quotes are based on information that is observable in the marketplace. Level 3 securities also include private placement debt securities whose fair value is determined using internal models with inputs that are not market observable. | |||||||||||||||||||||||||||||||||||||||||
Equity Securities | |||||||||||||||||||||||||||||||||||||||||
Level 1 equity securities include publicly traded securities valued using quoted market prices. Level 2 securities are primarily non-redeemable preferred stocks and common stocks valued using pricing for similar securities, recently executed transactions, broker/dealer quotes and other pricing models utilizing market observable inputs. Level 3 securities are priced using internal models with inputs that are not market observable. | |||||||||||||||||||||||||||||||||||||||||
Derivative Financial Instruments | |||||||||||||||||||||||||||||||||||||||||
Exchange traded derivatives are valued using quoted market prices and are classified within Level 1 of the fair value hierarchy. Level 2 derivatives primarily include currency forwards valued using observable market forward rates. Over-the-counter derivatives, principally interest rate swaps, total return swaps, commodity swaps, equity warrants and options, are valued using inputs including broker/dealer quotes and are classified within Level 2 or Level 3 of the valuation hierarchy, depending on the amount of transparency as to whether these quotes are based on information that is observable in the marketplace. | |||||||||||||||||||||||||||||||||||||||||
Short Term Investments | |||||||||||||||||||||||||||||||||||||||||
Securities that are actively traded or have quoted prices are classified as Level 1. These securities include money market funds and treasury bills. Level 2 primarily includes commercial paper, for which all inputs are market observable. Fixed maturity securities purchased within one year of maturity are classified consistent with fixed maturity securities discussed above. Short term investments as presented in the tables above differ from the amounts presented in the Consolidated Balance Sheets because certain short term investments, such as time deposits, are not measured at fair value. | |||||||||||||||||||||||||||||||||||||||||
Other Invested Assets | |||||||||||||||||||||||||||||||||||||||||
Level 1 securities include exchange traded open-end funds valued using quoted market prices. Level 2 securities include overseas deposits which can be redeemed at net asset value in 90 days or less. | |||||||||||||||||||||||||||||||||||||||||
Life Settlement Contracts | |||||||||||||||||||||||||||||||||||||||||
The fair values of life settlement contracts are determined as the present value of the anticipated death benefits less anticipated premium payments based on contract terms that are distinct for each insured, as well as CNA’s own assumptions for mortality, premium expense, and the rate of return that a buyer would require on the contracts, as no comparable market pricing data is available. | |||||||||||||||||||||||||||||||||||||||||
Separate Account Business | |||||||||||||||||||||||||||||||||||||||||
Separate account business included fixed maturity securities, equities and short term investments. The valuation methodologies and inputs for these asset types have been described above. | |||||||||||||||||||||||||||||||||||||||||
Assets and Liabilities of Discontinued Operations | |||||||||||||||||||||||||||||||||||||||||
Assets and liabilities of discontinued operations relate to HighMount, as discussed in Notes 2 and 20. These balances represent short term investments and derivative assets and liabilities, which are valued using the methodologies and inputs for these asset and liability types described above. | |||||||||||||||||||||||||||||||||||||||||
Significant Unobservable Inputs | |||||||||||||||||||||||||||||||||||||||||
The tables below present quantitative information about the significant unobservable inputs utilized by the Company in the fair value measurements of Level 3 assets. Valuations for assets and liabilities not presented in the table below are primarily based on broker/dealer quotes for which there is a lack of transparency as to inputs used to develop the valuations. The quantitative detail of unobservable inputs from these broker quotes is neither provided nor reasonably available to the Company. | |||||||||||||||||||||||||||||||||||||||||
December 31, 2014 | Fair Value | Valuation | Unobservable | Range | |||||||||||||||||||||||||||||||||||||
Techniques | Inputs | (Weighted | |||||||||||||||||||||||||||||||||||||||
Average) | |||||||||||||||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||||||||||||
Fixed maturity securities | $ | 101 | Discounted cash flow | Credit spread | 2% – 13% (3%) | ||||||||||||||||||||||||||||||||||||
Equity securities | 16 | Market approach | Private offering price | $12 – $4,391 per share | |||||||||||||||||||||||||||||||||||||
($600 per share) | |||||||||||||||||||||||||||||||||||||||||
Life settlement contracts | 82 | Discounted cash flow | Discount rate risk premium | 9% | |||||||||||||||||||||||||||||||||||||
Mortality assumption | 55% – 1,676% (163%) | ||||||||||||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||||||||||||
Fixed maturity securities | $ | 142 | Discounted cash flow | Credit spread | 2% – 20% (4%) | ||||||||||||||||||||||||||||||||||||
Equity securities | 10 | Market approach | Private offering price | $360 – $4,268 per share | |||||||||||||||||||||||||||||||||||||
($1,148 per share) | |||||||||||||||||||||||||||||||||||||||||
Life settlement contracts | 88 | Discounted cash flow | Discount rate risk premium | 9% | |||||||||||||||||||||||||||||||||||||
Mortality assumption | 70% – 743% (192%) | ||||||||||||||||||||||||||||||||||||||||
For fixed maturity securities, an increase to the credit spread assumptions would result in a lower fair value measurement. For equity securities, an increase in the private offering price would result in a higher fair value measurement. For life settlement contracts, an increase in the discount rate risk premium or decrease in the mortality assumption would result in a lower fair value measurement. | |||||||||||||||||||||||||||||||||||||||||
Financial Assets and Liabilities Not Measured at Fair Value | |||||||||||||||||||||||||||||||||||||||||
The carrying amount, estimated fair value and the level of the fair value hierarchy of the Company’s financial instrument assets and liabilities which are not measured at fair value on the Consolidated Balance Sheets are listed in the tables below. The carrying amounts and estimated fair values of short term debt and long term debt exclude capital lease obligations. The carrying amounts reported on the Consolidated Balance Sheets for cash and short term investments not carried at fair value and certain other assets and liabilities approximate fair value due to the short term nature of these items. | |||||||||||||||||||||||||||||||||||||||||
Carrying | Estimated Fair Value | ||||||||||||||||||||||||||||||||||||||||
December 31, 2014 | Amount | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||||||||||||||
Financial Assets: | |||||||||||||||||||||||||||||||||||||||||
Other invested assets, primarily mortgage loans | $ | 588 | $ | 608 | $ | 608 | |||||||||||||||||||||||||||||||||||
Financial Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Short term debt | 334 | $ | 255 | 84 | 339 | ||||||||||||||||||||||||||||||||||||
Long term debt | 10,320 | 10,299 | 420 | 10,719 | |||||||||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Financial Assets: | |||||||||||||||||||||||||||||||||||||||||
Other invested assets, primarily mortgage loans | $ | 508 | $ | 515 | $ | 515 | |||||||||||||||||||||||||||||||||||
Financial Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Premium deposits and annuity contracts | 57 | 58 | 58 | ||||||||||||||||||||||||||||||||||||||
Short term debt | 818 | $ | 832 | 20 | 852 | ||||||||||||||||||||||||||||||||||||
Long term debt | 9,515 | 9,907 | 182 | 10,089 | |||||||||||||||||||||||||||||||||||||
Long term debt included in discontinued operations | 500 | 500 | 500 | ||||||||||||||||||||||||||||||||||||||
The following methods and assumptions were used in estimating the fair value of these financial assets and liabilities. | |||||||||||||||||||||||||||||||||||||||||
The fair values of mortgage loans, included in Other invested assets, were based on the present value of the expected future cash flows discounted at the current interest rate for similar financial instruments, adjusted for specific loan risk. | |||||||||||||||||||||||||||||||||||||||||
Premium deposits and annuity contracts were valued based on cash surrender values or estimated fair values of policyholder liabilities, net of amounts ceded related to sold business. | |||||||||||||||||||||||||||||||||||||||||
Fair value of debt was based on observable market prices when available. When observable market prices were not available, the fair value of debt was based on observable market prices of comparable instruments adjusted for differences between the observed instruments and the instruments being valued or is estimated using discounted cash flow analyses, based on current incremental borrowing rates for similar types of borrowing arrangements. |
Derivative_Financial_Instrumen
Derivative Financial Instruments | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||
Derivative Financial Instruments | Note 5. Derivative Financial Instruments | ||||||||||||||||||||||||
The Company uses derivatives in the normal course of business, primarily in an attempt to reduce its exposure to market risk (principally interest rate risk, credit risk, equity price risk, commodity price risk and foreign currency risk) stemming from various assets and liabilities. The Company’s principal objective under such strategies is to achieve the desired reduction in economic risk, even if the position does not receive hedge accounting treatment. | |||||||||||||||||||||||||
The Company enters into interest rate swaps, futures and commitments to purchase securities to manage interest rate risk. Credit derivatives such as credit default swaps are entered into to modify the credit risk inherent in certain investments. Forward contracts, futures, swaps and options are used primarily to manage foreign currency and commodity price risk. | |||||||||||||||||||||||||
In addition to the derivatives used for risk management purposes described above, the Company may also use derivatives for purposes of income enhancement. Income enhancement transactions include but are not limited to interest rate swaps, call options, put options, credit default swaps, index futures and foreign currency forwards. See Note 4 for information regarding the fair value of derivative instruments. | |||||||||||||||||||||||||
A summary of the aggregate contractual or notional amounts and gross estimated fair values related to derivative financial instruments follows. The contractual or notional amounts for derivatives are used to calculate the exchange of contractual payments under the agreements and may not be representative of the potential for gain or loss on these instruments. | |||||||||||||||||||||||||
December 31 | 2014 | 2013 | |||||||||||||||||||||||
Contractual/ | Contractual/ | ||||||||||||||||||||||||
Notional | Estimated Fair Value | Notional | Estimated Fair Value | ||||||||||||||||||||||
Amount | Asset | (Liability) | Amount | Asset | (Liability) | ||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
With hedge designation: | |||||||||||||||||||||||||
Foreign exchange: | |||||||||||||||||||||||||
Currency forwards – short | $ 70 | $ (5) | $ 114 | $ 2 | $ (1) | ||||||||||||||||||||
Without hedge designation: | |||||||||||||||||||||||||
Equity markets: | |||||||||||||||||||||||||
Options – purchased | 544 | $ 24 | 1,561 | 41 | |||||||||||||||||||||
– written | 292 | (21) | 729 | (23) | |||||||||||||||||||||
Equity swaps and warrants – long | 10 | 2 | 17 | 9 | |||||||||||||||||||||
Interest rate risk: | |||||||||||||||||||||||||
Credit default swaps | |||||||||||||||||||||||||
– purchased protection | 50 | (3) | |||||||||||||||||||||||
– sold protection | 25 | ||||||||||||||||||||||||
Foreign exchange: | |||||||||||||||||||||||||
Currency forwards – long | 109 | (3) | 55 | ||||||||||||||||||||||
– short | 88 | 2 | 113 | ||||||||||||||||||||||
Currency options – long | 151 | 7 | |||||||||||||||||||||||
Embedded derivative on funds withheld liability | 184 | (3) | |||||||||||||||||||||||
Discontinued operations: | |||||||||||||||||||||||||
Interest rate risk: | |||||||||||||||||||||||||
Interest rate swaps | 300 | (4) | |||||||||||||||||||||||
Commodities: | |||||||||||||||||||||||||
Forwards – short | 180 | 4 | (4) | ||||||||||||||||||||||
Gross estimated fair values of derivative positions are currently presented in Equity securities, Receivables, Payable to brokers and Assets and Liabilities of discontinued operations on the Consolidated Balance Sheets. There would be no significant difference in the balance included in such accounts if the estimated fair values were presented net for the periods ended December 31, 2014 and 2013. | |||||||||||||||||||||||||
In connection with the sale of HighMount, as discussed in Note 2, cash flow hedge accounting treatment was discontinued for all of HighMount’s commodity and interest rate swaps in 2014 and a loss of $4 million after tax was reclassified from AOCI into Discontinued operations, net for those hedges where the original forecasted transactions are no longer probable of occurring. In addition, mark-to-market losses of $2 million after tax were recognized on these derivatives in 2014. | |||||||||||||||||||||||||
For derivative financial instruments without hedge designation, changes in the fair value of derivatives not held in a trading portfolio are reported in Investment gains (losses) and changes in the fair value of derivatives held for trading purposes are reported in Net investment income on the Consolidated Statements of Income. Losses of $1 million, $9 million and $5 million were recorded in Investment gains (losses) for the years ended December 31, 2014, 2013 and 2012. Gains of $12 million and losses of $26 million and $19 million were included in Net investment income for the years ended December 31, 2014, 2013 and 2012. | |||||||||||||||||||||||||
The Company’s derivative financial instruments with cash flow hedge designation hedge variable price risk associated with the purchase and sale of natural gas and exposure to foreign currency losses on future foreign currency expenditures. Losses of $3 million, $10 million and $1 million were recognized in OCI related to these cash flow hedges for the years ended December 31, 2014, 2013 and 2012. Gains of $1 million and losses of $8 million and $6 million were reclassified from AOCI into income for the years ended December 31, 2014, 2013 and 2012. As of December 31, 2014, the estimated amount of net unrealized losses associated with these cash flow hedges that will be reclassified from AOCI into earnings during the next twelve months was $2 million. For each of the years ended December 31, 2014, 2013 and 2012, the net amounts recognized due to ineffectiveness were less than $1 million. |
Receivables
Receivables | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Receivables [Abstract] | |||||||||
Receivables | Note 6. Receivables | ||||||||
December 31 | 2014 | 2013 | |||||||
(In millions) | |||||||||
Reinsurance (Note 16) | $ | 4,742 | $ 6,088 | ||||||
Insurance | 1,997 | 2,063 | |||||||
Receivable from brokers | 84 | 234 | |||||||
Accrued investment income | 412 | 448 | |||||||
Federal income taxes | 27 | 34 | |||||||
Other, primarily customer accounts | 625 | 800 | |||||||
Total | 7,887 | 9,667 | |||||||
Less: allowance for doubtful accounts on reinsurance receivables | 48 | 71 | |||||||
allowance for other doubtful accounts | 69 | 258 | |||||||
Receivables | $ | 7,770 | $ 9,338 | ||||||
Property_Plant_and_Equipment
Property, Plant and Equipment | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Property, Plant and Equipment [Abstract] | |||||||||||||||||||||||||
Property, Plant and Equipment | Note 7. Property, Plant and Equipment | ||||||||||||||||||||||||
December 31 | 2014 | 2013 | |||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Pipeline equipment (net of accumulated DD&A of $1,620 and $1,360) | $ | 7,491 | $ 7,062 | ||||||||||||||||||||||
Offshore drilling equipment (net of accumulated DD&A of $4,159 and $3,727) | 6,459 | 3,750 | |||||||||||||||||||||||
Other (net of accumulated DD&A of $730 and $778) | 1,083 | 785 | |||||||||||||||||||||||
Construction in process | 578 | 1,927 | |||||||||||||||||||||||
Property, plant and equipment, net | $ | 15,611 | $ 13,524 | ||||||||||||||||||||||
DD&A expense and capital expenditures are as follows: | |||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
DD&A | Capital | DD&A | Capital | DD&A | Capital | ||||||||||||||||||||
Expend. | Expend. | Expend. | |||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
CNA Financial | $ | 69 | $ | 72 | $ | 72 | $ | 90 | $ | 71 | $ | 98 | |||||||||||||
Diamond Offshore | 457 | 2,050 | 389 | 987 | 394 | 721 | |||||||||||||||||||
Boardwalk Pipeline | 292 | 378 | 275 | 305 | 256 | 247 | |||||||||||||||||||
Loews Hotels | 37 | 289 | 32 | 369 | 30 | 30 | |||||||||||||||||||
Corporate and other | 6 | 24 | 6 | 4 | 7 | 10 | |||||||||||||||||||
Total | $ | 861 | $ | 2,813 | $ | 774 | $ | 1,755 | $ | 758 | $ | 1,106 | |||||||||||||
Capitalized interest related to the construction and upgrade of qualifying assets amounted to approximately $80 million, $92 million and $43 million for the years ended December 31, 2014, 2013 and 2012. | |||||||||||||||||||||||||
Offshore Drilling Equipment | |||||||||||||||||||||||||
Purchase of Assets | |||||||||||||||||||||||||
In 2014, Diamond Offshore took delivery of three ultra-deepwater drillships and two deepwater floaters. The aggregate net book value of these newly constructed rigs was $2.7 billion at December 31, 2014, of which $1.3 billion was reported in Construction in process at December 31, 2013. At December 31, 2014, Construction in process included $439 million related to two rigs still under construction. | |||||||||||||||||||||||||
Sale of Assets | |||||||||||||||||||||||||
In 2014, Diamond Offshore sold a jack-up rig for $17 million, resulting in a gain of $9 million ($3 million after tax and noncontrolling interests). In 2012, Diamond Offshore sold six jack-up rigs for total proceeds of $132 million, resulting in a gain of approximately $76 million ($32 million after tax and noncontrolling interests). These gains were recorded in Other revenues on the Consolidated Statements of Income. | |||||||||||||||||||||||||
Asset Impairment | |||||||||||||||||||||||||
In the third quarter of 2014, Diamond Offshore determined it would retire and scrap six rigs, including a rig upon completion of its contract term in 2015. Demand for offshore drilling rigs continues to decline and is exacerbated by an oversupply of rigs including newbuilds scheduled for delivery in 2015. As a result, Diamond Offshore performed an impairment analysis to determine whether the carrying amount of these assets was recoverable. Based on this analysis, an impairment loss was recognized aggregating $109 million ($55 million after tax and noncontrolling interests) for the year ended December 31, 2014. The fair value was determined through discussions and a quote from a rig broker, and for the rig currently under contract using an internally developed income approach, which are Level 3 inputs of the fair value hierarchy. In the fourth quarter of 2014, two of the rigs were scrapped and at December 31, 2014, the carrying value of the remaining rigs amounted to $9 million. In 2012, Diamond Offshore recorded an impairment charge of $62 million ($19 million after tax and noncontrolling interests) related to three mid-water rigs. These impairment losses were recorded within Other operating expenses on the Consolidated Statements of Income. |
Goodwill
Goodwill | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||
Goodwill | Note 8. Goodwill | ||||||||||||||||||||
Total | CNA | Diamond | Boardwalk | Loews | |||||||||||||||||
Financial | Offshore | Pipeline | Hotels | ||||||||||||||||||
(In millions) | |||||||||||||||||||||
Balance, December 31, 2012 | $ | 412 | $ | 118 | $ | 20 | $ | 271 | $ | 3 | |||||||||||
Impairments | -52 | (52) | |||||||||||||||||||
Other adjustments | -3 | 1 | (4) | ||||||||||||||||||
Balance, December 31, 2013 | 357 | 119 | 20 | 215 | 3 | ||||||||||||||||
Additions | 22 | 22 | |||||||||||||||||||
Dispositions | -3 | (3) | |||||||||||||||||||
Other adjustments | -2 | (2) | |||||||||||||||||||
Balance, December 31, 2014 | $ | 374 | $ | 117 | $ | 20 | $ | 237 | $ | - | |||||||||||
Based upon the completion of its annual goodwill impairment testing in 2013, Boardwalk Pipeline determined in the first step of the two-step quantitative goodwill impairment analysis that the carrying value of its reporting unit which included goodwill associated with the Petal Gas Storage, LLC acquisition exceeded its fair value. The fair value of the reporting unit declined from the amount determined in 2012 primarily due to the recent narrowing of time period price spreads and reduced volatility which negatively affects the value of Boardwalk Pipeline’s storage and PAL services and the cumulative effect of reduced basis spreads on the value of Boardwalk Pipeline’s transportation services. The fair value measurement of the reporting unit was derived based on judgments and assumptions which Boardwalk Pipeline believes market participants would use in assessing the fair value of the reporting unit. These judgments and assumptions which utilized significant unobservable inputs, representing a Level 3 fair value measurement, included the valuation premise, use of a discounted cash flow model to estimate fair value and inputs to the valuation model. The inputs included, but were not limited to, forecasted operating results and the long term natural gas outlook for growth in demand. Due to the results of the first step, Boardwalk Pipeline performed the second step to compare the fair value of the reporting unit to the fair value of the reporting unit’s assets and liabilities. As a result, Boardwalk Pipeline recognized a goodwill impairment charge of $52 million ($16 million after tax and noncontrolling interests) for the year ended December 31, 2013, representing the carrying value of the goodwill for the reporting unit. This impairment charge was recorded within Other operating expenses on the Consolidated Statements of Income. See Note 20 for discussion of HighMount’s 2013 goodwill impairment charge recorded in discontinued operations. |
Claim_and_Claim_Adjustment_Exp
Claim and Claim Adjustment Expense Reserves | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Insurance [Abstract] | |||||||||||||||||||||
Claim and Claim Adjustment Expense Reserves | Note 9. Claim and Claim Adjustment Expense Reserves | ||||||||||||||||||||
CNA’s property and casualty insurance claim and claim adjustment expense reserves represent the estimated amounts necessary to resolve all outstanding claims, including claims that are incurred but not reported (“IBNR”) as of the reporting date. CNA’s reserve projections are based primarily on detailed analysis of the facts in each case, CNA’s experience with similar cases and various historical development patterns. Consideration is given to such historical patterns as field reserving trends and claims settlement practices, loss payments, pending levels of unpaid claims and product mix, as well as court decisions, economic conditions including inflation and public attitudes. All of these factors can affect the estimation of claim and claim adjustment expense reserves. | |||||||||||||||||||||
Establishing claim and claim adjustment expense reserves, including claim and claim adjustment expense reserves for catastrophic events that have occurred, is an estimation process. Many factors can ultimately affect the final settlement of a claim and, therefore, the necessary reserve. Changes in the law, results of litigation, medical costs, the cost of repair materials and labor rates can all affect ultimate claim costs. In addition, time can be a critical part of reserving determinations since the longer the span between the incidence of a loss and the payment or settlement of the claim, the more variable the ultimate settlement amount can be. Accordingly, short-tail claims, such as property damage claims, tend to be more reasonably estimable than long-tail claims, such as workers’ compensation, general liability and professional liability claims. Adjustments to prior year reserve estimates, if necessary, are reflected in the results of operations in the period that the need for such adjustments is determined. There can be no assurance that CNA’s ultimate cost for insurance losses will not exceed current estimates. | |||||||||||||||||||||
Catastrophes are an inherent risk of the property and casualty insurance business and have contributed to material period-to-period fluctuations in CNA’s results of operations and/or equity. CNA reported catastrophe losses, net of reinsurance, of $156 million, $169 million and $391 million for the years ended December 31, 2014, 2013 and 2012. Catastrophe losses in 2012 included Storm Sandy. | |||||||||||||||||||||
The table below provides a reconciliation between beginning and ending claim and claim adjustment expense reserves, including claim and claim adjustment expense reserves of the life company as of and for the years ended December 31, 2014, 2013 and 2012. | |||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||
(In millions) | |||||||||||||||||||||
Reserves, beginning of year: | |||||||||||||||||||||
Gross | $ | 24,089 | $ | 24,763 | $ | 24,303 | |||||||||||||||
Ceded | 4,972 | 5,126 | 5,020 | ||||||||||||||||||
Net reserves, beginning of year | 19,117 | 19,637 | 19,283 | ||||||||||||||||||
Change in net reserves due to acquisition (disposition) of subsidiaries | (13) | 291 | |||||||||||||||||||
Net incurred claim and claim adjustment expenses: | |||||||||||||||||||||
Provision for insured events of current year | 5,043 | 5,114 | 5,273 | ||||||||||||||||||
Decrease in provision for insured events of prior years | (36) | (115) | (182) | ||||||||||||||||||
Amortization of discount | 161 | 154 | 145 | ||||||||||||||||||
Total net incurred (a) | 5,168 | 5,153 | 5,236 | ||||||||||||||||||
Net payments attributable to: | |||||||||||||||||||||
Current year events | (945) | (981) | (988) | ||||||||||||||||||
Prior year events | (4,355) | (4,588) | (4,280) | ||||||||||||||||||
Total net payments | (5,300) | (5,569) | (5,268) | ||||||||||||||||||
Foreign currency translation adjustment and other | (45) | (104) | 95 | ||||||||||||||||||
Net reserves, end of year | 18,927 | 19,117 | 19,637 | ||||||||||||||||||
Ceded reserves, end of year | 4,344 | 4,972 | 5,126 | ||||||||||||||||||
Gross reserves, end of year | $ | 23,271 | $ | 24,089 | $ | 24,763 | |||||||||||||||
(a) | Total net incurred above does not agree to Insurance claims and policyholders’ benefits as reflected in the Consolidated Statements of Income due to amounts related to retroactive reinsurance deferred gain accounting, uncollectible reinsurance and loss deductible receivables and benefit expenses related to future policy benefits and policyholders’ funds, which are not reflected in the table above. | ||||||||||||||||||||
The changes in provision for insured events of prior years (net prior year claim and claim adjustment expense reserve development, including unallocated claim and claim adjustment expense) were as follows: | |||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||
(In millions) | |||||||||||||||||||||
Property and casualty reserve development | $ (39) | $ (115) | $ | (180) | |||||||||||||||||
Life reserve development in life company | 3 | (2) | |||||||||||||||||||
Total | $ (36) | $ (115) | $ | (182) | |||||||||||||||||
The following tables summarize the gross and net carried reserves: | |||||||||||||||||||||
December 31, 2014 | Specialty | Commercial | International | Other | Total | ||||||||||||||||
Non-Core | |||||||||||||||||||||
(In millions) | |||||||||||||||||||||
Gross Case Reserves | $ | 2,136 | $ | 5,298 | $ | 752 | $ | 4,070 | $ | 12,256 | |||||||||||
Gross IBNR Reserves | 4,093 | 4,216 | 689 | 2,017 | 11,015 | ||||||||||||||||
Total Gross Carried Claim and Claim Adjustment Expense Reserves | $ | 6,229 | $ | 9,514 | $ | 1,441 | $ | 6,087 | $ | 23,271 | |||||||||||
Net Case Reserves | $ | 1,929 | $ | 4,947 | $ | 598 | $ | 2,716 | $ | 10,190 | |||||||||||
Net IBNR Reserves | 3,726 | 3,906 | 663 | 442 | 8,737 | ||||||||||||||||
Total Net Carried Claim and Claim Adjustment Expense Reserves | $ | 5,655 | $ | 8,853 | $ | 1,261 | $ | 3,158 | $ | 18,927 | |||||||||||
December 31, 2013 | |||||||||||||||||||||
Gross Case Reserves | $ | 2,001 | $ | 5,570 | $ | 803 | $ | 3,888 | $ | 12,262 | |||||||||||
Gross IBNR Reserves | 4,057 | 4,521 | 772 | 2,477 | 11,827 | ||||||||||||||||
Total Gross Carried Claim and Claim Adjustment Expense Reserves | $ | 6,058 | $ | 10,091 | $ | 1,575 | $ | 6,365 | $ | 24,089 | |||||||||||
Net Case Reserves | $ | 1,793 | $ | 5,119 | $ | 629 | $ | 2,635 | $ | 10,176 | |||||||||||
Net IBNR Reserves | 3,789 | 3,992 | 705 | 455 | 8,941 | ||||||||||||||||
Total Net Carried Claim and Claim Adjustment Expense Reserves | $ | 5,582 | $ | 9,111 | $ | 1,334 | $ | 3,090 | $ | 19,117 | |||||||||||
Net Prior Year Development | |||||||||||||||||||||
Changes in estimates of claim and allocated claim adjustment expense reserves and premium accruals, net of reinsurance, for prior years are defined as net prior year development. These changes can be favorable or unfavorable. The following tables and discussion include the net prior year development recorded for Specialty, Commercial, International and Other Non-Core segments for the years ended December 31, 2014, 2013 and 2012. | |||||||||||||||||||||
Favorable net prior year development of $14 million, $9 million and $11 million was recorded in Life & Group Non-Core for the years ended December 31, 2014, 2013 and 2012. | |||||||||||||||||||||
Year Ended December 31, 2014 | Specialty | Commercial | International | Other | Total | ||||||||||||||||
(In millions) | |||||||||||||||||||||
Pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | $ | -136 | $ | 176 | $ | (59) | $ (2) | $ (21) | |||||||||||||
Pretax (favorable) unfavorable premium development | -13 | (20) | 2 | (1) | -32 | ||||||||||||||||
Total pretax (favorable) unfavorable net prior year development | $ | -149 | $ | 156 | $ | (57) | $ (3) | $ (53) | |||||||||||||
Year Ended December 31, 2013 | |||||||||||||||||||||
Pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | $ | -196 | $ | 122 | $ | (38) | $ (6) | $ (118) | |||||||||||||
Pretax (favorable) unfavorable premium development | -14 | (8) | (21) | 1 | -42 | ||||||||||||||||
Total pretax (favorable) unfavorable net prior year development | $ | -210 | $ | 114 | $ | (59) | $ (5) | $ (160) | |||||||||||||
Year Ended December 31, 2012 | |||||||||||||||||||||
Pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | $ | -93 | $ | (25) | $ | (74) | $ (13) | $ (205) | |||||||||||||
Pretax (favorable) unfavorable premium development | -14 | (36) | 3 | 1 | -46 | ||||||||||||||||
Total pretax (favorable) unfavorable net prior year development | $ | -107 | $ | (61) | $ | (71) | $ (12) | $ (251) | |||||||||||||
Premium development can occur in the property and casualty business when there is a change in exposure on auditable policies or when premium accruals differ from processed premium. Audits on policies usually occur in a period after the expiration date of the policy. | |||||||||||||||||||||
For the year ended December 31, 2013, favorable premium development for International is primarily due to a commutation recorded at Hardy. | |||||||||||||||||||||
Specialty | |||||||||||||||||||||
The following table and discussion provide further detail of the net prior year claim and allocated claim adjustment expense reserve development (“development”) recorded for the Specialty segment: | |||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||
(In millions) | |||||||||||||||||||||
Medical professional liability | $ | 39 | $ | (27) | $ | (34) | |||||||||||||||
Other professional liability and management liability | (87) | (73) | 19 | ||||||||||||||||||
Surety | (82) | (74) | (63) | ||||||||||||||||||
Warranty | (2) | (3) | (5) | ||||||||||||||||||
Other | (4) | (19) | (10) | ||||||||||||||||||
Total pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | $ | (136) | $ | (196) | $ | (93) | |||||||||||||||
2014 | |||||||||||||||||||||
Unfavorable development for medical professional liability was primarily related to increased frequency of large medical products liability class action lawsuits in accident years 2012 and prior and increased frequency of other large medical professional liability losses in accident years 2011 through 2013. | |||||||||||||||||||||
Overall, favorable development for other professional liability and management liability was related to better than expected severity in accident years 2008 through 2011, including favorable outcomes on individual large claims. Additional favorable development related to lower than expected frequency in accident years 2011 through 2013. Unfavorable development was recorded due to higher than expected severity in financial institution and professional service coverages in accident years 2009 through 2011. | |||||||||||||||||||||
Favorable development for surety coverages was primarily due to better than expected large loss emergence in accident years 2012 and prior. | |||||||||||||||||||||
2013 | |||||||||||||||||||||
Overall, favorable development for medical professional liability reflects favorable experience in accident years 2009 and prior. Unfavorable development was recorded for accident years 2010 and 2011 due to higher than expected large loss activity. | |||||||||||||||||||||
Overall, favorable development for other professional liability and management liability was related to better than expected loss emergence in accident years 2010 and prior. Unfavorable development was recorded in accident year 2011 related to an increase in severity in management liability. | |||||||||||||||||||||
Favorable development for surety coverages was primarily due to better than expected large loss emergence in accident years 2011 and prior. | |||||||||||||||||||||
Other includes standard property and casualty coverages provided to Specialty customers. Favorable development for other coverages was primarily due to better than expected loss emergence in property coverages primarily in accident years 2010 and subsequent. | |||||||||||||||||||||
2012 | |||||||||||||||||||||
Favorable development for medical professional liability was primarily due to better than expected loss emergence in accident years 2008 and prior. | |||||||||||||||||||||
Overall, unfavorable development for other professional liability and management liability was primarily due to increased frequency and severity in CNA’s lawyer coverages in accident years 2008 through 2011, a large claim settlement in 2005 related to lawyers and increased frequency of large claims in public company directors and officers coverages related to the financial crisis in accident year 2011. Favorable development was recorded primarily due to better than expected loss emergence in accident years 2003 through 2009. | |||||||||||||||||||||
Favorable development for surety coverages was primarily due to better than expected loss emergence in accident years 2010 and prior. | |||||||||||||||||||||
Overall, favorable development for other coverages was primarily due to favorable loss emergence in property and workers’ compensation coverages in accident years 2005 and subsequent. Unfavorable development was recorded in accident year 2009 primarily due to an unfavorable outcome on an individual general liability claim. | |||||||||||||||||||||
Commercial | |||||||||||||||||||||
The following table and discussion provide further detail of the development recorded for the Commercial segment: | |||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||
(In millions) | |||||||||||||||||||||
Commercial auto | $ | 31 | $ | 18 | $ | 25 | |||||||||||||||
General liability | 45 | 64 | (66) | ||||||||||||||||||
Workers’ compensation | 139 | 91 | 15 | ||||||||||||||||||
Property and other | (39) | (51) | 1 | ||||||||||||||||||
Total pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | $ | 176 | $ | 122 | $ | (25) | |||||||||||||||
2014 | |||||||||||||||||||||
Unfavorable development for commercial auto was primarily related to higher than expected frequency in accident years 2012 and 2013 and higher than expected severity for liability coverages in accident years 2010 through 2013. Favorable development was recorded related to fewer large claims than expected in accident years 2008 and 2009. | |||||||||||||||||||||
Overall, unfavorable development for general liability was primarily related to higher than expected severity in accident years 2010 through 2013. Favorable development was recorded primarily related to lower than expected frequency of large losses in accident years 2005 through 2009. | |||||||||||||||||||||
Overall, unfavorable development for workers’ compensation was primarily due to increased medical severity in accident years 2010 and prior, higher than expected severity related to Defense Base Act (“DBA”) contractors in accident years 2010 through 2013 and the recognition of losses related to favorable premium development in accident year 2013. Favorable development of $26 million was recorded in accident years 1996 and prior related to the commutation of a workers’ compensation reinsurance pool. | |||||||||||||||||||||
Favorable development for property and other first party coverages was recorded in accident years 2013 and prior, primarily related to fewer claims than expected and favorable individual claim settlements. | |||||||||||||||||||||
2013 | |||||||||||||||||||||
Unfavorable development for commercial auto coverages was primarily due to higher than expected frequency in accident years 2011 and 2012 and large loss emergence in accident years 2009 and 2010. | |||||||||||||||||||||
Unfavorable development for general liability coverages was primarily related to increased incurred loss severity in accident years 2010 through 2012. | |||||||||||||||||||||
Unfavorable development for workers’ compensation includes CNA’s response to legislation enacted during 2013 related to the New York Fund for Reopened Cases. The law change necessitated an increase in reserves as re-opened workers’ compensation claims can no longer be turned over to the state for handling and payment after December 31, 2013. Additional unfavorable development was recorded in accident year 2012 related to increased frequency and severity on claims related to DBA contractors and in accident year 2010 due to higher than expected large losses and increased severity in the state of California. | |||||||||||||||||||||
Favorable development for property and other coverages was primarily related to favorable outcomes on litigated catastrophe claims in accident years 2005 and 2010 as well as favorable loss emergence in non-catastrophe losses in accident years 2010 through 2012. | |||||||||||||||||||||
2012 | |||||||||||||||||||||
Unfavorable development for commercial auto coverages was primarily due to higher than expected loss emergence in accident years 2007 and subsequent and higher than expected frequency in accident year 2011. | |||||||||||||||||||||
Overall, favorable development for general liability coverages was primarily due to better than expected loss emergence in accident years 2006 and subsequent related to umbrella business and 2003 and prior related to large account business. Unfavorable development was recorded in accident years 2009 through 2011 related to several large losses. | |||||||||||||||||||||
Overall, unfavorable development for workers’ compensation was primarily due to increased medical severity in accident years 2010 and 2011 and the recognition of losses related to favorable premium development in accident year 2011. Favorable development was recorded in accident years 2001 and prior reflecting favorable experience. | |||||||||||||||||||||
International | |||||||||||||||||||||
The following table and discussion provide further detail of the development recorded for the International segment: | |||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||
(In millions) | |||||||||||||||||||||
Medical professional liability | $ | (7) | $ | (7) | $ | 1 | |||||||||||||||
Other professional liability | (26) | (30) | (41) | ||||||||||||||||||
Liability | (13) | (8) | (2) | ||||||||||||||||||
Property & marine | (14) | 13 | (30) | ||||||||||||||||||
Other | (9) | (17) | (2) | ||||||||||||||||||
Commutations | 10 | 11 | |||||||||||||||||||
Total pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | $ | (59) | $ | (38) | $ | (74) | |||||||||||||||
2014 | |||||||||||||||||||||
Overall, favorable development for other professional liability was primarily related to better than expected severity in accident years 2012 and prior. Unfavorable development was recorded in accident year 2008 due to financial crisis claims. | |||||||||||||||||||||
Favorable development for liability was primarily related to better than expected frequency and severity in accident years 2009 and subsequent. | |||||||||||||||||||||
Favorable development for property and marine coverages primarily related to better than expected frequency of large claims in accident years 2012 and prior. | |||||||||||||||||||||
Favorable development for other coverages was a result of better than expected frequency in Hardy, primarily in financial institution coverages. | |||||||||||||||||||||
Reinsurance commutations in the first quarter of 2014 reduced ceded losses from prior years. Overall the commutations increased net operating income because of the release of the related allowance for uncollectible reinsurance. | |||||||||||||||||||||
2013 | |||||||||||||||||||||
Overall, favorable development for other professional liability was primarily related to better than expected severity in accident years 2011 and prior. Unfavorable development was recorded related to higher than expected severity in accident year 2012. | |||||||||||||||||||||
Overall, unfavorable development for property and marine coverages was primarily due to 2011 catastrophe events, including the Thailand floods and the New Zealand Lyttelton earthquake, and one large non-catastrophe claim. Favorable development was recorded related to better than expected severity in accident years 2008 through 2011. | |||||||||||||||||||||
Favorable development for other coverages was largely a result of better than expected severity in Hardy in accident year 2012. | |||||||||||||||||||||
The commutation of a third-party capital provider’s 15% participation in the 2012 year of account resulted in recognition of the 15% share of year of account premiums, losses and expenses. | |||||||||||||||||||||
2012 | |||||||||||||||||||||
Favorable development for other professional liability was primarily related to better than expected severity in accident years 2007 and prior. | |||||||||||||||||||||
Favorable development for property and marine coverages related to better than expected severity in accident years 2011 and prior. | |||||||||||||||||||||
A&EP Reserves | |||||||||||||||||||||
In 2010, Continental Casualty Company (“CCC”) together with several of CNA’s insurance subsidiaries completed a transaction with National Indemnity Company (“NICO”), a subsidiary of Berkshire Hathaway Inc., under which substantially all of CNA’s legacy A&EP liabilities were ceded to NICO (“Loss Portfolio Transfer” or “LPT”). Under the terms of the NICO transaction, CNA ceded approximately $1.6 billion of net A&EP claim and allocated claim adjustment expense reserves to NICO under a retroactive reinsurance agreement with an aggregate limit of $4.0 billion. The $1.6 billion of claim and allocated claim adjustment expense reserves ceded to NICO was net of $1.2 billion of ceded claim and allocated claim adjustment expense reserves under existing third party reinsurance contracts. The NICO aggregate reinsurance limit also covers credit risk on the existing third party reinsurance related to these liabilities. CNA paid NICO a reinsurance premium of $2.0 billion and transferred to NICO billed third party reinsurance receivables related to A&EP claims with a net book value of $215 million, resulting in total consideration of $2.2 billion. | |||||||||||||||||||||
The following table displays the impact of the Loss Portfolio Transfer on the Consolidated Statements of Income. | |||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||
(In millions) | |||||||||||||||||||||
Net A&EP adverse development before consideration of LPT | $ | - | $ | 363 | $ | 261 | |||||||||||||||
Provision for uncollectible third party reinsurance on A&EP | 140 | ||||||||||||||||||||
Additional amounts ceded under LPT | - | 503 | 261 | ||||||||||||||||||
Retroactive reinsurance benefit recognized | (13) | (314) | (261) | ||||||||||||||||||
Pretax impact of unrecognized deferred retroactive reinsurance benefit | $ | (13) | $ | 189 | $ | - | |||||||||||||||
During 2013 and 2012, unfavorable development was recorded for accident years 2000 and prior related to A&EP claims due to an increase in ultimate claim severity and higher than anticipated claim reporting, as well as increased defense costs. Additionally, in 2013 CNA recognized a provision for uncollectible third party reinsurance which increased the expected recovery from NICO. The fourth quarter 2014 A&EP reserve review was not completed. Additional information and analysis on inuring third party reinsurance recoveries are needed to finalize the review. CNA expects to complete the review in the first half of 2015. | |||||||||||||||||||||
In the fourth quarter of 2013, the cumulative amounts ceded under the Loss Portfolio Transfer of $2.5 billion exceeded the $2.2 billion consideration paid, resulting in a $189 million deferred retroactive reinsurance gain in Insurance claims and policyholders’ benefits on the Consolidated Statements of Income. This deferred benefit is recognized in earnings in proportion to actual recoveries under the Loss Portfolio Transfer. Over the life of the contract, there is no economic impact as long as any additional losses are within the limit under the contract. In 2014, $13 million of the deferred retroactive reinsurance benefit was recognized and the remaining unrecognized benefit at December 31, 2014 was $176 million. | |||||||||||||||||||||
NICO established a collateral trust account as security for its obligations to CNA. The fair value of the collateral trust account at December 31, 2014 was $3.4 billion. In addition, Berkshire Hathaway Inc. guaranteed the payment obligations of NICO up to the full aggregate reinsurance limit as well as certain of NICO’s performance obligations under the trust agreement. NICO is responsible for claims handling and billing and collection from third party reinsurers related to CNA’s A&EP claims. |
Leases
Leases | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Leases [Abstract] | |||||||||
Leases | Note 10. Leases | ||||||||
Leases cover office facilities, machinery and computer equipment. The Company’s hotels in some instances are constructed on leased land. Rent expense amounted to $94 million, $83 million and $86 million for the years ended December 31, 2014, 2013 and 2012. The table below presents the future minimum lease payments to be made under non-cancelable operating leases along with lease and sublease minimum receipts to be received on owned and leased properties. | |||||||||
Future Minimum Lease | |||||||||
Year Ended December 31 | Payments | Receipts | |||||||
(In millions) | |||||||||
2015 | $ | 59 | $ | 5 | |||||
2016 | 57 | 4 | |||||||
2017 | 52 | 4 | |||||||
2018 | 45 | 3 | |||||||
2019 | 41 | 2 | |||||||
Thereafter | 238 | 7 | |||||||
Total | $ | 492 | $ | 25 | |||||
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||
Income Taxes | Note 11. Income Taxes | ||||||||||||
The Company and its eligible subsidiaries file a consolidated federal income tax return. The Company has entered into a separate tax allocation agreement with CNA, a majority-owned subsidiary in which its ownership exceeds 80%. The agreement provides that the Company will: (i) pay to CNA the amount, if any, by which the Company’s consolidated federal income tax is reduced by virtue of inclusion of CNA in the Company’s return or (ii) be paid by CNA an amount, if any, equal to the federal income tax that would have been payable by CNA if it had filed a separate consolidated return. The agreement may be canceled by either of the parties upon thirty days written notice. | |||||||||||||
For 2012 through 2014, the Internal Revenue Service (“IRS”) has accepted the Company into the Compliance Assurance Process (“CAP”), which is a voluntary program for large corporations. Under CAP, the IRS conducts a real-time audit and works contemporaneously with the Company to resolve any issues prior to the filing of the tax return. The Company believes this approach should reduce tax-related uncertainties, if any. Although the outcome of tax audits is always uncertain, the Company believes that any adjustments resulting from audits will not have a material impact on its results of operations, financial position and cash flows. The Company and/or its subsidiaries also file income tax returns in various state, local and foreign jurisdictions. These returns, with few exceptions, are no longer subject to examination by the various taxing authorities before 2010. | |||||||||||||
Diamond Offshore, which is not included in the Company’s consolidated federal income tax return, files income tax returns in the U.S. federal, various state and foreign jurisdictions. Tax years that remain subject to examination by the various other jurisdictions include years 2008 to 2014. | |||||||||||||
The current and deferred components of income tax expense (benefit) are as follows: | |||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||
(In millions) | |||||||||||||
Income tax expense (benefit): | |||||||||||||
Federal: | |||||||||||||
Current | $ | 370 | $ | 705 | $ | 180 | |||||||
Deferred | (23) | (232) | 199 | ||||||||||
State and city: | |||||||||||||
Current | 12 | 19 | 19 | ||||||||||
Deferred | 6 | 1 | 5 | ||||||||||
Foreign | 92 | 163 | 110 | ||||||||||
Total | $ | 457 | $ | 656 | $ | 513 | |||||||
The components of U.S. and foreign income before income tax and a reconciliation between the federal income tax expense at statutory rates and the actual income tax expense is as follows: | |||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||
(In millions) | |||||||||||||
Income before income tax: | |||||||||||||
U.S. | $ | 1,499 | $ | 1,945 | $ | 1,534 | |||||||
Foreign | 311 | 332 | 488 | ||||||||||
Total | $ | 1,810 | $ | 2,277 | $ | 2,022 | |||||||
Income tax expense at statutory rate | $ | 633 | $ | 797 | $ | 708 | |||||||
Increase (decrease) in income tax expense resulting from: | |||||||||||||
Exempt investment income | (121) | (99) | (86) | ||||||||||
Foreign related tax differential | (48) | (117) | (152) | ||||||||||
Amortization of deferred charges associated with intercompany rig sales to other tax jurisdictions | 44 | 31 | 31 | ||||||||||
Taxes related to domestic affiliate | 14 | 19 | 25 | ||||||||||
Partnership earnings not subject to taxes | (39) | (38) | (43) | ||||||||||
Unrecognized tax benefit (expense) | (42) | 66 | 6 | ||||||||||
Other (a) | 16 | (3) | 24 | ||||||||||
Income tax expense | $ | 457 | $ | 656 | $ | 513 | |||||||
(a) | Includes state and local taxes, retroactive tax law changes, adjustments to prior year estimates and other non-deductible expenses. | ||||||||||||
Provision has been made for the expected U.S. federal income tax liabilities applicable to undistributed earnings of subsidiaries, except for certain subsidiaries for which the Company intends to invest the undistributed earnings indefinitely to finance foreign activities, or recover such undistributed earnings tax-free. The determination of the amount of the unrecognized deferred tax liability on approximately $2.4 billion of undistributed earnings related to foreign subsidiaries is not practicable. | |||||||||||||
A reconciliation of the beginning and ending amount of unrecognized tax benefits, excluding tax carryforwards and interest and penalties, is as follows: | |||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||
(In millions) | |||||||||||||
Balance at January 1 | $ | 91 | $ | 67 | $ | 63 | |||||||
Additions based on tax positions related to the current year | 6 | 2 | 4 | ||||||||||
Additions for tax positions related to a prior year | 31 | 5 | |||||||||||
Reductions for tax positions related to a prior year | (35) | (7) | (5) | ||||||||||
Lapse of statute of limitations | (5) | (2) | |||||||||||
Balance at December 31 | $ | 57 | $ | 91 | $ | 67 | |||||||
At December 31, 2014, 2013 and 2012, $51 million, $76 million and $48 million of unrecognized tax benefits related to Diamond Offshore would affect the effective tax rate if recognized. | |||||||||||||
The Company recognizes interest accrued related to: (i) unrecognized tax benefits in Interest expense and (ii) tax refund claims in Other revenues on the Consolidated Statements of Income. The Company recognizes penalties in Income tax expense on the Consolidated Statements of Income. Interest amounts recorded by the Company were insignificant for the years ended December 31, 2014, 2013 and 2012. The Company recorded income tax benefit of $22 million and $1 million for the years ended December 31, 2014 and 2012 and income tax expense of $38 million for the year ended December 31, 2013 related to penalties. | |||||||||||||
During 2013, Diamond Offshore received notification from the Egyptian tax authorities proposing a $1.2 billion increase in taxable income for the years 2006 to 2008. In December of 2013, Diamond Offshore accrued an additional $57 million of expense for uncertain tax positions in Egypt for all open years. During the first quarter of 2014, Diamond Offshore settled certain disputes for the years 2006 through 2008 with the Egyptian tax authorities, resulting in a net reduction to income tax expense of $17 million. | |||||||||||||
During the second quarter of 2014, the Appeals Committee in Egypt issued a decision regarding one remaining open item for the years 2006 to 2008. Diamond Offshore has filed an objection with the Egyptian courts and continues to dispute the matter, believing that its position will, more likely than not, be sustained. However, if Diamond Offshore’s position is not sustained, tax expense and related penalties would increase by approximately $50 million related to this issue for the 2006 through 2008 tax years as of December 31, 2014. | |||||||||||||
In July of 2014, the United Kingdom Finance Act (“Finance Act”) was enacted, with an effective date retroactive to April 1, 2014. Certain provisions of the Finance Act will limit the amount of tax deductions available with respect to rigs operating in the United Kingdom (“U.K.”) under bareboat charter arrangements, which has caused Diamond Offshore’s tax expense for the full year of 2014 to increase by approximately $22 million. | |||||||||||||
During the third quarter of 2014, Diamond Offshore reversed $36 million of reserves for uncertain tax positions, including $6 million for interest and $11 million for penalties, related to a favorable court decision in Brazil resulting in the closure of the 2004 and 2005 tax years, approval from Malaysian tax authorities for the settlement of tax liabilities and penalties for the years 2003 through 2008 and the expiration of the statute of limitations in Mexico for the 2008 tax year. | |||||||||||||
The following table summarizes deferred tax assets and liabilities: | |||||||||||||
December 31 | 2014 | 2013 | |||||||||||
(In millions) | |||||||||||||
Deferred tax assets: | |||||||||||||
Insurance reserves: | |||||||||||||
Property and casualty claim and claim adjustment expense reserves | $ | 265 | $ | 289 | |||||||||
Unearned premium reserves | 187 | 178 | |||||||||||
Receivables | 37 | 53 | |||||||||||
Employee benefits | 432 | 312 | |||||||||||
Life settlement contracts | 46 | 46 | |||||||||||
Deferred retroactive reinsurance benefit | 61 | 66 | |||||||||||
Net operating loss carryforwards | 321 | 42 | |||||||||||
Tax credit carryforwards | 93 | 27 | |||||||||||
Basis differential in investment in subsidiary | 21 | 23 | |||||||||||
Discontinued operations | 518 | ||||||||||||
Other | 161 | 200 | |||||||||||
Deferred tax assets | 1,624 | 1,754 | |||||||||||
Deferred tax liabilities: | |||||||||||||
Deferred acquisition costs | (226) | (232) | |||||||||||
Net unrealized gains | (469) | (361) | |||||||||||
Property, plant and equipment | (1,132) | (1,076) | |||||||||||
Basis differential in investment in subsidiary | (472) | (564) | |||||||||||
Other liabilities | (204) | (198) | |||||||||||
Deferred tax liabilities | (2,503) | (2,431) | |||||||||||
Net deferred tax liability (a) | $ | (879) | $ | (677) | |||||||||
(a) | Includes $14 million and $39 million of deferred tax assets reflected in Other assets in our Consolidated Balance Sheets at December 31, 2014 and 2013. | ||||||||||||
Federal net operating loss carryforwards of $281 million expire in 2034 and $28 million of net operating loss carryforwards in foreign tax jurisdictions can be carried forward indefinitely. Federal tax credit carryforwards of $47 million have indefinite lives and $46 million of foreign tax credit carryforwards expire in 2024. | |||||||||||||
Although realization of deferred tax assets is not assured, management believes it is more likely than not that the recognized deferred tax assets will be realized through recoupment of ordinary and capital taxes paid in prior carryback years and through future earnings, reversal of existing temporary differences and available tax planning strategies. | |||||||||||||
The American Taxpayer Relief Act of 2012 was signed into law on January 2, 2013. The act extended, through 2013, several expired or expiring temporary business provisions, commonly referred to as “extenders,” which were retroactively extended to the beginning of 2012. As required by GAAP, the effects of new legislation are recognized when signed into law. The Company reduced 2013 tax expense by $28 million as a result of recognizing the 2012 effect of the extenders. |
Debt
Debt | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Debt Disclosure [Abstract] | |||||||||||||||||||||
Debt | Note 12. Debt | ||||||||||||||||||||
December 31 | 2014 | 2013 | |||||||||||||||||||
(In millions) | |||||||||||||||||||||
Loews Corporation (Parent Company): | |||||||||||||||||||||
Senior: | |||||||||||||||||||||
5.3% notes due 2016 (effective interest rate of 5.4%) (authorized, $400) | $ | 400 | $ | 400 | |||||||||||||||||
2.6% notes due 2023 (effective interest rate of 2.8%) (authorized, $500) | 500 | 500 | |||||||||||||||||||
6.0% notes due 2035 (effective interest rate of 6.2%) (authorized, $300) | 300 | 300 | |||||||||||||||||||
4.1% notes due 2043 (effective interest rate of 4.3%) (authorized, $500) | 500 | 500 | |||||||||||||||||||
CNA Financial: | |||||||||||||||||||||
Senior: | |||||||||||||||||||||
5.9% notes due 2014 (effective interest rate of 6.0%) (authorized, $549) | 549 | ||||||||||||||||||||
6.5% notes due 2016 (effective interest rate of 6.6%) (authorized, $350) | 350 | 350 | |||||||||||||||||||
7.0% notes due 2018 (effective interest rate of 7.1%) (authorized, $150) | 150 | 150 | |||||||||||||||||||
7.4% notes due 2019 (effective interest rate of 7.5%) (authorized, $350) | 350 | 350 | |||||||||||||||||||
5.9% notes due 2020 (effective interest rate of 6.0%) (authorized, $500) | 500 | 500 | |||||||||||||||||||
5.8% notes due 2021 (effective interest rate of 5.9%) (authorized, $400) | 400 | 400 | |||||||||||||||||||
7.3% debentures due 2023 (effective interest rate of 7.3%) (authorized, $250) | 243 | 243 | |||||||||||||||||||
4.0% notes due 2024 (effective interest rate of 4.0%) (authorized, $550) | 550 | ||||||||||||||||||||
Variable rate note due 2036 (effective interest rate of 3.5%) | 30 | 30 | |||||||||||||||||||
Capital lease obligation | 2 | ||||||||||||||||||||
Diamond Offshore: | |||||||||||||||||||||
Senior: | |||||||||||||||||||||
5.2% notes due 2014 (effective interest rate of 5.2%) (authorized, $250) | 250 | ||||||||||||||||||||
4.9% notes due 2015 (effective interest rate of 5.0%) (authorized, $250) | 250 | 250 | |||||||||||||||||||
5.9% notes due 2019 (effective interest rate of 6.0%) (authorized, $500) | 500 | 500 | |||||||||||||||||||
3.5% notes due 2023 (effective interest rate of 3.6%) (authorized, $250) | 250 | 250 | |||||||||||||||||||
5.7% notes due 2039 (effective interest rate of 5.8%) (authorized, $500) | 500 | 500 | |||||||||||||||||||
4.9% notes due 2043 (effective interest rate of 5.0%) (authorized, $750) | 750 | 750 | |||||||||||||||||||
Boardwalk Pipeline: | |||||||||||||||||||||
Senior: | |||||||||||||||||||||
Variable rate revolving credit facility due 2017 (effective interest rate of 1.5% and 1.3%) | 120 | 175 | |||||||||||||||||||
Variable rate term loan due 2017 (effective interest rate of 1.9%) | 200 | 225 | |||||||||||||||||||
4.6% notes due 2015 (effective interest rate of 5.1%) (authorized, $250) | 250 | 250 | |||||||||||||||||||
5.1% notes due 2015 (effective interest rate of 5.2%) (authorized, $275) | 275 | 275 | |||||||||||||||||||
5.9% notes due 2016 (effective interest rate of 6.0%) (authorized, $250) | 250 | 250 | |||||||||||||||||||
5.5% notes due 2017 (effective interest rate of 5.6%) (authorized, $300) | 300 | 300 | |||||||||||||||||||
6.3% notes due 2017 (effective interest rate of 6.4%) (authorized, $275) | 275 | 275 | |||||||||||||||||||
5.2% notes due 2018 (effective interest rate of 5.4%) (authorized, $185) | 185 | 185 | |||||||||||||||||||
5.8% notes due 2019 (effective interest rate of 5.9%) (authorized, $350) | 350 | 350 | |||||||||||||||||||
4.5% notes due 2021 (effective interest rate of 5.0%) (authorized, $440) | 440 | 440 | |||||||||||||||||||
4.0% notes due 2022 (effective interest rate of 4.4%) (authorized, $300) | 300 | 300 | |||||||||||||||||||
3.4% notes due 2023 (effective interest rate of 3.5%) (authorized, $300) | 300 | 300 | |||||||||||||||||||
5.0% notes due 2024 (effective interest rate of 5.2%) (authorized, $350) | 350 | ||||||||||||||||||||
7.3% debentures due 2027 (effective interest rate of 8.1%) (authorized, $100) | 100 | 100 | |||||||||||||||||||
Capital lease obligation | 10 | 10 | |||||||||||||||||||
Loews Hotels: | |||||||||||||||||||||
Senior debt, principally mortgages (effective interest rates approximate 4.1% and 3.9%) | 506 | 202 | |||||||||||||||||||
10,736 | 10,409 | ||||||||||||||||||||
Less unamortized discount | 68 | 65 | |||||||||||||||||||
Debt | $ | 10,668 | $ | 10,344 | |||||||||||||||||
December 31, 2014 | Principal | Unamortized | Net | Short Term | Long Term | ||||||||||||||||
Discount | Debt | Debt | |||||||||||||||||||
(In millions) | |||||||||||||||||||||
Loews Corporation | $ | 1,700 | $ | 20 | $ | 1,680 | $ | 1,680 | |||||||||||||
CNA Financial | 2,575 | 14 | 2,561 | 2,561 | |||||||||||||||||
Diamond Offshore | 2,250 | 19 | 2,231 | $ | 250 | 1,981 | |||||||||||||||
Boardwalk Pipeline | 3,705 | 15 | 3,690 | 3,690 | |||||||||||||||||
Loews Hotels | 506 | 506 | 85 | 421 | |||||||||||||||||
Total | $ | 10,736 | $ | 68 | $ | 10,668 | $ | 335 | $ | 10,333 | |||||||||||
At December 31, 2014, the aggregate of long term debt maturing in each of the next five years is approximately as follows: $335 million in 2015, $1.0 billion in 2016, $1.5 billion in 2017, $368 million in 2018, $1.5 billion in 2019 and $6.0 billion thereafter. Long term debt is generally redeemable in whole or in part at the greater of the principal amount or the net present value of scheduled payments discounted at the specified treasury rate plus a margin. | |||||||||||||||||||||
CNA Financial | |||||||||||||||||||||
CNA is a member of the Federal Home Loan Bank of Chicago (“FHLBC”). FHLBC membership provides participants with access to additional sources of liquidity through various programs and services. As a requirement of membership in the FHLBC, CNA held $16 million of FHLBC stock as of December 31, 2014, giving it access to approximately $330 million of additional liquidity. As of December 31, 2014, CNA has no outstanding borrowings from the FHLBC. | |||||||||||||||||||||
In February of 2014, CNA completed a public offering of $550 million aggregate principal amount of 4.0% senior notes due May 15, 2024 and in December of 2014, used the proceeds to repay at maturity the entire $549 million principal amount of its 5.9% senior notes. | |||||||||||||||||||||
CNA has a $250 million revolving credit agreement. The credit agreement, which matures on April 19, 2016, bears interest at London Interbank Offered Rate (“LIBOR”) plus an applicable margin. At CNA’s election the commitments under the unsecured credit facility may be increased from time to time up to an additional aggregate amount of $100 million. As of December 31, 2014, there were no borrowings under the credit facility and CNA was in compliance with all covenants. | |||||||||||||||||||||
Diamond Offshore | |||||||||||||||||||||
In September of 2014, Diamond Offshore repaid at maturity the entire $250 million principal amount of its 5.2% senior notes. | |||||||||||||||||||||
Diamond Offshore has a $1.5 billion revolving credit agreement with a maturity date of 2019. The credit agreement bears interest at Diamond Offshore’s option on either an alternate base rate or Eurodollar rate, as defined in the credit agreement, plus an applicable margin. As of December 31, 2014, there were no borrowings under the credit facility and Diamond Offshore was in compliance with all covenants. | |||||||||||||||||||||
Boardwalk Pipeline | |||||||||||||||||||||
In November of 2014, Boardwalk Pipeline issued $350 million in aggregate principal amount of 5.0% Senior Notes due December 15, 2024. In February of 2015, Boardwalk Pipeline used a portion of the net proceeds to retire all of the outstanding $275 million aggregate principal amount of 5.1% notes due 2015. Boardwalk Pipeline intends to refinance all of the outstanding $250 million aggregate principal amount of 4.6% notes due 2015 on a long term basis and will have sufficient available capacity under their revolving credit facility to extend the amount that would otherwise come due in less than one year. The Boardwalk Pipeline Senior Notes due in 2015 are included in Long term debt on the Consolidated Balance Sheets. | |||||||||||||||||||||
Boardwalk Pipeline has a revolving credit agreement with aggregate lending commitments of $1.0 billion. The credit agreement has a maturity date of April 27, 2017. As of December 31, 2014, Boardwalk Pipeline had $120 million of borrowings outstanding under the revolving credit facility with a weighted average interest rate on the borrowings of 1.5% and had no letters of credit issued. As of December 31, 2014, Boardwalk Pipeline was in compliance with all covenants under the credit facility and had available borrowing capacity of $880 million. | |||||||||||||||||||||
Loews Hotels | |||||||||||||||||||||
In August of 2014, Loews Hotels refinanced a $125 million 4.8% mortgage loan and entered into a new $300 million 4.1% mortgage loan due in September of 2024. |
Shareholders_Equity
Shareholders' Equity | 12 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||
Equity [Abstract] | |||||||||||||||||||||||||||||
Shareholders' Equity | Note 13. Shareholders’ Equity | ||||||||||||||||||||||||||||
Accumulated other comprehensive income | |||||||||||||||||||||||||||||
The tables below display the changes in Accumulated other comprehensive income (“AOCI”) by component for the years ended December 31, 2012, 2013 and 2014: | |||||||||||||||||||||||||||||
OTTI | Unrealized | Discontinued | Cash Flow | Pension | Foreign | Total | |||||||||||||||||||||||
Gains | Gains (Losses) | Operations | Hedges | Liability | Currency | Accumulated | |||||||||||||||||||||||
(Losses) | on Investments | Translation | Other | ||||||||||||||||||||||||||
Comprehensive | |||||||||||||||||||||||||||||
Income (Loss) | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Balance, January 1, 2012 | $ | (57) | $ | 929 | $ | 31 | $ | (6) | $ | (621) | $ | 108 | $ | 384 | |||||||||||||||
Other comprehensive income (loss) before reclassifications, after tax of $(54), $(151), $(16), $(1), $76 and $0 | 102 | 281 | 28 | -2 | -145 | 39 | 303 | ||||||||||||||||||||||
Reclassification of (gains) losses from accumulated other comprehensive income, after tax of $10, $(31), $21, $(1), $(8) and $0 | -18 | 58 | (39) | 5 | 13 | 19 | |||||||||||||||||||||||
Other comprehensive income (loss) | 84 | 339 | (11) | 3 | -132 | 39 | 322 | ||||||||||||||||||||||
Issuance of equity securities by subsidiary | 5 | 5 | |||||||||||||||||||||||||||
Amounts attributable to noncontrolling interests | -9 | (35) | -1 | 16 | -4 | (33) | |||||||||||||||||||||||
Balance, December 31, 2012 | 18 | 1,233 | 20 | -4 | -732 | 143 | 678 | ||||||||||||||||||||||
Other comprehensive income (loss) before reclassifications, after tax of $(3), $354, $3, $4, $(165) and $0 | 6 | (658) | (6) | -6 | 307 | -11 | (368) | ||||||||||||||||||||||
Reclassification of (gains) losses from accumulated other comprehensive income, after tax of $0, $10, $10, $(2), $(12) and $0 | (21) | (17) | 6 | 22 | (10) | ||||||||||||||||||||||||
Other comprehensive income (loss) | 6 | (679) | (23) | - | 329 | -11 | (378) | ||||||||||||||||||||||
Issuance of equity securities by subsidiary | 2 | 2 | |||||||||||||||||||||||||||
Amounts attributable to noncontrolling interests | -1 | 68 | -31 | 1 | 37 | ||||||||||||||||||||||||
Balance, December 31, 2013 | 23 | 622 | (3) | -4 | -432 | 133 | 339 | ||||||||||||||||||||||
Sale of subsidiaries | -5 | (15) | 20 | - | |||||||||||||||||||||||||
Other comprehensive income (loss) before reclassifications, after tax of $(8), $(132), $(3), $1, $132 and $0 | 15 | 295 | 2 | -2 | -244 | -94 | (28) | ||||||||||||||||||||||
Reclassification of (gains) losses from accumulated other comprehensive income, after tax of $0, $10, $16, $0, $(7) and $0 | (28) | (21) | -1 | 9 | (41) | ||||||||||||||||||||||||
Other comprehensive income (loss) | 15 | 267 | (19) | -3 | -235 | -94 | (69) | ||||||||||||||||||||||
Amounts attributable to noncontrolling interests | -1 | (28) | 2 | 1 | 26 | 10 | 10 | ||||||||||||||||||||||
Balance, December 31, 2014 | $ | 32 | $ | 846 | $ | - | $ | -6 | $ | -641 | $ | 49 | $ | 280 | |||||||||||||||
Amounts reclassified from AOCI shown above are reported in Net income as follows: | |||||||||||||||||||||||||||||
Major Category of AOCI | Affected Line Item | ||||||||||||||||||||||||||||
OTTI gains (losses) | Investment gains (losses) | ||||||||||||||||||||||||||||
Unrealized gains (losses) on investments | Investment gains (losses) | ||||||||||||||||||||||||||||
Unrealized gains (losses) and cash flow hedges related to discontinued operations | Discontinued operations, net | ||||||||||||||||||||||||||||
Cash flow hedges | Other revenues and Contract drilling expenses | ||||||||||||||||||||||||||||
Pension liability | Other operating expenses | ||||||||||||||||||||||||||||
Common Stock Dividends | |||||||||||||||||||||||||||||
Dividends of $0.25 per share on the Company’s common stock were declared and paid in 2014, 2013 and 2012. | |||||||||||||||||||||||||||||
There are no restrictions on the Company’s retained earnings or net income with regard to payment of dividends. However, as a holding company, Loews relies upon invested cash balances and distributions from its subsidiaries to generate the funds necessary to declare and pay any dividends to holders of its common stock. The ability of the Company’s subsidiaries to pay dividends is subject to, among other things, the availability of sufficient earnings and funds in such subsidiaries, compliance with covenants in their respective loan agreements and applicable state laws, including in the case of the insurance subsidiaries of CNA, laws and rules governing the payment of dividends by regulated insurance companies. See Note 14 for a discussion of the regulatory restrictions on CNA’s availability to pay dividends. | |||||||||||||||||||||||||||||
Subsidiary Equity Transactions | |||||||||||||||||||||||||||||
Diamond Offshore repurchased 1.9 million shares of its outstanding common stock at an aggregate cost of $88 million during 2014. Loews purchased 1.9 million shares of Diamond Offshore common stock at an aggregate cost of $61 million during 2014. The Company’s percentage ownership interest in Diamond Offshore increased as a result of these transactions, from 50.4% to 52.5%. The purchase price of the shares exceeded the Company’s carrying value, resulting in a decrease to Additional paid-in capital of $1 million. | |||||||||||||||||||||||||||||
Treasury Stock | |||||||||||||||||||||||||||||
The Company repurchased 14.6 million, 4.9 million and 5.6 million shares of Loews common stock at aggregate costs of $622 million, $218 million and $222 million during the years ended December 31, 2014, 2013 and 2012. Upon retirement, treasury stock is eliminated through a reduction to common stock, APIC and retained earnings. |
Statutory_Accounting_Practices
Statutory Accounting Practices | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Text Block [Abstract] | |||||||||||||||||||||
Statutory Accounting Practices | Note 14. Statutory Accounting Practices | ||||||||||||||||||||
CNA’s insurance subsidiaries are domiciled in various jurisdictions. These subsidiaries prepare statutory financial statements in accordance with accounting practices prescribed or permitted by the respective jurisdictions’ insurance regulators. Domestic prescribed statutory accounting practices are set forth in a variety of publications of the National Association of Insurance Commissioners (“NAIC”) as well as state laws, regulations and general administrative rules. These statutory accounting principles vary in certain respects from GAAP. In converting from statutory accounting principles to GAAP, the more significant adjustments include deferral of policy acquisition costs and the inclusion of net unrealized holding gains or losses in shareholders’ equity relating to certain fixed maturity securities. | |||||||||||||||||||||
The payment of dividends by CNA’s insurance subsidiaries without prior approval of the insurance department of each subsidiary’s domiciliary jurisdiction is generally limited by formula. Dividends in excess of these amounts are subject to prior approval by the respective insurance regulator. | |||||||||||||||||||||
Dividends from CCC are subject to the insurance holding company laws of the State of Illinois, the domiciliary state of CCC. Under these laws, ordinary dividends, or dividends that do not require prior approval by the Department, are determined based on statutory net income and surplus as well as timing of dividends paid in the preceding twelve months. Ordinary dividends may only be paid from earned surplus, which is calculated by removing unrealized gains from unassigned surplus. As of December 31, 2014, CCC is in a positive earned surplus position, enabling CCC to pay approximately $466 million of dividend payments during 2015 that would not be subject to the Department’s prior approval. The actual level of dividends paid in any year is determined after an assessment of available dividend capacity, holding company liquidity and cash needs as well as the impact the dividends will have on the statutory surplus of the applicable insurance company. | |||||||||||||||||||||
Combined statutory capital and surplus and net income (loss), determined in accordance with accounting practices prescribed or permitted by insurance and/or other regulatory authorities for the Combined Continental Casualty Companies and the life company, were as follows: | |||||||||||||||||||||
Statutory Capital and Surplus | Statutory Net Income | ||||||||||||||||||||
December 31 | Year Ended December 31 | ||||||||||||||||||||
2014 (a) | 2013 (b) | 2014 (a) | 2013 | 2012 | |||||||||||||||||
(In millions) | |||||||||||||||||||||
Combined Continental Casualty Companies | $ | 11,155 | $ | 11,137 | $ | 914 | $ | 913 | $ | 391 | |||||||||||
Life company | - | 597 | 37 | 48 | 44 | ||||||||||||||||
(a) | Information derived from the statutory-basis financial statements to be filed with insurance regulators. | ||||||||||||||||||||
(b) | Represents the combined statutory surplus of CCC and its subsidiaries, including the life company. | ||||||||||||||||||||
CNA’s domestic insurance subsidiaries are subject to risk-based capital (“RBC”) requirements. RBC is a method developed by the NAIC to determine the minimum amount of statutory capital appropriate for an insurance company to support its overall business operations in consideration of its size and risk profile. The formula for determining the amount of RBC specifies various factors, weighted based on the perceived degree of risk, which are applied to certain financial balances and financial activity. The adequacy of a company’s actual capital is evaluated by a comparison to the RBC results, as determined by the formula. Companies below minimum RBC requirements are classified within certain levels, each of which requires specified corrective action. | |||||||||||||||||||||
The statutory capital and surplus presented above for CCC was approximately 270% and 265% of company action level RBC at December 31, 2014 and 2013. Company action level RBC is the level of RBC which triggers a heightened level of regulatory supervision. The statutory capital and surplus of CCC’s foreign insurance subsidiaries, which is not significant to the overall statutory capital and surplus, also met or exceeded their respective regulatory and other capital requirements. | |||||||||||||||||||||
The Hardy entities are not owned by CCC, therefore their regulatory capital is not included in the Statutory Capital and Surplus of the Combined Continental Casualty Companies presented in the table above. At December 31, 2014, Hardy’s capital requirement included $105 million of capital provided by CCC which is included in Combined Continental Casualty Companies’ Statutory Capital and Surplus above. |
Benefit_Plans
Benefit Plans | 12 Months Ended | ||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | |||||||||||||||||||||||||||
Benefit Plans | Note 15. Benefit Plans | ||||||||||||||||||||||||||
Pension Plans – The Company has several non-contributory defined benefit plans for eligible employees. Benefits for certain plans are determined annually based on a specified percentage of annual earnings (based on the participant’s age or years of service) and a specified interest rate (which is established annually for all participants) applied to accrued balances. The benefits for another plan which covers salaried employees are based on formulas which include, among others, years of service and average pay. The Company’s funding policy is to make contributions in accordance with applicable governmental regulatory requirements. | |||||||||||||||||||||||||||
Other Postretirement Benefit Plans – The Company has several postretirement benefit plans covering eligible employees and retirees. Participants generally become eligible after reaching age 55 with required years of service. Actual requirements for coverage vary by plan. Benefits for retirees who were covered by bargaining units vary by each unit and contract. Benefits for certain retirees are in the form of a Company health care account. | |||||||||||||||||||||||||||
Benefits for retirees reaching age 65 are generally integrated with Medicare. Other retirees, based on plan provisions, must use Medicare as their primary coverage, with the Company reimbursing a portion of the unpaid amount; or are reimbursed for the Medicare Part B premium or have no Company coverage. The benefits provided by the Company are basically health and, for certain retirees, life insurance type benefits. | |||||||||||||||||||||||||||
The Company funds certain of these benefit plans, and accrues postretirement benefits during the active service of those employees who would become eligible for such benefits when they retire. The Company uses December 31 as the measurement date for its plans. | |||||||||||||||||||||||||||
Weighted average assumptions used to determine benefit obligations: | |||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | ||||||||||||||||||||||||||
December 31 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||
Discount rate | 3.70% | 4.40% | 3.60% | 3.40% | 4.20% | 3.50% | |||||||||||||||||||||
Expected long term rate of return on plan assets | 7.50% | 7.50% | 7.5% to 7.8% | 5.30% | 5.30% | 5.30% | |||||||||||||||||||||
Rate of compensation increase | 3.5% to 5.5% | 3.5% to 5.5% | 3.5% to 5.5% | ||||||||||||||||||||||||
Weighted average assumptions used to determine net periodic benefit cost: | |||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | ||||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||
Discount rate | 4.40% | 3.90% | 4.50% | 4.00% | 3.50% | 4.40% | |||||||||||||||||||||
Expected long term rate of return on plan assets | 7.50% | 7.5% to 7.8% | 7.5% to 8.0% | 5.30% | 5.30% | 5.30% | |||||||||||||||||||||
Rate of compensation increase | 3.5% to 5.5% | 3.5% to 5.5% | 4.0% to 5.5% | ||||||||||||||||||||||||
The expected long term rate of return for plan assets is determined based on widely-accepted capital market principles, long term return analysis for global fixed income and equity markets as well as the active total return oriented portfolio management style. Long term trends are evaluated relative to market factors such as inflation, interest rates and fiscal and monetary policies, in order to assess the capital market assumptions as applied to the plan. Consideration of diversification needs and rebalancing is maintained. | |||||||||||||||||||||||||||
Assumed health care cost trend rates: | |||||||||||||||||||||||||||
December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||||
Health care cost trend rate assumed for next year | 4.0% to 8.0% | 4.0% to 8.5% | 4.0% to 8.5% | ||||||||||||||||||||||||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | 4.0% to 5.0% | 4.0% to 5.0% | 4.0% to 5.0% | ||||||||||||||||||||||||
Year that the rate reaches the ultimate trend rate | 2015-2021 | 2014-2022 | 2013-2021 | ||||||||||||||||||||||||
Assumed health care cost trend rates have a significant effect on the amounts reported for the health care plans. An increase or decrease in the assumed health care cost trend rate of 1% in each year would not have a significant impact on the Company’s service and interest cost as of December 31, 2014. An increase of 1% in each year would increase the Company’s accumulated postretirement benefit obligation as of December 31, 2014 by $3 million and a decrease of 1% in each year would decrease the Company’s accumulated postretirement benefit obligation as of December 31, 2014 by $3 million. | |||||||||||||||||||||||||||
Net periodic benefit cost components: | |||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | ||||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||
Service cost | $ | 16 | $ | 22 | $ | 24 | $ | 1 | $ | 1 | $ | 1 | |||||||||||||||
Interest cost | 149 | 136 | 151 | 4 | 4 | 5 | |||||||||||||||||||||
Expected return on plan assets | (209) | (198) | (188) | -4 | -5 | (4) | |||||||||||||||||||||
Amortization of unrecognized net loss | 30 | 54 | 47 | 1 | 1 | ||||||||||||||||||||||
Amortization of unrecognized prior service benefit | -1 | -18 | -25 | (25) | |||||||||||||||||||||||
Settlement/Curtailment | 86 | 5 | -86 | ||||||||||||||||||||||||
Net periodic benefit cost | $ | 71 | $ | 19 | $ | 34 | $ | (102) | $ | (24) | $ | (23) | |||||||||||||||
During 2014, CNA offered a limited-time lump sum settlement payment opportunity to the majority of the terminated vested participants of the CNA Retirement Plan. Settlement payments of $253 million were made from CNA Retirement Plan assets and an $84 million settlement charge was recorded by the Company in the fourth quarter of 2014 to recognize a portion of the unrecognized actuarial losses previously reflected in AOCI. This settlement charge is included in Other operating expenses in the Consolidated Statements of Income. | |||||||||||||||||||||||||||
In the second quarter of 2014, CNA eliminated certain postretirement medical benefits associated with the CNA Health and Group Benefits Program. This change was a negative plan amendment which resulted in an $86 million curtailment gain reported in Other operating expenses in the Consolidated Statements of Income. In connection with the plan amendment, CNA remeasured the plan benefit obligation which resulted in a decrease to the discount rate used to determine the benefit obligation from 3.6% to 3.1%. | |||||||||||||||||||||||||||
The following provides a reconciliation of benefit obligations and plan assets: | |||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | ||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||
Change in benefit obligation: | |||||||||||||||||||||||||||
Benefit obligation at January 1 | $ | 3,336 | $ | 3,700 | $ | 101 | $ | 122 | |||||||||||||||||||
Service cost | 16 | 22 | 1 | 1 | |||||||||||||||||||||||
Interest cost | 149 | 136 | 4 | 4 | |||||||||||||||||||||||
Plan participants’ contributions | 6 | 6 | |||||||||||||||||||||||||
Amendments/Curtailments | -4 | -13 | -7 | (2) | |||||||||||||||||||||||
Actuarial (gain) loss | 402 | -313 | 7 | (13) | |||||||||||||||||||||||
Benefits paid from plan assets | -178 | -178 | -15 | (17) | |||||||||||||||||||||||
Settlements | -268 | -19 | |||||||||||||||||||||||||
Foreign exchange | -7 | 1 | |||||||||||||||||||||||||
Benefit obligation at December 31 | 3,446 | 3,336 | 97 | 101 | |||||||||||||||||||||||
Change in plan assets: | |||||||||||||||||||||||||||
Fair value of plan assets at January 1 | 2,914 | 2,672 | 81 | 87 | |||||||||||||||||||||||
Actual return on plan assets | 233 | 340 | 9 | (2) | |||||||||||||||||||||||
Company contributions | 19 | 98 | 6 | 7 | |||||||||||||||||||||||
Plan participants’ contributions | 6 | 6 | |||||||||||||||||||||||||
Benefits paid from plan assets | -178 | -178 | -15 | (17) | |||||||||||||||||||||||
Settlements | -268 | -19 | |||||||||||||||||||||||||
Foreign exchange | -7 | 1 | |||||||||||||||||||||||||
Fair value of plan assets at December 31 | 2,713 | 2,914 | 87 | 81 | |||||||||||||||||||||||
Funded status | $ | -733 | $ | -422 | $ | -10 | $ | (20) | |||||||||||||||||||
Amounts recognized in the Consolidated Balance Sheets consist of: | |||||||||||||||||||||||||||
Other assets | $ | 9 | $ | 9 | $ | 32 | $ | 31 | |||||||||||||||||||
Other liabilities | -742 | -431 | -42 | (51) | |||||||||||||||||||||||
Net amount recognized | $ | -733 | $ | -422 | $ | -10 | $ | (20) | |||||||||||||||||||
Amounts recognized in Accumulated other comprehensive income (loss), not yet recognized in net periodic (benefit) cost: | |||||||||||||||||||||||||||
Prior service credit | $ | -5 | $ | -6 | $ | -19 | $ | (117) | |||||||||||||||||||
Net actuarial loss | 1,090 | 831 | 18 | 18 | |||||||||||||||||||||||
Net amount recognized | $ | 1,085 | $ | 825 | $ | -1 | $ | (99) | |||||||||||||||||||
Information for plans with projected and accumulated benefit obligations in excess of plan assets: | |||||||||||||||||||||||||||
Projected benefit obligation | $ | 3,336 | $ | 3,229 | |||||||||||||||||||||||
Accumulated benefit obligation | 3,262 | 3,160 | $ | 42 | $ | 51 | |||||||||||||||||||||
Fair value of plan assets | 2,713 | 2,914 | |||||||||||||||||||||||||
The accumulated benefit obligation for all defined benefit pension plans was $3.4 billion and $3.3 billion at December 31, 2014 and 2013. | |||||||||||||||||||||||||||
The Company employs a total return approach whereby a mix of equity and fixed maturity securities are used to maximize the long term return of plan assets for a prudent level of risk and to manage cash flows according to plan requirements. The target allocation of plan assets is 40% to 60% invested in equity securities and limited partnerships, with the remainder primarily invested in fixed maturity securities. The intent of this strategy is to minimize the Company’s expenses by generating investment returns that exceed the growth of the plan liabilities over the long run. Risk tolerance is established after careful consideration of the plan liabilities, plan funded status and corporate financial conditions. The investment portfolio contains a diversified blend of fixed maturity, equity and short term securities. Alternative investments, including limited partnerships, are used to enhance risk adjusted long term returns while improving portfolio diversification. At December 31, 2014, the Company had committed $115 million to future capital calls from various third party limited partnership investments in exchange for an ownership interest in the related partnerships. Investment risk is monitored through annual liability measurements, periodic asset/liability studies and quarterly investment portfolio reviews. | |||||||||||||||||||||||||||
The table below presents the estimated amounts to be recognized from AOCI into net periodic cost (benefit) during 2015. | |||||||||||||||||||||||||||
Pension | Other | ||||||||||||||||||||||||||
Benefits | Postretirement | ||||||||||||||||||||||||||
Benefits | |||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||
Amortization of net actuarial loss | $ | 45 | $ 1 | ||||||||||||||||||||||||
Amortization of prior service credit | (1) | (10) | |||||||||||||||||||||||||
Total estimated amounts to be recognized | $ | 44 | $ (9) | ||||||||||||||||||||||||
The table below presents the estimated future minimum benefit payments at December 31, 2014. | |||||||||||||||||||||||||||
Expected future benefit payments | Pension | Other | |||||||||||||||||||||||||
Benefits | Postretirement | ||||||||||||||||||||||||||
Benefits | |||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||
2015 | $ | 217 | $ 9 | ||||||||||||||||||||||||
2016 | 212 | 8 | |||||||||||||||||||||||||
2017 | 211 | 8 | |||||||||||||||||||||||||
2018 | 217 | 8 | |||||||||||||||||||||||||
2019 | 219 | 7 | |||||||||||||||||||||||||
2020 - 2024 | 1,100 | 30 | |||||||||||||||||||||||||
In 2015, it is expected that contributions of approximately $17 million will be made to pension plans and $5 million to postretirement health care and life insurance benefit plans. | |||||||||||||||||||||||||||
Pension plan assets measured at fair value on a recurring basis are summarized below. | |||||||||||||||||||||||||||
December 31, 2014 | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Corporate and other bonds | $ | 463 | $ | 15 | $ | 478 | |||||||||||||||||||||
States, municipalities and political subdivisions | 80 | 80 | |||||||||||||||||||||||||
Asset-backed | 216 | 216 | |||||||||||||||||||||||||
U.S. Treasury and obligations of government-sponsored enterprises | $ | 25 | 25 | ||||||||||||||||||||||||
Total fixed maturities | 25 | 759 | 15 | 799 | |||||||||||||||||||||||
Equity securities | 432 | 118 | 550 | ||||||||||||||||||||||||
Short term investments | 58 | 101 | 159 | ||||||||||||||||||||||||
Fixed income mutual funds | 99 | 99 | |||||||||||||||||||||||||
Limited partnerships: | |||||||||||||||||||||||||||
Hedge funds | 619 | 333 | 952 | ||||||||||||||||||||||||
Private equity | 123 | 123 | |||||||||||||||||||||||||
Total limited partnerships | - | 619 | 456 | 1,075 | |||||||||||||||||||||||
Other assets | 1 | 30 | 31 | ||||||||||||||||||||||||
Total | $ | 615 | $ | 1,627 | $ | 471 | $ | 2,713 | |||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Corporate and other bonds | $ | 505 | $ | 15 | $ | 520 | |||||||||||||||||||||
States, municipalities and political subdivisions | 73 | 73 | |||||||||||||||||||||||||
Asset-backed | 254 | 254 | |||||||||||||||||||||||||
Total fixed maturities | $ | - | 832 | 15 | 847 | ||||||||||||||||||||||
Equity securities | 527 | 117 | 8 | 652 | |||||||||||||||||||||||
Short term investments | 49 | 49 | 98 | ||||||||||||||||||||||||
Fixed income mutual funds | 100 | 100 | |||||||||||||||||||||||||
Limited partnerships: | |||||||||||||||||||||||||||
Hedge funds | 705 | 352 | 1,057 | ||||||||||||||||||||||||
Private equity | 125 | 125 | |||||||||||||||||||||||||
Total limited partnerships | - | 705 | 477 | 1,182 | |||||||||||||||||||||||
Other assets | 35 | 35 | |||||||||||||||||||||||||
Total | $ | 676 | $ | 1,738 | $ | 500 | $ | 2,914 | |||||||||||||||||||
The limited partnership investments are recorded at fair value, which represents the plans’ share of the net asset value of each partnership. The share of the net asset value of each partnership is determined by the General Partner and is based upon the fair value of the underlying investments, which are valued using varying market approaches. Level 2 includes limited partnership investments which can be redeemed at net asset value in 90 days or less. Level 3 includes limited partnership investments with withdrawal provisions greater than 90 days, or for which withdrawals are not permitted until the termination of the partnership. Within hedge fund strategies, approximately 58% are equity related, 37% pursue a multi-strategy approach and 5% are focused on distressed investments at December 31, 2014. | |||||||||||||||||||||||||||
For a discussion of the valuation methodologies used to measure fixed maturity securities, equities and short term investments, see Note 4. | |||||||||||||||||||||||||||
The tables below present reconciliations for all pension plan assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the years ended December 31, 2014 and 2013: | |||||||||||||||||||||||||||
Net | Net Transfers | Balance at | |||||||||||||||||||||||||
Actual Return on Assets | Purchases, | In (Out) of | December 31, | ||||||||||||||||||||||||
Sales, and | Level 3 | ||||||||||||||||||||||||||
2014 | Balance at | Still Held at | Sold During | Settlements | |||||||||||||||||||||||
January 1, | December 31, | the Year | |||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Corporate and other bonds | $ 15 | $ 15 | |||||||||||||||||||||||||
Equity securities | 8 | $ (8) | |||||||||||||||||||||||||
Limited partnerships: | |||||||||||||||||||||||||||
Hedge funds | 352 | $ 21 | (40) | 333 | |||||||||||||||||||||||
Private equity | 125 | 19 | $ 1 | (22) | 123 | ||||||||||||||||||||||
Total limited partnerships | 477 | 40 | 1 | (62) | $ - | 456 | |||||||||||||||||||||
Total | $ 500 | $ 40 | $ 1 | $ (70) | $ - | $ 471 | |||||||||||||||||||||
2013 | |||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Corporate and other bonds | $ 11 | $ (1) | $ 5 | $ 15 | |||||||||||||||||||||||
Equity securities | 5 | 3 | 8 | ||||||||||||||||||||||||
Limited partnerships: | |||||||||||||||||||||||||||
Hedge funds | 391 | 62 | (85) | $ (16) | 352 | ||||||||||||||||||||||
Private equity | 69 | 2 | $ (1) | 55 | 125 | ||||||||||||||||||||||
Total limited partnerships | 460 | 64 | (1) | (30) | (16) | 477 | |||||||||||||||||||||
Investment contracts with insurance company | 10 | (10) | - | ||||||||||||||||||||||||
Total | $ 486 | $ 66 | $ (1) | $ (35) | $ (16) | $ 500 | |||||||||||||||||||||
Other postretirement benefits plan assets measured at fair value on a recurring basis are summarized below. | |||||||||||||||||||||||||||
December 31, 2014 | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Corporate and other bonds | $ | 18 | $ | 18 | |||||||||||||||||||||||
States, municipalities and political subdivisions | 43 | 43 | |||||||||||||||||||||||||
Asset-backed | 20 | 20 | |||||||||||||||||||||||||
Total fixed maturities | $ | - | 81 | $ | - | 81 | |||||||||||||||||||||
Short term investments | 3 | 3 | |||||||||||||||||||||||||
Fixed income mutual funds | 3 | 3 | |||||||||||||||||||||||||
Total | $ | 6 | $ | 81 | $ | - | $ | 87 | |||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Corporate and other bonds | $ | 17 | $ | 17 | |||||||||||||||||||||||
States, municipalities and political subdivisions | 38 | 38 | |||||||||||||||||||||||||
Asset-backed | 20 | 20 | |||||||||||||||||||||||||
Total fixed maturities | $ | - | 75 | $ | - | 75 | |||||||||||||||||||||
Short term investments | 3 | 3 | |||||||||||||||||||||||||
Fixed income mutual funds | 3 | 3 | |||||||||||||||||||||||||
Total | $ | 6 | $ | 75 | $ | - | $ | 81 | |||||||||||||||||||
There were no Level 3 assets at December 31, 2014 and 2013. | |||||||||||||||||||||||||||
Savings Plans – The Company and its subsidiaries have several contributory savings plans which allow employees to make regular contributions based upon a percentage of their salaries. Matching contributions are made up to specified percentages of employees’ contributions. The contributions by the Company and its subsidiaries to these plans amounted to $125 million, $120 million and $113 million for the years ended December 31, 2014, 2013 and 2012. | |||||||||||||||||||||||||||
Stock Option Plans – In 2012, shareholders approved the amended and restated Loews Corporation 2000 Stock Option Plan (the “Loews Plan”). The aggregate number of shares of Loews common stock for which options or SARs may be granted under the Loews Plan is 18,000,000 shares, and the maximum number of shares of Loews common stock with respect to which options or SARs may be granted to any individual in any calendar year is 1,200,000 shares. The exercise price per share may not be less than the fair market value of the common stock on the date of grant. Generally, options and SARs vest ratably over a four-year period and expire in ten years. | |||||||||||||||||||||||||||
A summary of the stock option and SAR transactions for the Loews Plan follows: | |||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||
Number of | Weighted | Number of | Weighted | ||||||||||||||||||||||||
Awards | Average | Awards | Average | ||||||||||||||||||||||||
Exercise | Exercise | ||||||||||||||||||||||||||
Price | Price | ||||||||||||||||||||||||||
Awards outstanding, January 1 | 6,476,391 | $ | 38.497 | 6,535,150 | $ | 36.963 | |||||||||||||||||||||
Granted | 910,375 | 43.839 | 903,975 | 44.408 | |||||||||||||||||||||||
Exercised | -392,519 | 24.670 | -871,155 | 32.542 | |||||||||||||||||||||||
Canceled | -85,469 | 45.117 | -91,579 | 43.975 | |||||||||||||||||||||||
Awards outstanding, December 31 | 6,908,778 | 39.905 | 6,476,391 | 38.497 | |||||||||||||||||||||||
Awards exercisable, December 31 | 4,924,249 | $ | 38.742 | 4,496,245 | $ | 37.282 | |||||||||||||||||||||
The following table summarizes information about the Company’s stock options and SARs outstanding in connection with the Loews Plan at December 31, 2014: | |||||||||||||||||||||||||||
Awards Outstanding | Awards Exercisable | ||||||||||||||||||||||||||
Range of exercise prices | Number of | Weighted | Weighted | Number of | Weighted | ||||||||||||||||||||||
Shares | Average | Average | Shares | Average | |||||||||||||||||||||||
Remaining | Exercise | Exercise | |||||||||||||||||||||||||
Contractual | Price | Price | |||||||||||||||||||||||||
Life | |||||||||||||||||||||||||||
$20.01-30.00 | 584,200 | 2.71 | $ | 25.207 | 584,200 | $ | 25.207 | ||||||||||||||||||||
30.01-40.00 | 2,674,903 | 4.7 | 36.874 | 2,284,666 | 36.567 | ||||||||||||||||||||||
40.01-50.00 | 3,468,850 | 6.39 | 44.135 | 1,874,558 | 44.419 | ||||||||||||||||||||||
50.01-60.00 | 180,825 | 2.05 | 51.08 | 180,825 | 51.080 | ||||||||||||||||||||||
In 2014, the Company awarded SARs totaling 910,375 shares. In accordance with the Loews Plan, the Company has the ability to settle SARs in shares or cash and has the intention to settle in shares. The SARs balance at December 31, 2014 was 6,621,522 shares. There were 6,099,228 shares and 6,838,923 shares available for grant as of December 31, 2014 and 2013. | |||||||||||||||||||||||||||
The weighted average remaining contractual terms of awards outstanding and exercisable as of December 31, 2014, were 5.3 years and 4.2 years. The aggregate intrinsic values of awards outstanding and exercisable at December 31, 2014 were $24 million and $23 million. The total intrinsic value of awards exercised was $8 million, $11 million and $18 million for the years ended 2014, 2013 and 2012. The total fair value of shares vested was $7 million, $7 million and $11 million for the years ended 2014, 2013 and 2012. | |||||||||||||||||||||||||||
The Company recorded stock-based compensation expense of $6 million, $7 million and $8 million related to the Loews Plan for the years ended December 31, 2014, 2013 and 2012. The related income tax benefits recognized were $2 million, $2 million and $3 million. At December 31, 2014, the compensation cost related to nonvested awards not yet recognized was $9 million, and the weighted average period over which it is expected to be recognized is 2.4 years. | |||||||||||||||||||||||||||
The fair value of granted options and SARs for the Loews Plan were estimated at the grant date using the Black-Scholes pricing model with the following assumptions and results: | |||||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||||
Expected dividend yield | 0.60% | 0.60% | 0.6% | ||||||||||||||||||||||||
Expected volatility | 16.90% | 16.30% | 19.0% | ||||||||||||||||||||||||
Weighted average risk-free interest rate | 1.70% | 1.10% | 0.8% | ||||||||||||||||||||||||
Expected holding period (in years) | 5.0 | 5.0 | 5.0 | ||||||||||||||||||||||||
Weighted average fair value of awards | $ | 7.41 | $ | 6.75 | $ | 6.53 |
Reinsurance
Reinsurance | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Insurance [Abstract] | |||||||||||||||||||||
Reinsurance | Note 16. Reinsurance | ||||||||||||||||||||
CNA cedes insurance to reinsurers to limit its maximum loss, provide greater diversification of risk, minimize exposures on larger risks and to exit certain lines of business. The ceding of insurance does not discharge the primary liability of CNA. A credit exposure exists with respect to property and casualty and life reinsurance ceded to the extent that any reinsurer is unable to meet its obligations or to the extent that the reinsurer disputes the liabilities assumed under reinsurance agreements. Property and casualty reinsurance coverages are tailored to the specific risk characteristics of each product line and CNA’s retained amount varies by type of coverage. Reinsurance contracts are purchased to protect specific lines of business such as property and workers’ compensation. Corporate catastrophe reinsurance is also purchased for property and workers’ compensation exposure. Currently most reinsurance contracts are purchased on an excess of loss basis. CNA also utilizes facultative reinsurance in certain lines. In addition, CNA assumes reinsurance, primarily through Hardy and as a member of various reinsurance pools and associations. | |||||||||||||||||||||
The following table summarizes the amounts receivable from reinsurers: | |||||||||||||||||||||
December 31 | 2014 | 2013 | |||||||||||||||||||
(In millions) | |||||||||||||||||||||
Reinsurance receivables related to insurance reserves: | |||||||||||||||||||||
Ceded claim and claim adjustment expenses | $ | 4,344 | $ | 4,972 | |||||||||||||||||
Ceded future policy benefits | 185 | 733 | |||||||||||||||||||
Ceded policyholders’ funds | 35 | ||||||||||||||||||||
Reinsurance receivables related to paid losses | 213 | 348 | |||||||||||||||||||
Reinsurance receivables | 4,742 | 6,088 | |||||||||||||||||||
Less allowance for doubtful accounts | 48 | 71 | |||||||||||||||||||
Reinsurance receivables, net of allowance for doubtful accounts | $ | 4,694 | $ | 6,017 | |||||||||||||||||
CNA has established an allowance for doubtful accounts on reinsurance receivables. CNA reviews the allowance quarterly and adjusts the allowance as necessary to reflect changes in estimates of uncollectible balances. The allowance may also be reduced related to write-offs of reinsurance receivable balances. | |||||||||||||||||||||
CNA attempts to mitigate its credit risk related to reinsurance by entering into reinsurance arrangements with reinsurers that have credit ratings above certain levels and by obtaining collateral. On a limited basis, CNA may enter into reinsurance agreements with reinsurers that are not rated, primarily captive reinsurers. The primary methods of obtaining collateral are through reinsurance trusts, letters of credit and funds withheld balances. Such collateral was approximately $3.4 billion and $3.9 billion at December 31, 2014 and 2013. | |||||||||||||||||||||
CNA’s largest recoverables from a single reinsurer at December 31, 2014, including ceded unearned premium reserves were approximately $2.6 billion from subsidiaries of Berkshire Hathaway Group, $244 million from subsidiaries of the Hartford Insurance Group and $185 million from subsidiaries of Wilton Re. The recoverable from the Berkshire Hathaway Group includes amounts related to third party reinsurance for which NICO has assumed the credit risk under the terms of the Loss Portfolio Transfer as discussed in Note 9. | |||||||||||||||||||||
The effects of reinsurance on earned premiums are shown in the following table: | |||||||||||||||||||||
Direct | Assumed | Ceded | Net | Assumed/ | |||||||||||||||||
Net % | |||||||||||||||||||||
(In millions) | |||||||||||||||||||||
Year Ended December 31, 2014 | |||||||||||||||||||||
Property and casualty | $ | 9,452 | $ | 277 | $ | 3,073 | $ | 6,656 | 4.20% | ||||||||||||
Accident and health | 508 | 48 | 556 | 8.6 | |||||||||||||||||
Earned premiums | $ | 9,960 | $ | 325 | $ | 3,073 | $ | 7,212 | 4.50% | ||||||||||||
Year Ended December 31, 2013 | |||||||||||||||||||||
Property and casualty | $ | 9,063 | $ | 258 | $ | 2,609 | $ | 6,712 | 3.80% | ||||||||||||
Accident and health | 511 | 48 | 559 | 8.6 | |||||||||||||||||
Earned premiums | $ | 9,574 | $ | 306 | $ | 2,609 | $ | 7,271 | 4.20% | ||||||||||||
Year Ended December 31, 2012 | |||||||||||||||||||||
Property and casualty | $ | 8,354 | $ | 197 | $ | 2,229 | $ | 6,322 | 3.10% | ||||||||||||
Accident and health | 512 | 47 | 559 | 8.4 | |||||||||||||||||
Earned premiums | $ | 8,866 | $ | 244 | $ | 2,229 | $ | 6,881 | 3.50% | ||||||||||||
Included in the direct and ceded earned premiums for the years ended December 31, 2014, 2013 and 2012 are $2.6 billion, $2.2 billion and $1.8 billion related to property business that is 100% reinsured under a significant third party captive program. The third party captives that participate in this program are affiliated with the non-insurance company policyholders, therefore this program provides a means for the policyholders to self-insure this property risk. CNA receives and retains a ceding commission. | |||||||||||||||||||||
Accident and health premiums are from long duration contracts; property and casualty premiums are from short duration contracts. | |||||||||||||||||||||
Insurance claims and policyholders’ benefits reported on the Consolidated Statements of Income are net of reinsurance recoveries of $1.4 billion, $1.5 billion and $1.4 billion for the years ended December 31, 2014, 2013 and 2012, including $1.5 billion, $712 million and $814 million related to the significant third party captive program discussed above. Reinsurance recoveries in 2014 were unfavorably affected by the commutation of a workers’ compensation reinsurance pool. |
Quarterly_Financial_Data
Quarterly Financial Data | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||
Quarterly Financial Data | Note 17. Quarterly Financial Data (Unaudited) | ||||||||||||||||
2014 Quarter Ended | Dec. 31 | Sept. 30 | June 30 | March 31 | |||||||||||||
(In millions, except per share data) | |||||||||||||||||
Total revenues | $ | 3,521 | $ | 3,523 | $ | 3,593 | $ | 3,688 | |||||||||
Income from continuing operations | 215 | 179 | 303 | 265 | |||||||||||||
Per share-basic | 0.58 | 0.47 | 0.79 | 0.68 | |||||||||||||
Per share-diluted | 0.57 | 0.47 | 0.79 | 0.68 | |||||||||||||
Discontinued operations, net | -7 | 29 | -187 | -206 | |||||||||||||
Per share-basic and diluted | -0.02 | 0.08 | -0.49 | -0.53 | |||||||||||||
Net income | 208 | 208 | 116 | 59 | |||||||||||||
Per share-basic | 0.56 | 0.55 | 0.30 | 0.15 | |||||||||||||
Per share-diluted | 0.55 | 0.55 | 0.30 | 0.15 | |||||||||||||
2013 Quarter Ended | Dec. 31 | Sept. 30 | June 30 | March 31 | |||||||||||||
Total revenues | $ | 3,782 | $ | 3,597 | $ | 3,616 | $ | 3,618 | |||||||||
Income from continuing operations (a) | 248 | 318 | 261 | 322 | |||||||||||||
Per share-basic and diluted | 0.64 | 0.82 | 0.67 | 0.82 | |||||||||||||
Discontinued operations, net (b) | -446 | -36 | 8 | -80 | |||||||||||||
Per share-basic and diluted | -1.15 | -0.09 | 0.02 | -0.2 | |||||||||||||
Net income (loss) | -198 | 282 | 269 | 242 | |||||||||||||
Per share-basic and diluted | -0.51 | 0.73 | 0.69 | 0.62 | |||||||||||||
The sum of the quarterly per share amounts may not equal per share amounts reported for year-to-date periods. This is due to changes in the number of weighted average shares outstanding and the effects of rounding for each period. | |||||||||||||||||
(a) | Income from continuing operations for the fourth quarter of 2013 includes the impact of a $111 million deferred gain under retroactive reinsurance accounting at CNA and a $16 million goodwill impairment charge at Boardwalk Pipeline. | ||||||||||||||||
(b) | Discontinued operations, net for the fourth quarter of 2013 includes a ceiling test impairment charge of $52 million at HighMount related to the carrying value of its natural gas and oil properties and a $382 million goodwill impairment charge. |
Legal_Proceedings
Legal Proceedings | 12 Months Ended |
Dec. 31, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | |
Legal Proceedings | Note 18. Legal Proceedings |
The Company and its subsidiaries are parties to litigation arising in the ordinary course of business. The outcome of this litigation will not, in the opinion of management, materially affect the Company’s results of operations or equity. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 19. Commitments and Contingencies |
CNA Financial | |
In the course of selling business entities and assets to third parties, CNA agreed to guarantee the performance of certain obligations of a previously owned subsidiary and to indemnify purchasers for losses arising out of breaches of representation and warranties with respect to the business entities or assets being sold, including, in certain cases, losses arising from undisclosed liabilities or certain named litigation. Such guarantee and indemnification agreements may include provisions that survive indefinitely. As of December 31, 2014, the aggregate amount of quantifiable guarantee and indemnification agreements in effect for sales of business entities, assets and third party loans was $375 million and $324 million. Should CNA be required to make payments under the guarantee, it would have the right to seek reimbursement in certain cases from an affiliate of a previously owned subsidiary. | |
In addition, CNA has agreed to provide indemnification to third party purchasers for certain losses associated with sold business entities or assets that are not limited by a contractual monetary amount. As of December 31, 2014, CNA had outstanding unlimited indemnifications in connection with the sales of certain of its business entities or assets that included tax liabilities arising prior to a purchaser’s ownership of an entity or asset, defects in title at the time of sale, employee claims arising prior to closing and in some cases losses arising from certain litigation and undisclosed liabilities. Certain provisions of the indemnification agreements survive indefinitely while others survive until the applicable statutes of limitation expire, or until the agreed upon contract terms expire. | |
In the normal course of business, CNA also provided guarantees, if the primary obligor fails to perform, to holders of structured settlement annuities provided by a previously owned subsidiary, which are estimated to mature through 2120. The potential amount of future payments CNA could be required to pay under these guarantees was approximately $1.9 billion at December 31, 2014. CNA does not believe a payable is likely under these guarantees, as CNA is the beneficiary of a trust that must be maintained at a level that approximates the discounted reserves for these annuities. | |
Diamond Offshore | |
Diamond Offshore is financially obligated under a contract with Hyundai Heavy Industries, Co. Ltd. (“Hyundai”) for the construction of a dynamically positioned, harsh environment semisubmersible drilling rig, with expected delivery in the first quarter of 2016. The total cost of the rig including shipyard costs, customer-requested equipment, capital spares, commissioning, project management and shipyard supervision is estimated to be $764 million. The remaining contractual payment of $440 million is due upon delivery of the rig. | |
Diamond Offshore is financially obligated under a contract with Hyundai for the construction of an ultra-deepwater drillship, with expected delivery in the first quarter of 2015. The total cost of the drillship including shipyard costs, commissioning, capital spares and project management costs is estimated to be $655 million. The remaining contractual payment of $395 million is due upon delivery of the rig. | |
In July of 2014, Diamond Offshore was notified by Petróleo Brasileiro S.A., (“Petrobras”) that it is challenging assessments by Brazilian tax authorities of withholding taxes associated with the provision of drilling rigs for its operations in Brazil during the years 2008 and 2009. If Petrobras is ultimately assessed such withholding taxes, it will seek reimbursement from Diamond Offshore for the portion allocable to its drilling rigs. Diamond Offshore disputes any basis for Petrobras to obtain such reimbursement and has notified Petrobras of its position and intends to pursue all legal remedies available to defend any reimbursement claims against it vigorously. Diamond Offshore is currently unable to estimate the range of loss, if any, that it would incur if Petrobras is ultimately assessed such taxes and if it is determined that Petrobras is entitled to obtain reimbursement from Diamond Offshore. However, if Diamond Offshore’s position is not sustained, the amount of such reimbursement could have a material adverse effect on its financial condition and the Company’s results of operations and cash flows. |
Discontinued_Operations
Discontinued Operations | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | |||||||||||||
Discontinued Operations | Note 20. Discontinued Operations | ||||||||||||
As discussed in Note 2, HighMount and the CAC business are classified and presented as discontinued operations. | |||||||||||||
The Consolidated Statements of Income include discontinued operations of HighMount as follows: | |||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||
(In millions) | |||||||||||||
Revenues: | |||||||||||||
Other revenue, primarily operating | $ | 150 | $ | 259 | $ | 297 | |||||||
Total | 150 | 259 | 297 | ||||||||||
Expenses: | |||||||||||||
Impairment of goodwill | 584 | ||||||||||||
Other operating expenses | |||||||||||||
Impairment of natural gas and oil properties | 29 | 291 | 680 | ||||||||||
Operating | 173 | 252 | 239 | ||||||||||
Interest | 8 | 17 | 14 | ||||||||||
Total | 210 | 1,144 | 933 | ||||||||||
Loss before income tax | -60 | -885 | (636) | ||||||||||
Income tax benefit | 4 | 311 | 229 | ||||||||||
Results of discontinued operations, net of income tax | -56 | -574 | (407) | ||||||||||
Impairment loss, net of tax benefit of $62 | -138 | ||||||||||||
Loss from discontinued operations | $ | (194) | $ | (574) | $ | (407) | |||||||
In 2014, 2013 and 2012, HighMount recorded ceiling test impairment charges of $29 million, $291 million and $680 million ($19 million, $186 million and $433 million after tax) related to the carrying value of its natural gas and oil properties. The 2014 write-down was primarily attributable to insufficient reserve additions from recent exploration activities due to variability in well performance where HighMount was testing different horizontal target zones and hydraulic fracture designs. The 2013 write-downs were primarily attributable to negative reserve revisions due to variability in well performance where HighMount was testing different horizontal target zones and hydraulic fracture designs and due to reduced average NGL prices used in the ceiling test calculations. The write-downs in 2012 were the result of significant declines in natural gas and NGL prices. Had the effects of HighMount’s cash flow hedges not been considered in calculating the ceiling limitation, the impairments would have been $29 million, $301 million and $737 million ($18 million, $192 million and $469 million after tax) for the years ended December 31, 2014, 2013 and 2012. | |||||||||||||
Recognition of a ceiling test impairment charge was considered a triggering event for purposes of assessing any potential impairment of goodwill at HighMount under a two-step process. The first step compared HighMount’s estimated fair value to its carrying value. Due to the continued low market prices for natural gas and NGLs, the history of quarterly ceiling test write-downs during 2012 and 2013 and the then potential for future impairments, and negative reserve revisions recognized during 2013, HighMount reassessed its goodwill impairment analysis. To determine fair value, HighMount used a market approach which required significant estimates and assumptions and utilized significant unobservable inputs, representing a Level 3 fair value measurement. These estimates and assumptions primarily included, but were not limited to, earnings before interest, tax, depreciation and amortization, production and reserves, control premium, discount rates and required capital expenditures. These valuation techniques were based on analysis of comparable public companies, adjusted for HighMount’s growth profile. In the first step, HighMount determined that its carrying value exceeded its fair value requiring HighMount to perform the second step and to estimate the fair value of its assets and liabilities. The carrying value of goodwill was limited to the amount that HighMount’s estimated fair value exceeded the fair value of assets and liabilities. As a result, HighMount recorded a goodwill impairment charge of $584 million ($382 million after tax) for the year ended December 31, 2013, consisting of all of its remaining goodwill. | |||||||||||||
The Consolidated Statements of Income include discontinued operations of the CAC business as follows: | |||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||
(In millions) | |||||||||||||
Revenues: | |||||||||||||
Net investment income | $ | 94 | $ | 168 | $ | 172 | |||||||
Investment gains | 3 | 11 | 9 | ||||||||||
Other revenues | 2 | 2 | |||||||||||
Total | 97 | 181 | 183 | ||||||||||
Expenses: | |||||||||||||
Insurance claims and policyholders’ benefits | 75 | 141 | 167 | ||||||||||
Other operating expenses | 2 | 3 | 3 | ||||||||||
Total | 77 | 144 | 170 | ||||||||||
Income before income tax | 20 | 37 | 13 | ||||||||||
Income tax expense | -6 | -15 | (5) | ||||||||||
Results of discontinued operations, net of income tax | 14 | 22 | 8 | ||||||||||
Loss on sale, net of tax benefit of $40 | -211 | ||||||||||||
Amounts attributable to noncontrolling interests | 20 | -2 | (1) | ||||||||||
Income (loss) from discontinued operations | $ | (177) | $ | 20 | $ | 7 | |||||||
The following table presents the assets and liabilities of HighMount reported as discontinued operations as follows: | |||||||||||||
December 31, 2013 | HighMount | Eliminations | Total | ||||||||||
(In millions) | |||||||||||||
Assets: | |||||||||||||
Investments, including cash | $ | 29 | $ | 29 | |||||||||
Receivables | 143 | $ | (120 | ) | 23 | ||||||||
Property, plant and equipment | 974 | 974 | |||||||||||
Deferred income taxes | 517 | (517 | ) | - | |||||||||
Other assets | 15 | 15 | |||||||||||
Total assets of discontinued operations | $ | 1,678 | $ | (637 | ) | $ | 1,041 | ||||||
Liabilities: | |||||||||||||
Short term debt | $ | 21 | $ | 21 | |||||||||
Long term debt | 481 | 481 | |||||||||||
Other liabilities | 130 | 130 | |||||||||||
Total liabilities of discontinued operations | $ | 632 | $ | - | $ | 632 | |||||||
Business_Segments
Business Segments | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||||||
Business Segments | Note 21. Business Segments | ||||||||||||||||||||||||
The Company’s reportable segments are primarily based on its individual operating subsidiaries. Each of the principal operating subsidiaries are headed by a chief executive officer who is responsible for the operation of its business and has the duties and authority commensurate with that position. Investment gains (losses) and the related income taxes, excluding those of CNA, are included in the Corporate and other segment. The Company revised its CNA related segments in the fourth quarter of 2014 as a result of realigned management responsibilities at CNA. Results of CNA Europe and Canada that were previously included in the Specialty and Commercial segments and results of Hardy that were previously included in the Other Non-Core segment are now included in the International segment. Prior period segment disclosures have been conformed to the current year presentation. The new segment structure reflects the way management currently reviews results and makes business decisions. | |||||||||||||||||||||||||
CNA’s results are reported in four business segments: Specialty, Commercial, International and Other Non-Core. Specialty provides a broad array of professional, financial and specialty property and casualty products and services, through a network of independent agents, brokers and managing general underwriters. Commercial includes property and casualty coverages sold to small businesses and middle market entities and organizations primarily through an independent agency distribution system. Commercial also includes commercial insurance and risk management products sold to large corporations primarily through insurance brokers. International provides management and professional liability coverages as well as a broad range of other property and casualty insurance products and services abroad through a network of brokers, independent agencies and managing general underwriters, as well as the Lloyd’s marketplace. Other Non-Core primarily includes the results of CNA’s individual and group long term care businesses that are in run-off and also includes corporate expenses, including interest on corporate debt, and the results of certain property and casualty business in run-off, including CNA Re and A&EP. | |||||||||||||||||||||||||
Diamond Offshore owns and operates offshore drilling rigs that are chartered on a contract basis for fixed terms by companies engaged in exploration and production of hydrocarbons. Offshore rigs are mobile units that can be relocated based on market demand. Diamond Offshore’s fleet consists of 38 drilling rigs, excluding three mid-water rigs that Diamond Offshore plans to retire and scrap and including two newbuild rigs which are under construction. On December 31, 2014, Diamond Offshore’s drilling rigs were located offshore eight countries in addition to the United States. | |||||||||||||||||||||||||
Boardwalk Pipeline is engaged in the interstate transportation and storage of natural gas and NGLs and gathering and processing of natural gas. This segment consists of interstate natural gas pipeline systems originating in the Gulf Coast region, Oklahoma and Arkansas, and extending north and east through the midwestern states of Tennessee, Kentucky, Illinois, Indiana and Ohio, natural gas storage facilities in four states and NGL pipelines and storage facilities in Louisiana, with approximately 14,625 miles of pipeline. | |||||||||||||||||||||||||
Loews Hotels operates a chain of 21 hotels, 20 of which are in the United States and one of which is in Canada. | |||||||||||||||||||||||||
The Corporate and other segment consists primarily of corporate investment income, corporate interest expense and other unallocated expenses. | |||||||||||||||||||||||||
The accounting policies of the segments are the same as those described in the summary of significant accounting policies in Note 1. In addition, CNA does not maintain a distinct investment portfolio for every insurance segment, and accordingly, allocation of assets to each segment is not performed. Therefore, a significant portion of net investment income and investment gains (losses) are allocated based on each segment’s carried insurance reserves, as adjusted. | |||||||||||||||||||||||||
The HighMount and CAC businesses are reported as discontinued operations in the Consolidated Statements of Income for the years ended December 31, 2014, 2013 and 2012. See Notes 2 and 20 for further discussion of discontinued operations. | |||||||||||||||||||||||||
The following tables set forth the Company’s consolidated revenues and income (loss) by business segment: | |||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Revenues (a): | |||||||||||||||||||||||||
CNA Financial: | |||||||||||||||||||||||||
Property and Casualty: | |||||||||||||||||||||||||
Specialty | $ | 3,708 | $ | 3,676 | $ | 3,522 | |||||||||||||||||||
Commercial | 3,683 | 3,984 | 3,869 | ||||||||||||||||||||||
International | 973 | 981 | 712 | ||||||||||||||||||||||
Other Non-Core | 1,328 | 1,291 | 1,261 | ||||||||||||||||||||||
Total CNA Financial | 9,692 | 9,932 | 9,364 | ||||||||||||||||||||||
Diamond Offshore | 2,825 | 2,926 | 3,072 | ||||||||||||||||||||||
Boardwalk Pipeline | 1,236 | 1,232 | 1,187 | ||||||||||||||||||||||
Loews Hotels | 475 | 380 | 397 | ||||||||||||||||||||||
Corporate and other | 97 | 143 | 52 | ||||||||||||||||||||||
Total | $ | 14,325 | $ | 14,613 | $ | 14,072 | |||||||||||||||||||
Income (loss) before income tax and noncontrolling interests (a)(b): | |||||||||||||||||||||||||
CNA Financial: | |||||||||||||||||||||||||
Property and Casualty: | |||||||||||||||||||||||||
Specialty | $ | 967 | $ | 1,005 | $ | 715 | |||||||||||||||||||
Commercial | 477 | 662 | 399 | ||||||||||||||||||||||
International | 102 | 117 | 98 | ||||||||||||||||||||||
Other Non-Core | (331) | (501) | (345) | ||||||||||||||||||||||
Total CNA Financial | 1,215 | 1,283 | 867 | ||||||||||||||||||||||
Diamond Offshore | 514 | 774 | 917 | ||||||||||||||||||||||
Boardwalk Pipeline | 140 | 241 | 304 | ||||||||||||||||||||||
Loews Hotels | 21 | (4) | 14 | ||||||||||||||||||||||
Corporate and other | (80) | (17) | (80) | ||||||||||||||||||||||
Total | $ | 1,810 | $ | 2,277 | $ | 2,022 | |||||||||||||||||||
Net income (loss) (a)(b): | |||||||||||||||||||||||||
CNA Financial: | |||||||||||||||||||||||||
Property and Casualty: | |||||||||||||||||||||||||
Specialty | $ | 578 | $ | 598 | $ | 425 | |||||||||||||||||||
Commercial | 285 | 394 | 241 | ||||||||||||||||||||||
International | 62 | 65 | 51 | ||||||||||||||||||||||
Other Non-Core | (123) | (230) | (154) | ||||||||||||||||||||||
Total CNA Financial | 802 | 827 | 563 | ||||||||||||||||||||||
Diamond Offshore | 183 | 257 | 337 | ||||||||||||||||||||||
Boardwalk Pipeline | 18 | 78 | 111 | ||||||||||||||||||||||
Loews Hotels | 11 | (3) | 7 | ||||||||||||||||||||||
Corporate and other | (52) | (10) | (50) | ||||||||||||||||||||||
Income from continuing operations | 962 | 1,149 | 968 | ||||||||||||||||||||||
Discontinued operations, net | (371) | (554) | (400) | ||||||||||||||||||||||
Total | $ | 591 | $ | 595 | $ | 568 | |||||||||||||||||||
(a) | Investment gains (losses) included in Revenues, Income (loss) before income tax and noncontrolling interests and Net income (loss) are as follows: | ||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
Revenues and Income (loss) before income tax and noncontrolling interests: | |||||||||||||||||||||||||
CNA Financial: | |||||||||||||||||||||||||
Property and Casualty: | |||||||||||||||||||||||||
Specialty | $ | 15 | $ | -5 | $ | 18 | |||||||||||||||||||
Commercial | 16 | -15 | 34 | ||||||||||||||||||||||
International | -1 | 5 | 7 | ||||||||||||||||||||||
Other Non-Core | 24 | 31 | (8) | ||||||||||||||||||||||
Total CNA Financial | 54 | 16 | 51 | ||||||||||||||||||||||
Corporate and other | (3) | ||||||||||||||||||||||||
Total | $ | 54 | $ | 16 | $ | 48 | |||||||||||||||||||
Net income (loss): | |||||||||||||||||||||||||
CNA Financial: | |||||||||||||||||||||||||
Property and Casualty: | |||||||||||||||||||||||||
Specialty | $ | 9 | $ | -2 | $ | 10 | |||||||||||||||||||
Commercial | 9 | -9 | 20 | ||||||||||||||||||||||
International | -1 | 3 | 5 | ||||||||||||||||||||||
Other Non-Core | 15 | 18 | (5) | ||||||||||||||||||||||
Total CNA Financial | 32 | 10 | 30 | ||||||||||||||||||||||
Corporate and other | (2) | ||||||||||||||||||||||||
Total | $ | 32 | $ | 10 | $ | 28 | |||||||||||||||||||
(b) | Income taxes and interest expense are as follows: | ||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
Income | Interest | Income | Interest | Income | Interest | ||||||||||||||||||||
Taxes | Expense | Taxes | Expense | Taxes | Expense | ||||||||||||||||||||
CNA Financial: | |||||||||||||||||||||||||
Property and Casualty: | |||||||||||||||||||||||||
Specialty | $ | 324 | $ | 340 | $ | 243 | |||||||||||||||||||
Commercial | 159 | 223 | 131 | ||||||||||||||||||||||
International | 34 | $ | 1 | 45 | $ | 1 | 42 | $ | 1 | ||||||||||||||||
Other Non-Core | (195) | 182 | (245) | 165 | (174) | 169 | |||||||||||||||||||
Total CNA Financial | 322 | 183 | 363 | 166 | 242 | 170 | |||||||||||||||||||
Diamond Offshore | 142 | 62 | 245 | 25 | 223 | 46 | |||||||||||||||||||
Boardwalk Pipeline | 11 | 165 | 56 | 163 | 70 | 166 | |||||||||||||||||||
Loews Hotels | 10 | 14 | (1) | 9 | 7 | 11 | |||||||||||||||||||
Corporate and other | (28) | 74 | (7) | 62 | (29) | 33 | |||||||||||||||||||
Total | $ | 457 | $ | 498 | $ | 656 | $ | 425 | $ | 513 | $ | 426 | |||||||||||||
Consolidating_Financial_Inform
Consolidating Financial Information | 12 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||
Text Block [Abstract] | |||||||||||||||||||||||||||||
Consolidating Financial Information | Note 22. Consolidating Financial Information | ||||||||||||||||||||||||||||
The following schedules present the Company’s consolidating balance sheet information at December 31, 2014 and 2013, and consolidating statements of income information for the years ended December 31, 2014, 2013 and 2012. These schedules present the individual subsidiaries of the Company and their contribution to the consolidated financial statements. Amounts presented will not necessarily be the same as those in the individual financial statements of the Company’s subsidiaries due to adjustments for purchase accounting, income taxes and noncontrolling interests. In addition, many of the Company’s subsidiaries use a classified balance sheet which also leads to differences in amounts reported for certain line items. | |||||||||||||||||||||||||||||
The Corporate and other column primarily reflects the parent company’s investment in its subsidiaries, invested cash portfolio and corporate long term debt and assets and liabilities of discontinued operations of HighMount. The elimination adjustments are for intercompany assets and liabilities, interest and dividends, the parent company’s investment in capital stocks of subsidiaries, and various reclasses of debit or credit balances to the amounts in consolidation. Purchase accounting adjustments have been pushed down to the appropriate subsidiary. | |||||||||||||||||||||||||||||
Loews Corporation | |||||||||||||||||||||||||||||
Consolidating Balance Sheet Information | |||||||||||||||||||||||||||||
December 31, 2014 | CNA | Diamond | Boardwalk | Loews | Corporate | Eliminations | Total | ||||||||||||||||||||||
Financial | Offshore | Pipeline | Hotels | and Other | |||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||
Investments | $ | 46,262 | $ | 234 | $ | 75 | $ | 5,461 | $ | 52,032 | |||||||||||||||||||
Cash | 190 | 16 | $ | 8 | 9 | 141 | 364 | ||||||||||||||||||||||
Receivables | 7,097 | 490 | 128 | 29 | 82 | $ | (56) | 7,770 | |||||||||||||||||||||
Property, plant and equipment | 280 | 6,949 | 7,649 | 671 | 62 | 15,611 | |||||||||||||||||||||||
Deferred income taxes | 222 | 2 | 374 | (598) | - | ||||||||||||||||||||||||
Goodwill | 117 | 20 | 237 | 374 | |||||||||||||||||||||||||
Investments in capital stocks of subsidiaries | 15,974 | (15,974) | - | ||||||||||||||||||||||||||
Other assets | 778 | 307 | 304 | 206 | 7 | 14 | 1,616 | ||||||||||||||||||||||
Deferred acquisition costs of insurance subsidiaries | 600 | 600 | |||||||||||||||||||||||||||
Total assets | $ | 55,546 | $ | 8,016 | $ | 8,326 | $ | 992 | $ | 22,101 | $ | (16,614) | $ | 78,367 | |||||||||||||||
Liabilities and Equity: | |||||||||||||||||||||||||||||
Insurance reserves | $ | 36,380 | $ | 36,380 | |||||||||||||||||||||||||
Payable to brokers | 117 | $ | 5 | $ | 551 | 673 | |||||||||||||||||||||||
Short term debt | 250 | $ | 85 | 335 | |||||||||||||||||||||||||
Long term debt | 2,561 | 1,981 | $ | 3,690 | 421 | 1,680 | 10,333 | ||||||||||||||||||||||
Deferred income taxes | 11 | 514 | 732 | 36 | $ | (400) | 893 | ||||||||||||||||||||||
Other liabilities | 3,713 | 792 | 400 | 17 | 421 | (240) | 5,103 | ||||||||||||||||||||||
Total liabilities | 42,782 | 3,542 | 4,822 | 559 | 2,652 | (640) | 53,717 | ||||||||||||||||||||||
Total shareholders’ equity | 11,457 | 2,359 | 1,558 | 431 | 19,449 | (15,974) | 19,280 | ||||||||||||||||||||||
Noncontrolling interests | 1,307 | 2,115 | 1,946 | 2 | 5,370 | ||||||||||||||||||||||||
Total equity | 12,764 | 4,474 | 3,504 | 433 | 19,449 | (15,974) | 24,650 | ||||||||||||||||||||||
Total liabilities and equity | $ | 55,546 | $ | 8,016 | $ | 8,326 | $ | 992 | $ | 22,101 | $ | (16,614) | $ | 78,367 | |||||||||||||||
Loews Corporation | |||||||||||||||||||||||||||||
Consolidating Balance Sheet Information | |||||||||||||||||||||||||||||
December 31, 2013 | CNA | Diamond | Boardwalk | Loews | Corporate | Eliminations | Total | ||||||||||||||||||||||
Financial | Offshore | Pipeline | Hotels | and Other | |||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||
Investments | $ | 46,107 | $ | 2,061 | $ | 43 | $ | 4,734 | $ | 52,945 | |||||||||||||||||||
Cash | 195 | 36 | $ | 29 | 10 | 24 | 294 | ||||||||||||||||||||||
Receivables | 8,666 | 498 | 97 | 28 | 74 | $ | (25) | 9,338 | |||||||||||||||||||||
Property, plant and equipment | 282 | 5,472 | 7,296 | 430 | 44 | 13,524 | |||||||||||||||||||||||
Deferred income taxes | 244 | 3 | (247) | - | |||||||||||||||||||||||||
Goodwill | 119 | 20 | 215 | 3 | 357 | ||||||||||||||||||||||||
Assets of discontinued operations | 1,678 | (637) | 1,041 | ||||||||||||||||||||||||||
Investments in capital stocks of subsidiaries | 17,264 | (17,264) | - | ||||||||||||||||||||||||||
Other assets | 741 | 305 | 360 | 183 | 7 | 39 | 1,635 | ||||||||||||||||||||||
Deferred acquisition costs of insurance subsidiaries | 624 | 624 | |||||||||||||||||||||||||||
Separate account business | 181 | 181 | |||||||||||||||||||||||||||
Total assets | $ | 57,159 | $ | 8,392 | $ | 7,997 | $ | 700 | $ | 23,825 | $ | (18,134) | $ | 79,939 | |||||||||||||||
Liabilities and Equity: | |||||||||||||||||||||||||||||
Insurance reserves | $ | 38,394 | $ | 38,394 | |||||||||||||||||||||||||
Payable to brokers | 85 | $ | 1 | $ | 48 | 134 | |||||||||||||||||||||||
Short term debt | 549 | 250 | $ | 20 | 819 | ||||||||||||||||||||||||
Long term debt | 2,011 | 2,230 | $ | 3,424 | 182 | 1,678 | 9,525 | ||||||||||||||||||||||
Deferred income taxes | 516 | 689 | 41 | 195 | $ | (725) | 716 | ||||||||||||||||||||||
Liabilities of discontinued operations | 632 | 632 | |||||||||||||||||||||||||||
Other liabilities | 3,323 | 734 | 427 | 23 | 690 | (565) | 4,632 | ||||||||||||||||||||||
Separate account business | 181 | 181 | |||||||||||||||||||||||||||
Total liabilities | 44,543 | 3,731 | 4,540 | 266 | 3,243 | (1,290) | 55,033 | ||||||||||||||||||||||
Total shareholders’ equity | 11,354 | 2,362 | 1,570 | 434 | 20,582 | (16,844) | 19,458 | ||||||||||||||||||||||
Noncontrolling interests | 1,262 | 2,299 | 1,887 | 5,448 | |||||||||||||||||||||||||
Total equity | 12,616 | 4,661 | 3,457 | 434 | 20,582 | (16,844) | 24,906 | ||||||||||||||||||||||
Total liabilities and equity | $ | 57,159 | $ | 8,392 | $ | 7,997 | $ | 700 | $ | 23,825 | $ | (18,134) | $ | 79,939 | |||||||||||||||
Loews Corporation | |||||||||||||||||||||||||||||
Consolidating Statement of Income Information | |||||||||||||||||||||||||||||
Year Ended December 31, 2014 | CNA | Diamond | Boardwalk | Loews | Corporate | Eliminations | Total | ||||||||||||||||||||||
Financial | Offshore | Pipeline | Hotels | and Other | |||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Revenues: | |||||||||||||||||||||||||||||
Insurance premiums | $ | 7,212 | $ | 7,212 | |||||||||||||||||||||||||
Net investment income | 2,067 | $ | 1 | $ | 1 | $ | 94 | 2,163 | |||||||||||||||||||||
Intercompany interest and dividends | 782 | $ | (782) | - | |||||||||||||||||||||||||
Investment gains | 54 | 54 | |||||||||||||||||||||||||||
Contract drilling revenues | 2,737 | 2,737 | |||||||||||||||||||||||||||
Other revenues | 359 | 87 | 1,235 | $ | 475 | 3 | 2,159 | ||||||||||||||||||||||
Total | 9,692 | 2,825 | 1,236 | 475 | 879 | (782) | 14,325 | ||||||||||||||||||||||
Expenses: | |||||||||||||||||||||||||||||
Insurance claims and policyholders’ benefits | 5,591 | 5,591 | |||||||||||||||||||||||||||
Amortization of deferred acquisition costs | 1,317 | 1,317 | |||||||||||||||||||||||||||
Contract drilling expenses | 1,524 | 1,524 | |||||||||||||||||||||||||||
Other operating expenses | 1,386 | 725 | 931 | 440 | 103 | 3,585 | |||||||||||||||||||||||
Interest | 183 | 62 | 165 | 14 | 74 | 498 | |||||||||||||||||||||||
Total | 8,477 | 2,311 | 1,096 | 454 | 177 | - | 12,515 | ||||||||||||||||||||||
Income before income tax | 1,215 | 514 | 140 | 21 | 702 | (782) | 1,810 | ||||||||||||||||||||||
Income tax (expense) benefit | (322) | (142 | ) | -11 | (10 | ) | 28 | (457) | |||||||||||||||||||||
Income from continuing operations | 893 | 372 | 129 | 11 | 730 | (782) | 1,353 | ||||||||||||||||||||||
Discontinued operations, net | (197) | (194) | (391) | ||||||||||||||||||||||||||
Net income | 696 | 372 | 129 | 11 | 536 | (782) | 962 | ||||||||||||||||||||||
Amounts attributable to noncontrolling interests | (71) | (189 | ) | -111 | (371) | ||||||||||||||||||||||||
Net income attributable to Loews Corporation | $ | 625 | $ | 183 | $ | 18 | $ | 11 | $ | 536 | $ | (782) | $ | 591 | |||||||||||||||
Loews Corporation | |||||||||||||||||||||||||||||
Consolidating Statement of Income Information | |||||||||||||||||||||||||||||
Year Ended December 31, 2013 | CNA | Diamond | Boardwalk | Loews | Corporate | Eliminations | Total | ||||||||||||||||||||||
Financial | Offshore | Pipeline | Hotels | and Other | |||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Revenues: | |||||||||||||||||||||||||||||
Insurance premiums | $ | 7,271 | $ | 7,271 | |||||||||||||||||||||||||
Net investment income | 2,282 | $ | 1 | $ | 1 | $ | 141 | 2,425 | |||||||||||||||||||||
Intercompany interest and dividends | 736 | $ | (736) | - | |||||||||||||||||||||||||
Investment gains | 16 | 16 | |||||||||||||||||||||||||||
Contract drilling revenues | 2,844 | 2,844 | |||||||||||||||||||||||||||
Other revenues | 363 | 81 | 1,231 | $ | 380 | 2 | 2,057 | ||||||||||||||||||||||
Total | 9,932 | 2,926 | 1,232 | 380 | 879 | (736) | 14,613 | ||||||||||||||||||||||
Expenses: | |||||||||||||||||||||||||||||
Insurance claims and policyholders’ benefits | 5,806 | 5,806 | |||||||||||||||||||||||||||
Amortization of deferred acquisition costs | 1,362 | 1,362 | |||||||||||||||||||||||||||
Contract drilling expenses | 1,573 | 1,573 | |||||||||||||||||||||||||||
Other operating expenses | 1,315 | 554 | 828 | 375 | 98 | 3,170 | |||||||||||||||||||||||
Interest | 166 | 25 | 163 | 9 | 62 | 425 | |||||||||||||||||||||||
Total | 8,649 | 2,152 | 991 | 384 | 160 | - | 12,336 | ||||||||||||||||||||||
Income (loss) before income tax | 1,283 | 774 | 241 | (4 | ) | 719 | (736) | 2,277 | |||||||||||||||||||||
Income tax (expense) benefit | (363) | -245 | -56 | 1 | 7 | (656) | |||||||||||||||||||||||
Income (loss) from continuing operations | 920 | 529 | 185 | (3 | ) | 726 | (736) | 1,621 | |||||||||||||||||||||
Discontinued operations, net | 22 | (574 | ) | (552) | |||||||||||||||||||||||||
Net income (loss) | 942 | 529 | 185 | (3 | ) | 152 | (736) | 1,069 | |||||||||||||||||||||
Amounts attributable to noncontrolling interests | (95) | -272 | -107 | (474) | |||||||||||||||||||||||||
Net income (loss) attributable to Loews Corporation | $ | 847 | $ | 257 | $ | 78 | $ | (3 | ) | $ | 152 | $ | (736) | $ | 595 | ||||||||||||||
Loews Corporation | |||||||||||||||||||||||||||||
Consolidating Statement of Income Information | |||||||||||||||||||||||||||||
Year Ended December 31, 2012 | CNA | Diamond | Boardwalk | Loews | Corporate | Eliminations | Total | ||||||||||||||||||||||
Financial | Offshore | Pipeline | Hotels | and Other | |||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Revenues: | |||||||||||||||||||||||||||||
Insurance premiums | $ | 6,881 | $ | 6,881 | |||||||||||||||||||||||||
Net investment income | 2,110 | $ | 5 | $ | 1 | $ | 61 | 2,177 | |||||||||||||||||||||
Intercompany interest and dividends | 683 | $ | (683) | - | |||||||||||||||||||||||||
Investment gains (losses) | 51 | $ | (3) | 48 | |||||||||||||||||||||||||
Contract drilling revenues | 2,936 | 2,936 | |||||||||||||||||||||||||||
Other revenues | 322 | 131 | 1,187 | 396 | 1 | (7) | 2,030 | ||||||||||||||||||||||
Total | 9,364 | 3,072 | 1,184 | 397 | 745 | (690) | 14,072 | ||||||||||||||||||||||
Expenses: | |||||||||||||||||||||||||||||
Insurance claims and policyholders’ benefits | 5,729 | 5,729 | |||||||||||||||||||||||||||
Amortization of deferred acquisition costs | 1,274 | 1,274 | |||||||||||||||||||||||||||
Contract drilling expenses | 1,537 | 1,537 | |||||||||||||||||||||||||||
Other operating expenses | 1,324 | 572 | 717 | 372 | 106 | (7) | 3,084 | ||||||||||||||||||||||
Interest | 170 | 46 | 166 | 11 | 40 | (7) | 426 | ||||||||||||||||||||||
Total | 8,497 | 2,155 | 883 | 383 | 146 | (14) | 12,050 | ||||||||||||||||||||||
Income before income tax | 867 | 917 | 301 | 14 | 599 | (676) | 2,022 | ||||||||||||||||||||||
Income tax (expense) benefit | (242 | ) | (223) | (70 | ) | (7 | ) | 29 | (513) | ||||||||||||||||||||
Income from continuing operations | 625 | 694 | 231 | 7 | 628 | (676) | 1,509 | ||||||||||||||||||||||
Discontinued operations, net | 8 | (407 | ) | (399) | |||||||||||||||||||||||||
Net income | 633 | 694 | 231 | 7 | 221 | (676) | 1,110 | ||||||||||||||||||||||
Amounts attributable to noncontrolling interests | -63 | (357) | (122 | ) | (542) | ||||||||||||||||||||||||
Net income attributable to Loews Corporation | $ | 570 | $ | 337 | $ | 109 | $ | 7 | $ | 221 | $ | (676) | $ | 568 | |||||||||||||||
Schedule_I_Condensed_Financial
Schedule I - Condensed Financial Information of Registrant | 12 Months Ended | ||||||||||||||
Dec. 31, 2014 | |||||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |||||||||||||||
Schedule I - Condensed Financial Information of Registrant | SCHEDULE I | ||||||||||||||
Condensed Financial Information of Registrant | |||||||||||||||
LOEWS CORPORATION | |||||||||||||||
BALANCE SHEETS | |||||||||||||||
ASSETS | |||||||||||||||
December 31 | 2014 | 2013 | |||||||||||||
(In millions) | |||||||||||||||
Current assets, principally investment in short term instruments | $ | 3,959 | $ | 3,350 | |||||||||||
Investments in securities | 1,439 | 1,330 | |||||||||||||
Investments in capital stocks of subsidiaries, at equity | 15,974 | 17,264 | |||||||||||||
Other assets | 585 | 33 | |||||||||||||
Total assets | $ | 21,957 | $ | 21,977 | |||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||||||||
Current liabilities | $ | 618 | $ | 91 | |||||||||||
Long term debt | 1,680 | 1,678 | |||||||||||||
Deferred income tax and other | 379 | 750 | |||||||||||||
Total liabilities | 2,677 | 2,519 | |||||||||||||
Shareholders’ equity | 19,280 | 19,458 | |||||||||||||
Total liabilities and shareholders’ equity | $ | 21,957 | $ | 21,977 | |||||||||||
STATEMENTS OF INCOME AND COMPREHENSIVE INCOME | |||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||
(In millions) | |||||||||||||||
Revenues: | |||||||||||||||
Equity in income of subsidiaries (a) | $ | 1,034 | $ | 1,218 | $ | 1,053 | |||||||||
Interest and other | 92 | 83 | 51 | ||||||||||||
Total | 1,126 | 1,301 | 1,104 | ||||||||||||
Expenses: | |||||||||||||||
Administrative | 97 | 91 | 101 | ||||||||||||
Interest | 74 | 62 | 40 | ||||||||||||
Total | 171 | 153 | 141 | ||||||||||||
Income before income tax | 955 | 1,148 | 963 | ||||||||||||
Income tax benefit | 7 | 1 | 5 | ||||||||||||
Income from continuing operations | 962 | 1,149 | 968 | ||||||||||||
Discontinued operations, net | (371 | ) | (554 | ) | (400) | ||||||||||
Net income | 591 | 595 | 568 | ||||||||||||
Equity in other comprehensive income (loss) of subsidiaries | (59 | ) | (341 | ) | 289 | ||||||||||
Total comprehensive income | $ | 532 | $ | 254 | $ | 857 | |||||||||
Condensed Financial Information of Registrant | |||||||||||||||
LOEWS CORPORATION | |||||||||||||||
STATEMENTS OF CASH FLOWS | |||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||
(In millions) | |||||||||||||||
Operating Activities: | |||||||||||||||
Net income | $ | 591 | $ | 595 | $ | 568 | |||||||||
Adjustments to reconcile net income to net cash provided (used) by operating activities: | |||||||||||||||
Undistributed losses of affiliates | 95 | 58 | 14 | ||||||||||||
Provision for deferred income taxes | (62) | (376) | 67 | ||||||||||||
Changes in operating assets and liabilities, net: | |||||||||||||||
Receivables | (2) | (1) | 2 | ||||||||||||
Accounts payable and accrued liabilities | 200 | 511 | (42) | ||||||||||||
Trading securities | (269) | (787) | (396) | ||||||||||||
Other, net | (23) | (59) | (13) | ||||||||||||
530 | (59) | 200 | |||||||||||||
Investing Activities: | |||||||||||||||
Investments in and advances to subsidiaries | 130 | (669) | 262 | ||||||||||||
Change in investments, primarily short term | 7 | 111 | (158) | ||||||||||||
Other | (2) | (3) | (10) | ||||||||||||
135 | (561) | 94 | |||||||||||||
Financing Activities: | |||||||||||||||
Dividends paid | (95) | (97) | (99) | ||||||||||||
Issuance of common stock | 6 | 5 | 13 | ||||||||||||
Purchases of treasury shares | (622) | (228) | (212) | ||||||||||||
Issuance of debt | 983 | ||||||||||||||
Other | 2 | 1 | 4 | ||||||||||||
(709) | 664 | (294) | |||||||||||||
Net change in cash | (44) | 44 | |||||||||||||
Cash, beginning of year | 44 | ||||||||||||||
Cash, end of year | $ | - | $ | 44 | $ | - | |||||||||
(a) | Cash dividends paid to the Company by affiliates amounted to $782, $736 and $676 for the years ended December 31, 2014, 2013 and 2012. |
Schedule_II_Valuation_and_Qual
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Valuation and Qualifying Accounts [Abstract] | |||||||||||||||||||||
Schedule II - Valuation and Qualifying Accounts | SCHEDULE II | ||||||||||||||||||||
LOEWS CORPORATION AND SUBSIDIARIES | |||||||||||||||||||||
Valuation and Qualifying Accounts | |||||||||||||||||||||
Column A | Column B | Column C | Column D | Column E | |||||||||||||||||
Additions | |||||||||||||||||||||
Balance at | Charged to | Charged | Balance at | ||||||||||||||||||
Beginning | Costs and | to Other | End of | ||||||||||||||||||
Description | of Period | Expenses | Accounts | Deductions | Period | ||||||||||||||||
(In millions) | |||||||||||||||||||||
For the Year Ended December 31, 2014 | |||||||||||||||||||||
Deducted from assets: | |||||||||||||||||||||
Allowance for doubtful accounts | $ | 329 | $ | - | $ | - | $ | 212 | $ | 117 | |||||||||||
Total | $ | 329 | $ | - | $ | - | $ | 212 | $ | 117 | |||||||||||
For the Year Ended December 31, 2013 | |||||||||||||||||||||
Deducted from assets: | |||||||||||||||||||||
Allowance for doubtful accounts | $ | 213 | $ | 23 | $ | 140 | $ | 47 | $ | 329 | |||||||||||
Total | $ | 213 | $ | 23 | $ | 140 | $ | 47 | $ | 329 | |||||||||||
For the Year Ended December 31, 2012 | |||||||||||||||||||||
Deducted from assets: | |||||||||||||||||||||
Allowance for doubtful accounts | $ | 241 | $ | 1 | $ | 9 | $ | 38 | $ | 213 | |||||||||||
Total | $ | 241 | $ | 1 | $ | 9 | $ | 38 | $ | 213 | |||||||||||
Schedule_V_Supplemental_Inform
Schedule V - Supplemental Information Concerning Property and Casualty Insurance Operations | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Supplemental Information for Property, Casualty Insurance Underwriters [Abstract] | |||||||||||||
Schedule V - Supplemental Information Concerning Property and Casualty Insurance Operations | SCHEDULE V | ||||||||||||
Supplemental Information Concerning Property and Casualty Insurance Operations | |||||||||||||
Consolidated Property and Casualty Operations | |||||||||||||
December 31 | 2014 | 2013 | |||||||||||
(In millions) | |||||||||||||
Deferred acquisition costs | $ | 600 | $ | 624 | |||||||||
Reserves for unpaid claim and claim adjustment expenses | 23,271 | 24,015 | |||||||||||
Discount deducted from claim and claim adjustment expense reserves above (based on interest rates ranging from 3.5% to 8.0%) | 1,578 | 1,586 | |||||||||||
Unearned premiums | 3,592 | 3,718 | |||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||
(In millions) | |||||||||||||
Net written premiums | $ | 7,088 | $ | 7,348 | $ | 6,964 | |||||||
Net earned premiums | 7,212 | 7,271 | 6,881 | ||||||||||
Net investment income | 2,031 | 2,240 | 2,074 | ||||||||||
Incurred claim and claim adjustment expenses related to current year | 5,043 | 5,113 | 5,266 | ||||||||||
Incurred claim and claim adjustment expenses related to prior years | (39) | (115) | (180) | ||||||||||
Amortization of deferred acquisition costs | 1,317 | 1,362 | 1,274 | ||||||||||
Paid claim and claim adjustment expenses | 5,297 | 5,566 | 5,257 |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Accounting Policies [Abstract] | |||||||||||||
Basis of presentation | Basis of presentation – Loews Corporation is a holding company. Its subsidiaries are engaged in the following lines of business: commercial property and casualty insurance (CNA Financial Corporation (“CNA”), a 90% owned subsidiary); the operation of offshore oil and gas drilling rigs (Diamond Offshore Drilling, Inc. (“Diamond Offshore”), a 52.5% owned subsidiary); transportation and storage of natural gas and natural gas liquids and gathering and processing of natural gas (Boardwalk Pipeline Partners, LP (“Boardwalk Pipeline”), a 53% owned subsidiary); and the operation of a chain of hotels (Loews Hotels Holding Corporation (“Loews Hotels”), a wholly owned subsidiary). Unless the context otherwise requires, the terms “Company,” “Loews” and “Registrant” as used herein mean Loews Corporation excluding its subsidiaries and the term “Net income (loss) attributable to Loews Corporation” as used herein means Net income (loss) attributable to Loews Corporation shareholders. | ||||||||||||
Loews segments are CNA Financial, including Specialty, Commercial, International and Other Non-Core; Diamond Offshore; Boardwalk Pipeline; Loews Hotels; and Corporate and other. See Note 21 for additional information on segments. | |||||||||||||
Principles of consolidation | Principles of consolidation – The Consolidated Financial Statements include all subsidiaries and intercompany accounts and transactions have been eliminated. The equity method of accounting is used for investments in associated companies in which the Company generally has an interest of 20% to 50%. | ||||||||||||
Accounting estimates | Accounting estimates – The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and the related notes. Actual results could differ from those estimates. | ||||||||||||
Investments | Investments – The Company classifies its fixed maturity securities and equity securities as either available-for-sale or trading, and as such, they are carried at fair value. Short term investments are carried at fair value. Changes in fair value of trading securities are reported within Net investment income on the Consolidated Statements of Income. Changes in fair value related to available-for-sale securities are reported as a component of Other comprehensive income. The cost of fixed maturity securities classified as available-for-sale is adjusted for amortization of premiums and accretion of discounts to maturity, which are included in Net investment income on the Consolidated Statements of Income. Losses may be recognized within the Consolidated Statements of Income when a decline in value is determined by the Company to be other-than-temporary. | ||||||||||||
To the extent that unrealized gains on fixed income securities supporting long term care products and payout annuity contracts would result in a premium deficiency if those gains were realized, a related decrease in Deferred acquisition costs and/or increase in Insurance reserves are recorded, net of tax and noncontrolling interests, as a reduction of net unrealized gains through Other comprehensive income (“Shadow Adjustments”). Shadow Adjustments increased $679 million (after tax and noncontrolling interests) and decreased $880 million (after tax and noncontrolling interests) for the years ended December 31, 2014 and 2013. At December 31, 2014 and 2013, net unrealized gains on investments included in Accumulated other comprehensive income (“AOCI”) were correspondingly reduced by $1.2 billion and $478 million (after tax and noncontrolling interests). | |||||||||||||
For asset-backed securities included in fixed maturity securities, the Company recognizes income using an effective yield based on anticipated prepayments and the estimated economic life of the securities. When estimates of prepayments change, the effective yield is recalculated to reflect actual payments to date and anticipated future payments. The amortized cost of high credit quality fixed rate securities is adjusted to the amount that would have existed had the new effective yield been applied since the acquisition of the securities. Such adjustments are reflected in Net investment income on the Consolidated Statements of Income. Interest income on lower rated and variable rate securities is determined using the prospective yield method. | |||||||||||||
The Company’s carrying value of investments in limited partnerships is its share of the net asset value of each partnership, as determined by the General Partner. Certain partnerships for which results are not available on a timely basis are reported on a lag, primarily three months or less. These investments are accounted for under the equity method and changes in net asset values are recorded within Net investment income on the Consolidated Statements of Income. | |||||||||||||
Investments in derivative securities are carried at fair value with changes in fair value reported as a component of Investment gains (losses), Income (loss) from trading portfolio, or Other comprehensive income (loss), depending on their hedge designation. A derivative is typically defined as an instrument whose value is “derived” from an underlying instrument, index or rate, has a notional amount, requires little or no initial investment and can be net settled. Derivatives include, but are not limited to, the following types of investments: interest rate swaps, interest rate caps and floors, put and call options, warrants, futures, forwards, commitments to purchase securities, credit default swaps and combinations of the foregoing. Derivatives embedded within non-derivative instruments (such as call options embedded in convertible bonds) must be split from the host instrument when the embedded derivative is not clearly and closely related to the host instrument. | |||||||||||||
A security is impaired if the fair value of the security is less than its cost adjusted for accretion, amortization and previously recorded other-than-temporary impairment (“OTTI”) losses, otherwise defined as an unrealized loss. When a security is impaired, the impairment is evaluated to determine whether it is temporary or other-than-temporary. | |||||||||||||
Significant judgment is required in the determination of whether an OTTI loss has occurred for a security. CNA follows a consistent and systematic process for determining and recording an OTTI loss. CNA has established a committee responsible for the OTTI process. This committee, referred to as the Impairment Committee, is made up of three officers appointed by CNA’s Chief Financial Officer. The Impairment Committee is responsible for evaluating all securities in an unrealized loss position on at least a quarterly basis. | |||||||||||||
The Impairment Committee’s assessment of whether an OTTI loss has occurred incorporates both quantitative and qualitative information. Fixed maturity securities that CNA intends to sell, or it more likely than not will be required to sell before recovery of amortized cost, are considered to be other-than-temporarily impaired and the entire difference between the amortized cost basis and fair value of the security is recognized as an OTTI loss in earnings. The remaining fixed maturity securities in an unrealized loss position are evaluated to determine if a credit loss exists. The factors considered by the Impairment Committee include: (i) the financial condition and near term prospects of the issuer, (ii) whether the debtor is current on interest and principal payments, (iii) credit ratings of the securities and (iv) general market conditions and industry or sector specific outlook. CNA also considers results and analysis of cash flow modeling for asset-backed securities, and when appropriate, other fixed maturity securities. | |||||||||||||
The focus of the analysis for asset-backed securities is on assessing the sufficiency and quality of underlying collateral and timing of cash flows based on scenario tests. If the present value of the modeled expected cash flows equals or exceeds the amortized cost of a security, no credit loss is judged to exist and the asset-backed security is deemed to be temporarily impaired. If the present value of the expected cash flows is less than amortized cost, the security is judged to be other-than-temporarily impaired for credit reasons and that shortfall, referred to as the credit component, is recognized as an OTTI loss in earnings. The difference between the adjusted amortized cost basis and fair value, referred to as the non-credit component, is recognized as OTTI in Other comprehensive income. In subsequent reporting periods, a change in intent to sell or further credit impairment on a security whose fair value has not deteriorated will cause the non-credit component originally recorded as OTTI in Other comprehensive income to be recognized as an OTTI loss in earnings. | |||||||||||||
CNA performs the discounted cash flow analysis using stressed scenarios to determine future expectations regarding recoverability. Significant assumptions enter into these cash flow projections including delinquency rates, probable risk of default, loss severity upon a default, over collateralization and interest coverage triggers and credit support from lower level tranches. | |||||||||||||
CNA applies the same impairment model as described above for the majority of non-redeemable preferred stock securities on the basis that these securities possess characteristics similar to debt securities and that the issuers maintain their ability to pay dividends. For all other equity securities, in determining whether the security is other-than-temporarily impaired, the Impairment Committee considers a number of factors including, but not limited to: (i) the length of time and the extent to which the fair value has been less than amortized cost, (ii) the financial condition and near term prospects of the issuer, (iii) the intent and ability of CNA to retain its investment for a period of time sufficient to allow for an anticipated recovery in value and (iv) general market conditions and industry or sector specific outlook. | |||||||||||||
Joint venture investments | Joint venture investments – The Company has 20% to 50% interests in operating joint ventures related to hotel properties and had joint venture interests in the Bluegrass Project, as discussed in Note 2, that are accounted for under the equity method. The Company’s investment in these entities was $158 million and $242 million for the years ended December 31, 2014 and 2013 and reported in Other assets on the Company’s Consolidated Balance Sheets. Equity income (loss) for these investments was $(62) million, $12 million and $24 million for the years ended December 31, 2014, 2013 and 2012 and reported in Other operating expenses on the Company’s Consolidated Statements of Income. Some of these investments are variable interest entities (“VIE”) as defined in the accounting guidance because the entities will require additional funding from each equity owner throughout the development and construction phase and are accounted for under the equity method since the Company is not the primary beneficiary. The maximum exposure to loss for the VIE investments is $252 million, consisting of the amount of the investment and debt guarantees. | ||||||||||||
The following tables present summarized financial information for these joint ventures: | |||||||||||||
Year Ended December 31 | 2014 | 2013 | |||||||||||
(In millions) | |||||||||||||
Total assets | $ | 1,231 | $ | 1,336 | |||||||||
Total liabilities | 1,025 | 954 | |||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||
Revenues | $ | 491 | $ | 349 | $ | 294 | |||||||
Net income | 32 | 7 | 32 | ||||||||||
Hedging | Hedging – The Company formally documents all relationships between hedging instruments and hedged items, as well as its risk-management objective and strategy for undertaking various hedging transactions. The Company also formally assesses (both at the hedge’s inception and on an ongoing basis) whether the derivatives that are used in hedging transactions have been highly effective in offsetting changes in fair value or cash flows of hedged items and whether those derivatives may be expected to remain highly effective in future periods. When it is determined that a derivative for which hedge accounting has been designated is not (or ceases to be) highly effective, the Company discontinues hedge accounting prospectively. See Note 5 for additional information on the Company’s use of derivatives. | ||||||||||||
Securities lending activities | Securities lending activities – The Company lends securities for the purpose of enhancing income or to finance positions to unrelated parties who have been designated as primary dealers by the Federal Reserve Bank of New York. Borrowers of these securities must deposit and maintain collateral with the Company of no less than 100% of the fair value of the securities loaned. U.S. Government securities and cash are accepted as collateral. The Company maintains effective control over loaned securities and, therefore, continues to report such securities as investments on the Consolidated Balance Sheets. | ||||||||||||
Securities lending is typically done on a matched-book basis where the collateral is invested to substantially match the term of the loan. This matching of terms tends to limit risk. In accordance with the Company’s lending agreements, securities on loan are returned immediately to the Company upon notice. Collateral is not reflected as an asset of the Company. There was no collateral held at December 31, 2014 and 2013. | |||||||||||||
Revenue recognition | Revenue recognition – Premiums on property and casualty insurance contracts are recognized in proportion to the underlying risk insured which principally are earned ratably over the duration of the policies. Premiums on long term care contracts are earned ratably over the policy year in which they are due. The reserve for unearned premiums represents the portion of premiums written relating to the unexpired terms of coverage. | ||||||||||||
Insurance receivables include balances due currently or in the future, including amounts due from insureds related to losses under high deductible policies, and are presented at unpaid balances, net of an allowance for doubtful accounts. Amounts are considered past due based on policy payment terms. That allowance is determined based on periodic evaluations of aged receivables, management’s experience and current economic conditions. Insurance receivables and any related allowance are written off after collection efforts are exhausted or a negotiated settlement is reached. | |||||||||||||
Property and casualty contracts that are retrospectively rated contain provisions that result in an adjustment to the initial policy premium depending on the contract provisions and loss experience of the insured during the experience period. For such contracts, CNA estimates the amount of ultimate premiums that it may earn upon completion of the experience period and recognizes either an asset or a liability for the difference between the initial policy premium and the estimated ultimate premium. CNA adjusts such estimated ultimate premium amounts during the course of the experience period based on actual results to date. The resulting adjustment is recorded as either a reduction of or an increase to the earned premiums for the period. | |||||||||||||
Contract drilling revenue from dayrate drilling contracts is recognized as services are performed. In connection with such drilling contracts, Diamond Offshore may receive fees (either lump-sum or dayrate) for the mobilization of equipment. These fees are earned as services are performed over the initial term of the related drilling contracts. Absent a contract, mobilization costs are recognized currently. From time to time, Diamond Offshore may receive fees from its customers for capital improvements to their rigs. Diamond Offshore defers such fees received and recognizes these fees into revenue on a straight-line basis over the period of the related drilling contract. Diamond Offshore capitalizes the costs of such capital improvements and depreciates them over the estimated useful life of the improvement. | |||||||||||||
Revenues from transportation and storage services are recognized in the period the service is provided based on contractual terms and the related transported and stored volumes. The majority of Boardwalk Pipeline’s operating subsidiaries are subject to Federal Energy Regulatory Commission (“FERC”) regulations and, accordingly, certain revenues collected may be subject to possible refunds to its customers. An estimated refund liability is recorded considering regulatory proceedings, advice of counsel and estimated total exposure. | |||||||||||||
Claim and claim adjustment expense reserves | Claim and claim adjustment expense reserves – Claim and claim adjustment expense reserves, except reserves for structured settlements not associated with asbestos and environmental pollution (“A&EP”), workers’ compensation lifetime claims and accident and health claims are not discounted and are based on (i) case basis estimates for losses reported on direct business, adjusted in the aggregate for ultimate loss expectations; (ii) estimates of incurred but not reported losses; (iii) estimates of losses on assumed reinsurance; (iv) estimates of future expenses to be incurred in the settlement of claims; (v) estimates of salvage and subrogation recoveries and (vi) estimates of amounts due from insureds related to losses under high deductible policies. Management considers current conditions and trends as well as past CNA and industry experience in establishing these estimates. The effects of inflation, which can be significant, are implicitly considered in the reserving process and are part of the recorded reserve balance. Ceded claim and claim adjustment expense reserves are reported as a component of Receivables on the Consolidated Balance Sheets. | ||||||||||||
Claim and claim adjustment expense reserves are presented net of anticipated amounts due from insureds related to losses under deductible policies of $1.4 billion and $1.3 billion as of December 31, 2014 and 2013. A significant portion of these amounts are supported by collateral. CNA also has an allowance for uncollectible deductible amounts, which is presented as a component of the allowance for doubtful accounts included in Receivables on the Consolidated Balance Sheets. | |||||||||||||
Structured settlements have been negotiated for certain property and casualty insurance claims. Structured settlements are agreements to provide fixed periodic payments to claimants. CNA’s obligations for structured settlements not funded by annuities are included in claim and claim adjustment expense reserves and carried at present values determined using interest rates ranging from 5.5% to 8.0% at December 31, 2014 and 7.1% to 9.7% at December 31, 2013. At December 31, 2014 and 2013, the discounted reserves for unfunded structured settlements were $582 million and $580 million, net of discount of $924 million and $969 million. | |||||||||||||
Workers’ compensation lifetime claim reserves are calculated using mortality assumptions determined through statutory regulation and economic factors. Accident and health claim reserves are calculated using mortality and morbidity assumptions based on CNA and industry experience. Workers’ compensation lifetime claim reserves and accident and health claim reserves are discounted at interest rates ranging from 3.5% to 6.8% at December 31, 2014 and 3.0% to 6.8% at December 31, 2013. At December 31, 2014 and 2013, such discounted reserves totaled $2.5 billion and $2.4 billion, net of discount of $654 million and $617 million. | |||||||||||||
Future policy benefits reserves | Future policy benefits reserves – Reserves for long term care policies and payout annuity contracts are computed using the net level premium method, which incorporates actuarial assumptions as to morbidity, persistency, discount rate and expenses. Expense assumptions primarily relate to claim adjudication. Actuarial assumptions generally vary by plan, age at issue and policy duration. The initial assumptions are determined at issuance, include a margin for adverse deviation and are locked in throughout the life of the contract unless a premium deficiency develops. If a premium deficiency emerges, the assumptions are unlocked and deferred acquisition costs, if any, and the future policy benefit reserves are adjusted. Interest rates for long term care products range from 4.5% to 7.9% at December 31, 2014 and 2013. Interest rates for payout annuity contracts ranged from 5.0% to 8.7% at December 31, 2013. | ||||||||||||
Policyholders' funds reserves | Policyholders’ funds reserves – Policyholders’ funds reserves on the Consolidated Balance Sheet as of December 31, 2013 primarily included reserves for investment contracts without life contingencies. For these contracts, policyholder liabilities are generally equal to the accumulated policy account values, which consist of an accumulation of deposit payments plus credited interest, less withdrawals and amounts assessed through the end of the period. | ||||||||||||
Guaranty fund and other insurance-related assessments | Guaranty fund and other insurance-related assessments – Liabilities for guaranty fund and other insurance-related assessments are accrued when an assessment is probable, when it can be reasonably estimated and when the event obligating the entity to pay an imposed or probable assessment has occurred. Liabilities for guaranty funds and other insurance-related assessments are not discounted and are included as part of Other liabilities on the Consolidated Balance Sheets. As of December 31, 2014 and 2013, the liability balances were $131 million and $143 million. | ||||||||||||
Reinsurance | Reinsurance – Reinsurance accounting allows for contractual cash flows to be reflected as premiums and losses. To qualify for reinsurance accounting, reinsurance agreements must include risk transfer. To meet risk transfer requirements, a reinsurance contract must include both insurance risk, consisting of underwriting and timing risk, and a reasonable possibility of a significant loss for the assuming entity. | ||||||||||||
Reinsurance receivables related to paid losses are presented at unpaid balances. Reinsurance receivables related to unpaid losses are estimated in a manner consistent with claim and claim adjustment expense reserves or future policy benefits reserves. Reinsurance receivables are reported net of an allowance for doubtful accounts on the Consolidated Balance Sheets. The cost of reinsurance is primarily accounted for over the life of the underlying reinsured policies using assumptions consistent with those used to account for the underlying policies or over the reinsurance contract period. The ceding of insurance does not discharge the primary liability of CNA. | |||||||||||||
CNA has established an allowance for doubtful accounts on reinsurance receivables which relates to both amounts already billed on ceded paid losses as well as ceded reserves that will be billed when losses are paid in the future. The allowance for doubtful accounts on reinsurance receivables is estimated on the basis of periodic evaluations of balances due from reinsurers, reinsurer solvency, management’s experience and current economic conditions. Reinsurer financial strength ratings are updated and reviewed on an annual basis or sooner if CNA becomes aware of significant changes related to a reinsurer. Because billed receivables generally approximate 5% or less of total reinsurance receivables, the age of the reinsurance receivables related to paid losses is not a significant input into the allowance analysis. Changes in the allowance for doubtful accounts on reinsurance receivables are presented as a component of Insurance claims and policyholders’ benefits on the Consolidated Statements of Income. | |||||||||||||
Amounts are considered past due based on the reinsurance contract terms. Reinsurance receivables related to paid losses and any related allowance are written off after collection efforts have been exhausted or a negotiated settlement is reached with the reinsurer. Reinsurance receivables related to paid losses from insolvent insurers are written off when the settlement due from the estate can be reasonably estimated. At the time reinsurance receivables related to paid losses are written off, any required adjustment to reinsurance receivables related to unpaid losses is recorded as a component of Insurance claims and policyholders’ benefits on the Consolidated Statements of Income. | |||||||||||||
Reinsurance contracts that do not effectively transfer the economic risk of loss on the underlying policies are recorded using the deposit method of accounting, which requires that premium paid or received by the ceding company or assuming company be accounted for as a deposit asset or liability. CNA had $3 million recorded as deposit assets at December 31, 2014 and 2013, and $9 million and $130 million recorded as deposit liabilities at December 31, 2014 and 2013. Income on reinsurance contracts accounted for under the deposit method is recognized using an effective yield based on the anticipated timing of payments and the remaining life of the contract. When the anticipated timing of payments changes, the effective yield is recalculated to reflect actual payments to date and the estimated timing of future payments. The deposit asset or liability is adjusted to the amount that would have existed had the new effective yield been applied since the inception of the contract. | |||||||||||||
A loss portfolio transfer is a retroactive reinsurance contract. If the cumulative claim and allocated claim adjustment expenses ceded under a loss portfolio transfer exceed the consideration paid, the resulting gain from such excess is deferred and amortized into earnings in future periods in proportion to actual recoveries under the loss portfolio transfer. In the period in which an excess arises, a portion of the deferred gain is cumulatively recognized in earnings as if the revised estimate was available at the inception date of the loss portfolio transfer. | |||||||||||||
Deferred acquisition costs | Deferred acquisition costs – Acquisition costs include commissions, premium taxes and certain underwriting and policy issuance costs which are incremental direct costs of successful contract acquisitions. Deferred acquisition costs related to long term care contracts issued prior to January 1, 2004 include costs which vary with and are primarily related to the acquisition of business. | ||||||||||||
Acquisition costs related to property and casualty business are deferred and amortized ratably over the period the related premiums are earned. | |||||||||||||
Deferred acquisition costs related to long term care contracts are amortized over the premium-paying period of the related policies using assumptions consistent with those used for computing future policy benefit reserves for such contracts. Assumptions are made at the date of policy issuance or acquisition and are consistently applied during the lives of the contracts. Deviations from estimated experience are included in results of operations when they occur. For these contracts, the amortization period is typically the estimated life of the policy. At December 31, 2014 and 2013, deferred acquisition costs were presented net of Shadow Adjustments of $314 million and $342 million. | |||||||||||||
CNA evaluates deferred acquisition costs for recoverability. Anticipated investment income is considered in the determination of the recoverability of deferred acquisition costs. Adjustments, if necessary, are recorded in current period results of operations. | |||||||||||||
Deferred acquisition costs are presented net of ceding commissions and other ceded acquisition costs. Unamortized deferred acquisition costs relating to contracts that have been substantially changed by a modification in benefits, features, rights or coverages that were not anticipated in the original contract are not deferred and are included as a charge to operations in the period during which the contract modification occurred. | |||||||||||||
Investments in life settlement contracts and related revenue recognition | Investments in life settlement contracts and related revenue recognition – Prior to 2002, CNA purchased investments in life settlement contracts. A life settlement contract is a contract between the owner of a life insurance policy (the policy owner) and a third party investor (investor). Under a life settlement contract, CNA obtained the ownership and beneficiary rights of an underlying life insurance policy. | ||||||||||||
CNA accounts for its investments in life settlement contracts using the fair value method. Under the fair value method, each life settlement contract is carried at its fair value at the end of each reporting period. The change in fair value, life insurance proceeds received and periodic maintenance costs, such as premiums, necessary to keep the underlying policy in force, are recorded in Other revenues on the Consolidated Statements of Income. | |||||||||||||
The fair value of CNA’s investments in life settlement contracts were $82 million and $88 million at December 31, 2014 and 2013, and are included in Other assets on the Consolidated Balance Sheets. The cash receipts and payments related to life settlement contracts are included in Cash flows from operating activities on the Consolidated Statements of Cash Flows. | |||||||||||||
The following table details the values for life settlement contracts. The determination of fair value is discussed in Note 4. | |||||||||||||
Number of Life | Fair Value of Life | Face Amount of | |||||||||||
Settlement | Settlement | Life Insurance | |||||||||||
Contracts | Contracts | Policies | |||||||||||
(Dollar amounts in millions) | |||||||||||||
Estimated maturity during: | |||||||||||||
2015 | 60 | $ | 11 | $ | 37 | ||||||||
2016 | 60 | 10 | 33 | ||||||||||
2017 | 50 | 9 | 30 | ||||||||||
2018 | 50 | 7 | 26 | ||||||||||
2019 | 50 | 6 | 26 | ||||||||||
Thereafter | 318 | 39 | 187 | ||||||||||
Total | 588 | $ | 82 | $ | 339 | ||||||||
CNA uses an actuarial model to estimate the aggregate face amount of life insurance that is expected to mature in each future year and the corresponding fair value. This model projects the likelihood of the insured’s death for each inforce policy based upon CNA’s estimated mortality rates, which may vary due to the relatively small size of the portfolio of life settlement contracts. The number of life settlement contracts presented in the table above is based upon the average face amount of inforce policies estimated to mature in each future year. | |||||||||||||
The increase (decrease) in fair value recognized for the years ended December 31, 2014, 2013 and 2012 on contracts still held was $8 million, $(2) million and $11 million. The gains recognized during the years ended December 31, 2014, 2013 and 2012 on contracts that settled were $25 million, $15 million and $42 million. | |||||||||||||
Separate account business | Separate account business – Separate account assets and liabilities on the Consolidated Balance Sheet as of December 31, 2013 represented contract holder funds related to investment and annuity products for which the policyholder assumes substantially all the risk and reward. The assets were segregated into accounts with specific underlying investment objectives and are legally segregated from CNA. All assets of the separate account business were carried at fair value with an equal amount recorded for separate account liabilities. | ||||||||||||
Goodwill | Goodwill – Goodwill represents the excess of purchase price over fair value of net assets of acquired entities. Goodwill is tested for impairment annually or when certain triggering events require additional tests. Subsequent reversal of a goodwill impairment charge is not permitted. See Note 8 for additional information on goodwill. | ||||||||||||
Property, plant and equipment | Property, plant and equipment – Property, plant and equipment is carried at cost less accumulated depreciation, depletion and amortization (“DD&A”). Depreciation is computed principally by the straight-line method over the estimated useful lives of the various classes of properties. Leaseholds and leasehold improvements are depreciated or amortized over the terms of the related leases (including optional renewal periods where appropriate) or the estimated lives of improvements, if less than the lease term. | ||||||||||||
The principal service lives used in computing provisions for depreciation are as follows: | |||||||||||||
Years | |||||||||||||
Pipeline equipment | 30 to 50 | ||||||||||||
Offshore drilling equipment | 15 to 30 | ||||||||||||
Other | 3 to 40 | ||||||||||||
Impairment of long-lived assets | Impairment of long-lived assets – The Company reviews its long-lived assets for impairment when changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Long-lived assets and intangibles with finite lives, under certain circumstances, are reported at the lower of carrying amount or fair value. Assets to be disposed of and assets not expected to provide any future service potential to the Company are recorded at the lower of carrying amount or fair value less cost to sell. | ||||||||||||
Income taxes | Income taxes – The Company and its eligible subsidiaries file a consolidated tax return. Deferred income taxes are recognized for temporary differences between the financial statement and tax return bases of assets and liabilities, based on enacted tax rates and other provisions of the tax law. The effect of a change in tax laws or rates on deferred tax assets and liabilities is recognized in income in the period in which such change is enacted. Future tax benefits are recognized to the extent that realization of such benefits is more likely than not, and a valuation allowance is established for any portion of a deferred tax asset that management believes may not be realized. | ||||||||||||
The Company recognizes uncertain tax positions that it has taken or expects to take on a tax return. The tax benefit of a qualifying position is the largest amount of tax benefit that is greater than 50% likely of being realized upon ultimate settlement with a taxing authority having full knowledge of all relevant information. See Note 11 for additional information on the provision for income taxes. | |||||||||||||
Pension and postretirement benefits | Pension and postretirement benefits – The Company recognizes the overfunded or underfunded status of its defined benefit plans in Other assets or Other liabilities in the Consolidated Balance Sheets. Changes in funded status related to prior service costs and credits and actuarial gains and losses are recognized in the year in which the changes occur through Accumulated other comprehensive income (loss). The Company measures its benefit plan assets and obligations at December 31. Annual service cost, interest cost, expected return on plan assets, amortization of prior service costs and credits and amortization of actuarial gains and losses are recognized in the Consolidated Statements of Income. | ||||||||||||
Stock based compensation | Stock based compensation – The Company records compensation expense upon issuance of share-based payment awards for all awards it grants, modifies or cancels primarily on a straight-line basis over the requisite service period, generally three to four years. The share-based payment awards are valued using the Black-Scholes option pricing model. The application of this valuation model involves assumptions that are judgmental and highly sensitive in the valuation of these awards. These assumptions include the term that the awards are expected to be outstanding, an estimate of the volatility of the underlying stock price, applicable risk-free interest rates and the dividend yield of the Company’s stock. | ||||||||||||
The Company recognized compensation expense that decreased net income by $12 million, $11 million and $13 million for the years ended December 31, 2014, 2013 and 2012. Several of the Company’s subsidiaries also maintain their own stock option plans. The amounts reported above include the Company’s share of expense related to its subsidiaries’ plans. | |||||||||||||
Net income per share | Net income per share – Companies with complex capital structures are required to present basic and diluted net income per share. Basic net income per share excludes dilution and is computed by dividing net income attributable to common stock by the weighted average number of common shares outstanding for the period. Diluted net income per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock. | ||||||||||||
For each of the years ended December 31, 2014, 2013 and 2012, approximately 0.6 million, 0.9 million and 0.8 million potential shares attributable to exercises under the Loews Corporation Stock Option Plan were included in the calculation of diluted net income per share. For those same periods, approximately 2.3 million, 1.5 million and 2.6 million Stock Appreciation Rights (“SARs”) were not included in the calculation of diluted net income per share due to the exercise price being greater than the average stock price. | |||||||||||||
Foreign currency | Foreign currency – Foreign currency translation gains and losses are reflected in Shareholders’ equity as a component of Accumulated other comprehensive income (loss). The Company’s foreign subsidiaries’ balance sheet accounts are translated at the exchange rates in effect at each reporting date and income statement accounts are translated at the average exchange rates. Foreign currency transaction losses of $22 million and $3 million and gains of $10 million for the years ended December 31, 2014, 2013 and 2012 were included in the Consolidated Statements of Income. | ||||||||||||
Regulatory accounting | Regulatory accounting – The majority of Boardwalk Pipeline’s operating subsidiaries are regulated by FERC. GAAP for regulated entities requires Texas Gas Transmission, LLC (“Texas Gas”), a wholly owned subsidiary of Boardwalk Pipeline, to report certain assets and liabilities consistent with the economic effect of the manner in which independent third party regulators establish rates. Accordingly, certain costs and benefits are capitalized as regulatory assets and liabilities in order to provide for recovery from or refund to customers in future periods. Regulatory accounting is not applicable to Boardwalk Pipeline’s other FERC regulated entities. | ||||||||||||
Supplementary cash flow information | Supplementary cash flow information – Cash payments made for interest on long term debt, net of capitalized interest, amounted to $501 million, $415 million and $450 million for the years ended December 31, 2014, 2013 and 2012. Cash payments for federal, foreign, state and local income taxes amounted to $189 million, $183 million and $120 million for the years ended December 31, 2014, 2013 and 2012. Investing activities include $14 million of previously accrued capital expenditures for the year ended December 31, 2014 and exclude $43 million and $35 million of accrued capital expenditures for the years ended December 31, 2013 and 2012. | ||||||||||||
Updated accounting guidance not yet adopted | Updated accounting guidance not yet adopted – In April of 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-08, “Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity.” Under the new accounting guidance, only disposals representing a strategic shift in operations should be presented as discontinued operations. The update also requires new disclosures for discontinued operations and disposals that do not meet the definition of a discontinued operation. The new accounting guidance is to be applied prospectively for fiscal years, and interim periods within those years, beginning after December 15, 2014, and will not have a material impact on the Company’s consolidated financial statements. | ||||||||||||
In May of 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606).” The core principle of the new accounting guidance is that a company should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. The new accounting guidance provides a five-step analysis of transactions to determine when and how revenue is recognized and requires enhanced disclosures about revenue. This update is effective for annual reporting periods beginning after December 15, 2016, including interim periods, and can be adopted either retrospectively or as a cumulative effect adjustment at the date of adoption. The Company is currently evaluating the effect that adopting this new accounting guidance will have on its consolidated financial statements. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Accounting Policies [Abstract] | |||||||||||||
Summary of Financial Information for Joint Ventures | The following tables present summarized financial information for these joint ventures: | ||||||||||||
Year Ended December 31 | 2014 | 2013 | |||||||||||
(In millions) | |||||||||||||
Total assets | $ | 1,231 | $ | 1,336 | |||||||||
Total liabilities | 1,025 | 954 | |||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||
Revenues | $ | 491 | $ | 349 | $ | 294 | |||||||
Net income | 32 | 7 | 32 | ||||||||||
Schedule of Life Settlement Contracts Fair Value Method | The following table details the values for life settlement contracts. The determination of fair value is discussed in Note 4. | ||||||||||||
Number of Life | Fair Value of Life | Face Amount of | |||||||||||
Settlement | Settlement | Life Insurance | |||||||||||
Contracts | Contracts | Policies | |||||||||||
(Dollar amounts in millions) | |||||||||||||
Estimated maturity during: | |||||||||||||
2015 | 60 | $ | 11 | $ | 37 | ||||||||
2016 | 60 | 10 | 33 | ||||||||||
2017 | 50 | 9 | 30 | ||||||||||
2018 | 50 | 7 | 26 | ||||||||||
2019 | 50 | 6 | 26 | ||||||||||
Thereafter | 318 | 39 | 187 | ||||||||||
Total | 588 | $ | 82 | $ | 339 | ||||||||
Principal Service Lives | The principal service lives used in computing provisions for depreciation are as follows: | ||||||||||||
Years | |||||||||||||
Pipeline equipment | 30 to 50 | ||||||||||||
Offshore drilling equipment | 15 to 30 | ||||||||||||
Other | 3 to 40 |
Investments_Tables
Investments (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||
Net Investment Income and Investment Gains (Losses) | Net investment income is as follows: | ||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Fixed maturity securities | $ 1,803 | $ 1,827 | $ 1,846 | ||||||||||||||||||||||
Short term investments | 4 | 5 | 12 | ||||||||||||||||||||||
Limited partnership investments | 304 | 519 | 283 | ||||||||||||||||||||||
Equity securities | 12 | 12 | 12 | ||||||||||||||||||||||
Income from trading portfolio (a) | 64 | 90 | 52 | ||||||||||||||||||||||
Other | 34 | 25 | 24 | ||||||||||||||||||||||
Total investment income | 2,221 | 2,478 | 2,229 | ||||||||||||||||||||||
Investment expenses | -58 | -53 | (52) | ||||||||||||||||||||||
Net investment income | $ 2,163 | $ 2,425 | $ 2,177 | ||||||||||||||||||||||
(a) | Includes net unrealized gains (losses) related to changes in fair value on trading securities still held of $42, $(2) and $6 for the years ended December 31, 2014, 2013 and 2012. | ||||||||||||||||||||||||
Investment gains (losses) are as follows: | |||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Fixed maturity securities | $ 41 | $ 41 | $ 77 | ||||||||||||||||||||||
Equity securities | 1 | -22 | (23) | ||||||||||||||||||||||
Derivative instruments | -1 | -9 | (5) | ||||||||||||||||||||||
Short term investments and other | 13 | 6 | (1) | ||||||||||||||||||||||
Investment gains (a) | $ 54 | $ 16 | $ 48 | ||||||||||||||||||||||
(a) | Includes gross realized gains of $178, $198 and $241 and gross realized losses of $136, $179 and $187 on available-for-sale securities for the years ended December 31, 2014, 2013 and 2012. | ||||||||||||||||||||||||
Schedule of Net Change in Unrealized Gains (Losses) on Available-for-Sale Investments | Net change in unrealized gains (losses) on available-for-sale investments is as follows: | ||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Fixed maturity securities | $ 1,511 | $ (2,541) | $ 1,871 | ||||||||||||||||||||||
Equity securities | 6 | -15 | 5 | ||||||||||||||||||||||
Other | (1) | ||||||||||||||||||||||||
Total net change in unrealized gains on available-for-sale investments | $ 1,517 | $ (2,556) | $ 1,875 | ||||||||||||||||||||||
Components of OTTI Losses Recognized in Earnings by Asset Type | The components of OTTI losses recognized in earnings by asset type are as follows: | ||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Fixed maturity securities available-for-sale: | |||||||||||||||||||||||||
Corporate and other bonds | $ 18 | $ 20 | $ 25 | ||||||||||||||||||||||
States, municipalities and political subdivisions | 46 | 34 | |||||||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||
Residential mortgage-backed | 5 | 19 | 48 | ||||||||||||||||||||||
Other asset-backed | 1 | 2 | |||||||||||||||||||||||
Total asset-backed | 6 | 21 | 48 | ||||||||||||||||||||||
U.S. Treasury and obligations of government-sponsored enterprises | 1 | ||||||||||||||||||||||||
Total fixed maturities available-for-sale | 70 | 41 | 108 | ||||||||||||||||||||||
Equity securities available-for-sale: | |||||||||||||||||||||||||
Common stock | 7 | 8 | 6 | ||||||||||||||||||||||
Preferred stock | 26 | 36 | |||||||||||||||||||||||
Total equity securities available-for-sale | 7 | 34 | 42 | ||||||||||||||||||||||
Short term investments | 1 | ||||||||||||||||||||||||
Net OTTI losses recognized in earnings | $ 77 | $ 76 | $ 150 | ||||||||||||||||||||||
Amortized Cost and Fair Values of Securities | The amortized cost and fair values of securities are as follows: | ||||||||||||||||||||||||
December 31, 2014 | Cost or | Gross | Gross | Estimated | Unrealized | ||||||||||||||||||||
Amortized | Unrealized | Unrealized | Fair Value | OTTI Losses | |||||||||||||||||||||
Cost | Gains | Losses | (Gains) | ||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||
Corporate and other bonds | $ 17,226 | $ 1,721 | $ 61 | $ 18,886 | |||||||||||||||||||||
States, municipalities and political subdivisions | 11,285 | 1,463 | 8 | 12,740 | |||||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||
Residential mortgage-backed | 5,028 | 218 | 13 | 5,233 | $ (53) | ||||||||||||||||||||
Commercial mortgage-backed | 2,056 | 93 | 5 | 2,144 | (2) | ||||||||||||||||||||
Other asset-backed | 1,234 | 11 | 10 | 1,235 | |||||||||||||||||||||
Total asset-backed | 8,318 | 322 | 28 | 8,612 | (55) | ||||||||||||||||||||
U.S. Treasury and obligations of government-sponsored enterprises | 26 | 5 | 31 | ||||||||||||||||||||||
Foreign government | 438 | 16 | 454 | ||||||||||||||||||||||
Redeemable preferred stock | 39 | 3 | 42 | ||||||||||||||||||||||
Fixed maturities available-for-sale | 37,332 | 3,530 | 97 | 40,765 | (55) | ||||||||||||||||||||
Fixed maturities, trading | 137 | 17 | 120 | ||||||||||||||||||||||
Total fixed maturities | 37,469 | 3,530 | 114 | 40,885 | (55) | ||||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
Common stock | 38 | 9 | 47 | ||||||||||||||||||||||
Preferred stock | 172 | 5 | 2 | 175 | |||||||||||||||||||||
Equity securities available-for-sale | 210 | 14 | 2 | 222 | - | ||||||||||||||||||||
Equity securities, trading | 523 | 96 | 113 | 506 | |||||||||||||||||||||
Total equity securities | 733 | 110 | 115 | 728 | - | ||||||||||||||||||||
Total | $ 38,202 | $ 3,640 | $ 229 | $ 41,613 | $ (55) | ||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||
Corporate and other bonds | $ 19,352 | $ 1,645 | $ 135 | $ | 20,862 | ||||||||||||||||||||
States, municipalities and political subdivisions | 11,281 | 548 | 272 | 11,557 | |||||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||
Residential mortgage-backed | 4,940 | 123 | 92 | 4,971 | $ (37) | ||||||||||||||||||||
Commercial mortgage-backed | 1,995 | 90 | 22 | 2,063 | (3) | ||||||||||||||||||||
Other asset-backed | 945 | 13 | 3 | 955 | |||||||||||||||||||||
Total asset-backed | 7,880 | 226 | 117 | 7,989 | (40) | ||||||||||||||||||||
U.S. Treasury and obligations of government-sponsored enterprises | 139 | 6 | 1 | 144 | |||||||||||||||||||||
Foreign government | 531 | 15 | 3 | 543 | |||||||||||||||||||||
Redeemable preferred stock | 92 | 10 | 102 | ||||||||||||||||||||||
Fixed maturities available-for-sale | 39,275 | 2,450 | 528 | 41,197 | (40) | ||||||||||||||||||||
Fixed maturities, trading | 151 | 28 | 123 | ||||||||||||||||||||||
Total fixed maturities | 39,426 | 2,450 | 556 | 41,320 | (40) | ||||||||||||||||||||
Equity securities: | |||||||||||||||||||||||||
Common stock | 36 | 9 | 45 | ||||||||||||||||||||||
Preferred stock | 143 | 1 | 4 | 140 | |||||||||||||||||||||
Equity securities available-for-sale | 179 | 10 | 4 | 185 | - | ||||||||||||||||||||
Equity securities, trading | 702 | 119 | 135 | 686 | |||||||||||||||||||||
Total equity securities | 881 | 129 | 139 | 871 | - | ||||||||||||||||||||
Total | $ 40,307 | $ 2,579 | $ 695 | $ 42,191 | $ (40) | ||||||||||||||||||||
Securities Available-for-Sale in Gross Unrealized Loss Position | The available-for-sale securities in a gross unrealized loss position are as follows: | ||||||||||||||||||||||||
Less than | 12 Months | Total | |||||||||||||||||||||||
12 Months | or Longer | ||||||||||||||||||||||||
December 31, 2014 | Estimated | Gross | Estimated | Gross | Estimated | Gross | |||||||||||||||||||
Fair Value | Unrealized | Fair Value | Unrealized | Fair Value | Unrealized | ||||||||||||||||||||
Losses | Losses | Losses | |||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||
Corporate and other bonds | $ 1,330 | $ 46 | $ 277 | $ 15 | $ 1,607 | $ 61 | |||||||||||||||||||
States, municipalities and political subdivisions | 335 | 5 | 127 | 3 | 462 | 8 | |||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||
Residential mortgage-backed | 293 | 5 | 189 | 8 | 482 | 13 | |||||||||||||||||||
Commercial mortgage-backed | 264 | 2 | 99 | 3 | 363 | 5 | |||||||||||||||||||
Other asset-backed | 607 | 10 | 7 | 614 | 10 | ||||||||||||||||||||
Total asset-backed | 1,164 | 17 | 295 | 11 | 1,459 | 28 | |||||||||||||||||||
U.S. Treasury and obligations of government-sponsored enterprises | 3 | 4 | 7 | ||||||||||||||||||||||
Foreign government | 3 | 3 | 6 | ||||||||||||||||||||||
Redeemable preferred stock | 3 | 3 | |||||||||||||||||||||||
Total fixed maturity securities | 2,838 | 68 | 706 | 29 | 3,544 | 97 | |||||||||||||||||||
Preferred stock | 17 | 2 | 1 | 18 | 2 | ||||||||||||||||||||
Total | $ 2,855 | $ 70 | $ 707 | $ 29 | $ 3,562 | $ 99 | |||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||
Corporate and other bonds | $ 3,592 | $ 129 | $ 72 | $ 6 | $ 3,664 | $ 135 | |||||||||||||||||||
States, municipalities and political subdivisions | 3,251 | 197 | 129 | 75 | 3,380 | 272 | |||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||
Residential mortgage-backed | 1,293 | 29 | 343 | 63 | 1,636 | 92 | |||||||||||||||||||
Commercial mortgage-backed | 640 | 22 | 640 | 22 | |||||||||||||||||||||
Other asset-backed | 269 | 3 | 269 | 3 | |||||||||||||||||||||
Total asset-backed | 2,202 | 54 | 343 | 63 | 2,545 | 117 | |||||||||||||||||||
U.S. Treasury and obligations of government-sponsored enterprises | 13 | 1 | 13 | 1 | |||||||||||||||||||||
Foreign government | 111 | 3 | 111 | 3 | |||||||||||||||||||||
Total fixed maturity securities | 9,169 | 384 | 544 | 144 | 9,713 | 528 | |||||||||||||||||||
Preferred stock | 87 | 4 | 87 | 4 | |||||||||||||||||||||
Total | $ 9,256 | $ 388 | $ 544 | $ 144 | $ 9,800 | $ 532 | |||||||||||||||||||
Pretax Credit Loss Component Reflected in Retained Earnings on Fixed Maturity Securities | The following table summarizes the activity for the years ended December 31, 2014, 2013 and 2012 related to the pretax credit loss component reflected in Retained earnings on fixed maturity securities still held at December 31, 2014, 2013 and 2012 for which a portion of an OTTI loss was recognized in Other comprehensive income. | ||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Beginning balance of credit losses on fixed maturity securities | $ | 74 | $ | 95 | $ | 92 | |||||||||||||||||||
Additional credit losses for securities for which an OTTI loss was previously recognized | 2 | 23 | |||||||||||||||||||||||
Credit losses for securities for which an OTTI loss was not previously recognized | 2 | ||||||||||||||||||||||||
Reductions for securities sold during the period | (9 | ) | (23 | ) | (14) | ||||||||||||||||||||
Reductions for securities the Company intends to sell or more likely than not will be required to sell | (3 | ) | (8) | ||||||||||||||||||||||
Ending balance of credit losses on fixed maturity securities | $ | 62 | $ | 74 | $ | 95 | |||||||||||||||||||
Available-for-Sale Fixed Maturity Securities by Contractual Maturity | The following table summarizes available-for-sale fixed maturity securities by contractual maturity. Actual maturities may differ from contractual maturities because certain securities may be called or prepaid with or without call or prepayment penalties. Securities not due at a single date are allocated based on weighted average life. | ||||||||||||||||||||||||
December 31 | 2014 | 2013 | |||||||||||||||||||||||
Cost or | Estimated | Cost or | Estimated | ||||||||||||||||||||||
Amortized | Fair Value | Amortized | Fair Value | ||||||||||||||||||||||
Cost | Cost | ||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Due in one year or less | $ 2,479 | $ | 2,511 | $ | 2,420 | $ | 2,455 | ||||||||||||||||||
Due after one year through five years | 9,070 | 9,621 | 9,496 | 10,068 | |||||||||||||||||||||
Due after five years through ten years | 12,055 | 12,584 | 11,667 | 11,954 | |||||||||||||||||||||
Due after ten years | 13,728 | 16,049 | 15,692 | 16,720 | |||||||||||||||||||||
Total | $ 37,332 | $ | 40,765 | $ | 39,275 | $ | 41,197 | ||||||||||||||||||
Fair_Value_Tables
Fair Value (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||
Assets and Liabilities Measured at Fair Value on Recurring Basis | Assets and liabilities measured at fair value on a recurring basis are summarized in the tables below: | ||||||||||||||||||||||||||||||||||||||||
December 31, 2014 | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||||||||||||||||
Corporate and other bonds | $ | 32 | $ | 18,692 | $ | 162 | $ | 18,886 | |||||||||||||||||||||||||||||||||
States, municipalities and political subdivisions | 12,646 | 94 | 12,740 | ||||||||||||||||||||||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed | 5,044 | 189 | 5,233 | ||||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed | 2,061 | 83 | 2,144 | ||||||||||||||||||||||||||||||||||||||
Other asset-backed | 580 | 655 | 1,235 | ||||||||||||||||||||||||||||||||||||||
Total asset-backed | 7,685 | 927 | 8,612 | ||||||||||||||||||||||||||||||||||||||
U.S. Treasury and obligations of government-sponsored enterprises | 28 | 3 | 31 | ||||||||||||||||||||||||||||||||||||||
Foreign government | 41 | 413 | 454 | ||||||||||||||||||||||||||||||||||||||
Redeemable preferred stock | 30 | 12 | 42 | ||||||||||||||||||||||||||||||||||||||
Fixed maturities available-for-sale | 131 | 39,451 | 1,183 | 40,765 | |||||||||||||||||||||||||||||||||||||
Fixed maturities trading | 30 | 90 | 120 | ||||||||||||||||||||||||||||||||||||||
Total fixed maturities | $ | 131 | $ | 39,481 | $ | 1,273 | $ | 40,885 | |||||||||||||||||||||||||||||||||
Equity securities available-for-sale | $ | 145 | $ | 61 | $ | 16 | $ | 222 | |||||||||||||||||||||||||||||||||
Equity securities trading | 505 | 1 | 506 | ||||||||||||||||||||||||||||||||||||||
Total equity securities | $ | 650 | $ | 61 | $ | 17 | $ | 728 | |||||||||||||||||||||||||||||||||
Short term investments | $ | 4,989 | $ | 963 | $ | 5,952 | |||||||||||||||||||||||||||||||||||
Other invested assets | 102 | 41 | 143 | ||||||||||||||||||||||||||||||||||||||
Receivables | 2 | 7 | 9 | ||||||||||||||||||||||||||||||||||||||
Life settlement contracts | $ | 82 | 82 | ||||||||||||||||||||||||||||||||||||||
Payable to brokers | (546 | ) | (6 | ) | (552) | ||||||||||||||||||||||||||||||||||||
December 31, 2013 | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||||||||||||||||
Corporate and other bonds | $ | 33 | $ | 20,625 | $ | 204 | $ | 20,862 | |||||||||||||||||||||||||||||||||
States, municipalities and political subdivisions | 11,486 | 71 | 11,557 | ||||||||||||||||||||||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed | 4,640 | 331 | 4,971 | ||||||||||||||||||||||||||||||||||||||
Commercial mortgage-backed | 1,912 | 151 | 2,063 | ||||||||||||||||||||||||||||||||||||||
Other asset-backed | 509 | 446 | 955 | ||||||||||||||||||||||||||||||||||||||
Total asset-backed | 7,061 | 928 | 7,989 | ||||||||||||||||||||||||||||||||||||||
U.S. Treasury and obligations of government-sponsored enterprises | 116 | 28 | 144 | ||||||||||||||||||||||||||||||||||||||
Foreign government | 81 | 462 | 543 | ||||||||||||||||||||||||||||||||||||||
Redeemable preferred stock | 45 | 57 | 102 | ||||||||||||||||||||||||||||||||||||||
Fixed maturities available-for-sale | 275 | 39,719 | 1,203 | 41,197 | |||||||||||||||||||||||||||||||||||||
Fixed maturities trading | 43 | 80 | 123 | ||||||||||||||||||||||||||||||||||||||
Total fixed maturities | $ | 275 | $ | 39,762 | $ | 1,283 | $ | 41,320 | |||||||||||||||||||||||||||||||||
Equity securities available-for-sale | $ | 126 | $ | 48 | $ | 11 | $ | 185 | |||||||||||||||||||||||||||||||||
Equity securities trading | 678 | 8 | 686 | ||||||||||||||||||||||||||||||||||||||
Total equity securities | $ | 804 | $ | 48 | $ | 19 | $ | 871 | |||||||||||||||||||||||||||||||||
Short term investments | $ | 6,134 | $ | 563 | $ | 6,697 | |||||||||||||||||||||||||||||||||||
Other invested assets | 54 | 54 | |||||||||||||||||||||||||||||||||||||||
Receivables | 3 | 3 | |||||||||||||||||||||||||||||||||||||||
Life settlement contracts | $ | 88 | 88 | ||||||||||||||||||||||||||||||||||||||
Separate account business | 9 | 171 | 1 | 181 | |||||||||||||||||||||||||||||||||||||
Payable to brokers | (40 | ) | (1 | ) | (3 | ) | (44) | ||||||||||||||||||||||||||||||||||
Assets of discontinued operations | 28 | 2 | 2 | 32 | |||||||||||||||||||||||||||||||||||||
Liabilities of discontinued operations | (6 | ) | (2 | ) | (8) | ||||||||||||||||||||||||||||||||||||
Reconciliations of Assets and Liabilities Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs | The tables below present reconciliations for all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the years ended December 31, 2014 and 2013: | ||||||||||||||||||||||||||||||||||||||||
Unrealized | |||||||||||||||||||||||||||||||||||||||||
Gains | |||||||||||||||||||||||||||||||||||||||||
(Losses) | |||||||||||||||||||||||||||||||||||||||||
Recognized in | |||||||||||||||||||||||||||||||||||||||||
Net Realized Gains | Net Income | ||||||||||||||||||||||||||||||||||||||||
(Losses) and Net Change | on Level | ||||||||||||||||||||||||||||||||||||||||
in Unrealized Gains | 3 Assets and | ||||||||||||||||||||||||||||||||||||||||
(Losses) | Transfers | Transfers | Liabilities | ||||||||||||||||||||||||||||||||||||||
Balance, | Included in | Included in | into | out of | Balance, | Held at | |||||||||||||||||||||||||||||||||||
2014 | January 1 | Net Income | OCI | Purchases | Sales | Settlements | Level 3 | Level 3 | December 31 | 31-Dec | |||||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||||||||||||||||
Corporate and other bonds | $ | 204 | $ | 2 | $ | (1) | $ | 33 | $ | (23) | $ | (16) | $ | 18 | $ | (55) | $ | 162 | |||||||||||||||||||||||
States, municipalities and political subdivisions | 71 | 1 | 4 | 14 | -10 | 14 | 94 | ||||||||||||||||||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed | 331 | (21) | 61 | 94 | -174 | (72) | 32 | (62) | 189 | ||||||||||||||||||||||||||||||||
Commercial mortgage-backed | 151 | 7 | (6) | 28 | -60 | (29) | 43 | (51) | 83 | ||||||||||||||||||||||||||||||||
Other asset-backed | 446 | 2 | (6) | 488 | -111 | (117) | (47) | 655 | $ | (1) | |||||||||||||||||||||||||||||||
Total asset-backed | 928 | (12) | 49 | 610 | -345 | (218) | 75 | (160) | 927 | (1) | |||||||||||||||||||||||||||||||
Fixed maturities available-for-sale | 1,203 | (9) | 52 | 657 | -378 | (234) | 107 | (215) | 1,183 | (1) | |||||||||||||||||||||||||||||||
Fixed maturities trading | 80 | 11 | -1 | 90 | 11 | ||||||||||||||||||||||||||||||||||||
Total fixed maturities | $ | 1,283 | $ | 2 | $ | 52 | $ | 657 | $ | -379 | $ | (234) | $ | 107 | $ | (215) | $ | 1,273 | $ | 10 | |||||||||||||||||||||
Equity securities available-for-sale | $ | 11 | $ | 3 | $ | (6) | $ | 16 | $ | -8 | $ | 16 | |||||||||||||||||||||||||||||
Equity securities trading | 8 | (1) | -6 | 1 | $ | 1 | |||||||||||||||||||||||||||||||||||
Total equity securities | $ | 19 | $ | 2 | $ | (6) | $ | 16 | $ | -14 | $ | - | $ | - | $ | - | $ | 17 | $ | 1 | |||||||||||||||||||||
Life settlement contracts | $ | 88 | $ | 33 | $ | (39) | $ | 82 | $ | 8 | |||||||||||||||||||||||||||||||
Separate account business | 1 | $ | (1) | - | |||||||||||||||||||||||||||||||||||||
Derivative financial instruments, net | (3) | 1 | $ | 2 | - | 2 | |||||||||||||||||||||||||||||||||||
Unrealized | |||||||||||||||||||||||||||||||||||||||||
Gains | |||||||||||||||||||||||||||||||||||||||||
(Losses) | |||||||||||||||||||||||||||||||||||||||||
Recognized in | |||||||||||||||||||||||||||||||||||||||||
Net Realized Gains | Net Income | ||||||||||||||||||||||||||||||||||||||||
(Losses) and Net Change | on Level | ||||||||||||||||||||||||||||||||||||||||
in Unrealized Gains | 3 Assets and | ||||||||||||||||||||||||||||||||||||||||
(Losses) | Transfers | Transfers | Liabilities | ||||||||||||||||||||||||||||||||||||||
Balance, | Included in | Included in | into | out of | Balance, | Held at | |||||||||||||||||||||||||||||||||||
2013 | January 1 | Net Income | OCI | Purchases | Sales | Settlements | Level 3 | Level 3 | December 31 | 31-Dec | |||||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||||||||||||||||
Corporate and other bonds | $ | 219 | $ | 3 | $ | 123 | $ | (97) | $ | (44) | $ | 51 | $ | (51) | $ | 204 | $ | (2) | |||||||||||||||||||||||
States, municipalities and political subdivisions | 96 | (2) | $ | 4 | 122 | -79 | (61) | 18 | (27) | 71 | |||||||||||||||||||||||||||||||
Asset-backed: | |||||||||||||||||||||||||||||||||||||||||
Residential mortgage-backed | 413 | 4 | (14) | 116 | -10 | (75) | 4 | (107) | 331 | (3) | |||||||||||||||||||||||||||||||
Commercial mortgage-backed | 129 | 11 | 107 | -3 | (11) | 21 | (103) | 151 | |||||||||||||||||||||||||||||||||
Other asset-backed | 368 | 5 | (4) | 314 | -197 | (35) | (5) | 446 | (2) | ||||||||||||||||||||||||||||||||
Total asset-backed | 910 | 9 | (7) | 537 | -210 | (121) | 25 | (215) | 928 | (5) | |||||||||||||||||||||||||||||||
Redeemable preferred stock | 26 | (1) | (25) | - | |||||||||||||||||||||||||||||||||||||
Fixed maturities available-for-sale | 1,251 | 9 | (3) | 782 | -386 | (251) | 94 | (293) | 1,203 | (7) | |||||||||||||||||||||||||||||||
Fixed maturities trading | 89 | (4) | 19 | -24 | 80 | (4) | |||||||||||||||||||||||||||||||||||
Total fixed maturities | $ | 1,340 | $ | 5 | $ | (3) | $ | 801 | $ | -410 | $ | (251) | $ | 94 | $ | (293) | $ | 1,283 | $ | (11) | |||||||||||||||||||||
Equity securities available-for-sale | $ | 34 | $ | (27) | $ | 3 | $ | 2 | $ | (1) | $ | 11 | $ | (27) | |||||||||||||||||||||||||||
Equity securities trading | 7 | (5) | 6 | 8 | (5) | ||||||||||||||||||||||||||||||||||||
Total equity securities | $ | 41 | $ | (32) | $ | 3 | $ | 8 | $ | - | $ | - | $ | - | $ | (1) | $ | 19 | $ | (32) | |||||||||||||||||||||
Short term investments | $ | 6 | $ | -6 | $ | - | |||||||||||||||||||||||||||||||||||
Other invested assets | 1 | -1 | - | ||||||||||||||||||||||||||||||||||||||
Life settlement contracts | 100 | $ | 13 | $ | (25) | 88 | $ | (2) | |||||||||||||||||||||||||||||||||
Separate account business | 2 | $ | 1 | -2 | 1 | ||||||||||||||||||||||||||||||||||||
Derivative financial instruments, net | 5 | 8 | $ | (9) | (2) | 1 | (6) | (3) | 1 | ||||||||||||||||||||||||||||||||
Quantitative Information about Significant Unobservable Inputs Utilized by Company Fair Value in Measurements of Level 3 Assets | The tables below present quantitative information about the significant unobservable inputs utilized by the Company in the fair value measurements of Level 3 assets. Valuations for assets and liabilities not presented in the table below are primarily based on broker/dealer quotes for which there is a lack of transparency as to inputs used to develop the valuations. The quantitative detail of unobservable inputs from these broker quotes is neither provided nor reasonably available to the Company. | ||||||||||||||||||||||||||||||||||||||||
December 31, 2014 | Fair Value | Valuation | Unobservable | Range | |||||||||||||||||||||||||||||||||||||
Techniques | Inputs | (Weighted | |||||||||||||||||||||||||||||||||||||||
Average) | |||||||||||||||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||||||||||||
Fixed maturity securities | $ | 101 | Discounted cash flow | Credit spread | 2% – 13% (3%) | ||||||||||||||||||||||||||||||||||||
Equity securities | 16 | Market approach | Private offering price | $12 – $4,391 per share | |||||||||||||||||||||||||||||||||||||
($600 per share) | |||||||||||||||||||||||||||||||||||||||||
Life settlement contracts | 82 | Discounted cash flow | Discount rate risk premium | 9% | |||||||||||||||||||||||||||||||||||||
Mortality assumption | 55% – 1,676% (163%) | ||||||||||||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||||||||||||
Fixed maturity securities | $ | 142 | Discounted cash flow | Credit spread | 2% – 20% (4%) | ||||||||||||||||||||||||||||||||||||
Equity securities | 10 | Market approach | Private offering price | $360 – $4,268 per share | |||||||||||||||||||||||||||||||||||||
($1,148 per share) | |||||||||||||||||||||||||||||||||||||||||
Life settlement contracts | 88 | Discounted cash flow | Discount rate risk premium | 9% | |||||||||||||||||||||||||||||||||||||
Mortality assumption | 70% – 743% (192%) | ||||||||||||||||||||||||||||||||||||||||
Carrying Amount and Estimated Fair Value of Financial Instrument Assets and Liabilities Not Measured at Fair Value | The carrying amounts reported on the Consolidated Balance Sheets for cash and short term investments not carried at fair value and certain other assets and liabilities approximate fair value due to the short term nature of these items. | ||||||||||||||||||||||||||||||||||||||||
Carrying | Estimated Fair Value | ||||||||||||||||||||||||||||||||||||||||
December 31, 2014 | Amount | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||||||||||||||
Financial Assets: | |||||||||||||||||||||||||||||||||||||||||
Other invested assets, primarily mortgage loans | $ | 588 | $ | 608 | $ | 608 | |||||||||||||||||||||||||||||||||||
Financial Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Short term debt | 334 | $ | 255 | 84 | 339 | ||||||||||||||||||||||||||||||||||||
Long term debt | 10,320 | 10,299 | 420 | 10,719 | |||||||||||||||||||||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||||||||||||||||
Financial Assets: | |||||||||||||||||||||||||||||||||||||||||
Other invested assets, primarily mortgage loans | $ | 508 | $ | 515 | $ | 515 | |||||||||||||||||||||||||||||||||||
Financial Liabilities: | |||||||||||||||||||||||||||||||||||||||||
Premium deposits and annuity contracts | 57 | 58 | 58 | ||||||||||||||||||||||||||||||||||||||
Short term debt | 818 | $ | 832 | 20 | 852 | ||||||||||||||||||||||||||||||||||||
Long term debt | 9,515 | 9,907 | 182 | 10,089 | |||||||||||||||||||||||||||||||||||||
Long term debt included in discontinued operations | 500 | 500 | 500 |
Derivative_Financial_Instrumen1
Derivative Financial Instruments (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||||||||
Summary of Aggregate Contractual or Notional Amounts and Gross Estimated Fair Values Related to Derivative Financial Instruments | A summary of the aggregate contractual or notional amounts and gross estimated fair values related to derivative financial instruments follows. The contractual or notional amounts for derivatives are used to calculate the exchange of contractual payments under the agreements and may not be representative of the potential for gain or loss on these instruments. | ||||||||||||||||||||||||
December 31 | 2014 | 2013 | |||||||||||||||||||||||
Contractual/ | Contractual/ | ||||||||||||||||||||||||
Notional | Estimated Fair Value | Notional | Estimated Fair Value | ||||||||||||||||||||||
Amount | Asset | (Liability) | Amount | Asset | (Liability) | ||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
With hedge designation: | |||||||||||||||||||||||||
Foreign exchange: | |||||||||||||||||||||||||
Currency forwards – short | $ 70 | $ (5) | $ 114 | $ 2 | $ (1) | ||||||||||||||||||||
Without hedge designation: | |||||||||||||||||||||||||
Equity markets: | |||||||||||||||||||||||||
Options – purchased | 544 | $ 24 | 1,561 | 41 | |||||||||||||||||||||
– written | 292 | (21) | 729 | (23) | |||||||||||||||||||||
Equity swaps and warrants – long | 10 | 2 | 17 | 9 | |||||||||||||||||||||
Interest rate risk: | |||||||||||||||||||||||||
Credit default swaps | |||||||||||||||||||||||||
– purchased protection | 50 | (3) | |||||||||||||||||||||||
– sold protection | 25 | ||||||||||||||||||||||||
Foreign exchange: | |||||||||||||||||||||||||
Currency forwards – long | 109 | (3) | 55 | ||||||||||||||||||||||
– short | 88 | 2 | 113 | ||||||||||||||||||||||
Currency options – long | 151 | 7 | |||||||||||||||||||||||
Embedded derivative on funds withheld liability | 184 | (3) | |||||||||||||||||||||||
Discontinued operations: | |||||||||||||||||||||||||
Interest rate risk: | |||||||||||||||||||||||||
Interest rate swaps | 300 | (4) | |||||||||||||||||||||||
Commodities: | |||||||||||||||||||||||||
Forwards – short | 180 | 4 | (4) |
Receivables_Tables
Receivables (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Receivables [Abstract] | |||||||||
Receivables | |||||||||
December 31 | 2014 | 2013 | |||||||
(In millions) | |||||||||
Reinsurance (Note 16) | $ | 4,742 | $ 6,088 | ||||||
Insurance | 1,997 | 2,063 | |||||||
Receivable from brokers | 84 | 234 | |||||||
Accrued investment income | 412 | 448 | |||||||
Federal income taxes | 27 | 34 | |||||||
Other, primarily customer accounts | 625 | 800 | |||||||
Total | 7,887 | 9,667 | |||||||
Less: allowance for doubtful accounts on reinsurance receivables | 48 | 71 | |||||||
allowance for other doubtful accounts | 69 | 258 | |||||||
Receivables | $ | 7,770 | $ 9,338 | ||||||
Property_Plant_and_Equipment_T
Property, Plant and Equipment (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Property, Plant and Equipment [Abstract] | |||||||||||||||||||||||||
Components of Property, Plant and Equipment | |||||||||||||||||||||||||
December 31 | 2014 | 2013 | |||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Pipeline equipment (net of accumulated DD&A of $1,620 and $1,360) | $ | 7,491 | $ 7,062 | ||||||||||||||||||||||
Offshore drilling equipment (net of accumulated DD&A of $4,159 and $3,727) | 6,459 | 3,750 | |||||||||||||||||||||||
Other (net of accumulated DD&A of $730 and $778) | 1,083 | 785 | |||||||||||||||||||||||
Construction in process | 578 | 1,927 | |||||||||||||||||||||||
Property, plant and equipment, net | $ | 15,611 | $ 13,524 | ||||||||||||||||||||||
DD&A Expense and Capital Expenditures | DD&A expense and capital expenditures are as follows: | ||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
DD&A | Capital | DD&A | Capital | DD&A | Capital | ||||||||||||||||||||
Expend. | Expend. | Expend. | |||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
CNA Financial | $ | 69 | $ | 72 | $ | 72 | $ | 90 | $ | 71 | $ | 98 | |||||||||||||
Diamond Offshore | 457 | 2,050 | 389 | 987 | 394 | 721 | |||||||||||||||||||
Boardwalk Pipeline | 292 | 378 | 275 | 305 | 256 | 247 | |||||||||||||||||||
Loews Hotels | 37 | 289 | 32 | 369 | 30 | 30 | |||||||||||||||||||
Corporate and other | 6 | 24 | 6 | 4 | 7 | 10 | |||||||||||||||||||
Total | $ | 861 | $ | 2,813 | $ | 774 | $ | 1,755 | $ | 758 | $ | 1,106 | |||||||||||||
Goodwill_Tables
Goodwill (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||
Schedule of Changes in Goodwill | |||||||||||||||||||||
Total | CNA | Diamond | Boardwalk | Loews | |||||||||||||||||
Financial | Offshore | Pipeline | Hotels | ||||||||||||||||||
(In millions) | |||||||||||||||||||||
Balance, December 31, 2012 | $ | 412 | $ | 118 | $ | 20 | $ | 271 | $ | 3 | |||||||||||
Impairments | -52 | (52) | |||||||||||||||||||
Other adjustments | -3 | 1 | (4) | ||||||||||||||||||
Balance, December 31, 2013 | 357 | 119 | 20 | 215 | 3 | ||||||||||||||||
Additions | 22 | 22 | |||||||||||||||||||
Dispositions | -3 | (3) | |||||||||||||||||||
Other adjustments | -2 | (2) | |||||||||||||||||||
Balance, December 31, 2014 | $ | 374 | $ | 117 | $ | 20 | $ | 237 | $ | - | |||||||||||
Claim_and_Claim_Adjustment_Exp1
Claim and Claim Adjustment Expense Reserves (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Reconciliation of Claim and Claim Adjustment Expense Reserves | The table below provides a reconciliation between beginning and ending claim and claim adjustment expense reserves, including claim and claim adjustment expense reserves of the life company as of and for the years ended December 31, 2014, 2013 and 2012. | ||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||
(In millions) | |||||||||||||||||||||
Reserves, beginning of year: | |||||||||||||||||||||
Gross | $ | 24,089 | $ | 24,763 | $ | 24,303 | |||||||||||||||
Ceded | 4,972 | 5,126 | 5,020 | ||||||||||||||||||
Net reserves, beginning of year | 19,117 | 19,637 | 19,283 | ||||||||||||||||||
Change in net reserves due to acquisition (disposition) of subsidiaries | (13) | 291 | |||||||||||||||||||
Net incurred claim and claim adjustment expenses: | |||||||||||||||||||||
Provision for insured events of current year | 5,043 | 5,114 | 5,273 | ||||||||||||||||||
Decrease in provision for insured events of prior years | (36) | (115) | (182) | ||||||||||||||||||
Amortization of discount | 161 | 154 | 145 | ||||||||||||||||||
Total net incurred (a) | 5,168 | 5,153 | 5,236 | ||||||||||||||||||
Net payments attributable to: | |||||||||||||||||||||
Current year events | (945) | (981) | (988) | ||||||||||||||||||
Prior year events | (4,355) | (4,588) | (4,280) | ||||||||||||||||||
Total net payments | (5,300) | (5,569) | (5,268) | ||||||||||||||||||
Foreign currency translation adjustment and other | (45) | (104) | 95 | ||||||||||||||||||
Net reserves, end of year | 18,927 | 19,117 | 19,637 | ||||||||||||||||||
Ceded reserves, end of year | 4,344 | 4,972 | 5,126 | ||||||||||||||||||
Gross reserves, end of year | $ | 23,271 | $ | 24,089 | $ | 24,763 | |||||||||||||||
(a) | Total net incurred above does not agree to Insurance claims and policyholders’ benefits as reflected in the Consolidated Statements of Income due to amounts related to retroactive reinsurance deferred gain accounting, uncollectible reinsurance and loss deductible receivables and benefit expenses related to future policy benefits and policyholders’ funds, which are not reflected in the table above. | ||||||||||||||||||||
Changes in Provision for Insured Events of Prior Years | The changes in provision for insured events of prior years (net prior year claim and claim adjustment expense reserve development, including unallocated claim and claim adjustment expense) were as follows: | ||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||
(In millions) | |||||||||||||||||||||
Property and casualty reserve development | $ (39) | $ (115) | $ | (180) | |||||||||||||||||
Life reserve development in life company | 3 | (2) | |||||||||||||||||||
Total | $ (36) | $ (115) | $ | (182) | |||||||||||||||||
Summary of Gross and Net Carried Reserves | The following tables summarize the gross and net carried reserves: | ||||||||||||||||||||
December 31, 2014 | Specialty | Commercial | International | Other | Total | ||||||||||||||||
Non-Core | |||||||||||||||||||||
(In millions) | |||||||||||||||||||||
Gross Case Reserves | $ | 2,136 | $ | 5,298 | $ | 752 | $ | 4,070 | $ | 12,256 | |||||||||||
Gross IBNR Reserves | 4,093 | 4,216 | 689 | 2,017 | 11,015 | ||||||||||||||||
Total Gross Carried Claim and Claim Adjustment Expense Reserves | $ | 6,229 | $ | 9,514 | $ | 1,441 | $ | 6,087 | $ | 23,271 | |||||||||||
Net Case Reserves | $ | 1,929 | $ | 4,947 | $ | 598 | $ | 2,716 | $ | 10,190 | |||||||||||
Net IBNR Reserves | 3,726 | 3,906 | 663 | 442 | 8,737 | ||||||||||||||||
Total Net Carried Claim and Claim Adjustment Expense Reserves | $ | 5,655 | $ | 8,853 | $ | 1,261 | $ | 3,158 | $ | 18,927 | |||||||||||
December 31, 2013 | |||||||||||||||||||||
Gross Case Reserves | $ | 2,001 | $ | 5,570 | $ | 803 | $ | 3,888 | $ | 12,262 | |||||||||||
Gross IBNR Reserves | 4,057 | 4,521 | 772 | 2,477 | 11,827 | ||||||||||||||||
Total Gross Carried Claim and Claim Adjustment Expense Reserves | $ | 6,058 | $ | 10,091 | $ | 1,575 | $ | 6,365 | $ | 24,089 | |||||||||||
Net Case Reserves | $ | 1,793 | $ | 5,119 | $ | 629 | $ | 2,635 | $ | 10,176 | |||||||||||
Net IBNR Reserves | 3,789 | 3,992 | 705 | 455 | 8,941 | ||||||||||||||||
Total Net Carried Claim and Claim Adjustment Expense Reserves | $ | 5,582 | $ | 9,111 | $ | 1,334 | $ | 3,090 | $ | 19,117 | |||||||||||
Net Prior Year Development | Favorable net prior year development of $14 million, $9 million and $11 million was recorded in Life & Group Non-Core for the years ended December 31, 2014, 2013 and 2012. | ||||||||||||||||||||
Year Ended December 31, 2014 | Specialty | Commercial | International | Other | Total | ||||||||||||||||
(In millions) | |||||||||||||||||||||
Pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | $ | -136 | $ | 176 | $ | (59) | $ (2) | $ (21) | |||||||||||||
Pretax (favorable) unfavorable premium development | -13 | (20) | 2 | (1) | -32 | ||||||||||||||||
Total pretax (favorable) unfavorable net prior year development | $ | -149 | $ | 156 | $ | (57) | $ (3) | $ (53) | |||||||||||||
Year Ended December 31, 2013 | |||||||||||||||||||||
Pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | $ | -196 | $ | 122 | $ | (38) | $ (6) | $ (118) | |||||||||||||
Pretax (favorable) unfavorable premium development | -14 | (8) | (21) | 1 | -42 | ||||||||||||||||
Total pretax (favorable) unfavorable net prior year development | $ | -210 | $ | 114 | $ | (59) | $ (5) | $ (160) | |||||||||||||
Year Ended December 31, 2012 | |||||||||||||||||||||
Pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | $ | -93 | $ | (25) | $ | (74) | $ (13) | $ (205) | |||||||||||||
Pretax (favorable) unfavorable premium development | -14 | (36) | 3 | 1 | -46 | ||||||||||||||||
Total pretax (favorable) unfavorable net prior year development | $ | -107 | $ | (61) | $ | (71) | $ (12) | $ (251) | |||||||||||||
Impact of Loss Portfolio Transfer on Consolidated Statements of Income | The following table displays the impact of the Loss Portfolio Transfer on the Consolidated Statements of Income. | ||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||
(In millions) | |||||||||||||||||||||
Net A&EP adverse development before consideration of LPT | $ | - | $ | 363 | $ | 261 | |||||||||||||||
Provision for uncollectible third party reinsurance on A&EP | 140 | ||||||||||||||||||||
Additional amounts ceded under LPT | - | 503 | 261 | ||||||||||||||||||
Retroactive reinsurance benefit recognized | (13) | (314) | (261) | ||||||||||||||||||
Pretax impact of unrecognized deferred retroactive reinsurance benefit | $ | (13) | $ | 189 | $ | - | |||||||||||||||
Specialty [Member] | |||||||||||||||||||||
Net Prior Year Claim and Allocated Claim Adjustment Expense Reserve Development | The following table and discussion provide further detail of the net prior year claim and allocated claim adjustment expense reserve development (“development”) recorded for the Specialty segment: | ||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||
(In millions) | |||||||||||||||||||||
Medical professional liability | $ | 39 | $ | (27) | $ | (34) | |||||||||||||||
Other professional liability and management liability | (87) | (73) | 19 | ||||||||||||||||||
Surety | (82) | (74) | (63) | ||||||||||||||||||
Warranty | (2) | (3) | (5) | ||||||||||||||||||
Other | (4) | (19) | (10) | ||||||||||||||||||
Total pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | $ | (136) | $ | (196) | $ | (93) | |||||||||||||||
Commercial [Member] | |||||||||||||||||||||
Net Prior Year Claim and Allocated Claim Adjustment Expense Reserve Development | The following table and discussion provide further detail of the development recorded for the Commercial segment: | ||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||
(In millions) | |||||||||||||||||||||
Commercial auto | $ | 31 | $ | 18 | $ | 25 | |||||||||||||||
General liability | 45 | 64 | (66) | ||||||||||||||||||
Workers’ compensation | 139 | 91 | 15 | ||||||||||||||||||
Property and other | (39) | (51) | 1 | ||||||||||||||||||
Total pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | $ | 176 | $ | 122 | $ | (25) | |||||||||||||||
International [Member] | |||||||||||||||||||||
Net Prior Year Claim and Allocated Claim Adjustment Expense Reserve Development | The following table and discussion provide further detail of the development recorded for the International segment: | ||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||
(In millions) | |||||||||||||||||||||
Medical professional liability | $ | (7) | $ | (7) | $ | 1 | |||||||||||||||
Other professional liability | (26) | (30) | (41) | ||||||||||||||||||
Liability | (13) | (8) | (2) | ||||||||||||||||||
Property & marine | (14) | 13 | (30) | ||||||||||||||||||
Other | (9) | (17) | (2) | ||||||||||||||||||
Commutations | 10 | 11 | |||||||||||||||||||
Total pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | $ | (59) | $ | (38) | $ | (74) | |||||||||||||||
Leases_Tables
Leases (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Leases [Abstract] | |||||||||
Future Minimum Lease Payments to be Made Under Non-Cancelable Operating Leases Along with Lease and Sublease Minimum Receipts to be Received on Owned and Leased Properties | The table below presents the future minimum lease payments to be made under non-cancelable operating leases along with lease and sublease minimum receipts to be received on owned and leased properties. | ||||||||
Future Minimum Lease | |||||||||
Year Ended December 31 | Payments | Receipts | |||||||
(In millions) | |||||||||
2015 | $ | 59 | $ | 5 | |||||
2016 | 57 | 4 | |||||||
2017 | 52 | 4 | |||||||
2018 | 45 | 3 | |||||||
2019 | 41 | 2 | |||||||
Thereafter | 238 | 7 | |||||||
Total | $ | 492 | $ | 25 | |||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||
Current and Deferred Components of Income Tax Expense (Benefit) | The current and deferred components of income tax expense (benefit) are as follows: | ||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||
(In millions) | |||||||||||||
Income tax expense (benefit): | |||||||||||||
Federal: | |||||||||||||
Current | $ | 370 | $ | 705 | $ | 180 | |||||||
Deferred | (23) | (232) | 199 | ||||||||||
State and city: | |||||||||||||
Current | 12 | 19 | 19 | ||||||||||
Deferred | 6 | 1 | 5 | ||||||||||
Foreign | 92 | 163 | 110 | ||||||||||
Total | $ | 457 | $ | 656 | $ | 513 | |||||||
Components of U.S. and Foreign Income and Reconciliation between Federal Income Tax Expense at Statutory Rates and Actual Income Tax Expense | The components of U.S. and foreign income before income tax and a reconciliation between the federal income tax expense at statutory rates and the actual income tax expense is as follows: | ||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||
(In millions) | |||||||||||||
Income before income tax: | |||||||||||||
U.S. | $ | 1,499 | $ | 1,945 | $ | 1,534 | |||||||
Foreign | 311 | 332 | 488 | ||||||||||
Total | $ | 1,810 | $ | 2,277 | $ | 2,022 | |||||||
Income tax expense at statutory rate | $ | 633 | $ | 797 | $ | 708 | |||||||
Increase (decrease) in income tax expense resulting from: | |||||||||||||
Exempt investment income | (121) | (99) | (86) | ||||||||||
Foreign related tax differential | (48) | (117) | (152) | ||||||||||
Amortization of deferred charges associated with intercompany rig sales to other tax jurisdictions | 44 | 31 | 31 | ||||||||||
Taxes related to domestic affiliate | 14 | 19 | 25 | ||||||||||
Partnership earnings not subject to taxes | (39) | (38) | (43) | ||||||||||
Unrecognized tax benefit (expense) | (42) | 66 | 6 | ||||||||||
Other (a) | 16 | (3) | 24 | ||||||||||
Income tax expense | $ | 457 | $ | 656 | $ | 513 | |||||||
(a) | Includes state and local taxes, retroactive tax law changes, adjustments to prior year estimates and other non-deductible expenses. | ||||||||||||
Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits, Excluding Tax Carryforwards and Interest and Penalties | A reconciliation of the beginning and ending amount of unrecognized tax benefits, excluding tax carryforwards and interest and penalties, is as follows: | ||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||
(In millions) | |||||||||||||
Balance at January 1 | $ | 91 | $ | 67 | $ | 63 | |||||||
Additions based on tax positions related to the current year | 6 | 2 | 4 | ||||||||||
Additions for tax positions related to a prior year | 31 | 5 | |||||||||||
Reductions for tax positions related to a prior year | (35) | (7) | (5) | ||||||||||
Lapse of statute of limitations | (5) | (2) | |||||||||||
Balance at December 31 | $ | 57 | $ | 91 | $ | 67 | |||||||
Summary of Deferred Tax Assets and Liabilities | The following table summarizes deferred tax assets and liabilities: | ||||||||||||
December 31 | 2014 | 2013 | |||||||||||
(In millions) | |||||||||||||
Deferred tax assets: | |||||||||||||
Insurance reserves: | |||||||||||||
Property and casualty claim and claim adjustment expense reserves | $ | 265 | $ | 289 | |||||||||
Unearned premium reserves | 187 | 178 | |||||||||||
Receivables | 37 | 53 | |||||||||||
Employee benefits | 432 | 312 | |||||||||||
Life settlement contracts | 46 | 46 | |||||||||||
Deferred retroactive reinsurance benefit | 61 | 66 | |||||||||||
Net operating loss carryforwards | 321 | 42 | |||||||||||
Tax credit carryforwards | 93 | 27 | |||||||||||
Basis differential in investment in subsidiary | 21 | 23 | |||||||||||
Discontinued operations | 518 | ||||||||||||
Other | 161 | 200 | |||||||||||
Deferred tax assets | 1,624 | 1,754 | |||||||||||
Deferred tax liabilities: | |||||||||||||
Deferred acquisition costs | (226) | (232) | |||||||||||
Net unrealized gains | (469) | (361) | |||||||||||
Property, plant and equipment | (1,132) | (1,076) | |||||||||||
Basis differential in investment in subsidiary | (472) | (564) | |||||||||||
Other liabilities | (204) | (198) | |||||||||||
Deferred tax liabilities | (2,503) | (2,431) | |||||||||||
Net deferred tax liability (a) | $ | (879) | $ | (677) | |||||||||
(a) | Includes $14 million and $39 million of deferred tax assets reflected in Other assets in our Consolidated Balance Sheets at December 31, 2014 and 2013. |
Debt_Tables
Debt (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Debt Disclosure [Abstract] | |||||||||||||||||||||
Schedule of Long-Term Debt Instruments | |||||||||||||||||||||
December 31 | 2014 | 2013 | |||||||||||||||||||
(In millions) | |||||||||||||||||||||
Loews Corporation (Parent Company): | |||||||||||||||||||||
Senior: | |||||||||||||||||||||
5.3% notes due 2016 (effective interest rate of 5.4%) (authorized, $400) | $ | 400 | $ | 400 | |||||||||||||||||
2.6% notes due 2023 (effective interest rate of 2.8%) (authorized, $500) | 500 | 500 | |||||||||||||||||||
6.0% notes due 2035 (effective interest rate of 6.2%) (authorized, $300) | 300 | 300 | |||||||||||||||||||
4.1% notes due 2043 (effective interest rate of 4.3%) (authorized, $500) | 500 | 500 | |||||||||||||||||||
CNA Financial: | |||||||||||||||||||||
Senior: | |||||||||||||||||||||
5.9% notes due 2014 (effective interest rate of 6.0%) (authorized, $549) | 549 | ||||||||||||||||||||
6.5% notes due 2016 (effective interest rate of 6.6%) (authorized, $350) | 350 | 350 | |||||||||||||||||||
7.0% notes due 2018 (effective interest rate of 7.1%) (authorized, $150) | 150 | 150 | |||||||||||||||||||
7.4% notes due 2019 (effective interest rate of 7.5%) (authorized, $350) | 350 | 350 | |||||||||||||||||||
5.9% notes due 2020 (effective interest rate of 6.0%) (authorized, $500) | 500 | 500 | |||||||||||||||||||
5.8% notes due 2021 (effective interest rate of 5.9%) (authorized, $400) | 400 | 400 | |||||||||||||||||||
7.3% debentures due 2023 (effective interest rate of 7.3%) (authorized, $250) | 243 | 243 | |||||||||||||||||||
4.0% notes due 2024 (effective interest rate of 4.0%) (authorized, $550) | 550 | ||||||||||||||||||||
Variable rate note due 2036 (effective interest rate of 3.5%) | 30 | 30 | |||||||||||||||||||
Capital lease obligation | 2 | ||||||||||||||||||||
Diamond Offshore: | |||||||||||||||||||||
Senior: | |||||||||||||||||||||
5.2% notes due 2014 (effective interest rate of 5.2%) (authorized, $250) | 250 | ||||||||||||||||||||
4.9% notes due 2015 (effective interest rate of 5.0%) (authorized, $250) | 250 | 250 | |||||||||||||||||||
5.9% notes due 2019 (effective interest rate of 6.0%) (authorized, $500) | 500 | 500 | |||||||||||||||||||
3.5% notes due 2023 (effective interest rate of 3.6%) (authorized, $250) | 250 | 250 | |||||||||||||||||||
5.7% notes due 2039 (effective interest rate of 5.8%) (authorized, $500) | 500 | 500 | |||||||||||||||||||
4.9% notes due 2043 (effective interest rate of 5.0%) (authorized, $750) | 750 | 750 | |||||||||||||||||||
Boardwalk Pipeline: | |||||||||||||||||||||
Senior: | |||||||||||||||||||||
Variable rate revolving credit facility due 2017 (effective interest rate of 1.5% and 1.3%) | 120 | 175 | |||||||||||||||||||
Variable rate term loan due 2017 (effective interest rate of 1.9%) | 200 | 225 | |||||||||||||||||||
4.6% notes due 2015 (effective interest rate of 5.1%) (authorized, $250) | 250 | 250 | |||||||||||||||||||
5.1% notes due 2015 (effective interest rate of 5.2%) (authorized, $275) | 275 | 275 | |||||||||||||||||||
5.9% notes due 2016 (effective interest rate of 6.0%) (authorized, $250) | 250 | 250 | |||||||||||||||||||
5.5% notes due 2017 (effective interest rate of 5.6%) (authorized, $300) | 300 | 300 | |||||||||||||||||||
6.3% notes due 2017 (effective interest rate of 6.4%) (authorized, $275) | 275 | 275 | |||||||||||||||||||
5.2% notes due 2018 (effective interest rate of 5.4%) (authorized, $185) | 185 | 185 | |||||||||||||||||||
5.8% notes due 2019 (effective interest rate of 5.9%) (authorized, $350) | 350 | 350 | |||||||||||||||||||
4.5% notes due 2021 (effective interest rate of 5.0%) (authorized, $440) | 440 | 440 | |||||||||||||||||||
4.0% notes due 2022 (effective interest rate of 4.4%) (authorized, $300) | 300 | 300 | |||||||||||||||||||
3.4% notes due 2023 (effective interest rate of 3.5%) (authorized, $300) | 300 | 300 | |||||||||||||||||||
5.0% notes due 2024 (effective interest rate of 5.2%) (authorized, $350) | 350 | ||||||||||||||||||||
7.3% debentures due 2027 (effective interest rate of 8.1%) (authorized, $100) | 100 | 100 | |||||||||||||||||||
Capital lease obligation | 10 | 10 | |||||||||||||||||||
Loews Hotels: | |||||||||||||||||||||
Senior debt, principally mortgages (effective interest rates approximate 4.1% and 3.9%) | 506 | 202 | |||||||||||||||||||
10,736 | 10,409 | ||||||||||||||||||||
Less unamortized discount | 68 | 65 | |||||||||||||||||||
Debt | $ | 10,668 | $ | 10,344 | |||||||||||||||||
Schedule of Debt by Subsidiary | |||||||||||||||||||||
December 31, 2014 | Principal | Unamortized | Net | Short Term | Long Term | ||||||||||||||||
Discount | Debt | Debt | |||||||||||||||||||
(In millions) | |||||||||||||||||||||
Loews Corporation | $ | 1,700 | $ | 20 | $ | 1,680 | $ | 1,680 | |||||||||||||
CNA Financial | 2,575 | 14 | 2,561 | 2,561 | |||||||||||||||||
Diamond Offshore | 2,250 | 19 | 2,231 | $ | 250 | 1,981 | |||||||||||||||
Boardwalk Pipeline | 3,705 | 15 | 3,690 | 3,690 | |||||||||||||||||
Loews Hotels | 506 | 506 | 85 | 421 | |||||||||||||||||
Total | $ | 10,736 | $ | 68 | $ | 10,668 | $ | 335 | $ | 10,333 | |||||||||||
Shareholders_Equity_Tables
Shareholders' Equity (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||
Equity [Abstract] | |||||||||||||||||||||||||||||
Components of Accumulated Other Comprehensive Income | The tables below display the changes in Accumulated other comprehensive income (“AOCI”) by component for the years ended December 31, 2012, 2013 and 2014: | ||||||||||||||||||||||||||||
OTTI | Unrealized | Discontinued | Cash Flow | Pension | Foreign | Total | |||||||||||||||||||||||
Gains | Gains (Losses) | Operations | Hedges | Liability | Currency | Accumulated | |||||||||||||||||||||||
(Losses) | on Investments | Translation | Other | ||||||||||||||||||||||||||
Comprehensive | |||||||||||||||||||||||||||||
Income (Loss) | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Balance, January 1, 2012 | $ | (57) | $ | 929 | $ | 31 | $ | (6) | $ | (621) | $ | 108 | $ | 384 | |||||||||||||||
Other comprehensive income (loss) before reclassifications, after tax of $(54), $(151), $(16), $(1), $76 and $0 | 102 | 281 | 28 | -2 | -145 | 39 | 303 | ||||||||||||||||||||||
Reclassification of (gains) losses from accumulated other comprehensive income, after tax of $10, $(31), $21, $(1), $(8) and $0 | -18 | 58 | (39) | 5 | 13 | 19 | |||||||||||||||||||||||
Other comprehensive income (loss) | 84 | 339 | (11) | 3 | -132 | 39 | 322 | ||||||||||||||||||||||
Issuance of equity securities by subsidiary | 5 | 5 | |||||||||||||||||||||||||||
Amounts attributable to noncontrolling interests | -9 | (35) | -1 | 16 | -4 | (33) | |||||||||||||||||||||||
Balance, December 31, 2012 | 18 | 1,233 | 20 | -4 | -732 | 143 | 678 | ||||||||||||||||||||||
Other comprehensive income (loss) before reclassifications, after tax of $(3), $354, $3, $4, $(165) and $0 | 6 | (658) | (6) | -6 | 307 | -11 | (368) | ||||||||||||||||||||||
Reclassification of (gains) losses from accumulated other comprehensive income, after tax of $0, $10, $10, $(2), $(12) and $0 | (21) | (17) | 6 | 22 | (10) | ||||||||||||||||||||||||
Other comprehensive income (loss) | 6 | (679) | (23) | - | 329 | -11 | (378) | ||||||||||||||||||||||
Issuance of equity securities by subsidiary | 2 | 2 | |||||||||||||||||||||||||||
Amounts attributable to noncontrolling interests | -1 | 68 | -31 | 1 | 37 | ||||||||||||||||||||||||
Balance, December 31, 2013 | 23 | 622 | (3) | -4 | -432 | 133 | 339 | ||||||||||||||||||||||
Sale of subsidiaries | -5 | (15) | 20 | - | |||||||||||||||||||||||||
Other comprehensive income (loss) before reclassifications, after tax of $(8), $(132), $(3), $1, $132 and $0 | 15 | 295 | 2 | -2 | -244 | -94 | (28) | ||||||||||||||||||||||
Reclassification of (gains) losses from accumulated other comprehensive income, after tax of $0, $10, $16, $0, $(7) and $0 | (28) | (21) | -1 | 9 | (41) | ||||||||||||||||||||||||
Other comprehensive income (loss) | 15 | 267 | (19) | -3 | -235 | -94 | (69) | ||||||||||||||||||||||
Amounts attributable to noncontrolling interests | -1 | (28) | 2 | 1 | 26 | 10 | 10 | ||||||||||||||||||||||
Balance, December 31, 2014 | $ | 32 | $ | 846 | $ | - | $ | -6 | $ | -641 | $ | 49 | $ | 280 | |||||||||||||||
Statutory_Accounting_Practices1
Statutory Accounting Practices (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Text Block [Abstract] | |||||||||||||||||||||
Combined Statutory Capital and Surplus and Net Income (Loss) | Combined statutory capital and surplus and net income (loss), determined in accordance with accounting practices prescribed or permitted by insurance and/or other regulatory authorities for the Combined Continental Casualty Companies and the life company, were as follows: | ||||||||||||||||||||
Statutory Capital and Surplus | Statutory Net Income | ||||||||||||||||||||
December 31 | Year Ended December 31 | ||||||||||||||||||||
2014 (a) | 2013 (b) | 2014 (a) | 2013 | 2012 | |||||||||||||||||
(In millions) | |||||||||||||||||||||
Combined Continental Casualty Companies | $ | 11,155 | $ | 11,137 | $ | 914 | $ | 913 | $ | 391 | |||||||||||
Life company | - | 597 | 37 | 48 | 44 | ||||||||||||||||
(a) | Information derived from the statutory-basis financial statements to be filed with insurance regulators. | ||||||||||||||||||||
(b) | Represents the combined statutory surplus of CCC and its subsidiaries, including the life company. |
Benefit_Plans_Tables
Benefit Plans (Tables) | 12 Months Ended | ||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||
Weighted-Average Assumptions Used to Determine Benefit Obligations | Weighted average assumptions used to determine benefit obligations: | ||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | ||||||||||||||||||||||||||
December 31 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||
Discount rate | 3.70% | 4.40% | 3.60% | 3.40% | 4.20% | 3.50% | |||||||||||||||||||||
Expected long term rate of return on plan assets | 7.50% | 7.50% | 7.5% to 7.8% | 5.30% | 5.30% | 5.30% | |||||||||||||||||||||
Rate of compensation increase | 3.5% to 5.5% | 3.5% to 5.5% | 3.5% to 5.5% | ||||||||||||||||||||||||
Weighted-Average Assumptions Used to Determine Net Periodic Benefit Cost | Weighted average assumptions used to determine net periodic benefit cost: | ||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | ||||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||
Discount rate | 4.40% | 3.90% | 4.50% | 4.00% | 3.50% | 4.40% | |||||||||||||||||||||
Expected long term rate of return on plan assets | 7.50% | 7.5% to 7.8% | 7.5% to 8.0% | 5.30% | 5.30% | 5.30% | |||||||||||||||||||||
Rate of compensation increase | 3.5% to 5.5% | 3.5% to 5.5% | 4.0% to 5.5% | ||||||||||||||||||||||||
Assumed Health Care Cost Trend Rates | Assumed health care cost trend rates: | ||||||||||||||||||||||||||
December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||||
Health care cost trend rate assumed for next year | 4.0% to 8.0% | 4.0% to 8.5% | 4.0% to 8.5% | ||||||||||||||||||||||||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | 4.0% to 5.0% | 4.0% to 5.0% | 4.0% to 5.0% | ||||||||||||||||||||||||
Year that the rate reaches the ultimate trend rate | 2015-2021 | 2014-2022 | 2013-2021 | ||||||||||||||||||||||||
Components of Net Periodic Benefit Cost | Net periodic benefit cost components: | ||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | ||||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | 2014 | 2013 | 2012 | |||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||
Service cost | $ | 16 | $ | 22 | $ | 24 | $ | 1 | $ | 1 | $ | 1 | |||||||||||||||
Interest cost | 149 | 136 | 151 | 4 | 4 | 5 | |||||||||||||||||||||
Expected return on plan assets | (209) | (198) | (188) | -4 | -5 | (4) | |||||||||||||||||||||
Amortization of unrecognized net loss | 30 | 54 | 47 | 1 | 1 | ||||||||||||||||||||||
Amortization of unrecognized prior service benefit | -1 | -18 | -25 | (25) | |||||||||||||||||||||||
Settlement/Curtailment | 86 | 5 | -86 | ||||||||||||||||||||||||
Net periodic benefit cost | $ | 71 | $ | 19 | $ | 34 | $ | (102) | $ | (24) | $ | (23) | |||||||||||||||
Reconciliation of Benefit Obligations and Plan Assets | The following provides a reconciliation of benefit obligations and plan assets: | ||||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | ||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||
Change in benefit obligation: | |||||||||||||||||||||||||||
Benefit obligation at January 1 | $ | 3,336 | $ | 3,700 | $ | 101 | $ | 122 | |||||||||||||||||||
Service cost | 16 | 22 | 1 | 1 | |||||||||||||||||||||||
Interest cost | 149 | 136 | 4 | 4 | |||||||||||||||||||||||
Plan participants’ contributions | 6 | 6 | |||||||||||||||||||||||||
Amendments/Curtailments | -4 | -13 | -7 | (2) | |||||||||||||||||||||||
Actuarial (gain) loss | 402 | -313 | 7 | (13) | |||||||||||||||||||||||
Benefits paid from plan assets | -178 | -178 | -15 | (17) | |||||||||||||||||||||||
Settlements | -268 | -19 | |||||||||||||||||||||||||
Foreign exchange | -7 | 1 | |||||||||||||||||||||||||
Benefit obligation at December 31 | 3,446 | 3,336 | 97 | 101 | |||||||||||||||||||||||
Change in plan assets: | |||||||||||||||||||||||||||
Fair value of plan assets at January 1 | 2,914 | 2,672 | 81 | 87 | |||||||||||||||||||||||
Actual return on plan assets | 233 | 340 | 9 | (2) | |||||||||||||||||||||||
Company contributions | 19 | 98 | 6 | 7 | |||||||||||||||||||||||
Plan participants’ contributions | 6 | 6 | |||||||||||||||||||||||||
Benefits paid from plan assets | -178 | -178 | -15 | (17) | |||||||||||||||||||||||
Settlements | -268 | -19 | |||||||||||||||||||||||||
Foreign exchange | -7 | 1 | |||||||||||||||||||||||||
Fair value of plan assets at December 31 | 2,713 | 2,914 | 87 | 81 | |||||||||||||||||||||||
Funded status | $ | -733 | $ | -422 | $ | -10 | $ | (20) | |||||||||||||||||||
Amounts recognized in the Consolidated Balance Sheets consist of: | |||||||||||||||||||||||||||
Other assets | $ | 9 | $ | 9 | $ | 32 | $ | 31 | |||||||||||||||||||
Other liabilities | -742 | -431 | -42 | (51) | |||||||||||||||||||||||
Net amount recognized | $ | -733 | $ | -422 | $ | -10 | $ | (20) | |||||||||||||||||||
Amounts Recognized in Accumulated Other Comprehensive Income (Loss) Not Yet Recognized in Net Periodic (Benefit) Cost | Amounts recognized in Accumulated other comprehensive income (loss), not yet recognized in net periodic (benefit) cost: | ||||||||||||||||||||||||||
Prior service credit | $ | -5 | $ | -6 | $ | -19 | $ | (117) | |||||||||||||||||||
Net actuarial loss | 1,090 | 831 | 18 | 18 | |||||||||||||||||||||||
Net amount recognized | $ | 1,085 | $ | 825 | $ | -1 | $ | (99) | |||||||||||||||||||
Information for plans with projected and accumulated benefit obligations in excess of plan assets: | |||||||||||||||||||||||||||
Projected benefit obligation | $ | 3,336 | $ | 3,229 | |||||||||||||||||||||||
Accumulated benefit obligation | 3,262 | 3,160 | $ | 42 | $ | 51 | |||||||||||||||||||||
Fair value of plan assets | 2,713 | 2,914 | |||||||||||||||||||||||||
Estimated Amounts to be Recognized from AOCI into Net Periodic Cost (Benefit) | The table below presents the estimated amounts to be recognized from AOCI into net periodic cost (benefit) during 2015. | ||||||||||||||||||||||||||
Pension | Other | ||||||||||||||||||||||||||
Benefits | Postretirement | ||||||||||||||||||||||||||
Benefits | |||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||
Amortization of net actuarial loss | $ | 45 | $ 1 | ||||||||||||||||||||||||
Amortization of prior service credit | (1) | (10) | |||||||||||||||||||||||||
Total estimated amounts to be recognized | $ | 44 | $ (9) | ||||||||||||||||||||||||
Estimated Future Minimum Benefit Payments | The table below presents the estimated future minimum benefit payments at December 31, 2014. | ||||||||||||||||||||||||||
Expected future benefit payments | Pension | Other | |||||||||||||||||||||||||
Benefits | Postretirement | ||||||||||||||||||||||||||
Benefits | |||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||
2015 | $ | 217 | $ 9 | ||||||||||||||||||||||||
2016 | 212 | 8 | |||||||||||||||||||||||||
2017 | 211 | 8 | |||||||||||||||||||||||||
2018 | 217 | 8 | |||||||||||||||||||||||||
2019 | 219 | 7 | |||||||||||||||||||||||||
2020 - 2024 | 1,100 | 30 | |||||||||||||||||||||||||
Summary of Stock Option and SAR Transactions | A summary of the stock option and SAR transactions for the Loews Plan follows: | ||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||
Number of | Weighted | Number of | Weighted | ||||||||||||||||||||||||
Awards | Average | Awards | Average | ||||||||||||||||||||||||
Exercise | Exercise | ||||||||||||||||||||||||||
Price | Price | ||||||||||||||||||||||||||
Awards outstanding, January 1 | 6,476,391 | $ | 38.497 | 6,535,150 | $ | 36.963 | |||||||||||||||||||||
Granted | 910,375 | 43.839 | 903,975 | 44.408 | |||||||||||||||||||||||
Exercised | -392,519 | 24.670 | -871,155 | 32.542 | |||||||||||||||||||||||
Canceled | -85,469 | 45.117 | -91,579 | 43.975 | |||||||||||||||||||||||
Awards outstanding, December 31 | 6,908,778 | 39.905 | 6,476,391 | 38.497 | |||||||||||||||||||||||
Awards exercisable, December 31 | 4,924,249 | $ | 38.742 | 4,496,245 | $ | 37.282 | |||||||||||||||||||||
Summary of Stock Options and SARs Outstanding by Exercise Price Range | The following table summarizes information about the Company’s stock options and SARs outstanding in connection with the Loews Plan at December 31, 2014: | ||||||||||||||||||||||||||
Awards Outstanding | Awards Exercisable | ||||||||||||||||||||||||||
Range of exercise prices | Number of | Weighted | Weighted | Number of | Weighted | ||||||||||||||||||||||
Shares | Average | Average | Shares | Average | |||||||||||||||||||||||
Remaining | Exercise | Exercise | |||||||||||||||||||||||||
Contractual | Price | Price | |||||||||||||||||||||||||
Life | |||||||||||||||||||||||||||
$20.01-30.00 | 584,200 | 2.71 | $ | 25.207 | 584,200 | $ | 25.207 | ||||||||||||||||||||
30.01-40.00 | 2,674,903 | 4.7 | 36.874 | 2,284,666 | 36.567 | ||||||||||||||||||||||
40.01-50.00 | 3,468,850 | 6.39 | 44.135 | 1,874,558 | 44.419 | ||||||||||||||||||||||
50.01-60.00 | 180,825 | 2.05 | 51.08 | 180,825 | 51.080 | ||||||||||||||||||||||
Assumptions Used in Estimating Fair Value of Granted Options and SARs and Results | The fair value of granted options and SARs for the Loews Plan were estimated at the grant date using the Black-Scholes pricing model with the following assumptions and results: | ||||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||||
Expected dividend yield | 0.60% | 0.60% | 0.6% | ||||||||||||||||||||||||
Expected volatility | 16.90% | 16.30% | 19.0% | ||||||||||||||||||||||||
Weighted average risk-free interest rate | 1.70% | 1.10% | 0.8% | ||||||||||||||||||||||||
Expected holding period (in years) | 5.0 | 5.0 | 5.0 | ||||||||||||||||||||||||
Weighted average fair value of awards | $ | 7.41 | $ | 6.75 | $ | 6.53 | |||||||||||||||||||||
Pension Benefits [Member] | |||||||||||||||||||||||||||
Defined Benefit Plan, Fair Value of Plan Assets Measured on Recurring Basis | Pension plan assets measured at fair value on a recurring basis are summarized below. | ||||||||||||||||||||||||||
December 31, 2014 | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Corporate and other bonds | $ | 463 | $ | 15 | $ | 478 | |||||||||||||||||||||
States, municipalities and political subdivisions | 80 | 80 | |||||||||||||||||||||||||
Asset-backed | 216 | 216 | |||||||||||||||||||||||||
U.S. Treasury and obligations of government-sponsored enterprises | $ | 25 | 25 | ||||||||||||||||||||||||
Total fixed maturities | 25 | 759 | 15 | 799 | |||||||||||||||||||||||
Equity securities | 432 | 118 | 550 | ||||||||||||||||||||||||
Short term investments | 58 | 101 | 159 | ||||||||||||||||||||||||
Fixed income mutual funds | 99 | 99 | |||||||||||||||||||||||||
Limited partnerships: | |||||||||||||||||||||||||||
Hedge funds | 619 | 333 | 952 | ||||||||||||||||||||||||
Private equity | 123 | 123 | |||||||||||||||||||||||||
Total limited partnerships | - | 619 | 456 | 1,075 | |||||||||||||||||||||||
Other assets | 1 | 30 | 31 | ||||||||||||||||||||||||
Total | $ | 615 | $ | 1,627 | $ | 471 | $ | 2,713 | |||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Corporate and other bonds | $ | 505 | $ | 15 | $ | 520 | |||||||||||||||||||||
States, municipalities and political subdivisions | 73 | 73 | |||||||||||||||||||||||||
Asset-backed | 254 | 254 | |||||||||||||||||||||||||
Total fixed maturities | $ | - | 832 | 15 | 847 | ||||||||||||||||||||||
Equity securities | 527 | 117 | 8 | 652 | |||||||||||||||||||||||
Short term investments | 49 | 49 | 98 | ||||||||||||||||||||||||
Fixed income mutual funds | 100 | 100 | |||||||||||||||||||||||||
Limited partnerships: | |||||||||||||||||||||||||||
Hedge funds | 705 | 352 | 1,057 | ||||||||||||||||||||||||
Private equity | 125 | 125 | |||||||||||||||||||||||||
Total limited partnerships | - | 705 | 477 | 1,182 | |||||||||||||||||||||||
Other assets | 35 | 35 | |||||||||||||||||||||||||
Total | $ | 676 | $ | 1,738 | $ | 500 | $ | 2,914 | |||||||||||||||||||
Plan Assets Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3) | The tables below present reconciliations for all pension plan assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the years ended December 31, 2014 and 2013: | ||||||||||||||||||||||||||
Net | Net Transfers | Balance at | |||||||||||||||||||||||||
Actual Return on Assets | Purchases, | In (Out) of | December 31, | ||||||||||||||||||||||||
Sales, and | Level 3 | ||||||||||||||||||||||||||
2014 | Balance at | Still Held at | Sold During | Settlements | |||||||||||||||||||||||
January 1, | December 31, | the Year | |||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Corporate and other bonds | $ 15 | $ 15 | |||||||||||||||||||||||||
Equity securities | 8 | $ (8) | |||||||||||||||||||||||||
Limited partnerships: | |||||||||||||||||||||||||||
Hedge funds | 352 | $ 21 | (40) | 333 | |||||||||||||||||||||||
Private equity | 125 | 19 | $ 1 | (22) | 123 | ||||||||||||||||||||||
Total limited partnerships | 477 | 40 | 1 | (62) | $ - | 456 | |||||||||||||||||||||
Total | $ 500 | $ 40 | $ 1 | $ (70) | $ - | $ 471 | |||||||||||||||||||||
2013 | |||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Corporate and other bonds | $ 11 | $ (1) | $ 5 | $ 15 | |||||||||||||||||||||||
Equity securities | 5 | 3 | 8 | ||||||||||||||||||||||||
Limited partnerships: | |||||||||||||||||||||||||||
Hedge funds | 391 | 62 | (85) | $ (16) | 352 | ||||||||||||||||||||||
Private equity | 69 | 2 | $ (1) | 55 | 125 | ||||||||||||||||||||||
Total limited partnerships | 460 | 64 | (1) | (30) | (16) | 477 | |||||||||||||||||||||
Investment contracts with insurance company | 10 | (10) | - | ||||||||||||||||||||||||
Total | $ 486 | $ 66 | $ (1) | $ (35) | $ (16) | $ 500 | |||||||||||||||||||||
Other Postretirement Benefits [Member] | |||||||||||||||||||||||||||
Defined Benefit Plan, Fair Value of Plan Assets Measured on Recurring Basis | Other postretirement benefits plan assets measured at fair value on a recurring basis are summarized below. | ||||||||||||||||||||||||||
December 31, 2014 | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Corporate and other bonds | $ | 18 | $ | 18 | |||||||||||||||||||||||
States, municipalities and political subdivisions | 43 | 43 | |||||||||||||||||||||||||
Asset-backed | 20 | 20 | |||||||||||||||||||||||||
Total fixed maturities | $ | - | 81 | $ | - | 81 | |||||||||||||||||||||
Short term investments | 3 | 3 | |||||||||||||||||||||||||
Fixed income mutual funds | 3 | 3 | |||||||||||||||||||||||||
Total | $ | 6 | $ | 81 | $ | - | $ | 87 | |||||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||||
Fixed maturity securities: | |||||||||||||||||||||||||||
Corporate and other bonds | $ | 17 | $ | 17 | |||||||||||||||||||||||
States, municipalities and political subdivisions | 38 | 38 | |||||||||||||||||||||||||
Asset-backed | 20 | 20 | |||||||||||||||||||||||||
Total fixed maturities | $ | - | 75 | $ | - | 75 | |||||||||||||||||||||
Short term investments | 3 | 3 | |||||||||||||||||||||||||
Fixed income mutual funds | 3 | 3 | |||||||||||||||||||||||||
Total | $ | 6 | $ | 75 | $ | - | $ | 81 | |||||||||||||||||||
Reinsurance_Tables
Reinsurance (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||
Insurance [Abstract] | |||||||||||||||||||||
Summary of Amounts Receivable from Reinsurers | The following table summarizes the amounts receivable from reinsurers: | ||||||||||||||||||||
December 31 | 2014 | 2013 | |||||||||||||||||||
(In millions) | |||||||||||||||||||||
Reinsurance receivables related to insurance reserves: | |||||||||||||||||||||
Ceded claim and claim adjustment expenses | $ | 4,344 | $ | 4,972 | |||||||||||||||||
Ceded future policy benefits | 185 | 733 | |||||||||||||||||||
Ceded policyholders’ funds | 35 | ||||||||||||||||||||
Reinsurance receivables related to paid losses | 213 | 348 | |||||||||||||||||||
Reinsurance receivables | 4,742 | 6,088 | |||||||||||||||||||
Less allowance for doubtful accounts | 48 | 71 | |||||||||||||||||||
Reinsurance receivables, net of allowance for doubtful accounts | $ | 4,694 | $ | 6,017 | |||||||||||||||||
Summary of Effects of Reinsurance on Earned Premiums | The effects of reinsurance on earned premiums are shown in the following table: | ||||||||||||||||||||
Direct | Assumed | Ceded | Net | Assumed/ | |||||||||||||||||
Net % | |||||||||||||||||||||
(In millions) | |||||||||||||||||||||
Year Ended December 31, 2014 | |||||||||||||||||||||
Property and casualty | $ | 9,452 | $ | 277 | $ | 3,073 | $ | 6,656 | 4.20% | ||||||||||||
Accident and health | 508 | 48 | 556 | 8.6 | |||||||||||||||||
Earned premiums | $ | 9,960 | $ | 325 | $ | 3,073 | $ | 7,212 | 4.50% | ||||||||||||
Year Ended December 31, 2013 | |||||||||||||||||||||
Property and casualty | $ | 9,063 | $ | 258 | $ | 2,609 | $ | 6,712 | 3.80% | ||||||||||||
Accident and health | 511 | 48 | 559 | 8.6 | |||||||||||||||||
Earned premiums | $ | 9,574 | $ | 306 | $ | 2,609 | $ | 7,271 | 4.20% | ||||||||||||
Year Ended December 31, 2012 | |||||||||||||||||||||
Property and casualty | $ | 8,354 | $ | 197 | $ | 2,229 | $ | 6,322 | 3.10% | ||||||||||||
Accident and health | 512 | 47 | 559 | 8.4 | |||||||||||||||||
Earned premiums | $ | 8,866 | $ | 244 | $ | 2,229 | $ | 6,881 | 3.50% | ||||||||||||
Quarterly_Financial_Data_Table
Quarterly Financial Data (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||
Schedule of Quarterly Financial Information | |||||||||||||||||
2014 Quarter Ended | Dec. 31 | Sept. 30 | June 30 | March 31 | |||||||||||||
(In millions, except per share data) | |||||||||||||||||
Total revenues | $ | 3,521 | $ | 3,523 | $ | 3,593 | $ | 3,688 | |||||||||
Income from continuing operations | 215 | 179 | 303 | 265 | |||||||||||||
Per share-basic | 0.58 | 0.47 | 0.79 | 0.68 | |||||||||||||
Per share-diluted | 0.57 | 0.47 | 0.79 | 0.68 | |||||||||||||
Discontinued operations, net | -7 | 29 | -187 | -206 | |||||||||||||
Per share-basic and diluted | -0.02 | 0.08 | -0.49 | -0.53 | |||||||||||||
Net income | 208 | 208 | 116 | 59 | |||||||||||||
Per share-basic | 0.56 | 0.55 | 0.30 | 0.15 | |||||||||||||
Per share-diluted | 0.55 | 0.55 | 0.30 | 0.15 | |||||||||||||
2013 Quarter Ended | Dec. 31 | Sept. 30 | June 30 | March 31 | |||||||||||||
Total revenues | $ | 3,782 | $ | 3,597 | $ | 3,616 | $ | 3,618 | |||||||||
Income from continuing operations (a) | 248 | 318 | 261 | 322 | |||||||||||||
Per share-basic and diluted | 0.64 | 0.82 | 0.67 | 0.82 | |||||||||||||
Discontinued operations, net (b) | -446 | -36 | 8 | -80 | |||||||||||||
Per share-basic and diluted | -1.15 | -0.09 | 0.02 | -0.2 | |||||||||||||
Net income (loss) | -198 | 282 | 269 | 242 | |||||||||||||
Per share-basic and diluted | -0.51 | 0.73 | 0.69 | 0.62 | |||||||||||||
The sum of the quarterly per share amounts may not equal per share amounts reported for year-to-date periods. This is due to changes in the number of weighted average shares outstanding and the effects of rounding for each period. | |||||||||||||||||
(a) | Income from continuing operations for the fourth quarter of 2013 includes the impact of a $111 million deferred gain under retroactive reinsurance accounting at CNA and a $16 million goodwill impairment charge at Boardwalk Pipeline. | ||||||||||||||||
(b) | Discontinued operations, net for the fourth quarter of 2013 includes a ceiling test impairment charge of $52 million at HighMount related to the carrying value of its natural gas and oil properties and a $382 million goodwill impairment charge. |
Discontinued_Operations_Tables
Discontinued Operations (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | |||||||||||||
Schedule of Discontinued Operations Reflected in Consolidated Condensed Statements of Income | The Consolidated Statements of Income include discontinued operations of HighMount as follows: | ||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||
(In millions) | |||||||||||||
Revenues: | |||||||||||||
Other revenue, primarily operating | $ | 150 | $ | 259 | $ | 297 | |||||||
Total | 150 | 259 | 297 | ||||||||||
Expenses: | |||||||||||||
Impairment of goodwill | 584 | ||||||||||||
Other operating expenses | |||||||||||||
Impairment of natural gas and oil properties | 29 | 291 | 680 | ||||||||||
Operating | 173 | 252 | 239 | ||||||||||
Interest | 8 | 17 | 14 | ||||||||||
Total | 210 | 1,144 | 933 | ||||||||||
Loss before income tax | -60 | -885 | (636) | ||||||||||
Income tax benefit | 4 | 311 | 229 | ||||||||||
Results of discontinued operations, net of income tax | -56 | -574 | (407) | ||||||||||
Impairment loss, net of tax benefit of $62 | -138 | ||||||||||||
Loss from discontinued operations | $ | (194) | $ | (574) | $ | (407) | |||||||
The Consolidated Statements of Income include discontinued operations of the CAC business as follows: | |||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||
(In millions) | |||||||||||||
Revenues: | |||||||||||||
Net investment income | $ | 94 | $ | 168 | $ | 172 | |||||||
Investment gains | 3 | 11 | 9 | ||||||||||
Other revenues | 2 | 2 | |||||||||||
Total | 97 | 181 | 183 | ||||||||||
Expenses: | |||||||||||||
Insurance claims and policyholders’ benefits | 75 | 141 | 167 | ||||||||||
Other operating expenses | 2 | 3 | 3 | ||||||||||
Total | 77 | 144 | 170 | ||||||||||
Income before income tax | 20 | 37 | 13 | ||||||||||
Income tax expense | -6 | -15 | (5) | ||||||||||
Results of discontinued operations, net of income tax | 14 | 22 | 8 | ||||||||||
Loss on sale, net of tax benefit of $40 | -211 | ||||||||||||
Amounts attributable to noncontrolling interests | 20 | -2 | (1) | ||||||||||
Income (loss) from discontinued operations | $ | (177) | $ | 20 | $ | 7 | |||||||
Schedule of Assets and Liabilities Reported as Discontinued Operations | The following table presents the assets and liabilities of HighMount reported as discontinued operations as follows: | ||||||||||||
December 31, 2013 | HighMount | Eliminations | Total | ||||||||||
(In millions) | |||||||||||||
Assets: | |||||||||||||
Investments, including cash | $ | 29 | $ | 29 | |||||||||
Receivables | 143 | $ | (120 | ) | 23 | ||||||||
Property, plant and equipment | 974 | 974 | |||||||||||
Deferred income taxes | 517 | (517 | ) | - | |||||||||
Other assets | 15 | 15 | |||||||||||
Total assets of discontinued operations | $ | 1,678 | $ | (637 | ) | $ | 1,041 | ||||||
Liabilities: | |||||||||||||
Short term debt | $ | 21 | $ | 21 | |||||||||
Long term debt | 481 | 481 | |||||||||||
Other liabilities | 130 | 130 | |||||||||||
Total liabilities of discontinued operations | $ | 632 | $ | - | $ | 632 | |||||||
Business_Segments_Tables
Business Segments (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||||||
Consolidated Revenues and Income (Loss) by Business Segment | The following tables set forth the Company’s consolidated revenues and income (loss) by business segment: | ||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Revenues (a): | |||||||||||||||||||||||||
CNA Financial: | |||||||||||||||||||||||||
Property and Casualty: | |||||||||||||||||||||||||
Specialty | $ | 3,708 | $ | 3,676 | $ | 3,522 | |||||||||||||||||||
Commercial | 3,683 | 3,984 | 3,869 | ||||||||||||||||||||||
International | 973 | 981 | 712 | ||||||||||||||||||||||
Other Non-Core | 1,328 | 1,291 | 1,261 | ||||||||||||||||||||||
Total CNA Financial | 9,692 | 9,932 | 9,364 | ||||||||||||||||||||||
Diamond Offshore | 2,825 | 2,926 | 3,072 | ||||||||||||||||||||||
Boardwalk Pipeline | 1,236 | 1,232 | 1,187 | ||||||||||||||||||||||
Loews Hotels | 475 | 380 | 397 | ||||||||||||||||||||||
Corporate and other | 97 | 143 | 52 | ||||||||||||||||||||||
Total | $ | 14,325 | $ | 14,613 | $ | 14,072 | |||||||||||||||||||
Income (loss) before income tax and noncontrolling interests (a)(b): | |||||||||||||||||||||||||
CNA Financial: | |||||||||||||||||||||||||
Property and Casualty: | |||||||||||||||||||||||||
Specialty | $ | 967 | $ | 1,005 | $ | 715 | |||||||||||||||||||
Commercial | 477 | 662 | 399 | ||||||||||||||||||||||
International | 102 | 117 | 98 | ||||||||||||||||||||||
Other Non-Core | (331) | (501) | (345) | ||||||||||||||||||||||
Total CNA Financial | 1,215 | 1,283 | 867 | ||||||||||||||||||||||
Diamond Offshore | 514 | 774 | 917 | ||||||||||||||||||||||
Boardwalk Pipeline | 140 | 241 | 304 | ||||||||||||||||||||||
Loews Hotels | 21 | (4) | 14 | ||||||||||||||||||||||
Corporate and other | (80) | (17) | (80) | ||||||||||||||||||||||
Total | $ | 1,810 | $ | 2,277 | $ | 2,022 | |||||||||||||||||||
Net income (loss) (a)(b): | |||||||||||||||||||||||||
CNA Financial: | |||||||||||||||||||||||||
Property and Casualty: | |||||||||||||||||||||||||
Specialty | $ | 578 | $ | 598 | $ | 425 | |||||||||||||||||||
Commercial | 285 | 394 | 241 | ||||||||||||||||||||||
International | 62 | 65 | 51 | ||||||||||||||||||||||
Other Non-Core | (123) | (230) | (154) | ||||||||||||||||||||||
Total CNA Financial | 802 | 827 | 563 | ||||||||||||||||||||||
Diamond Offshore | 183 | 257 | 337 | ||||||||||||||||||||||
Boardwalk Pipeline | 18 | 78 | 111 | ||||||||||||||||||||||
Loews Hotels | 11 | (3) | 7 | ||||||||||||||||||||||
Corporate and other | (52) | (10) | (50) | ||||||||||||||||||||||
Income from continuing operations | 962 | 1,149 | 968 | ||||||||||||||||||||||
Discontinued operations, net | (371) | (554) | (400) | ||||||||||||||||||||||
Total | $ | 591 | $ | 595 | $ | 568 | |||||||||||||||||||
(a) | Investment gains (losses) included in Revenues, Income (loss) before income tax and noncontrolling interests and Net income (loss) are as follows: | ||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
Revenues and Income (loss) before income tax and noncontrolling interests: | |||||||||||||||||||||||||
CNA Financial: | |||||||||||||||||||||||||
Property and Casualty: | |||||||||||||||||||||||||
Specialty | $ | 15 | $ | -5 | $ | 18 | |||||||||||||||||||
Commercial | 16 | -15 | 34 | ||||||||||||||||||||||
International | -1 | 5 | 7 | ||||||||||||||||||||||
Other Non-Core | 24 | 31 | (8) | ||||||||||||||||||||||
Total CNA Financial | 54 | 16 | 51 | ||||||||||||||||||||||
Corporate and other | (3) | ||||||||||||||||||||||||
Total | $ | 54 | $ | 16 | $ | 48 | |||||||||||||||||||
Net income (loss): | |||||||||||||||||||||||||
CNA Financial: | |||||||||||||||||||||||||
Property and Casualty: | |||||||||||||||||||||||||
Specialty | $ | 9 | $ | -2 | $ | 10 | |||||||||||||||||||
Commercial | 9 | -9 | 20 | ||||||||||||||||||||||
International | -1 | 3 | 5 | ||||||||||||||||||||||
Other Non-Core | 15 | 18 | (5) | ||||||||||||||||||||||
Total CNA Financial | 32 | 10 | 30 | ||||||||||||||||||||||
Corporate and other | (2) | ||||||||||||||||||||||||
Total | $ | 32 | $ | 10 | $ | 28 | |||||||||||||||||||
(b) | Income taxes and interest expense are as follows: | ||||||||||||||||||||||||
Year Ended December 31 | 2014 | 2013 | 2012 | ||||||||||||||||||||||
Income | Interest | Income | Interest | Income | Interest | ||||||||||||||||||||
Taxes | Expense | Taxes | Expense | Taxes | Expense | ||||||||||||||||||||
CNA Financial: | |||||||||||||||||||||||||
Property and Casualty: | |||||||||||||||||||||||||
Specialty | $ | 324 | $ | 340 | $ | 243 | |||||||||||||||||||
Commercial | 159 | 223 | 131 | ||||||||||||||||||||||
International | 34 | $ | 1 | 45 | $ | 1 | 42 | $ | 1 | ||||||||||||||||
Other Non-Core | (195) | 182 | (245) | 165 | (174) | 169 | |||||||||||||||||||
Total CNA Financial | 322 | 183 | 363 | 166 | 242 | 170 | |||||||||||||||||||
Diamond Offshore | 142 | 62 | 245 | 25 | 223 | 46 | |||||||||||||||||||
Boardwalk Pipeline | 11 | 165 | 56 | 163 | 70 | 166 | |||||||||||||||||||
Loews Hotels | 10 | 14 | (1) | 9 | 7 | 11 | |||||||||||||||||||
Corporate and other | (28) | 74 | (7) | 62 | (29) | 33 | |||||||||||||||||||
Total | $ | 457 | $ | 498 | $ | 656 | $ | 425 | $ | 513 | $ | 426 | |||||||||||||
Consolidating_Financial_Inform1
Consolidating Financial Information (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||
Text Block [Abstract] | |||||||||||||||||||||||||||||
Consolidating Balance Sheet Information | Loews Corporation | ||||||||||||||||||||||||||||
Consolidating Balance Sheet Information | |||||||||||||||||||||||||||||
December 31, 2014 | CNA | Diamond | Boardwalk | Loews | Corporate | Eliminations | Total | ||||||||||||||||||||||
Financial | Offshore | Pipeline | Hotels | and Other | |||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||
Investments | $ | 46,262 | $ | 234 | $ | 75 | $ | 5,461 | $ | 52,032 | |||||||||||||||||||
Cash | 190 | 16 | $ | 8 | 9 | 141 | 364 | ||||||||||||||||||||||
Receivables | 7,097 | 490 | 128 | 29 | 82 | $ | (56) | 7,770 | |||||||||||||||||||||
Property, plant and equipment | 280 | 6,949 | 7,649 | 671 | 62 | 15,611 | |||||||||||||||||||||||
Deferred income taxes | 222 | 2 | 374 | (598) | - | ||||||||||||||||||||||||
Goodwill | 117 | 20 | 237 | 374 | |||||||||||||||||||||||||
Investments in capital stocks of subsidiaries | 15,974 | (15,974) | - | ||||||||||||||||||||||||||
Other assets | 778 | 307 | 304 | 206 | 7 | 14 | 1,616 | ||||||||||||||||||||||
Deferred acquisition costs of insurance subsidiaries | 600 | 600 | |||||||||||||||||||||||||||
Total assets | $ | 55,546 | $ | 8,016 | $ | 8,326 | $ | 992 | $ | 22,101 | $ | (16,614) | $ | 78,367 | |||||||||||||||
Liabilities and Equity: | |||||||||||||||||||||||||||||
Insurance reserves | $ | 36,380 | $ | 36,380 | |||||||||||||||||||||||||
Payable to brokers | 117 | $ | 5 | $ | 551 | 673 | |||||||||||||||||||||||
Short term debt | 250 | $ | 85 | 335 | |||||||||||||||||||||||||
Long term debt | 2,561 | 1,981 | $ | 3,690 | 421 | 1,680 | 10,333 | ||||||||||||||||||||||
Deferred income taxes | 11 | 514 | 732 | 36 | $ | (400) | 893 | ||||||||||||||||||||||
Other liabilities | 3,713 | 792 | 400 | 17 | 421 | (240) | 5,103 | ||||||||||||||||||||||
Total liabilities | 42,782 | 3,542 | 4,822 | 559 | 2,652 | (640) | 53,717 | ||||||||||||||||||||||
Total shareholders’ equity | 11,457 | 2,359 | 1,558 | 431 | 19,449 | (15,974) | 19,280 | ||||||||||||||||||||||
Noncontrolling interests | 1,307 | 2,115 | 1,946 | 2 | 5,370 | ||||||||||||||||||||||||
Total equity | 12,764 | 4,474 | 3,504 | 433 | 19,449 | (15,974) | 24,650 | ||||||||||||||||||||||
Total liabilities and equity | $ | 55,546 | $ | 8,016 | $ | 8,326 | $ | 992 | $ | 22,101 | $ | (16,614) | $ | 78,367 | |||||||||||||||
Loews Corporation | |||||||||||||||||||||||||||||
Consolidating Balance Sheet Information | |||||||||||||||||||||||||||||
December 31, 2013 | CNA | Diamond | Boardwalk | Loews | Corporate | Eliminations | Total | ||||||||||||||||||||||
Financial | Offshore | Pipeline | Hotels | and Other | |||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||
Investments | $ | 46,107 | $ | 2,061 | $ | 43 | $ | 4,734 | $ | 52,945 | |||||||||||||||||||
Cash | 195 | 36 | $ | 29 | 10 | 24 | 294 | ||||||||||||||||||||||
Receivables | 8,666 | 498 | 97 | 28 | 74 | $ | (25) | 9,338 | |||||||||||||||||||||
Property, plant and equipment | 282 | 5,472 | 7,296 | 430 | 44 | 13,524 | |||||||||||||||||||||||
Deferred income taxes | 244 | 3 | (247) | - | |||||||||||||||||||||||||
Goodwill | 119 | 20 | 215 | 3 | 357 | ||||||||||||||||||||||||
Assets of discontinued operations | 1,678 | (637) | 1,041 | ||||||||||||||||||||||||||
Investments in capital stocks of subsidiaries | 17,264 | (17,264) | - | ||||||||||||||||||||||||||
Other assets | 741 | 305 | 360 | 183 | 7 | 39 | 1,635 | ||||||||||||||||||||||
Deferred acquisition costs of insurance subsidiaries | 624 | 624 | |||||||||||||||||||||||||||
Separate account business | 181 | 181 | |||||||||||||||||||||||||||
Total assets | $ | 57,159 | $ | 8,392 | $ | 7,997 | $ | 700 | $ | 23,825 | $ | (18,134) | $ | 79,939 | |||||||||||||||
Liabilities and Equity: | |||||||||||||||||||||||||||||
Insurance reserves | $ | 38,394 | $ | 38,394 | |||||||||||||||||||||||||
Payable to brokers | 85 | $ | 1 | $ | 48 | 134 | |||||||||||||||||||||||
Short term debt | 549 | 250 | $ | 20 | 819 | ||||||||||||||||||||||||
Long term debt | 2,011 | 2,230 | $ | 3,424 | 182 | 1,678 | 9,525 | ||||||||||||||||||||||
Deferred income taxes | 516 | 689 | 41 | 195 | $ | (725) | 716 | ||||||||||||||||||||||
Liabilities of discontinued operations | 632 | 632 | |||||||||||||||||||||||||||
Other liabilities | 3,323 | 734 | 427 | 23 | 690 | (565) | 4,632 | ||||||||||||||||||||||
Separate account business | 181 | 181 | |||||||||||||||||||||||||||
Total liabilities | 44,543 | 3,731 | 4,540 | 266 | 3,243 | (1,290) | 55,033 | ||||||||||||||||||||||
Total shareholders’ equity | 11,354 | 2,362 | 1,570 | 434 | 20,582 | (16,844) | 19,458 | ||||||||||||||||||||||
Noncontrolling interests | 1,262 | 2,299 | 1,887 | 5,448 | |||||||||||||||||||||||||
Total equity | 12,616 | 4,661 | 3,457 | 434 | 20,582 | (16,844) | 24,906 | ||||||||||||||||||||||
Total liabilities and equity | $ | 57,159 | $ | 8,392 | $ | 7,997 | $ | 700 | $ | 23,825 | $ | (18,134) | $ | 79,939 | |||||||||||||||
Consolidating Statement of Income Information | Loews Corporation | ||||||||||||||||||||||||||||
Consolidating Statement of Income Information | |||||||||||||||||||||||||||||
Year Ended December 31, 2014 | CNA | Diamond | Boardwalk | Loews | Corporate | Eliminations | Total | ||||||||||||||||||||||
Financial | Offshore | Pipeline | Hotels | and Other | |||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Revenues: | |||||||||||||||||||||||||||||
Insurance premiums | $ | 7,212 | $ | 7,212 | |||||||||||||||||||||||||
Net investment income | 2,067 | $ | 1 | $ | 1 | $ | 94 | 2,163 | |||||||||||||||||||||
Intercompany interest and dividends | 782 | $ | (782) | - | |||||||||||||||||||||||||
Investment gains | 54 | 54 | |||||||||||||||||||||||||||
Contract drilling revenues | 2,737 | 2,737 | |||||||||||||||||||||||||||
Other revenues | 359 | 87 | 1,235 | $ | 475 | 3 | 2,159 | ||||||||||||||||||||||
Total | 9,692 | 2,825 | 1,236 | 475 | 879 | (782) | 14,325 | ||||||||||||||||||||||
Expenses: | |||||||||||||||||||||||||||||
Insurance claims and policyholders’ benefits | 5,591 | 5,591 | |||||||||||||||||||||||||||
Amortization of deferred acquisition costs | 1,317 | 1,317 | |||||||||||||||||||||||||||
Contract drilling expenses | 1,524 | 1,524 | |||||||||||||||||||||||||||
Other operating expenses | 1,386 | 725 | 931 | 440 | 103 | 3,585 | |||||||||||||||||||||||
Interest | 183 | 62 | 165 | 14 | 74 | 498 | |||||||||||||||||||||||
Total | 8,477 | 2,311 | 1,096 | 454 | 177 | - | 12,515 | ||||||||||||||||||||||
Income before income tax | 1,215 | 514 | 140 | 21 | 702 | (782) | 1,810 | ||||||||||||||||||||||
Income tax (expense) benefit | (322) | (142 | ) | -11 | (10 | ) | 28 | (457) | |||||||||||||||||||||
Income from continuing operations | 893 | 372 | 129 | 11 | 730 | (782) | 1,353 | ||||||||||||||||||||||
Discontinued operations, net | (197) | (194) | (391) | ||||||||||||||||||||||||||
Net income | 696 | 372 | 129 | 11 | 536 | (782) | 962 | ||||||||||||||||||||||
Amounts attributable to noncontrolling interests | (71) | (189 | ) | -111 | (371) | ||||||||||||||||||||||||
Net income attributable to Loews Corporation | $ | 625 | $ | 183 | $ | 18 | $ | 11 | $ | 536 | $ | (782) | $ | 591 | |||||||||||||||
Loews Corporation | |||||||||||||||||||||||||||||
Consolidating Statement of Income Information | |||||||||||||||||||||||||||||
Year Ended December 31, 2013 | CNA | Diamond | Boardwalk | Loews | Corporate | Eliminations | Total | ||||||||||||||||||||||
Financial | Offshore | Pipeline | Hotels | and Other | |||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Revenues: | |||||||||||||||||||||||||||||
Insurance premiums | $ | 7,271 | $ | 7,271 | |||||||||||||||||||||||||
Net investment income | 2,282 | $ | 1 | $ | 1 | $ | 141 | 2,425 | |||||||||||||||||||||
Intercompany interest and dividends | 736 | $ | (736) | - | |||||||||||||||||||||||||
Investment gains | 16 | 16 | |||||||||||||||||||||||||||
Contract drilling revenues | 2,844 | 2,844 | |||||||||||||||||||||||||||
Other revenues | 363 | 81 | 1,231 | $ | 380 | 2 | 2,057 | ||||||||||||||||||||||
Total | 9,932 | 2,926 | 1,232 | 380 | 879 | (736) | 14,613 | ||||||||||||||||||||||
Expenses: | |||||||||||||||||||||||||||||
Insurance claims and policyholders’ benefits | 5,806 | 5,806 | |||||||||||||||||||||||||||
Amortization of deferred acquisition costs | 1,362 | 1,362 | |||||||||||||||||||||||||||
Contract drilling expenses | 1,573 | 1,573 | |||||||||||||||||||||||||||
Other operating expenses | 1,315 | 554 | 828 | 375 | 98 | 3,170 | |||||||||||||||||||||||
Interest | 166 | 25 | 163 | 9 | 62 | 425 | |||||||||||||||||||||||
Total | 8,649 | 2,152 | 991 | 384 | 160 | - | 12,336 | ||||||||||||||||||||||
Income (loss) before income tax | 1,283 | 774 | 241 | (4 | ) | 719 | (736) | 2,277 | |||||||||||||||||||||
Income tax (expense) benefit | (363) | -245 | -56 | 1 | 7 | (656) | |||||||||||||||||||||||
Income (loss) from continuing operations | 920 | 529 | 185 | (3 | ) | 726 | (736) | 1,621 | |||||||||||||||||||||
Discontinued operations, net | 22 | (574 | ) | (552) | |||||||||||||||||||||||||
Net income (loss) | 942 | 529 | 185 | (3 | ) | 152 | (736) | 1,069 | |||||||||||||||||||||
Amounts attributable to noncontrolling interests | (95) | -272 | -107 | (474) | |||||||||||||||||||||||||
Net income (loss) attributable to Loews Corporation | $ | 847 | $ | 257 | $ | 78 | $ | (3 | ) | $ | 152 | $ | (736) | $ | 595 | ||||||||||||||
Loews Corporation | |||||||||||||||||||||||||||||
Consolidating Statement of Income Information | |||||||||||||||||||||||||||||
Year Ended December 31, 2012 | CNA | Diamond | Boardwalk | Loews | Corporate | Eliminations | Total | ||||||||||||||||||||||
Financial | Offshore | Pipeline | Hotels | and Other | |||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Revenues: | |||||||||||||||||||||||||||||
Insurance premiums | $ | 6,881 | $ | 6,881 | |||||||||||||||||||||||||
Net investment income | 2,110 | $ | 5 | $ | 1 | $ | 61 | 2,177 | |||||||||||||||||||||
Intercompany interest and dividends | 683 | $ | (683) | - | |||||||||||||||||||||||||
Investment gains (losses) | 51 | $ | (3) | 48 | |||||||||||||||||||||||||
Contract drilling revenues | 2,936 | 2,936 | |||||||||||||||||||||||||||
Other revenues | 322 | 131 | 1,187 | 396 | 1 | (7) | 2,030 | ||||||||||||||||||||||
Total | 9,364 | 3,072 | 1,184 | 397 | 745 | (690) | 14,072 | ||||||||||||||||||||||
Expenses: | |||||||||||||||||||||||||||||
Insurance claims and policyholders’ benefits | 5,729 | 5,729 | |||||||||||||||||||||||||||
Amortization of deferred acquisition costs | 1,274 | 1,274 | |||||||||||||||||||||||||||
Contract drilling expenses | 1,537 | 1,537 | |||||||||||||||||||||||||||
Other operating expenses | 1,324 | 572 | 717 | 372 | 106 | (7) | 3,084 | ||||||||||||||||||||||
Interest | 170 | 46 | 166 | 11 | 40 | (7) | 426 | ||||||||||||||||||||||
Total | 8,497 | 2,155 | 883 | 383 | 146 | (14) | 12,050 | ||||||||||||||||||||||
Income before income tax | 867 | 917 | 301 | 14 | 599 | (676) | 2,022 | ||||||||||||||||||||||
Income tax (expense) benefit | (242 | ) | (223) | (70 | ) | (7 | ) | 29 | (513) | ||||||||||||||||||||
Income from continuing operations | 625 | 694 | 231 | 7 | 628 | (676) | 1,509 | ||||||||||||||||||||||
Discontinued operations, net | 8 | (407 | ) | (399) | |||||||||||||||||||||||||
Net income | 633 | 694 | 231 | 7 | 221 | (676) | 1,110 | ||||||||||||||||||||||
Amounts attributable to noncontrolling interests | -63 | (357) | (122 | ) | (542) | ||||||||||||||||||||||||
Net income attributable to Loews Corporation | $ | 570 | $ | 337 | $ | 109 | $ | 7 | $ | 221 | $ | (676) | $ | 568 | |||||||||||||||
Summary_of_Significant_Account3
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Share data in Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Summary Of Significant Accounting Policies [Line Items] | |||
Increase (decrease) in Shadow Adjustments | $679,000,000 | $880,000,000 | |
Net unrealized gains on investments included in "AOCI" | 1,200,000,000 | 478,000,000 | |
Investment in joint venture entities | 158,000,000 | 242,000,000 | |
Equity income (loss) for the investments | -62,000,000 | 12,000,000 | 24,000,000 |
Maximum exposure to loss for the VIE investments | 252,000,000 | ||
Initial collateral deposit as a percentage of the fair value of the securities loaned | 100.00% | ||
Collateral held | 0 | 0 | |
Minimum interest rate used to calculate reserves for long term care products | 4.50% | 4.50% | |
Maximum interest rate used to calculate reserves for long term care products | 7.90% | 7.90% | |
Interest rates for payout annuity contracts, minimum | 5.00% | ||
Interest rates for payout annuity contracts, maximum | 8.70% | ||
Liability balance for guaranty fund | 131,000,000 | 143,000,000 | |
Billed receivables percentage of total reinsurance receivables | 5.00% | ||
Deferred acquisition costs | 314,000,000 | 342,000,000 | |
Investments in life settlement contracts | 82,000,000 | ||
Tax benefit of a qualifying position is the largest amount of tax benefit threshold | 50.00% | ||
Recognized compensation expense | 12,000,000 | 11,000,000 | 13,000,000 |
Potential shares attributable to exercises included in diluted EPS calculation | 0.6 | 0.9 | 0.8 |
Shares excluded from diluted EPS calculation | 2.3 | 1.5 | 2.6 |
Foreign currency transaction gain (loss) | -22,000,000 | -3,000,000 | 10,000,000 |
Cash payments made for interest on long term debt, net of capitalized interest | 501,000,000 | 415,000,000 | 450,000,000 |
Cash payments for federal, foreign, state and local income taxes amount | 189,000,000 | 183,000,000 | 120,000,000 |
Investing activities excluding capital expenditures | 43,000,000 | 35,000,000 | |
Previously accrued capital expenditures included in Investment activities | 14,000,000 | ||
CNA Financial Corporation [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Subsidiary ownership percentage | 90.00% | ||
Anticipated amounts due from insureds related to losses under deductible policies | 1,400,000,000 | 1,300,000,000 | |
Minimum interest rate used in determining present value of obligations of structured settlements unfunded by annuities | 5.50% | 7.10% | |
Maximum interest rate used in determining present value of obligations of structured settlements unfunded by annuities | 8.00% | 9.70% | |
Discounted reserves for unfunded structured settlements | 582,000,000 | 580,000,000 | |
Discounted reserves for unfunded structured settlements, discount amount | 924,000,000 | 969,000,000 | |
Minimum interest rate used to discount workers' compensation lifetime claim reserves and accident and health claim reserves | 3.50% | 3.00% | |
Maximum interest rate used to discount workers' compensation lifetime claim reserves and accident and health claim reserves | 6.80% | 6.80% | |
Discounted reserves for workers' compensation lifetime claims and accident and health claims | 2,500,000,000 | 2,400,000,000 | |
Discounted reserves for workers' compensation lifetime claims reserves and accident and health claim reserves, discount amount | 654,000,000 | 617,000,000 | |
Deposit assets | 3,000,000 | 3,000,000 | |
Deposit liabilities | 9,000,000 | 130,000,000 | |
Investments in life settlement contracts | 82,000,000 | 88,000,000 | |
Increase (decrease) in fair value recognized on life settlement contracts | 8,000,000 | -2,000,000 | 11,000,000 |
Gain recognized on matured life settlement contracts | $25,000,000 | $15,000,000 | $42,000,000 |
Diamond Offshore Drilling, Inc. [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Subsidiary ownership percentage | 52.50% | ||
Boardwalk Pipeline Partners, LP [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Subsidiary ownership percentage | 53.00% | ||
Minimum [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Percentage equity method investments in associated companies | 20.00% | ||
Share-based payment awards requisite service period | 3 years | ||
Maximum [Member] | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Percentage equity method investments in associated companies | 50.00% | ||
Share-based payment awards requisite service period | 4 years |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies - Summary of Financial Information for Joint Ventures (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Equity Method Investments and Joint Ventures [Abstract] | |||
Total assets | $1,231 | $1,336 | |
Total liabilities | 1,025 | 954 | |
Revenues | 491 | 349 | 294 |
Net income | $32 | $7 | $32 |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies - Schedule of Life Settlement Contracts Fair Value Method (Detail) (USD $) | Dec. 31, 2014 |
In Millions, unless otherwise specified | Contract |
Accounting Policies [Abstract] | |
Number of Life Settlement Contracts 2015 | 60 |
Number of Life Settlement Contracts 2016 | 60 |
Number of Life Settlement Contracts 2017 | 50 |
Number of Life Settlement Contracts 2018 | 50 |
Number of Life Settlement Contracts 2019 | 50 |
Number of Life Settlement Contracts Thereafter | 318 |
Number of Life Settlement Contracts Total | 588 |
Fair Value of Life Settlement Contracts 2015 | $11 |
Fair Value of Life Settlement Contracts 2016 | 10 |
Fair Value of Life Settlement Contracts 2017 | 9 |
Fair Value of Life Settlement Contracts 2018 | 7 |
Fair Value of Life Settlement Contracts 2019 | 6 |
Thereafter Fair Value of Life Settlement Contracts Thereafter | 39 |
Fair Value of Life Settlement Contracts Total | 82 |
Face Amount of Life Insurance Policies 2015 | 37 |
Face Amount of Life Insurance Policies 2016 | 33 |
Face Amount of Life Insurance Policies 2017 | 30 |
Face Amount of Life Insurance Policies 2018 | 26 |
Face Amount of Life Insurance Policies 2019 | 26 |
Face Amount of Life Insurance Policies Thereafter | 187 |
Face Amount of Life Insurance Policies Total | $339 |
Summary_of_Significant_Account6
Summary of Significant Accounting Policies - Principal Service Lives (Detail) | 12 Months Ended |
Dec. 31, 2014 | |
Minimum [Member] | Pipeline Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Principal service life | 30 years |
Minimum [Member] | Offshore Drilling Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Principal service life | 15 years |
Minimum [Member] | Other [Member] | |
Property, Plant and Equipment [Line Items] | |
Principal service life | 3 years |
Maximum [Member] | Pipeline Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Principal service life | 50 years |
Maximum [Member] | Offshore Drilling Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Principal service life | 30 years |
Maximum [Member] | Other [Member] | |
Property, Plant and Equipment [Line Items] | |
Principal service life | 40 years |
Acquisitions_and_Divestitures_
Acquisitions and Divestitures - Additional Information (Detail) (USD $) | 1 Months Ended | 12 Months Ended | 3 Months Ended | 0 Months Ended | ||||||
In Millions, unless otherwise specified | Oct. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Mar. 31, 2015 | Mar. 31, 2014 | Sep. 30, 2014 | Oct. 15, 2012 | Oct. 01, 2012 | Jul. 02, 2012 |
Property | ||||||||||
Hotel | ||||||||||
Business Acquisition and Divestitures [Line Items] | ||||||||||
Number of remaining natural gas and oil properties | 0 | |||||||||
Purchase price | $230 | $448 | $235 | $987 | ||||||
Goodwill recorded | 374 | 357 | 412 | |||||||
Number of hotel properties acquired | 3 | |||||||||
Scenario, Forecast [Member] | ||||||||||
Business Acquisition and Divestitures [Line Items] | ||||||||||
Purchase price | 170 | |||||||||
CNA Acquired Hardy [Member] | ||||||||||
Business Acquisition and Divestitures [Line Items] | ||||||||||
Purchase price received | 231 | |||||||||
Evangeline Pipeline System [Member] | ||||||||||
Business Acquisition and Divestitures [Line Items] | ||||||||||
Purchase price | 295 | |||||||||
Bluegrass Project [Member] | ||||||||||
Business Acquisition and Divestitures [Line Items] | ||||||||||
Previous period capitalized costs recorded as charge in present period in other operating expenses, net of tax and noncontrolling interest | 55 | |||||||||
Bluegrass Project [Member] | Other Operating Expenses [Member] | ||||||||||
Business Acquisition and Divestitures [Line Items] | ||||||||||
Previous period capitalized costs recorded as charge in present period in other operating expenses | 94 | |||||||||
CAC [Member] | ||||||||||
Business Acquisition and Divestitures [Line Items] | ||||||||||
Percentage of coinsurance agreement | 100.00% | |||||||||
Recognized loss due to difference between market value and book value of funds withheld assets | 31 | |||||||||
HighMount [Member] | ||||||||||
Business Acquisition and Divestitures [Line Items] | ||||||||||
Net proceeds from sale of business | 787 | |||||||||
Repayment of debt | 480 | |||||||||
Recorded loss on sale | 200 | |||||||||
Recorded loss on sale, after tax | 138 | |||||||||
Boardwalk Pipeline [Member] | ||||||||||
Business Acquisition and Divestitures [Line Items] | ||||||||||
Goodwill recorded | 237 | 215 | 271 | |||||||
Cash contributed to obtain equity interest in joint venture | 269 | 148 | ||||||||
Percentage of equity transferred to acquire equity funds | 65.00% | 35.00% | ||||||||
Boardwalk Pipeline [Member] | Evangeline Pipeline System [Member] | ||||||||||
Business Acquisition and Divestitures [Line Items] | ||||||||||
Identifiable finite-lived intangible assets | 20 | |||||||||
Goodwill recorded | 22 | |||||||||
Boardwalk Pipeline Partners, LP [Member] | Bluegrass Project [Member] | ||||||||||
Business Acquisition and Divestitures [Line Items] | ||||||||||
Previous period capitalized costs recorded as charge in present period in other operating expenses | 10 | |||||||||
Louisiana Midstream LLC [Member] | ||||||||||
Business Acquisition and Divestitures [Line Items] | ||||||||||
Purchase price received | 620 | |||||||||
Identifiable finite-lived intangible assets | 25 | |||||||||
Goodwill recorded | 52 | |||||||||
Bank loan acquired to fund purchase | 225 | |||||||||
Boardwalk Pipelines Holding Corporation [Member] | ||||||||||
Business Acquisition and Divestitures [Line Items] | ||||||||||
Cash contributed to obtain equity interest in joint venture | $269 | |||||||||
Percentage of equity transferred to acquire equity funds | 65.00% |
Investments_Net_Investment_Inc
Investments - Net Investment Income and Investment Gains (Losses) (Detail) (USD $) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Net Investment Income [Line Items] | ||||||
Total investment income | $2,221 | $2,478 | $2,229 | |||
Investment expenses | -58 | -53 | -52 | |||
Net investment income | 2,163 | 2,425 | 2,177 | |||
Investment gains | 54 | [1] | 16 | [1] | 48 | [1] |
Fixed Maturity Securities [Member] | ||||||
Net Investment Income [Line Items] | ||||||
Total investment income | 1,803 | 1,827 | 1,846 | |||
Investment gains | 41 | 41 | 77 | |||
Short Term Investments [Member] | ||||||
Net Investment Income [Line Items] | ||||||
Total investment income | 4 | 5 | 12 | |||
Investment gains | 13 | 6 | -1 | |||
Limited Partnership Investments [Member] | ||||||
Net Investment Income [Line Items] | ||||||
Total investment income | 304 | 519 | 283 | |||
Equity Securities [Member] | ||||||
Net Investment Income [Line Items] | ||||||
Total investment income | 12 | 12 | 12 | |||
Investment gains | 1 | -22 | -23 | |||
Income from Trading Portfolio [Member] | ||||||
Net Investment Income [Line Items] | ||||||
Total investment income | 64 | [2] | 90 | [2] | 52 | [2] |
Other [Member] | ||||||
Net Investment Income [Line Items] | ||||||
Total investment income | 34 | 25 | 24 | |||
Derivative Instruments [Member] | ||||||
Net Investment Income [Line Items] | ||||||
Investment gains | ($1) | ($9) | ($5) | |||
[1] | Includes gross realized gains of $178, $198 and $241 and gross realized losses of $136, $179 and $187 on available-for-sale securities for the years ended December 31, 2014, 2013 and 2012. | |||||
[2] | Includes net unrealized gains (losses) related to changes in fair value on trading securities still held of $42, $(2) and $6 for the years ended December 31, 2014, 2013 and 2012. |
Investments_Net_Investment_Inc1
Investments - Net Investment Income and Investment Gains (Losses) (Parenthetical) (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Investments Schedule [Abstract] | |||
Net unrealized gains (losses) on trading securities | $42 | ($2) | $6 |
Gross realized gains on available-for-sale securities | 178 | 198 | 241 |
Gross realized losses on available-for-sale securities | $136 | $179 | $187 |
Investments_Additional_Informa
Investments - Additional Information (Detail) (USD $) | 0 Months Ended | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
PartnershipUnit | PartnershipUnit | |||
Investment | Investment | |||
Securities | Securities | |||
Schedule of Investments [Line Items] | ||||
Number of non-income producing fixed maturity securities held | ||||
Number of Investments not exceeds 10% of shareholders equity | 0 | 0 | 0 | |
Additional other than temporary impairment losses | $0 | |||
Carrying value of limited partnerships | 3,700,000,000 | 3,700,000,000 | 3,400,000,000 | |
Undistributed earnings of limited partnerships | 1,300,000,000 | 1,200,000,000 | ||
Percentage of carrying value reported on a current basis | 72.40% | |||
Percentage of carrying value reported on one month lag | 12.60% | |||
Number of limited partnership investments held | 92 | 93 | ||
Percentage of limited partnerships held that employ hedge fund strategies | 78.60% | 78.60% | 79.20% | |
Percentage of limited partnerships invested in private debt and equity | 18.60% | 18.60% | 17.80% | |
Percentage of limited partnerships employing hedge fund strategies focused on equity investments | 57.20% | 57.20% | ||
Percentage of limited partnerships employing hedge fund strategies with a multi-strategy approach | 28.30% | 28.30% | ||
Percentage of limited partnerships employing hedge fund strategies focused on distressed investments | 10.70% | 10.70% | ||
Percentage of limited partnerships employing hedge fund strategies focused on fixed income investments | 3.80% | 3.80% | ||
Ownership percentage of aggregate partnership equity | 3.90% | 3.90% | 3.90% | |
Changes in ownership percentage of aggregate partnership equity | 4.30% | 3.70% | 3.30% | |
Withdrawal provisions limited partnership investments, description | The Company's limited partnership investments contain withdrawal provisions that generally limit liquidity for a period of thirty days up to one year and in some cases do not permit withdrawals until the termination of the partnership. Typically, withdrawals require advance written notice of up to 90 days. | |||
Future capital call commitments | 327,000,000 | 327,000,000 | ||
Commitments to purchase various privately placed debt securities, including bank loans | 75,000,000 | 75,000,000 | ||
Commitments to sell various privately placed debt securities, including bank loans | 97,000,000 | 97,000,000 | ||
Securities deposited | 3,000,000,000 | 3,000,000,000 | 3,300,000,000 | |
Cash and securities with carrying values deposited as collateral for letters of credit | 361,000,000 | 361,000,000 | 353,000,000 | |
Securities deposited as collateral for letters of credit | 302,000,000 | 302,000,000 | 294,000,000 | |
Ten Largest Limited Partnership Holdings [Member] | ||||
Schedule of Investments [Line Items] | ||||
Carrying value of limited partnerships | $1,800,000,000 | $1,800,000,000 | $1,700,000,000 |
Investments_Schedule_of_Net_Ch
Investments - Schedule of Net Change in Unrealized Gains (Losses) on Available-for-Sale Investments (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Schedule of Available-for-sale Securities [Line Items] | |||
Total net change in unrealized gains on available-for-sale investments | $1,517 | ($2,556) | $1,875 |
Fixed Maturity Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Total net change in unrealized gains on available-for-sale investments | 1,511 | -2,541 | 1,871 |
Equity Securities [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Total net change in unrealized gains on available-for-sale investments | 6 | -15 | 5 |
Other [Member] | |||
Schedule of Available-for-sale Securities [Line Items] | |||
Total net change in unrealized gains on available-for-sale investments | ($1) |
Investments_Components_of_OTTI
Investments - Components of OTTI Losses Recognized in Earnings by Asset Type (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Net OTTI losses recognized in earnings | $77 | $76 | $150 |
Corporate and Other Bonds [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Net OTTI losses recognized in earnings | 18 | 20 | 25 |
States, Municipalities and Political Subdivisions [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Net OTTI losses recognized in earnings | 46 | 34 | |
Residential Mortgage-Backed [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Net OTTI losses recognized in earnings | 5 | 19 | 48 |
Other Asset-Backed [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Net OTTI losses recognized in earnings | 1 | 2 | |
Total Asset-Backed [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Net OTTI losses recognized in earnings | 6 | 21 | 48 |
U.S. Treasury and Obligations of Government-Sponsored Enterprises [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Net OTTI losses recognized in earnings | 1 | ||
Total Fixed Maturities Available-for-Sale [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Net OTTI losses recognized in earnings | 70 | 41 | 108 |
Common Stock [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Net OTTI losses recognized in earnings | 7 | 8 | 6 |
Preferred Stock [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Net OTTI losses recognized in earnings | 26 | 36 | |
Total Equity Securities Available-for-Sale [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Net OTTI losses recognized in earnings | 7 | 34 | 42 |
Short Term Investments [Member] | |||
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items] | |||
Net OTTI losses recognized in earnings | $1 |
Investments_Amortized_Cost_and
Investments - Amortized Cost and Fair Values of Securities (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | $38,202 | $40,307 |
Gross Unrealized Gains | 3,640 | 2,579 |
Gross Unrealized Losses | 229 | 695 |
Estimated Fair Value | 41,613 | 42,191 |
Unrealized OTTI Losses (Gains) | -55 | -40 |
Fixed Maturity Securities [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | 37,469 | 39,426 |
Gross Unrealized Gains | 3,530 | 2,450 |
Gross Unrealized Losses | 114 | 556 |
Estimated Fair Value | 40,885 | 41,320 |
Unrealized OTTI Losses (Gains) | -55 | -40 |
Corporate and Other Bonds [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | 17,226 | 19,352 |
Gross Unrealized Gains | 1,721 | 1,645 |
Gross Unrealized Losses | 61 | 135 |
Estimated Fair Value | 18,886 | 20,862 |
States, Municipalities and Political Subdivisions [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | 11,285 | 11,281 |
Gross Unrealized Gains | 1,463 | 548 |
Gross Unrealized Losses | 8 | 272 |
Estimated Fair Value | 12,740 | 11,557 |
Residential Mortgage-Backed [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | 5,028 | 4,940 |
Gross Unrealized Gains | 218 | 123 |
Gross Unrealized Losses | 13 | 92 |
Estimated Fair Value | 5,233 | 4,971 |
Unrealized OTTI Losses (Gains) | -53 | -37 |
Commercial Mortgage-Backed [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | 2,056 | 1,995 |
Gross Unrealized Gains | 93 | 90 |
Gross Unrealized Losses | 5 | 22 |
Estimated Fair Value | 2,144 | 2,063 |
Unrealized OTTI Losses (Gains) | -2 | -3 |
Other Asset-Backed [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | 1,234 | 945 |
Gross Unrealized Gains | 11 | 13 |
Gross Unrealized Losses | 10 | 3 |
Estimated Fair Value | 1,235 | 955 |
Total Asset-Backed [Member] | Fixed Maturity Securities [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | 8,318 | 7,880 |
Gross Unrealized Gains | 322 | 226 |
Gross Unrealized Losses | 28 | 117 |
Estimated Fair Value | 8,612 | 7,989 |
Unrealized OTTI Losses (Gains) | -55 | -40 |
U.S. Treasury and Obligations of Government-Sponsored Enterprises [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | 139 | |
Gross Unrealized Gains | 6 | |
Gross Unrealized Losses | 1 | |
Estimated Fair Value | 144 | |
Foreign Government [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | 438 | 531 |
Gross Unrealized Gains | 16 | 15 |
Gross Unrealized Losses | 3 | |
Estimated Fair Value | 454 | 543 |
Redeemable Preferred Stock [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | 39 | 92 |
Gross Unrealized Gains | 3 | 10 |
Estimated Fair Value | 42 | 102 |
Total Fixed Maturities Available-for-Sale [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | 37,332 | 39,275 |
Gross Unrealized Gains | 3,530 | 2,450 |
Gross Unrealized Losses | 97 | 528 |
Estimated Fair Value | 40,765 | 41,197 |
Unrealized OTTI Losses (Gains) | -55 | -40 |
Fixed Maturities, Trading [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | 137 | 151 |
Gross Unrealized Losses | 17 | 28 |
Estimated Fair Value | 120 | 123 |
Common Stock [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | 38 | 36 |
Gross Unrealized Gains | 9 | 9 |
Estimated Fair Value | 47 | 45 |
Preferred Stock [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | 172 | 143 |
Gross Unrealized Gains | 5 | 1 |
Gross Unrealized Losses | 2 | 4 |
Estimated Fair Value | 175 | 140 |
Total Equity Securities Available-for-Sale [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | 210 | 179 |
Gross Unrealized Gains | 14 | 10 |
Gross Unrealized Losses | 2 | 4 |
Estimated Fair Value | 222 | 185 |
Equity Securities, Trading [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | 523 | 702 |
Gross Unrealized Gains | 96 | 119 |
Gross Unrealized Losses | 113 | 135 |
Estimated Fair Value | 506 | 686 |
Equity Securities [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Cost or Amortized Cost | 733 | 881 |
Gross Unrealized Gains | 110 | 129 |
Gross Unrealized Losses | 115 | 139 |
Estimated Fair Value | $728 | $871 |
Investments_Securities_Availab
Investments - Securities Available-for-Sale in Gross Unrealized Loss Position (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Corporate and Other Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | $1,330 | $3,592 |
Gross Unrealized Losses, Less than 12 Months | 46 | 129 |
Estimated Fair Value, 12 Months or Longer | 277 | 72 |
Gross Unrealized Losses, 12 Months or Longer | 15 | 6 |
Total Estimated Fair Value | 1,607 | 3,664 |
Total Gross Unrealized Losses | 61 | 135 |
States, Municipalities and Political Subdivisions [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | 335 | 3,251 |
Gross Unrealized Losses, Less than 12 Months | 5 | 197 |
Estimated Fair Value, 12 Months or Longer | 127 | 129 |
Gross Unrealized Losses, 12 Months or Longer | 3 | 75 |
Total Estimated Fair Value | 462 | 3,380 |
Total Gross Unrealized Losses | 8 | 272 |
Residential Mortgage-Backed [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | 293 | 1,293 |
Gross Unrealized Losses, Less than 12 Months | 5 | 29 |
Estimated Fair Value, 12 Months or Longer | 189 | 343 |
Gross Unrealized Losses, 12 Months or Longer | 8 | 63 |
Total Estimated Fair Value | 482 | 1,636 |
Total Gross Unrealized Losses | 13 | 92 |
Commercial Mortgage-Backed [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | 264 | 640 |
Gross Unrealized Losses, Less than 12 Months | 2 | 22 |
Estimated Fair Value, 12 Months or Longer | 99 | |
Gross Unrealized Losses, 12 Months or Longer | 3 | |
Total Estimated Fair Value | 363 | 640 |
Total Gross Unrealized Losses | 5 | 22 |
Other Asset-Backed [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | 607 | 269 |
Gross Unrealized Losses, Less than 12 Months | 10 | 3 |
Estimated Fair Value, 12 Months or Longer | 7 | |
Total Estimated Fair Value | 614 | 269 |
Total Gross Unrealized Losses | 10 | 3 |
Total Asset-Backed [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | 1,164 | 2,202 |
Gross Unrealized Losses, Less than 12 Months | 17 | 54 |
Estimated Fair Value, 12 Months or Longer | 295 | 343 |
Gross Unrealized Losses, 12 Months or Longer | 11 | 63 |
Total Estimated Fair Value | 1,459 | 2,545 |
Total Gross Unrealized Losses | 28 | 117 |
U.S. Treasury and Obligations of Government-Sponsored Enterprises [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | 3 | 13 |
Gross Unrealized Losses, Less than 12 Months | 1 | |
Estimated Fair Value, 12 Months or Longer | 4 | |
Total Estimated Fair Value | 7 | 13 |
Total Gross Unrealized Losses | 1 | |
Foreign Government [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | 3 | 111 |
Gross Unrealized Losses, Less than 12 Months | 3 | |
Estimated Fair Value, 12 Months or Longer | 3 | |
Total Estimated Fair Value | 6 | 111 |
Total Gross Unrealized Losses | 3 | |
Redeemable Preferred Stock [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | 3 | |
Total Estimated Fair Value | 3 | |
Total Fixed Maturities Available-for-Sale [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | 2,838 | 9,169 |
Gross Unrealized Losses, Less than 12 Months | 68 | 384 |
Estimated Fair Value, 12 Months or Longer | 706 | 544 |
Gross Unrealized Losses, 12 Months or Longer | 29 | 144 |
Total Estimated Fair Value | 3,544 | 9,713 |
Total Gross Unrealized Losses | 97 | 528 |
Preferred Stock [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | 17 | 87 |
Gross Unrealized Losses, Less than 12 Months | 2 | 4 |
Estimated Fair Value, 12 Months or Longer | 1 | |
Total Estimated Fair Value | 18 | 87 |
Total Gross Unrealized Losses | 2 | 4 |
Fixed Maturity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Estimated Fair Value, Less than 12 Months | 2,855 | 9,256 |
Gross Unrealized Losses, Less than 12 Months | 70 | 388 |
Estimated Fair Value, 12 Months or Longer | 707 | 544 |
Gross Unrealized Losses, 12 Months or Longer | 29 | 144 |
Total Estimated Fair Value | 3,562 | 9,800 |
Total Gross Unrealized Losses | $99 | $532 |
Investments_Pretax_Credit_Loss
Investments - Pretax Credit Loss Component Reflected in Retained Earnings on Fixed Maturity Securities (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Investments, Debt and Equity Securities [Abstract] | |||
Beginning balance of credit losses on fixed maturity securities | $74 | $95 | $92 |
Additional credit losses for securities for which an OTTI loss was previously recognized | 2 | 23 | |
Credit losses for securities for which an OTTI loss was not previously recognized | 2 | ||
Reductions for securities sold during the period | -9 | -23 | -14 |
Reductions for securities the Company intends to sell or more likely than not will be required to sell | -3 | -8 | |
Ending balance of credit losses on fixed maturity securities | $62 | $74 | $95 |
Investments_AvailableforSale_F
Investments - Available-for-Sale Fixed Maturity Securities by Contractual Maturity (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Investments, Debt and Equity Securities [Abstract] | ||
Cost or Amortized Cost, Due in one year or less | $2,479 | $2,420 |
Cost or Amortized Cost, Due after one year through five years | 9,070 | 9,496 |
Cost or Amortized Cost, Due after five years through ten years | 12,055 | 11,667 |
Cost or Amortized Cost, Due after ten years | 13,728 | 15,692 |
Cost or Amortized Cost, Total | 37,332 | 39,275 |
Estimated Fair Value, Due in one year or less | 2,511 | 2,455 |
Estimated Fair Value, Due after one year through five years | 9,621 | 10,068 |
Estimated Fair Value, Due after five years through ten years | 12,584 | 11,954 |
Estimated Fair Value, Due after ten years | 16,049 | 16,720 |
Estimated Fair Value, Total | $40,765 | $41,197 |
Fair_Value_Assets_and_Liabilit
Fair Value - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets of discontinued operations | $32 | |
Liabilities of discontinued operations | -8 | |
Corporate and Other Bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 18,886 | 20,862 |
States, Municipalities and Political Subdivisions [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 12,740 | 11,557 |
Residential Mortgage-Backed [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 5,233 | 4,971 |
Commercial Mortgage-Backed [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 2,144 | 2,063 |
Other Asset-Backed [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 1,235 | 955 |
Total Asset-Backed [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 8,612 | 7,989 |
U.S. Treasury and Obligations of Government-Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 31 | 144 |
Foreign Government [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 454 | 543 |
Redeemable Preferred Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 42 | 102 |
Total Fixed Maturities Available-for-Sale [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 40,765 | 41,197 |
Fixed Maturities, Trading [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 120 | 123 |
Fixed Maturity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 40,885 | 41,320 |
Total Equity Securities Available-for-Sale [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 222 | 185 |
Equity Securities, Trading [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 506 | 686 |
Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 728 | 871 |
Short Term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 5,952 | 6,697 |
Other Invested Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 143 | 54 |
Receivables [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 9 | 3 |
Life Settlement Contracts [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 82 | 88 |
Separate Account Business [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 181 | |
Payable to Brokers [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of liabilities, measured on a recurring basis | -552 | -44 |
Level 1 [Member] | Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets of discontinued operations | 28 | |
Level 1 [Member] | Corporate and Other Bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 32 | 33 |
Level 1 [Member] | U.S. Treasury and Obligations of Government-Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 28 | 116 |
Level 1 [Member] | Foreign Government [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 41 | 81 |
Level 1 [Member] | Redeemable Preferred Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 30 | 45 |
Level 1 [Member] | Total Fixed Maturities Available-for-Sale [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 131 | 275 |
Level 1 [Member] | Fixed Maturity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 131 | 275 |
Level 1 [Member] | Total Equity Securities Available-for-Sale [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 145 | 126 |
Level 1 [Member] | Equity Securities, Trading [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 505 | 678 |
Level 1 [Member] | Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 650 | 804 |
Level 1 [Member] | Short Term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 4,989 | 6,134 |
Level 1 [Member] | Other Invested Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 102 | |
Level 1 [Member] | Receivables [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 2 | |
Level 1 [Member] | Separate Account Business [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 9 | |
Level 1 [Member] | Payable to Brokers [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of liabilities, measured on a recurring basis | -546 | -40 |
Level 2 [Member] | Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets of discontinued operations | 2 | |
Liabilities of discontinued operations | -6 | |
Level 2 [Member] | Corporate and Other Bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 18,692 | 20,625 |
Level 2 [Member] | States, Municipalities and Political Subdivisions [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 12,646 | 11,486 |
Level 2 [Member] | Residential Mortgage-Backed [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 5,044 | 4,640 |
Level 2 [Member] | Commercial Mortgage-Backed [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 2,061 | 1,912 |
Level 2 [Member] | Other Asset-Backed [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 580 | 509 |
Level 2 [Member] | Total Asset-Backed [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 7,685 | 7,061 |
Level 2 [Member] | U.S. Treasury and Obligations of Government-Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 3 | 28 |
Level 2 [Member] | Foreign Government [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 413 | 462 |
Level 2 [Member] | Redeemable Preferred Stock [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 12 | 57 |
Level 2 [Member] | Total Fixed Maturities Available-for-Sale [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 39,451 | 39,719 |
Level 2 [Member] | Fixed Maturities, Trading [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 30 | 43 |
Level 2 [Member] | Fixed Maturity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 39,481 | 39,762 |
Level 2 [Member] | Total Equity Securities Available-for-Sale [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 61 | 48 |
Level 2 [Member] | Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 61 | 48 |
Level 2 [Member] | Short Term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 963 | 563 |
Level 2 [Member] | Other Invested Assets [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 41 | 54 |
Level 2 [Member] | Receivables [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 7 | 3 |
Level 2 [Member] | Separate Account Business [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 171 | |
Level 2 [Member] | Payable to Brokers [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of liabilities, measured on a recurring basis | -6 | -1 |
Level 3 [Member] | Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets of discontinued operations | 2 | |
Liabilities of discontinued operations | -2 | |
Level 3 [Member] | Corporate and Other Bonds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 162 | 204 |
Level 3 [Member] | States, Municipalities and Political Subdivisions [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 94 | 71 |
Level 3 [Member] | Residential Mortgage-Backed [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 189 | 331 |
Level 3 [Member] | Commercial Mortgage-Backed [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 83 | 151 |
Level 3 [Member] | Other Asset-Backed [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 655 | 446 |
Level 3 [Member] | Total Asset-Backed [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 927 | 928 |
Level 3 [Member] | Total Fixed Maturities Available-for-Sale [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 1,183 | 1,203 |
Level 3 [Member] | Fixed Maturities, Trading [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 90 | 80 |
Level 3 [Member] | Fixed Maturity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 1,273 | 1,283 |
Level 3 [Member] | Total Equity Securities Available-for-Sale [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 16 | 11 |
Level 3 [Member] | Equity Securities, Trading [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 1 | 8 |
Level 3 [Member] | Equity Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 17 | 19 |
Level 3 [Member] | Life Settlement Contracts [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 82 | 88 |
Level 3 [Member] | Separate Account Business [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets, measured on a recurring basis | 1 | |
Level 3 [Member] | Payable to Brokers [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of liabilities, measured on a recurring basis | ($3) |
Fair_Value_Reconciliations_of_
Fair Value - Reconciliations of Assets and Liabilities Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Derivative Financial Instruments, Net [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | ($3) | $5 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in Net Income | 1 | 8 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in OCI | -9 | |
Purchases | -2 | |
Sales | 2 | 1 |
Settlements | -6 | |
Ending balance | -3 | |
Unrealized Gains (Losses) Recognized in Net Income on Level 3 Assets and Liabilities Held at December 31 | 2 | 1 |
Corporate and Other Bonds [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | 204 | 219 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in Net Income | 2 | 3 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in OCI | -1 | |
Purchases | 33 | 123 |
Sales | -23 | -97 |
Settlements | -16 | -44 |
Transfers into Level 3 | 18 | 51 |
Transfers out of Level 3 | -55 | -51 |
Ending balance | 162 | 204 |
Unrealized Gains (Losses) Recognized in Net Income on Level 3 Assets and Liabilities Held at December 31 | -2 | |
States, Municipalities and Political Subdivisions [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | 71 | 96 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in Net Income | 1 | -2 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in OCI | 4 | 4 |
Purchases | 14 | 122 |
Sales | -10 | -79 |
Settlements | -61 | |
Transfers into Level 3 | 14 | 18 |
Transfers out of Level 3 | -27 | |
Ending balance | 94 | 71 |
Residential Mortgage-Backed [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | 331 | 413 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in Net Income | -21 | 4 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in OCI | 61 | -14 |
Purchases | 94 | 116 |
Sales | -174 | -10 |
Settlements | -72 | -75 |
Transfers into Level 3 | 32 | 4 |
Transfers out of Level 3 | -62 | -107 |
Ending balance | 189 | 331 |
Unrealized Gains (Losses) Recognized in Net Income on Level 3 Assets and Liabilities Held at December 31 | -3 | |
Commercial Mortgage-Backed [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | 151 | 129 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in Net Income | 7 | |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in OCI | -6 | 11 |
Purchases | 28 | 107 |
Sales | -60 | -3 |
Settlements | -29 | -11 |
Transfers into Level 3 | 43 | 21 |
Transfers out of Level 3 | -51 | -103 |
Ending balance | 83 | 151 |
Other Asset-Backed [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | 446 | 368 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in Net Income | 2 | 5 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in OCI | -6 | -4 |
Purchases | 488 | 314 |
Sales | -111 | -197 |
Settlements | -117 | -35 |
Transfers out of Level 3 | -47 | -5 |
Ending balance | 655 | 446 |
Unrealized Gains (Losses) Recognized in Net Income on Level 3 Assets and Liabilities Held at December 31 | -1 | -2 |
Total Asset-Backed [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | 928 | 910 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in Net Income | -12 | 9 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in OCI | 49 | -7 |
Purchases | 610 | 537 |
Sales | -345 | -210 |
Settlements | -218 | -121 |
Transfers into Level 3 | 75 | 25 |
Transfers out of Level 3 | -160 | -215 |
Ending balance | 927 | 928 |
Unrealized Gains (Losses) Recognized in Net Income on Level 3 Assets and Liabilities Held at December 31 | -1 | -5 |
Redeemable Preferred Stock [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | 26 | |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in Net Income | -1 | |
Settlements | -25 | |
Total Fixed Maturities Available-for-Sale [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | 1,203 | 1,251 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in Net Income | -9 | 9 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in OCI | 52 | -3 |
Purchases | 657 | 782 |
Sales | -378 | -386 |
Settlements | -234 | -251 |
Transfers into Level 3 | 107 | 94 |
Transfers out of Level 3 | -215 | -293 |
Ending balance | 1,183 | 1,203 |
Unrealized Gains (Losses) Recognized in Net Income on Level 3 Assets and Liabilities Held at December 31 | -1 | -7 |
Fixed Maturities, Trading [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | 80 | 89 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in Net Income | 11 | -4 |
Purchases | 19 | |
Sales | -1 | -24 |
Ending balance | 90 | 80 |
Unrealized Gains (Losses) Recognized in Net Income on Level 3 Assets and Liabilities Held at December 31 | 11 | -4 |
Fixed Maturity Securities [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | 1,283 | 1,340 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in Net Income | 2 | 5 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in OCI | 52 | -3 |
Purchases | 657 | 801 |
Sales | -379 | -410 |
Settlements | -234 | -251 |
Transfers into Level 3 | 107 | 94 |
Transfers out of Level 3 | -215 | -293 |
Ending balance | 1,273 | 1,283 |
Unrealized Gains (Losses) Recognized in Net Income on Level 3 Assets and Liabilities Held at December 31 | 10 | -11 |
Total Equity Securities Available-for-Sale [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | 11 | 34 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in Net Income | 3 | -27 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in OCI | -6 | 3 |
Purchases | 16 | 2 |
Sales | -8 | |
Transfers out of Level 3 | -1 | |
Ending balance | 16 | 11 |
Unrealized Gains (Losses) Recognized in Net Income on Level 3 Assets and Liabilities Held at December 31 | -27 | |
Equity Securities, Trading [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | 8 | 7 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in Net Income | -1 | -5 |
Purchases | 6 | |
Sales | -6 | |
Ending balance | 1 | 8 |
Unrealized Gains (Losses) Recognized in Net Income on Level 3 Assets and Liabilities Held at December 31 | 1 | -5 |
Equity Securities [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | 19 | 41 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in Net Income | 2 | -32 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in OCI | -6 | 3 |
Purchases | 16 | 8 |
Sales | -14 | |
Transfers out of Level 3 | -1 | |
Ending balance | 17 | 19 |
Unrealized Gains (Losses) Recognized in Net Income on Level 3 Assets and Liabilities Held at December 31 | 1 | -32 |
Short Term Investments [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | 6 | |
Sales | -6 | |
Other Invested Assets [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | 1 | |
Sales | -1 | |
Life Settlement Contracts [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | 88 | 100 |
Net Realized Gains (Losses) and Net Change in Unrealized Gains (Losses), Included in Net Income | 33 | 13 |
Settlements | -39 | -25 |
Ending balance | 82 | 88 |
Unrealized Gains (Losses) Recognized in Net Income on Level 3 Assets and Liabilities Held at December 31 | 8 | -2 |
Separate Account Business [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | 1 | 2 |
Purchases | 1 | |
Sales | -2 | |
Transfers out of Level 3 | -1 | |
Ending balance | $1 |
Fair_Value_Additional_Informat
Fair Value - Additional Information (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Fair Value Disclosures [Abstract] | ||
Transfers out of Level 2 to Level 1, Assets | $24,000,000 | $0 |
Transfers out of Level 1 to Level 2, Assets | $1,000,000 | $0 |
Fair_Value_Quantitative_Inform
Fair Value - Quantitative Information about Significant Unobservable Inputs Utilized by Company in Fair Value Measurements of Level 3 Assets (Detail) (USD $) | 12 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Fixed Maturity Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Credit spread adjustment | 3.00% | 4.00% |
Fixed Maturity Securities [Member] | Discounted Cash Flow [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fair Value Assets | 101 | 142 |
Valuation Techniques | Discounted cash flow | |
Fixed Maturity Securities [Member] | Minimum [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Credit spread adjustment | 2.00% | 2.00% |
Fixed Maturity Securities [Member] | Maximum [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Credit spread adjustment | 13.00% | 20.00% |
Equity Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Private offering price | 600 | 1,148 |
Equity Securities [Member] | Market approach [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fair Value Assets | 16 | 10 |
Valuation Techniques | Market approach | |
Equity Securities [Member] | Minimum [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Private offering price | 12 | 360 |
Equity Securities [Member] | Maximum [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Private offering price | 4,391 | 4,268 |
Life Settlement Contracts [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Discount rate risk premium | 9.00% | 9.00% |
Mortality assumption | 163.00% | 192.00% |
Life Settlement Contracts [Member] | Discounted Cash Flow [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Fair Value Assets | 82 | 88 |
Valuation Techniques | Discounted cash flow | |
Life Settlement Contracts [Member] | Minimum [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Mortality assumption | 55.00% | 70.00% |
Life Settlement Contracts [Member] | Maximum [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Mortality assumption | 1676.00% | 743.00% |
Fair_Value_Carrying_Amount_and
Fair Value - Carrying Amount and Estimated Fair Value of Financial Instrument Assets and Liabilities Not Measured at Fair Value (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Short term debt | $255 | $832 |
Long term debt | 10,299 | 9,907 |
Long term debt included in discontinued operations | 500 | |
Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Other invested assets, primarily mortgage loans | 608 | 515 |
Premium deposits and annuity contracts | 58 | |
Short term debt | 84 | 20 |
Long term debt | 420 | 182 |
Estimate Fair Value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Other invested assets, primarily mortgage loans | 608 | 515 |
Premium deposits and annuity contracts | 58 | |
Short term debt | 339 | 852 |
Long term debt | 10,719 | 10,089 |
Long term debt included in discontinued operations | 500 | |
Carrying Amount [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Other invested assets, primarily mortgage loans | 588 | 508 |
Premium deposits and annuity contracts | 57 | |
Short term debt | 334 | 818 |
Long term debt | 10,320 | 9,515 |
Long term debt included in discontinued operations | $500 |
Derivative_Financial_Instrumen2
Derivative Financial Instruments - Summary of Aggregate Contractual or Notional Amounts and Gross Estimated Fair Values Related to Derivative Financial Instruments (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Commodities, Forwards - Short [Member] | Discontinued Operations [Member] | ||
Derivative [Line Items] | ||
Contractual/Notional Amount | $180 | |
Estimated Fair Value, Asset | 4 | |
Estimated Fair Value, (Liability) | -4 | |
Embedded Derivative on Funds Withheld Liability [Member] | ||
Derivative [Line Items] | ||
Contractual/Notional Amount | 184 | |
Estimated Fair Value, (Liability) | -3 | |
Interest Rate Risk, Interest Rate Swaps [Member] | Discontinued Operations [Member] | ||
Derivative [Line Items] | ||
Contractual/Notional Amount | 300 | |
Estimated Fair Value, (Liability) | -4 | |
With Hedge Designation [Member] | Foreign Exchange, Currency Forwards - Short [Member] | ||
Derivative [Line Items] | ||
Contractual/Notional Amount | 70 | 114 |
Estimated Fair Value, Asset | 2 | |
Estimated Fair Value, (Liability) | -5 | -1 |
Without Hedge Designation [Member] | Foreign Exchange, Currency Forwards - Short [Member] | ||
Derivative [Line Items] | ||
Contractual/Notional Amount | 88 | 113 |
Estimated Fair Value, Asset | 2 | |
Without Hedge Designation [Member] | Equity Markets, Options - Purchased [Member] | ||
Derivative [Line Items] | ||
Contractual/Notional Amount | 544 | 1,561 |
Estimated Fair Value, Asset | 24 | 41 |
Without Hedge Designation [Member] | Equity Markets, Options - Written [Member] | ||
Derivative [Line Items] | ||
Contractual/Notional Amount | 292 | 729 |
Estimated Fair Value, (Liability) | -21 | -23 |
Without Hedge Designation [Member] | Equity Swaps and Warrants - Long [Member] | ||
Derivative [Line Items] | ||
Contractual/Notional Amount | 10 | 17 |
Estimated Fair Value, Asset | 2 | 9 |
Without Hedge Designation [Member] | Interest Rate Risk, Credit Default Swaps - Purchased Protection [Member] | ||
Derivative [Line Items] | ||
Contractual/Notional Amount | 50 | |
Estimated Fair Value, (Liability) | -3 | |
Without Hedge Designation [Member] | Interest Rate Risk, Credit Default Swaps - Sold Protection [Member] | ||
Derivative [Line Items] | ||
Contractual/Notional Amount | 25 | |
Without Hedge Designation [Member] | Foreign Exchange, Currency Forwards - Long [Member] | ||
Derivative [Line Items] | ||
Contractual/Notional Amount | 109 | 55 |
Estimated Fair Value, (Liability) | -3 | |
Without Hedge Designation [Member] | Currency Options - Long [Member] | ||
Derivative [Line Items] | ||
Contractual/Notional Amount | 151 | |
Estimated Fair Value, Asset | $7 |
Derivative_Financial_Instrumen3
Derivative Financial Instruments - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Derivative [Line Items] | |||
Loss after tax was reclassified from AOCI into Discontinued operations, net of income taxes | $4 | ||
Market-to-market losses after tax recognized on derivatives | 2 | ||
Gains (losses) from changes in fair value of derivatives included in Investment gains (losses) | -1 | -9 | -5 |
Gains (losses) from changes in fair value of derivatives held for trading included in Net investment income | 12 | -26 | -19 |
Amount of gain (losses) recognized in OCI | 3 | 10 | 1 |
Amount of gains (losses) reclassified from AOCI into income | 1 | -8 | -6 |
Estimated amount of net unrealized losses associated with cash flow hedges that will be reclassified from AOCI into earnings during next twelve months | 2 | ||
Maximum [Member] | |||
Derivative [Line Items] | |||
Net amounts recognized due to ineffectiveness | $1 | $1 | $1 |
Receivables_Receivables_Detail
Receivables - Receivables (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Receivables [Abstract] | ||
Reinsurance (Note 16) | $4,742 | $6,088 |
Insurance | 1,997 | 2,063 |
Receivable from brokers | 84 | 234 |
Accrued investment income | 412 | 448 |
Federal income taxes | 27 | 34 |
Other, primarily customer accounts | 625 | 800 |
Total | 7,887 | 9,667 |
Less: allowance for doubtful accounts on reinsurance receivables | 48 | 71 |
allowance for other doubtful accounts | 69 | 258 |
Receivables | $7,770 | $9,338 |
Property_Plant_and_Equipment_C
Property, Plant and Equipment - Components of Property, Plant and Equipment (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ||
Construction in process | $578 | $1,927 |
Property, plant and equipment, net | 15,611 | 13,524 |
Pipeline Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, net | 7,491 | 7,062 |
Offshore Drilling Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, net | 6,459 | 3,750 |
Other [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, net | $1,083 | $785 |
Property_Plant_and_Equipment_C1
Property, Plant and Equipment - Components of Property, Plant and Equipment (Parenthetical) (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Pipeline Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Accumulated DD&A | $1,620 | $1,360 |
Offshore Drilling Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Accumulated DD&A | 4,159 | 3,727 |
Other [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Accumulated DD&A | $730 | $778 |
Property_Plant_and_Equipment_D
Property, Plant and Equipment - DD&A Expense and Capital Expenditures (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Property, Plant and Equipment [Line Items] | |||
DD&A | $861 | $774 | $758 |
Capital Expend. | 2,813 | 1,755 | 1,106 |
CNA Financial [Member] | |||
Property, Plant and Equipment [Line Items] | |||
DD&A | 69 | 72 | 71 |
Capital Expend. | 72 | 90 | 98 |
Diamond Offshore [Member] | |||
Property, Plant and Equipment [Line Items] | |||
DD&A | 457 | 389 | 394 |
Capital Expend. | 2,050 | 987 | 721 |
Boardwalk Pipeline [Member] | |||
Property, Plant and Equipment [Line Items] | |||
DD&A | 292 | 275 | 256 |
Capital Expend. | 378 | 305 | 247 |
Loews Hotels [Member] | |||
Property, Plant and Equipment [Line Items] | |||
DD&A | 37 | 32 | 30 |
Capital Expend. | 289 | 369 | 30 |
Corporate and Other [Member] | |||
Property, Plant and Equipment [Line Items] | |||
DD&A | 6 | 6 | 7 |
Capital Expend. | $24 | $4 | $10 |
Property_Plant_and_Equipment_A
Property, Plant and Equipment - Additional Information (Detail) (USD $) | 12 Months Ended | |||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2014 |
Rigs | ||||
Property, Plant and Equipment [Line Items] | ||||
Capitalized interest related to the construction and upgrade of qualifying assets | $80 | $92 | $43 | |
Aggregate net book value of newly constructed rigs | 15,611 | 13,524 | ||
Construction in process | 578 | 1,927 | ||
Proceeds from sale | 17 | 132 | ||
Gain on sale of rings | 9 | 76 | ||
After tax gain on sale of rings | 3 | 32 | ||
Carrying value of the rigs | 974 | |||
Offshore Drilling Equipment Two [Member] | Rigs [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Construction in process | 439 | |||
Number of equipments in construction | 2 | |||
Diamond Offshore [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Asset Impairment loss recognized before noncontrolling interests | 109 | |||
Impairment charge net of tax and noncontrolling interests | 55 | 19 | ||
Carrying value of the rigs | 9 | |||
Number of property plant and equipment scrapped | 2 | 6 | ||
Impairment charge before noncontrolling interests | 62 | |||
Diamond Offshore [Member] | Offshore Drilling Equipment One [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Aggregate net book value of newly constructed rigs | 2,700 | |||
Construction in process | $1,300 | |||
Diamond Offshore [Member] | Offshore Drilling Equipment One [Member] | Ultra-deepwater Drillships [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Number of equipments delivered | 3 | |||
Diamond Offshore [Member] | Offshore Drilling Equipment One [Member] | Ultra Deep Water Floater Rig [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Number of equipments delivered | 2 |
Goodwill_Schedule_of_Changes_i
Goodwill - Schedule of Changes in Goodwill (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Goodwill [Line Items] | ||
Goodwill, beginning balance | $357 | $412 |
Additions | 22 | |
Impairments | -52 | |
Dispositions | -3 | |
Other adjustments | -2 | -3 |
Goodwill, ending balance | 374 | 357 |
CNA Financial [Member] | ||
Goodwill [Line Items] | ||
Goodwill, beginning balance | 119 | 118 |
Other adjustments | -2 | 1 |
Goodwill, ending balance | 117 | 119 |
Diamond Offshore [Member] | ||
Goodwill [Line Items] | ||
Goodwill, beginning balance | 20 | |
Impairments | ||
Other adjustments | ||
Goodwill, ending balance | 20 | 20 |
Boardwalk Pipeline [Member] | ||
Goodwill [Line Items] | ||
Goodwill, beginning balance | 215 | 271 |
Additions | 22 | |
Impairments | -52 | |
Other adjustments | -4 | |
Goodwill, ending balance | 237 | 215 |
Loews Hotels [Member] | ||
Goodwill [Line Items] | ||
Goodwill, beginning balance | 3 | 3 |
Impairments | ||
Dispositions | -3 | |
Other adjustments | ||
Goodwill, ending balance | $3 |
Goodwill_Additional_Informatio
Goodwill - Additional Information (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Goodwill [Line Items] | |
Goodwill impairment charge | $52 |
Boardwalk Pipeline [Member] | |
Goodwill [Line Items] | |
Goodwill impairment charge | 52 |
Goodwill impairment charge after tax | $16 |
Claim_and_Claim_Adjustment_Exp2
Claim and Claim Adjustment Expense Reserves - Additional Information (Detail) (USD $) | 12 Months Ended | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2010 | |
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||
Catastrophe losses, net of reinsurance | $156,000,000 | $169,000,000 | $391,000,000 | ||
Deferred retroactive reinsurance benefit recognized | 13,000,000 | 314,000,000 | 261,000,000 | 314,000,000 | |
Fair value of the collateral trust account | 3,400,000,000 | ||||
Commercial [Member] | |||||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||
Favorable development in accident years | 139,000,000 | 91,000,000 | 15,000,000 | ||
Commercial [Member] | 1996 and Prior [Member] | |||||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||
Favorable development in accident years | 26,000,000 | ||||
International [Member] | |||||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||
Commutation of third party capital provider, percentage | 15.00% | ||||
Percentage of premium, losses and expenses | 15.00% | ||||
A&EP Reserves [Member] | |||||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||
Net A&EP claim and allocated claim adjustment expense reserves | 1,600,000,000 | ||||
Aggregate limit under A&EP Loss Portfolio Transfer | 4,000,000,000 | ||||
Ceded A&EP claim and allocated claim adjustment expense reserves | 1,200,000,000 | ||||
Reinsurance premium paid to NICO under A&EP Loss Portfolio Transfer | 2,000,000,000 | ||||
Net reinsurance receivables transferred to NICO under A&EP Loss Portfolio Transfer | 215,000,000 | ||||
Total consideration | 2,200,000,000 | 2,200,000,000 | |||
Net ultimate losses ceded under the Loss Portfolio Transfer | 189,000,000 | ||||
Cumulative amounts ceded under the Loss Portfolio Transfer | 2,500,000,000 | 2,500,000,000 | |||
Deferred retroactive reinsurance benefit recognized | 13,000,000 | ||||
Remaining unrecognized benefit | 176,000,000 | ||||
Life & Group Non-Core [Member] | |||||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||||
Favorable net prior year development | $14,000,000 | $9,000,000 | $11,000,000 |
Claim_and_Claim_Adjustment_Exp3
Claim and Claim Adjustment Expense Reserves - Reconciliation of Claim and Claim Adjustment Expense Reserves (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward] | |||
Gross reserves, beginning of year | $24,089 | $24,763 | $24,303 |
Ceded reserves, beginning of year | 4,972 | 5,126 | 5,020 |
Net reserves, beginning of year | 19,117 | 19,637 | 19,283 |
Change in net reserves due to acquisition (disposition) of subsidiaries | -13 | 291 | |
Net incurred claim and claim adjustment expenses: | |||
Provision for insured events of current year | 5,043 | 5,114 | 5,273 |
Decrease in provision for insured events of prior years | -36 | -115 | -182 |
Amortization of discount | 161 | 154 | 145 |
Total net incurred | 5,168 | 5,153 | 5,236 |
Net payments attributable to: | |||
Current year events | -945 | -981 | -988 |
Prior year events | -4,355 | -4,588 | -4,280 |
Total net payments | -5,300 | -5,569 | -5,268 |
Foreign currency translation adjustment and other | -45 | -104 | 95 |
Net reserves, end of year | 18,927 | 19,117 | 19,637 |
Ceded reserves, end of year | 4,344 | 4,972 | 5,126 |
Gross reserves, end of year | $23,271 | $24,089 | $24,763 |
Claim_and_Claim_Adjustment_Exp4
Claim and Claim Adjustment Expense Reserves - Changes in Provision for Insured Events of Prior Years (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||
Decrease in provision for insured events of prior years | ($36) | ($115) | ($182) |
Property and Casualty Reserve Development [Member] | |||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||
Decrease in provision for insured events of prior years | -39 | -115 | -180 |
Life Reserve Development in Life Company [Member] | |||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||
Decrease in provision for insured events of prior years | $3 | ($2) |
Claim_and_Claim_Adjustment_Exp5
Claim and Claim Adjustment Expense Reserves - Summary of Gross and Net Carried Reserves (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Millions, unless otherwise specified | ||||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | ||||
Gross Case Reserves | $12,256 | $12,262 | ||
Gross IBNR Reserves | 11,015 | 11,827 | ||
Total Gross Carried Claim and Claim Adjustment Expense Reserves | 23,271 | 24,089 | ||
Net Case Reserves | 10,190 | 10,176 | ||
Net IBNR Reserves | 8,737 | 8,941 | ||
Total Net Carried Claim and Claim Adjustment Expense Reserves | 18,927 | 19,117 | 19,637 | 19,283 |
Specialty [Member] | ||||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | ||||
Gross Case Reserves | 2,136 | 2,001 | ||
Gross IBNR Reserves | 4,093 | 4,057 | ||
Total Gross Carried Claim and Claim Adjustment Expense Reserves | 6,229 | 6,058 | ||
Net Case Reserves | 1,929 | 1,793 | ||
Net IBNR Reserves | 3,726 | 3,789 | ||
Total Net Carried Claim and Claim Adjustment Expense Reserves | 5,655 | 5,582 | ||
Commercial [Member] | ||||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | ||||
Gross Case Reserves | 5,298 | 5,570 | ||
Gross IBNR Reserves | 4,216 | 4,521 | ||
Total Gross Carried Claim and Claim Adjustment Expense Reserves | 9,514 | 10,091 | ||
Net Case Reserves | 4,947 | 5,119 | ||
Net IBNR Reserves | 3,906 | 3,992 | ||
Total Net Carried Claim and Claim Adjustment Expense Reserves | 8,853 | 9,111 | ||
International [Member] | ||||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | ||||
Gross Case Reserves | 752 | 803 | ||
Gross IBNR Reserves | 689 | 772 | ||
Total Gross Carried Claim and Claim Adjustment Expense Reserves | 1,441 | 1,575 | ||
Net Case Reserves | 598 | 629 | ||
Net IBNR Reserves | 663 | 705 | ||
Total Net Carried Claim and Claim Adjustment Expense Reserves | 1,261 | 1,334 | ||
Other Non-Core [Member] | ||||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | ||||
Gross Case Reserves | 4,070 | 3,888 | ||
Gross IBNR Reserves | 2,017 | 2,477 | ||
Total Gross Carried Claim and Claim Adjustment Expense Reserves | 6,087 | 6,365 | ||
Net Case Reserves | 2,716 | 2,635 | ||
Net IBNR Reserves | 442 | 455 | ||
Total Net Carried Claim and Claim Adjustment Expense Reserves | $3,158 | $3,090 |
Claim_and_Claim_Adjustment_Exp6
Claim and Claim Adjustment Expense Reserves - Net Prior Year Development (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||
Pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | ($21) | ($118) | ($205) |
Pretax (favorable) unfavorable premium development | -32 | -42 | -46 |
Total pretax (favorable) unfavorable net prior year development | -53 | -160 | -251 |
Specialty [Member] | |||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||
Pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | -136 | -196 | -93 |
Pretax (favorable) unfavorable premium development | -13 | -14 | -14 |
Total pretax (favorable) unfavorable net prior year development | -149 | -210 | -107 |
Commercial [Member] | |||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||
Pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | 176 | 122 | -25 |
Pretax (favorable) unfavorable premium development | -20 | -8 | -36 |
Total pretax (favorable) unfavorable net prior year development | 156 | 114 | -61 |
International [Member] | |||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||
Pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | -59 | -38 | -74 |
Pretax (favorable) unfavorable premium development | 2 | -21 | 3 |
Total pretax (favorable) unfavorable net prior year development | -57 | -59 | -71 |
Other Insurance [Member] | |||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||
Pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | -2 | -6 | -13 |
Pretax (favorable) unfavorable premium development | -1 | 1 | 1 |
Total pretax (favorable) unfavorable net prior year development | ($3) | ($5) | ($12) |
Claim_and_Claim_Adjustment_Exp7
Claim and Claim Adjustment Expense Reserves - Net Prior Year Claim and Allocated Claim Adjustment Expense Reserve Development (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
International [Member] | |||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||
Medical professional liability | ($7) | ($7) | $1 |
Other professional liability | -26 | -30 | -41 |
General liability | -13 | -8 | -2 |
Property & marine | -14 | 13 | -30 |
Other | -9 | -17 | -2 |
Commutations | 10 | 11 | |
Total pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | -59 | -38 | -74 |
Specialty [Member] | |||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||
Medical professional liability | 39 | -27 | -34 |
Other professional liability and management liability | -87 | -73 | 19 |
Surety | -82 | -74 | -63 |
Warranty | -2 | -3 | -5 |
Other | -4 | -19 | -10 |
Total pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | -136 | -196 | -93 |
Commercial [Member] | |||
Causes of Increase (Decrease) in Liability for Unpaid Claims and Claims Adjustment Expense [Line Items] | |||
Commercial auto | 31 | 18 | 25 |
General liability | 45 | 64 | -66 |
Workers' compensation | 139 | 91 | 15 |
Property and other | -39 | -51 | 1 |
Total pretax (favorable) unfavorable net prior year claim and allocated claim adjustment expense reserve development | $176 | $122 | ($25) |
Claim_and_Claim_Adjustment_Exp8
Claim and Claim Adjustment Expense Reserves - Impact of Loss Portfolio Transfer on Consolidated Statements of Income (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | |||
Insurance [Abstract] | |||
Net A&EP adverse development before consideration of LPT | $363 | $261 | |
Provision for uncollectible third party reinsurance on A&EP | 140 | ||
Additional amounts ceded under LPT | 503 | 261 | |
Retroactive reinsurance benefit recognized | -13 | -314 | -261 |
Pretax impact of unrecognized deferred retroactive reinsurance benefit | ($13) | $189 |
Leases_Additional_Information_
Leases - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Leases [Abstract] | |||
Rent expense | $94 | $83 | $86 |
Leases_Future_Minimum_Lease_Pa
Leases - Future Minimum Lease Payments to be Made Under Non-Cancelable Operating Leases Along with Lease and Sublease Minimum Receipts to be Received on Owned and Leased Properties (Detail) (USD $) | Dec. 31, 2014 |
In Millions, unless otherwise specified | |
Leases [Abstract] | |
Operating leases, Future Minimum Lease Payments, 2015 | $59 |
Operating leases, Future Minimum Lease Payments, 2016 | 57 |
Operating leases, Future Minimum Lease Payments, 2017 | 52 |
Operating leases, Future Minimum Lease Payments, 2018 | 45 |
Operating leases, Future Minimum Lease Payments, 2019 | 41 |
Operating leases, Future Minimum Lease Payments, Thereafter | 238 |
Operating leases, Future Minimum Lease Payments, Total | 492 |
Operating leases, Future Minimum Lease Receipts, 2015 | 5 |
Operating leases, Future Minimum Lease Receipts, 2016 | 4 |
Operating leases, Future Minimum Lease Receipts, 2017 | 4 |
Operating leases, Future Minimum Lease Receipts, 2018 | 3 |
Operating leases, Future Minimum Lease Receipts, 2019 | 2 |
Operating leases, Future Minimum Lease Receipts, Thereafter | 7 |
Operating leases, Future Minimum Lease Receipts, Total | $25 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | 1 Months Ended | |||
Sep. 30, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Mar. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jul. 31, 2014 | |
Income Tax Contingency [Line Items] | |||||||
Equity ownership percentage | 80.00% | ||||||
Undistributed earning related to foreign subsidiaries | $2,400,000,000 | ||||||
Income tax expense related to penalties | 38,000,000 | ||||||
Income tax benefit related to penalties | 22,000,000 | 1,000,000 | |||||
Reduction to income tax expense | 28,000,000 | ||||||
Reversal of reserves for uncertain tax positions | 36,000,000 | ||||||
Reversal of income tax expense, interest | 6,000,000 | ||||||
Reversal of income tax expense, penalties | 11,000,000 | ||||||
Net operating loss carryforwards | 321,000,000 | 42,000,000 | 42,000,000 | ||||
Federal [Member] | |||||||
Income Tax Contingency [Line Items] | |||||||
Net operating loss carryforwards | 281,000,000 | ||||||
Net operating loss carryforwards expiration year | 2034 | ||||||
Tax credit carryforwards | 47,000,000 | ||||||
Foreign [Member] | |||||||
Income Tax Contingency [Line Items] | |||||||
Net operating loss carryforwards in foreign tax jurisdictions | 28,000,000 | ||||||
Tax credit carryforwards | 46,000,000 | ||||||
Tax credit carryforwards expiration year | 2024 | ||||||
Diamond Offshore [Member] | |||||||
Income Tax Contingency [Line Items] | |||||||
Amount of unrecognized tax benefits would affect the effective tax rate if recognized | 51,000,000 | 76,000,000 | 76,000,000 | 48,000,000 | |||
Reduction to income tax expense | 17,000,000 | ||||||
Diamond Offshore [Member] | Egyptian Tax Authorities [Member] | |||||||
Income Tax Contingency [Line Items] | |||||||
Proposed increase to taxable income | 1,200,000,000 | ||||||
Potential tax expense related to income tax examination | 57,000,000 | ||||||
Diamond Offshore [Member] | UK Tax Jurisdiction [Member] | |||||||
Income Tax Contingency [Line Items] | |||||||
Tax expense related to income tax examination | 22,000,000 | ||||||
Diamond Offshore [Member] | Scenario, Forecast [Member] | |||||||
Income Tax Contingency [Line Items] | |||||||
Potential tax expense related to income tax examination | $50,000,000 |
Income_Taxes_Current_and_Defer
Income Taxes - Current and Deferred Components of Income Tax Expense (Benefit) (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income tax expense (benefit): | |||
Federal income tax expense (benefit), Current | $370 | $705 | $180 |
Federal income tax expense (benefit), Deferred | -23 | -232 | 199 |
State and city income tax expense (benefit), Current | 12 | 19 | 19 |
State and city income tax expense (benefit), Deferred | 6 | 1 | 5 |
Foreign income tax expense (benefit) | 92 | 163 | 110 |
Income tax expense | $457 | $656 | $513 |
Income_Taxes_Components_of_US_
Income Taxes - Components of U.S. and Foreign Income and Reconciliation between Federal Income Tax Expense at Statutory Rates and Actual Income Tax Expense (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income before income tax: | |||
Income before income tax | $1,810 | $2,277 | $2,022 |
Income tax expense at statutory rate | 633 | 797 | 708 |
Increase (decrease) in income tax expense resulting from: | |||
Exempt investment income | -121 | -99 | -86 |
Foreign related tax differential | -48 | -117 | -152 |
Amortization of deferred charges associated with intercompany rig sales to other tax jurisdictions | 44 | 31 | 31 |
Taxes related to domestic affiliate | 14 | 19 | 25 |
Partnership earnings not subject to taxes | -39 | -38 | -43 |
Unrecognized tax benefit (expense) | -42 | 66 | 6 |
Other | 16 | -3 | 24 |
Income tax expense | 457 | 656 | 513 |
Federal [Member] | |||
Income before income tax: | |||
Income before income tax | 1,499 | 1,945 | 1,534 |
Foreign [Member] | |||
Income before income tax: | |||
Income before income tax | $311 | $332 | $488 |
Income_Taxes_Reconciliation_of
Income Taxes - Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits, Excluding Tax Carryforwards and Interest and Penalties (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income Tax Disclosure [Abstract] | |||
Balance at January 1 | $91 | $67 | $63 |
Additions based on tax positions related to the current year | 6 | 2 | 4 |
Additions for tax positions related to a prior year | 31 | 5 | |
Reductions for tax positions related to a prior year | -35 | -7 | -5 |
Lapse of statute of limitations | -5 | -2 | |
Balance at December 31 | $57 | $91 | $67 |
Income_Taxes_Summary_of_Deferr
Income Taxes - Summary of Deferred Tax Assets and Liabilities (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Deferred tax assets: | ||
Property and casualty claim and claim adjustment expense reserves | $265 | $289 |
Unearned premium reserves | 187 | 178 |
Receivables | 37 | 53 |
Employee benefits | 432 | 312 |
Life settlement contracts | 46 | 46 |
Deferred retroactive reinsurance benefit | 61 | 66 |
Net operating loss carryforwards | 321 | 42 |
Tax credit carryforwards | 93 | 27 |
Basis differential in investment in subsidiary | 21 | 23 |
Discontinued operations | 518 | |
Other | 161 | 200 |
Deferred tax assets | 1,624 | 1,754 |
Deferred tax liabilities: | ||
Deferred acquisition costs | -226 | -232 |
Net unrealized gains | -469 | -361 |
Property, plant and equipment | -1,132 | -1,076 |
Basis differential in investment in subsidiary | -472 | -564 |
Other liabilities | -204 | -198 |
Deferred tax liabilities | -2,503 | -2,431 |
Net deferred tax liability | ($879) | ($677) |
Income_Taxes_Summary_of_Deferr1
Income Taxes - Summary of Deferred Tax Assets and Liabilities (Parenthetical) (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Schedule Of Deferred Tax Assets And Liabilities [Line Items] | ||
Deferred tax assets | $1,624 | $1,754 |
Other Assets [Member] | ||
Schedule Of Deferred Tax Assets And Liabilities [Line Items] | ||
Deferred tax assets | $14 | $39 |
Debt_Schedule_of_LongTerm_Debt
Debt - Schedule of Long-Term Debt Instruments (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Debt Instrument [Line Items] | ||
Debt, Gross | $10,736 | $10,409 |
Less unamortized discount | 68 | 65 |
Debt | 10,668 | 10,344 |
Loews Corporation [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 1,700 | |
Less unamortized discount | 20 | |
CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 2,575 | |
Less unamortized discount | 14 | |
Capital lease obligation | 2 | |
Diamond Offshore [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 2,250 | |
Less unamortized discount | 19 | |
Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 3,705 | |
Less unamortized discount | 15 | |
Capital lease obligation | 10 | 10 |
Loews Hotels [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 506 | 202 |
5.3% Notes Due 2016 [Member] | Loews Corporation [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 400 | 400 |
2.6% Notes Due 2023 [Member] | Loews Corporation [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 500 | 500 |
6.0% Notes Due 2035 [Member] | Loews Corporation [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 300 | 300 |
4.1% Notes Due 2043 [Member] | Loews Corporation [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 500 | 500 |
5.9% Notes Due 2014 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 549 | |
6.5% Notes Due 2016 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 350 | 350 |
7.0% Notes Due 2018 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 150 | 150 |
7.4% Notes Due 2019 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 350 | 350 |
5.9% Notes Due 2020 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 500 | 500 |
5.8% Notes Due 2021 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 400 | 400 |
7.3% Debentures Due 2023 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 243 | 243 |
4.0% Notes Due 2024 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 550 | |
Variable Rate Note Due 2036 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 30 | 30 |
5.2% Notes Due 2014 [Member] | Diamond Offshore [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 250 | |
4.9% Notes Due 2015 [Member] | Diamond Offshore [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 250 | 250 |
5.9% Notes Due 2019 [Member] | Diamond Offshore [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 500 | 500 |
3.5% Senior Notes Due 2023 [Member] | Diamond Offshore [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 250 | 250 |
5.7% Notes Due 2039 [Member] | Diamond Offshore [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 500 | 500 |
4.9% Notes Due 2043 [Member] | Diamond Offshore [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 750 | 750 |
Variable Rate Revolving Credit Facility Due 2017 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 120 | 175 |
Variable Rate Term Loan Due 2017 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 200 | 225 |
4.6% Notes Due 2015 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 250 | 250 |
5.1% Notes Due 2015 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 275 | 275 |
5.9% Notes Due 2016 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 250 | 250 |
5.5% Notes Due 2017 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 300 | 300 |
6.3% Notes Due 2017 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 275 | 275 |
5.2% Notes Due 2018 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 185 | 185 |
5.8% Notes Due 2019 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 350 | 350 |
4.5% Notes Due 2021 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 440 | 440 |
4.0% Notes Due 2022 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 300 | 300 |
3.4% Notes Due 2023 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 300 | 300 |
5.0% Notes Due 2024 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | 350 | |
7.3% Debentures Due 2027 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Gross | $100 | $100 |
Debt_Schedule_of_LongTerm_Debt1
Debt - Schedule of Long-Term Debt Instruments (Parenthetical) (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Loews Hotels [Member] | ||
Debt Instrument [Line Items] | ||
Effective interest rate | 4.10% | 3.90% |
5.3% Notes Due 2016 [Member] | Loews Corporation [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 5.30% | |
Maturity year | 2016 | |
Effective interest rate | 5.40% | |
Debt authorized | 400 | |
2.6% Notes Due 2023 [Member] | Loews Corporation [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 2.60% | |
Maturity year | 2023 | |
Effective interest rate | 2.80% | |
Debt authorized | 500 | |
6.0% Notes Due 2035 [Member] | Loews Corporation [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 6.00% | |
Maturity year | 2035 | |
Effective interest rate | 6.20% | |
Debt authorized | 300 | |
4.1% Notes Due 2043 [Member] | Loews Corporation [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 4.10% | |
Maturity year | 2043 | |
Effective interest rate | 4.30% | |
Debt authorized | 500 | |
5.9% Notes Due 2014 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 5.90% | |
Maturity year | 2014 | |
Effective interest rate | 6.00% | |
Debt authorized | 549 | |
6.5% Notes Due 2016 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 6.50% | |
Maturity year | 2016 | |
Effective interest rate | 6.60% | |
Debt authorized | 350 | |
7.0% Notes Due 2018 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 7.00% | |
Maturity year | 2018 | |
Effective interest rate | 7.10% | |
Debt authorized | 150 | |
7.4% Notes Due 2019 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 7.40% | |
Maturity year | 2019 | |
Effective interest rate | 7.50% | |
Debt authorized | 350 | |
5.9% Notes Due 2020 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 5.90% | |
Maturity year | 2020 | |
Effective interest rate | 6.00% | |
Debt authorized | 500 | |
5.8% Notes Due 2021 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 5.80% | |
Maturity year | 2021 | |
Effective interest rate | 5.90% | |
Debt authorized | 400 | |
7.3% Debentures Due 2023 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 7.30% | |
Maturity year | 2023 | |
Effective interest rate | 7.30% | |
Debt authorized | 250 | |
4.0% Notes Due 2024 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 4.00% | |
Maturity year | 2024 | |
Effective interest rate | 4.00% | |
Debt authorized | 550 | |
Variable Rate Note Due 2036 [Member] | CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Maturity year | 2036 | |
Effective interest rate | 3.50% | |
5.2% Notes Due 2014 [Member] | Diamond Offshore [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 5.20% | |
Maturity year | 2014 | |
Effective interest rate | 5.20% | |
Debt authorized | 250 | |
4.9% Notes Due 2015 [Member] | Diamond Offshore [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 4.90% | |
Maturity year | 2015 | |
Effective interest rate | 5.00% | |
Debt authorized | 250 | |
5.9% Notes Due 2019 [Member] | Diamond Offshore [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 5.90% | |
Maturity year | 2019 | |
Effective interest rate | 6.00% | |
Debt authorized | 500 | |
3.5% Senior Notes Due 2023 [Member] | Diamond Offshore [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 3.50% | |
Maturity year | 2023 | |
Effective interest rate | 3.60% | |
Debt authorized | 250 | |
5.7% Notes Due 2039 [Member] | Diamond Offshore [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 5.70% | |
Maturity year | 2039 | |
Effective interest rate | 5.80% | |
Debt authorized | 500 | |
4.9% Notes Due 2043 [Member] | Diamond Offshore [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 4.90% | |
Maturity year | 2043 | |
Effective interest rate | 5.00% | |
Debt authorized | 750 | |
Variable Rate Revolving Credit Facility Due 2017 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Maturity year | 2017 | |
Effective interest rate | 1.50% | 1.30% |
Variable Rate Term Loan Due 2017 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Maturity year | 2017 | |
Effective interest rate | 1.90% | |
4.6% Notes Due 2015 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 4.60% | |
Maturity year | 2015 | |
Effective interest rate | 5.10% | |
Debt authorized | 250 | |
5.1% Notes Due 2015 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 5.10% | |
Maturity year | 2015 | |
Effective interest rate | 5.20% | |
Debt authorized | 275 | |
5.9% Notes Due 2016 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 5.90% | |
Maturity year | 2016 | |
Effective interest rate | 6.00% | |
Debt authorized | 250 | |
5.5% Notes Due 2017 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 5.50% | |
Maturity year | 2017 | |
Effective interest rate | 5.60% | |
Debt authorized | 300 | |
6.3% Notes Due 2017 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 6.30% | |
Maturity year | 2017 | |
Effective interest rate | 6.40% | |
Debt authorized | 275 | |
5.2% Notes Due 2018 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 5.20% | |
Maturity year | 2018 | |
Effective interest rate | 5.40% | |
Debt authorized | 185 | |
5.8% Notes Due 2019 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 5.80% | |
Maturity year | 2019 | |
Effective interest rate | 5.90% | |
Debt authorized | 350 | |
4.5% Notes Due 2021 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 4.50% | |
Maturity year | 2021 | |
Effective interest rate | 5.00% | |
Debt authorized | 440 | |
4.0% Notes Due 2022 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 4.00% | |
Maturity year | 2022 | |
Effective interest rate | 4.40% | |
Debt authorized | 300 | |
3.4% Notes Due 2023 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 3.40% | |
Maturity year | 2023 | |
Effective interest rate | 3.50% | |
Debt authorized | 300 | |
5.0% Notes Due 2024 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 5.00% | |
Maturity year | 2024 | |
Effective interest rate | 5.20% | |
Debt authorized | 350 | |
7.3% Debentures Due 2027 [Member] | Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 7.30% | |
Maturity year | 2027 | |
Effective interest rate | 8.10% | |
Debt authorized | 100 |
Debt_Schedule_of_Debt_by_Subsi
Debt - Schedule of Debt by Subsidiary (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Debt Instrument [Line Items] | ||
Principal | $10,736 | $10,409 |
Unamortized Discount | 68 | 65 |
Net | 10,668 | |
Short term debt | 335 | 819 |
Long term debt | 10,333 | 9,525 |
Loews Corporation [Member] | ||
Debt Instrument [Line Items] | ||
Principal | 1,700 | |
Unamortized Discount | 20 | |
Net | 1,680 | |
Long term debt | 1,680 | |
CNA Financial [Member] | ||
Debt Instrument [Line Items] | ||
Principal | 2,575 | |
Unamortized Discount | 14 | |
Net | 2,561 | |
Long term debt | 2,561 | |
Diamond Offshore [Member] | ||
Debt Instrument [Line Items] | ||
Principal | 2,250 | |
Unamortized Discount | 19 | |
Net | 2,231 | |
Short term debt | 250 | |
Long term debt | 1,981 | |
Boardwalk Pipeline [Member] | ||
Debt Instrument [Line Items] | ||
Principal | 3,705 | |
Unamortized Discount | 15 | |
Net | 3,690 | |
Long term debt | 3,690 | |
Loews Hotels [Member] | ||
Debt Instrument [Line Items] | ||
Principal | 506 | 202 |
Net | 506 | |
Short term debt | 85 | |
Long term debt | $421 |
Debt_Additional_Information_De
Debt - Additional Information (Detail) (USD $) | 12 Months Ended | 1 Months Ended | ||||
Dec. 31, 2014 | Sep. 30, 2014 | Feb. 28, 2015 | Aug. 31, 2014 | Feb. 28, 2014 | Nov. 30, 2014 | |
Debt Instrument [Line Items] | ||||||
Aggregate of long term debt maturing, 2015 | $335,000,000 | |||||
Aggregate of long term debt maturing, 2016 | 1,000,000,000 | |||||
Aggregate of long term debt maturing, 2017 | 1,500,000,000 | |||||
Aggregate of long term debt maturing, 2018 | 368,000,000 | |||||
Aggregate of long term debt maturing, 2019 | 1,500,000,000 | |||||
Aggregate of long term debt maturing, Thereafter | 6,000,000,000 | |||||
CNA Financial [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Acquisition of FHLBC stock | 16,000,000 | |||||
Outstanding borrowings | 0 | |||||
Additional liquidity | 330,000,000 | |||||
Revolving Credit Agreement [Member] | Diamond Offshore [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Revolving credit facility maximum borrowing capacity | 1,500,000,000 | |||||
Borrowings under credit facility | 0 | |||||
Maturity date | 2019 | |||||
Revolving Credit Agreement [Member] | Boardwalk Pipeline [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument principal amount | 120,000,000 | |||||
Debt instrument interest rate | 1.50% | |||||
Debt maturity date | 27-Apr-17 | |||||
Revolving credit facility maximum borrowing capacity | 1,000,000,000 | |||||
Available borrowing capacity | 880,000,000 | |||||
Revolving Credit Agreement [Member] | CNA Financial [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt maturity date | 19-Apr-16 | |||||
Revolving credit facility maximum borrowing capacity | 250,000,000 | |||||
Additional available increase in borrowing capacity | 100,000,000 | |||||
Borrowings under credit facility | 0 | |||||
5.2% Senior Notes Due 2014 [Member] | Diamond Offshore [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument interest rate | 5.20% | |||||
Repayment of debt | 250,000,000 | |||||
4.0% Senior Notes Due 2024 [Member] | CNA Financial [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument principal amount | 550,000,000 | |||||
Debt instrument interest rate | 4.00% | |||||
Debt maturity date | 15-May-24 | |||||
5.9% Senior Notes Due 2014 [Member] | CNA Financial [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument principal amount | 549,000,000 | |||||
Debt instrument interest rate | 5.90% | |||||
5.0% Senior Notes Due 2024 [Member] | Boardwalk Pipeline [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument principal amount | 350,000,000 | |||||
Debt instrument interest rate | 5.00% | |||||
Debt maturity date | 15-Dec-24 | |||||
5.1% Notes Due 2015 [Member] | Boardwalk Pipeline [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | 2015 | |||||
5.1% Notes Due 2015 [Member] | Subsequent Event [Member] | Boardwalk Pipeline [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument interest rate | 5.10% | |||||
Net proceeds from issuance of debt instruments | 275,000,000 | |||||
4.6% Notes Due 2015 [Member] | Boardwalk Pipeline [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument interest rate | 4.60% | |||||
Maturity date | 2015 | |||||
Aggregate principal amount refinancing | 250,000,000 | |||||
4.8% Mortgage Loan [Member] | Loews Hotels [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument interest rate | 4.80% | |||||
Refinanced debt | 125,000,000 | |||||
4.1% Mortgage Loan Due September 2024 [Member] | Loews Hotels [Member] | Legal Defeasance Agreement [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument principal amount | $300,000,000 | |||||
Debt instrument interest rate | 4.10% | |||||
Debt maturity date | 30-Sep-24 |
Shareholders_Equity_Components
Shareholders' Equity - Components of Accumulated Other Comprehensive Income (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning, balance | $339 | $678 | $384 |
Other comprehensive income (loss) before reclassifications, after tax | -28 | -368 | 303 |
Reclassification of (gains) losses from accumulated other comprehensive income, after tax | -41 | -10 | 19 |
Other comprehensive income (loss) | -69 | -378 | 322 |
Issuance of equity securities by subsidiary | 2 | 5 | |
Amounts attributable to noncontrolling interests | 10 | 37 | -33 |
Ending, balance | 280 | 339 | 678 |
OTTI Gains (Losses) [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning, balance | 23 | 18 | -57 |
Sale of subsidiaries | -5 | ||
Other comprehensive income (loss) before reclassifications, after tax | 15 | 6 | 102 |
Reclassification of (gains) losses from accumulated other comprehensive income, after tax | -18 | ||
Other comprehensive income (loss) | 15 | 6 | 84 |
Amounts attributable to noncontrolling interests | -1 | -1 | -9 |
Ending, balance | 32 | 23 | 18 |
Unrealized Gains (Losses) on Investments [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning, balance | 622 | 1,233 | 929 |
Sale of subsidiaries | -15 | ||
Other comprehensive income (loss) before reclassifications, after tax | 295 | -658 | 281 |
Reclassification of (gains) losses from accumulated other comprehensive income, after tax | -28 | -21 | 58 |
Other comprehensive income (loss) | 267 | -679 | 339 |
Amounts attributable to noncontrolling interests | -28 | 68 | -35 |
Ending, balance | 846 | 622 | 1,233 |
Discontinued Operations [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning, balance | -3 | 20 | 31 |
Sale of subsidiaries | 20 | ||
Other comprehensive income (loss) before reclassifications, after tax | 2 | -6 | 28 |
Reclassification of (gains) losses from accumulated other comprehensive income, after tax | -21 | -17 | -39 |
Other comprehensive income (loss) | -19 | -23 | -11 |
Amounts attributable to noncontrolling interests | 2 | ||
Ending, balance | -3 | 20 | |
Cash Flow Hedges [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning, balance | -4 | -4 | -6 |
Other comprehensive income (loss) before reclassifications, after tax | -2 | -6 | -2 |
Reclassification of (gains) losses from accumulated other comprehensive income, after tax | -1 | 6 | 5 |
Other comprehensive income (loss) | -3 | 3 | |
Amounts attributable to noncontrolling interests | 1 | -1 | |
Ending, balance | -6 | -4 | -4 |
Pension Liability [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning, balance | -432 | -732 | -621 |
Other comprehensive income (loss) before reclassifications, after tax | -244 | 307 | -145 |
Reclassification of (gains) losses from accumulated other comprehensive income, after tax | 9 | 22 | 13 |
Other comprehensive income (loss) | -235 | 329 | -132 |
Issuance of equity securities by subsidiary | 2 | 5 | |
Amounts attributable to noncontrolling interests | 26 | -31 | 16 |
Ending, balance | -641 | -432 | -732 |
Foreign Currency Translation [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning, balance | 133 | 143 | 108 |
Other comprehensive income (loss) before reclassifications, after tax | -94 | -11 | 39 |
Other comprehensive income (loss) | -94 | -11 | 39 |
Amounts attributable to noncontrolling interests | 10 | 1 | -4 |
Ending, balance | $49 | $133 | $143 |
Shareholders_Equity_Components1
Shareholders' Equity - Components of Accumulated Other Comprehensive Income (Parenthetical) (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Tax on reclassification from accumulated other comprehensive income | $457 | $656 | $513 |
OTTI Gains (Losses) [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Tax on change in other comprehensive income (loss) before reclassifications | -8 | -3 | -54 |
Tax on reclassification from accumulated other comprehensive income | 0 | 0 | 10 |
Unrealized Gains (Losses) on Investments [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Tax on change in other comprehensive income (loss) before reclassifications | -132 | 354 | -151 |
Tax on reclassification from accumulated other comprehensive income | 10 | 10 | -31 |
Discontinued Operations [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Tax on change in other comprehensive income (loss) before reclassifications | -3 | 3 | -16 |
Tax on reclassification from accumulated other comprehensive income | 16 | 10 | 21 |
Cash Flow Hedges [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Tax on change in other comprehensive income (loss) before reclassifications | 1 | 4 | -1 |
Tax on reclassification from accumulated other comprehensive income | 0 | -2 | -1 |
Pension Liability [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Tax on change in other comprehensive income (loss) before reclassifications | 132 | -165 | 76 |
Tax on reclassification from accumulated other comprehensive income | -7 | -12 | -8 |
Foreign Currency Translation [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Tax on change in other comprehensive income (loss) before reclassifications | 0 | 0 | 0 |
Tax on reclassification from accumulated other comprehensive income | $0 | $0 | $0 |
Shareholders_Equity_Additional
Shareholders' Equity - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Shareholders Equity [Line Items] | |||
Common stock dividend declared | $0.25 | $0.25 | $0.25 |
Common stock dividend paid | $0.25 | $0.25 | $0.25 |
Repurchase of stock | 14.6 | 4.9 | 5.6 |
Repurchase of aggregate equity stock | $144 | ||
Purchase of Loews treasury stock | 622 | 218 | 222 |
Diamond Offshore [Member] | |||
Shareholders Equity [Line Items] | |||
Repurchase of stock | 1.9 | ||
Repurchase of aggregate equity stock | 88 | ||
Purchase of common stock | 1.9 | ||
Common stock, aggregate cost | 61 | ||
Decrease in Additional paid-in capital | $1 | ||
Diamond Offshore [Member] | Minimum [Member] | |||
Shareholders Equity [Line Items] | |||
Subsidiary ownership percentage | 50.40% | ||
Diamond Offshore [Member] | Maximum [Member] | |||
Shareholders Equity [Line Items] | |||
Subsidiary ownership percentage | 52.50% |
Statutory_Accounting_Practices2
Statutory Accounting Practices - Additional Information (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Statutory Accounting Practices [Line Items] | ||
Dividends payable without prior supervisory approval | $466 | |
Combined Continental Casualty Companies [Member] | ||
Statutory Accounting Practices [Line Items] | ||
Statutory capital and surplus percentage | 270.00% | 265.00% |
Capital provided by CCC | $105 |
Statutory_Accounting_Practices3
Statutory Accounting Practices - Combined Statutory Capital and Surplus and Net Income (Loss) (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Combined Continental Casualty Companies [Member] | |||
Statutory Accounting Practices [Line Items] | |||
Statutory Capital and Surplus | $11,155 | $11,137 | |
Statutory Net Income | 914 | 913 | 391 |
Life Company [Member] | |||
Statutory Accounting Practices [Line Items] | |||
Statutory Capital and Surplus | 597 | ||
Statutory Net Income | $37 | $48 | $44 |
Benefit_Plans_Additional_Infor
Benefit Plans - Additional Information (Detail) (USD $) | 0 Months Ended | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2014 | Dec. 31, 2014 | Jun. 30, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Defined Benefit Plan Disclosure [Line Items] | ||||||
Eligible age for several postretirement benefit plans | 55 years | |||||
Eligible age for Medicare benefits | 65 years | |||||
Increase of 1% in each year would increase the Company's accumulated postretirement benefit obligation | $3,000,000 | |||||
Decrease of [1]% in each year would decrease the Company's accumulated postretirement benefit obligation | 3,000,000 | |||||
Health care cost trend rate | 1.00% | |||||
Settlement payment | 253,000,000 | |||||
Settlement charges recognized due to settlement | 84,000,000 | |||||
Gain recognized due to curtailment | 86,000,000 | |||||
Accumulated benefit obligation for all defined benefit pension plans | 3,400,000,000 | 3,400,000,000 | 3,400,000,000 | 3,300,000,000 | ||
Future capital calls from various third party limited partnership investments | 115,000,000 | |||||
Amount contributed to the savings plans | 125,000,000 | 120,000,000 | 113,000,000 | |||
Increased number of shares authorized under the stock option plan | 18,000,000 | |||||
Maximum number of shares per employee, per year | 1,200,000 | |||||
Options and "SAR's" vesting period, years | 4 years | |||||
Options and "SAR's" expire, years | 10 years | |||||
Total stock appreciation right | 910,375 | 910,375 | 903,975 | |||
Awards Outstanding - Number of Shares | 6,908,778 | 6,908,778 | 6,908,778 | 6,476,391 | 6,535,150 | |
"SAR's" available for grant | 6,099,228 | 6,099,228 | 6,099,228 | 6,838,923 | ||
Weighted average remaining contractual term of options outstanding (years) | 5 years 3 months 18 days | |||||
Weighted average remaining contractual term of options exercisable (years) | 4 years 2 months 12 days | |||||
Aggregate intrinsic value of awards outstanding | 24,000,000 | 24,000,000 | 24,000,000 | |||
Aggregate intrinsic value of awards exercisable | 23,000,000 | 23,000,000 | 23,000,000 | |||
Total intrinsic value of awards | 8,000,000 | 11,000,000 | 18,000,000 | |||
Total fair value of shares vested | 7,000,000 | 7,000,000 | 11,000,000 | |||
Stock-based compensation expense | 6,000,000 | 7,000,000 | 8,000,000 | |||
Tax benefits related to stock-based compensation | 2,000,000 | 2,000,000 | 3,000,000 | |||
Compensation cost related to nonvested awards not yet recognized | 9,000,000 | 9,000,000 | 9,000,000 | |||
Compensation cost related to nonvested awards not yet recognized, expected recognition period (years) | 2 years 4 months 24 days | |||||
Minimum [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Health care cost trend rate | 4.00% | 4.00% | 4.00% | |||
Defined benefit plan obligation, discount rate | 3.10% | |||||
Maximum [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Health care cost trend rate | 5.00% | 5.00% | 5.00% | |||
Defined benefit plan obligation, discount rate | 3.60% | |||||
Pension Benefits [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Settlement payment | 268,000,000 | 19,000,000 | ||||
Defined benefit plan obligation, discount rate | 3.70% | 3.70% | 3.70% | 4.40% | 3.60% | |
Expected contribution to plan(s), next fiscal year | 17,000,000 | |||||
Fair value of plan assets | 2,713,000,000 | 2,713,000,000 | 2,713,000,000 | 2,914,000,000 | 2,672,000,000 | |
Pension Benefits [Member] | Level 2 [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Fair value of plan assets | 1,627,000,000 | 1,627,000,000 | 1,627,000,000 | 1,738,000,000 | ||
Pension Benefits [Member] | Level 3 [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Fair value of plan assets | 471,000,000 | 471,000,000 | 471,000,000 | 500,000,000 | ||
Postretirement Healthcare and Life Insurance Benefit Plans [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Expected contribution to plan(s), next fiscal year | 5,000,000 | |||||
Equity Securities [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Target allocation of plan assets invested in equity securities and limited partnerships, Minimum | 40.00% | |||||
Target allocation of plan assets invested in equity securities and limited partnerships, Maximum | 60.00% | |||||
Percentage of hedge fund strategies | 58.00% | |||||
Multi-Strategy Approach [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Percentage of hedge fund strategies | 37.00% | |||||
Distressed Investments [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Percentage of hedge fund strategies | 5.00% | |||||
Fixed Income Mutual Funds [Member] | Level 2 [Member] | Maximum [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Limited partnership investments, redeemable period | 90 days | |||||
Fixed Income Mutual Funds [Member] | Level 3 [Member] | Minimum [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Limited partnership investments, redeemable period | 90 days | |||||
Stock Appreciation Rights (SARs) [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Awards Outstanding - Number of Shares | 6,621,522 | 6,621,522 | 6,621,522 | |||
Other Postretirement Benefits [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Defined benefit plan obligation, discount rate | 3.40% | 3.40% | 3.40% | 4.20% | 3.50% | |
Fair value of plan assets | 87,000,000 | 87,000,000 | 87,000,000 | 81,000,000 | 87,000,000 | |
Other Postretirement Benefits [Member] | Level 2 [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Fair value of plan assets | 81,000,000 | 81,000,000 | 81,000,000 | 75,000,000 | ||
Other Postretirement Benefits [Member] | Level 3 [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Fair value of plan assets | $0 | $0 | $0 | $0 |
Benefit_Plans_Weighted_Average
Benefit Plans - Weighted Average Assumptions Used to Determine Benefit Obligations (Detail) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Pension Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate | 3.70% | 4.40% | 3.60% |
Expected long term rate of return on plan assets | 7.50% | 7.50% | |
Expected long term rate of return on plan assets, minimum rate | 7.50% | ||
Expected long term rate of return on plan assets, maximum rate | 7.80% | ||
Rate of compensation increase, minimum rate | 3.50% | 3.50% | 3.50% |
Rate of compensation increase, maximum rate | 5.50% | 5.50% | 5.50% |
Other Postretirement Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate | 3.40% | 4.20% | 3.50% |
Expected long term rate of return on plan assets | 5.30% | 5.30% | 5.30% |
Rate of compensation increase | 0.00% | 0.00% | 0.00% |
Benefit_Plans_Weighted_Average1
Benefit Plans - Weighted Average Assumptions Used to Determine Net Periodic Benefit Cost (Detail) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Pension Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate | 4.40% | 3.90% | 4.50% |
Expected long term rate of return on plan assets | 7.50% | ||
Expected long term rate of return on plan assets, minimum rate | 7.50% | 7.50% | |
Expected long term rate of return on plan assets, maximum rate | 7.80% | 8.00% | |
Rate of compensation increase, minimum rate | 3.50% | 3.50% | 4.00% |
Rate of compensation increase, maximum rate | 5.50% | 5.50% | 5.50% |
Other Postretirement Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate | 4.00% | 3.50% | 4.40% |
Expected long term rate of return on plan assets | 5.30% | 5.30% | 5.30% |
Rate of compensation increase | 0.00% | 0.00% | 0.00% |
Benefit_Plans_Assumed_Health_C
Benefit Plans - Assumed Health Care Cost Trend Rates (Detail) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | 1.00% | ||
Minimum [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Health care cost trend rate assumed for next year | 4.00% | 4.00% | 4.00% |
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | 4.00% | 4.00% | 4.00% |
Year that the rate reaches the ultimate trend rate | 2015 | 2014 | 2013 |
Maximum [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Health care cost trend rate assumed for next year | 8.00% | 8.50% | 8.50% |
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | 5.00% | 5.00% | 5.00% |
Year that the rate reaches the ultimate trend rate | 2021 | 2022 | 2021 |
Benefit_Plans_Components_of_Ne
Benefit Plans - Components of Net Periodic Benefit Cost (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Pension Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $16 | $22 | $24 |
Interest cost | 149 | 136 | 151 |
Expected return on plan assets | -209 | -198 | -188 |
Amortization of unrecognized net loss | 30 | 54 | 47 |
Amortization of unrecognized prior service benefit | -1 | ||
Settlement/Curtailment | 86 | 5 | |
Net periodic benefit cost | 71 | 19 | 34 |
Other Postretirement Benefits [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 1 | 1 | 1 |
Interest cost | 4 | 4 | 5 |
Expected return on plan assets | -4 | -5 | -4 |
Amortization of unrecognized net loss | 1 | 1 | |
Amortization of unrecognized prior service benefit | -18 | -25 | -25 |
Settlement/Curtailment | -86 | ||
Net periodic benefit cost | ($102) | ($24) | ($23) |
Benefit_Plans_Reconciliation_o
Benefit Plans - Reconciliation of Benefit Obligations and Plan Assets (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Change in benefit obligation: | |||
Settlements | ($253) | ||
Change in plan assets: | |||
Settlements | -253 | ||
Pension Benefits [Member] | |||
Change in benefit obligation: | |||
Benefit obligation, beginning balance | 3,336 | 3,700 | |
Service cost | 16 | 22 | 24 |
Interest cost | 149 | 136 | 151 |
Amendments/Curtailments | -4 | -13 | |
Actuarial (gain) loss | 402 | -313 | |
Benefits paid from plan assets | -178 | -178 | |
Settlements | -268 | -19 | |
Foreign exchange | -7 | 1 | |
Benefit obligation, ending balance | 3,446 | 3,336 | 3,700 |
Change in plan assets: | |||
Fair value of plan assets, beginning balance | 2,914 | 2,672 | |
Actual return on plan assets | 233 | 340 | |
Company contributions | 19 | 98 | |
Benefits paid from plan assets | -178 | -178 | |
Settlements | -268 | -19 | |
Foreign exchange | -7 | 1 | |
Fair value of plan assets, ending balance | 2,713 | 2,914 | 2,672 |
Funded status | -733 | -422 | |
Amounts recognized in the Consolidated Balance Sheets consist of: | |||
Other assets | 9 | 9 | |
Other liabilities | -742 | -431 | |
Net amount recognized | -733 | -422 | |
Other Postretirement Benefits [Member] | |||
Change in benefit obligation: | |||
Benefit obligation, beginning balance | 101 | 122 | |
Service cost | 1 | 1 | 1 |
Interest cost | 4 | 4 | 5 |
Plan participants' contributions | 6 | 6 | |
Amendments/Curtailments | -7 | -2 | |
Actuarial (gain) loss | 7 | -13 | |
Benefits paid from plan assets | -15 | -17 | |
Benefit obligation, ending balance | 97 | 101 | 122 |
Change in plan assets: | |||
Fair value of plan assets, beginning balance | 81 | 87 | |
Actual return on plan assets | 9 | -2 | |
Company contributions | 6 | 7 | |
Plan participants' contributions | 6 | 6 | |
Benefits paid from plan assets | -15 | -17 | |
Fair value of plan assets, ending balance | 87 | 81 | 87 |
Funded status | -10 | -20 | |
Amounts recognized in the Consolidated Balance Sheets consist of: | |||
Other assets | 32 | 31 | |
Other liabilities | -42 | -51 | |
Net amount recognized | ($10) | ($20) |
Benefit_Plans_Amounts_Recogniz
Benefit Plans - Amounts Recognized in Accumulated Other Comprehensive Income (Loss) Not Yet Recognized in Net Periodic (Benefit) Cost (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Pension Benefits [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Prior service credit | ($5) | ($6) |
Net actuarial loss | 1,090 | 831 |
Net amount recognized | 1,085 | 825 |
Projected benefit obligation | 3,336 | 3,229 |
Accumulated benefit obligation | 3,262 | 3,160 |
Fair value of plan assets | 2,713 | 2,914 |
Other Postretirement Benefits [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Prior service credit | -19 | -117 |
Net actuarial loss | 18 | 18 |
Net amount recognized | -1 | -99 |
Accumulated benefit obligation | $42 | $51 |
Benefit_Plans_Estimated_Amount
Benefit Plans - Estimated Amounts to be Recognized from AOCI into Net Periodic Cost (Benefit) (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2014 |
Pension Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Amortization of net actuarial loss | $45 |
Amortization of prior service credit | -1 |
Total estimated amounts to be recognized | 44 |
Other Postretirement Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Amortization of net actuarial loss | 1 |
Amortization of prior service credit | -10 |
Total estimated amounts to be recognized | ($9) |
Benefit_Plans_Estimated_Future
Benefit Plans - Estimated Future Minimum Benefit Payments (Detail) (USD $) | Dec. 31, 2014 |
In Millions, unless otherwise specified | |
Pension Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Expected future benefit payments 2015 | $217 |
Expected future benefit payments 2016 | 212 |
Expected future benefit payments 2017 | 211 |
Expected future benefit payments 2018 | 217 |
Expected future benefit payments 2019 | 219 |
Expected future benefit payments 2020 - 2024 | 1,100 |
Other Postretirement Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Expected future benefit payments 2015 | 9 |
Expected future benefit payments 2016 | 8 |
Expected future benefit payments 2017 | 8 |
Expected future benefit payments 2018 | 8 |
Expected future benefit payments 2019 | 7 |
Expected future benefit payments 2020 - 2024 | $30 |
Benefit_Plans_Pension_Plan_Ass
Benefit Plans - Pension Plan Assets Measured at Fair Value on Recurring Basis (Detail) (Pension Benefits [Member], USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | $2,713 | $2,914 | $2,672 |
Corporate and Other Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 478 | 520 | |
States, Municipalities and Political Subdivisions [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 80 | 73 | |
Total Asset-Backed [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 216 | 254 | |
U.S. Treasury and Obligations of Government-Sponsored Enterprises [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 25 | ||
Total Fixed Maturities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 799 | 847 | |
Equity Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 550 | 652 | |
Short Term Investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 159 | 98 | |
Fixed Income Mutual Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 99 | 100 | |
Hedge Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 952 | 1,057 | |
Private Equity [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 123 | 125 | |
Limited Partnership Investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 1,075 | 1,182 | |
Other Assets [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 31 | 35 | |
Level 1 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 615 | 676 | |
Level 1 [Member] | U.S. Treasury and Obligations of Government-Sponsored Enterprises [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 25 | ||
Level 1 [Member] | Total Fixed Maturities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 25 | ||
Level 1 [Member] | Equity Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 432 | 527 | |
Level 1 [Member] | Short Term Investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 58 | 49 | |
Level 1 [Member] | Fixed Income Mutual Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 99 | 100 | |
Level 1 [Member] | Other Assets [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 1 | ||
Level 2 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 1,627 | 1,738 | |
Level 2 [Member] | Corporate and Other Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 463 | 505 | |
Level 2 [Member] | States, Municipalities and Political Subdivisions [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 80 | 73 | |
Level 2 [Member] | Total Asset-Backed [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 216 | 254 | |
Level 2 [Member] | Total Fixed Maturities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 759 | 832 | |
Level 2 [Member] | Equity Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 118 | 117 | |
Level 2 [Member] | Short Term Investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 101 | 49 | |
Level 2 [Member] | Hedge Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 619 | 705 | |
Level 2 [Member] | Limited Partnership Investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 619 | 705 | |
Level 2 [Member] | Other Assets [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 30 | 35 | |
Level 3 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 471 | 500 | |
Level 3 [Member] | Corporate and Other Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 15 | 15 | |
Level 3 [Member] | Total Fixed Maturities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 15 | 15 | |
Level 3 [Member] | Equity Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 8 | ||
Level 3 [Member] | Hedge Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 333 | 352 | |
Level 3 [Member] | Private Equity [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 123 | 125 | |
Level 3 [Member] | Limited Partnership Investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | $456 | $477 |
Benefit_Plans_Plan_Assets_Meas
Benefit Plans - Plan Assets Measured at Fair Value on Recurring Basis Using Significant Unobservable Inputs (Level 3) (Detail) (Pension Benefits [Member], USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Defined Benefit Plan Disclosure [Line Items] | ||
Balance at January 1 | $500 | $486 |
Actual Return on Assets Still Held at December 31 | 40 | 66 |
Actual Return on Assets Sold During the Year Ended December 31 | 1 | -1 |
Net Purchases, Sales, and Settlements | -70 | -35 |
Net Transfers In (Out) of Level 3 | -16 | |
Balance at December 31 | 471 | 500 |
Corporate and Other Bonds [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Balance at January 1 | 11 | |
Actual Return on Assets Still Held at December 31 | -1 | |
Net Purchases, Sales, and Settlements | 5 | |
Balance at December 31 | 15 | 15 |
Equity Securities [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Balance at January 1 | 8 | 5 |
Actual Return on Assets Still Held at December 31 | 3 | |
Net Purchases, Sales, and Settlements | -8 | |
Balance at December 31 | 8 | |
Hedge Funds [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Balance at January 1 | 352 | 391 |
Actual Return on Assets Still Held at December 31 | 21 | 62 |
Net Purchases, Sales, and Settlements | -40 | -85 |
Net Transfers In (Out) of Level 3 | -16 | |
Balance at December 31 | 333 | 352 |
Private Equity [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Balance at January 1 | 125 | 69 |
Actual Return on Assets Still Held at December 31 | 19 | 2 |
Actual Return on Assets Sold During the Year Ended December 31 | 1 | -1 |
Net Purchases, Sales, and Settlements | -22 | 55 |
Balance at December 31 | 123 | 125 |
Investment Contracts with Insurance Company [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Balance at January 1 | 10 | |
Net Purchases, Sales, and Settlements | -10 | |
Limited Partnership Investments [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Balance at January 1 | 477 | 460 |
Actual Return on Assets Still Held at December 31 | 40 | 64 |
Actual Return on Assets Sold During the Year Ended December 31 | 1 | -1 |
Net Purchases, Sales, and Settlements | -62 | -30 |
Net Transfers In (Out) of Level 3 | -16 | |
Balance at December 31 | $456 | $477 |
Benefit_Plans_Other_Postretire
Benefit Plans - Other Postretirement Benefit Plan Assets Measured at Fair Value on Recurring Basis (Detail) (Other Postretirement Benefits [Member], USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | $87 | $81 | $87 |
Corporate and Other Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 18 | 17 | |
States, Municipalities and Political Subdivisions [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 43 | 38 | |
Total Asset-Backed [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 20 | 20 | |
Total Fixed Maturities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 81 | 75 | |
Short Term Investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 3 | 3 | |
Fixed Income Mutual Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 3 | 3 | |
Level 1 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 6 | 6 | |
Level 1 [Member] | Short Term Investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 3 | 3 | |
Level 1 [Member] | Fixed Income Mutual Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 3 | 3 | |
Level 2 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 81 | 75 | |
Level 2 [Member] | Corporate and Other Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 18 | 17 | |
Level 2 [Member] | States, Municipalities and Political Subdivisions [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 43 | 38 | |
Level 2 [Member] | Total Asset-Backed [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 20 | 20 | |
Level 2 [Member] | Total Fixed Maturities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | $81 | $75 |
Benefit_Plans_Summary_of_Stock
Benefit Plans - Summary of Stock Option and SAR Transactions (Detail) (USD $) | 0 Months Ended | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Number of Awards Outstanding, January 1 | 6,908,778 | 6,476,391 | 6,535,150 |
Number of Awards, Granted | 910,375 | 910,375 | 903,975 |
Number of Awards, Exercised | -392,519 | -871,155 | |
Number of Awards, Canceled | -85,469 | -91,579 | |
Number of Awards Outstanding, December 31 | 6,908,778 | 6,476,391 | |
Awards exercisable, December 31 | 4,924,249 | 4,496,245 | |
Weighted Average Exercise Price Awards outstanding, January 1 | $39.91 | $38.50 | $36.96 |
Weighted Average Exercise Price, Granted | $43.84 | $44.41 | |
Weighted Average Exercise Price, Exercised | $24.67 | $32.54 | |
Weighted Average Exercise Price, Canceled | $45.12 | $43.98 | |
Weighted Average Exercise Price Awards outstanding, December 31 | $39.91 | $38.50 | |
Weighted Average Exercise Price exercisable, December 31 | $38.74 | $37.28 |
Benefit_Plans_Summary_of_Stock1
Benefit Plans - Summary of Stock Options and SARs Outstanding by Exercise Price Range (Detail) (USD $) | 12 Months Ended |
Dec. 31, 2014 | |
20.01 - 30.00 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Awards Outstanding, Number of Shares | 584,200 |
Awards Outstanding, Weighted Average Remaining Contractual Life | 2 years 8 months 16 days |
Awards Outstanding, Weighted Average Exercise Price | $25.21 |
Awards Exercisable, Number of Shares | 584,200 |
Awards Exercisable, Weighted Average Exercise Price | $25.21 |
Range of exercise prices, lower range limit | $20.01 |
Range of exercise prices, upper range limit | $30 |
30.01 - 40.00 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Awards Outstanding, Number of Shares | 2,674,903 |
Awards Outstanding, Weighted Average Remaining Contractual Life | 4 years 8 months 12 days |
Awards Outstanding, Weighted Average Exercise Price | $36.87 |
Awards Exercisable, Number of Shares | 2,284,666 |
Awards Exercisable, Weighted Average Exercise Price | $36.57 |
Range of exercise prices, lower range limit | $30.01 |
Range of exercise prices, upper range limit | $40 |
40.01 - 50.00 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Awards Outstanding, Number of Shares | 3,468,850 |
Awards Outstanding, Weighted Average Remaining Contractual Life | 6 years 4 months 21 days |
Awards Outstanding, Weighted Average Exercise Price | $44.13 |
Awards Exercisable, Number of Shares | 1,874,558 |
Awards Exercisable, Weighted Average Exercise Price | $44.42 |
Range of exercise prices, lower range limit | $40.01 |
Range of exercise prices, upper range limit | $50 |
50.01 - 60.00 [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Awards Outstanding, Number of Shares | 180,825 |
Awards Outstanding, Weighted Average Remaining Contractual Life | 2 years 18 days |
Awards Outstanding, Weighted Average Exercise Price | $51.08 |
Awards Exercisable, Number of Shares | 180,825 |
Awards Exercisable, Weighted Average Exercise Price | $51.08 |
Range of exercise prices, lower range limit | $50.01 |
Range of exercise prices, upper range limit | $60 |
Benefit_Plans_Assumptions_Used
Benefit Plans - Assumptions Used in Estimating Fair Value of Granted Options and SARs and Results (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | |||
Expected dividend yield | 0.60% | 0.60% | 0.60% |
Expected volatility | 16.90% | 16.30% | 19.00% |
Weighted average risk-free interest rate | 1.70% | 1.10% | 0.80% |
Expected holding period (in years) | 5 years | 5 years | 5 years |
Weighted average fair value of awards | $7.41 | $6.75 | $6.53 |
Reinsurance_Summary_of_Amounts
Reinsurance - Summary of Amounts Receivable from Reinsurers (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Reinsurance receivables related to insurance reserves: | ||
Ceded claim and claim adjustment expenses | $4,344 | $4,972 |
Ceded future policy benefits | 185 | 733 |
Ceded policyholders' funds | 35 | |
Reinsurance receivables related to paid losses | 213 | 348 |
Reinsurance receivables | 4,742 | 6,088 |
Less allowance for doubtful accounts | 48 | 71 |
Reinsurance receivables, net of allowance for doubtful accounts | $4,694 | $6,017 |
Reinsurance_Additional_Informa
Reinsurance - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Effects of Reinsurance [Line Items] | |||
Reinsurance collateral | $3,400,000,000 | $3,900,000,000 | |
Reinsurance recoveries | 1,400,000,000 | 1,500,000,000 | 1,400,000,000 |
Berkshire Hathaway Group [Member] | |||
Effects of Reinsurance [Line Items] | |||
Largest recoverables from a single reinsurer | 2,600,000,000 | ||
Subsidiaries from Hartford Insurance Group [Member] | |||
Effects of Reinsurance [Line Items] | |||
Largest recoverables from a single reinsurer | 244,000,000 | ||
Subsidiaries from Wilton Re [Member] | |||
Effects of Reinsurance [Line Items] | |||
Largest recoverables from a single reinsurer | 185,000,000 | ||
Significant Captive Program [Member] | |||
Effects of Reinsurance [Line Items] | |||
Direct and ceded earned premiums | 2,600,000,000 | 2,200,000,000 | 1,800,000,000 |
Percentage reinsured of direct and ceded earned premiums | 100.00% | ||
Reinsurance recoveries | $1,500,000,000 | $712,000,000 | $814,000,000 |
Reinsurance_Summary_of_Effects
Reinsurance - Summary of Effects of Reinsurance on Earned Premiums (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | |||
Earned premiums, Direct | $9,960 | $9,574 | $8,866 |
Earned premiums, Assumed | 325 | 306 | 244 |
Earned premiums, Ceded | 3,073 | 2,609 | 2,229 |
Earned premiums, Net | 7,212 | 7,271 | 6,881 |
Percentage of amount assumed to net | 4.50% | 4.20% | 3.50% |
Property and Casualty [Member] | |||
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | |||
Earned premiums, Direct | 9,452 | 9,063 | 8,354 |
Earned premiums, Assumed | 277 | 258 | 197 |
Earned premiums, Ceded | 3,073 | 2,609 | 2,229 |
Earned premiums, Net | 6,656 | 6,712 | 6,322 |
Percentage of amount assumed to net | 4.20% | 3.80% | 3.10% |
Accident and Health [Member] | |||
Reinsurance Premiums for Insurance Companies, by Product Segment [Line Items] | |||
Earned premiums, Direct | 508 | 511 | 512 |
Earned premiums, Assumed | 48 | 48 | 47 |
Earned premiums, Net | $556 | $559 | $559 |
Percentage of amount assumed to net | 8.60% | 8.60% | 8.40% |
Quarterly_Financial_Data_Sched
Quarterly Financial Data - Schedule of Quarterly Financial Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Quarterly Financial Data [Abstract] | |||||||||||
Total revenues | $3,521 | $3,523 | $3,593 | $3,688 | $3,782 | $3,597 | $3,616 | $3,618 | $14,325 | $14,613 | $14,072 |
Income from continuing operations | 215 | 179 | 303 | 265 | 248 | 318 | 261 | 322 | 962 | 1,149 | 968 |
Income from continuing operations, Per share-basic | $0.58 | $0.47 | $0.79 | $0.68 | $2.52 | $2.96 | $2.45 | ||||
Income from continuing operations, Per share-basic and diluted | $0.64 | $0.82 | $0.67 | $0.82 | |||||||
Income from continuing operations, Per share-diluted | $0.57 | $0.47 | $0.79 | $0.68 | $2.52 | $2.95 | $2.44 | ||||
Discontinued operations, net | -7 | 29 | -187 | -206 | -446 | -36 | 8 | -80 | -371 | -554 | -400 |
Discontinued operations, net, Per share-basic and diluted | ($0.02) | $0.08 | ($0.49) | ($0.53) | ($1.15) | ($0.09) | $0.02 | ($0.20) | |||
Net income | $208 | $208 | $116 | $59 | ($198) | $282 | $269 | $242 | $591 | $595 | $568 |
Per share-basic | $0.56 | $0.55 | $0.30 | $0.15 | $1.55 | $1.53 | $1.44 | ||||
Per share-basic and diluted | ($0.51) | $0.73 | $0.69 | $0.62 | |||||||
Per share-diluted | $0.55 | $0.55 | $0.30 | $0.15 | $1.55 | $1.53 | $1.43 |
Quarterly_Financial_Data_Sched1
Quarterly Financial Data - Schedule of Quarterly Financial Information (Parenthetical) (Detail) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Continuing Operations [Member] | |
Quarterly Financial Data [Line Items] | |
Impairment of goodwill | $16 |
Discontinued Operations [Member] | |
Quarterly Financial Data [Line Items] | |
Impairment of natural gas and oil properties | 52 |
Impairment of goodwill | 382 |
CNA Financial [Member] | Continuing Operations [Member] | |
Quarterly Financial Data [Line Items] | |
Deferred gain | $111 |
Commitments_and_Contingencies_
Commitments and Contingencies - Additional Information (Detail) (USD $) | 12 Months Ended |
Dec. 31, 2014 | |
Commitments [Line Items] | |
Aggregate amount of quantifiable indemnification agreements in effect for sales of business entities, assets and third party loans | $324,000,000 |
Aggregate amount of quantifiable guarantee agreements in effect for sales of business entities, assets and third party loans | 375,000,000 |
Potential amount of future payments under guarantees | 1,900,000,000 |
Harsh Environment Semisubmersible Drilling Rig [Member] | |
Commitments [Line Items] | |
Total cost of the project | 764,000,000 |
Remaining contractual payment is due upon delivery of rig | 440,000,000 |
Ultra-deepwater Drillships [Member] | |
Commitments [Line Items] | |
Total cost of the project | 655,000,000 |
Remaining contractual payment is due upon delivery of rig | $395,000,000 |
Discontinued_Operations_Schedu
Discontinued Operations - Schedule of Discontinued Operations Reflected in Consolidated Condensed Statements of Income (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Expenses: | |||||||||||
Income (loss) from discontinued operations | ($7) | $29 | ($187) | ($206) | ($446) | ($36) | $8 | ($80) | ($371) | ($554) | ($400) |
HighMount [Member] | |||||||||||
Revenues: | |||||||||||
Other revenue, primarily operating | 150 | 259 | 297 | ||||||||
Total | 150 | 259 | 297 | ||||||||
Expenses: | |||||||||||
Impairment of goodwill | 584 | ||||||||||
Impairment of natural gas and oil properties | 29 | 291 | 680 | ||||||||
Operating | 173 | 252 | 239 | ||||||||
Interest | 8 | 17 | 14 | ||||||||
Total | 210 | 1,144 | 933 | ||||||||
Income (loss) before income tax | -60 | -885 | -636 | ||||||||
Income tax (expense) benefit | 4 | 311 | 229 | ||||||||
Results of discontinued operations, net of income tax | -56 | -574 | -407 | ||||||||
Impairment loss/loss on sale, net of tax benefit | -138 | ||||||||||
Income (loss) from discontinued operations | -194 | -574 | -407 | ||||||||
CAC [Member] | |||||||||||
Revenues: | |||||||||||
Net investment income | 94 | 168 | 172 | ||||||||
Investment gains | 3 | 11 | 9 | ||||||||
Other revenues | 2 | 2 | |||||||||
Total | 97 | 181 | 183 | ||||||||
Expenses: | |||||||||||
Insurance claims and policyholders' benefits | 75 | 141 | 167 | ||||||||
Other operating expenses | 2 | 3 | 3 | ||||||||
Total | 77 | 144 | 170 | ||||||||
Income (loss) before income tax | 20 | 37 | 13 | ||||||||
Income tax (expense) benefit | -6 | -15 | -5 | ||||||||
Results of discontinued operations, net of income tax | 14 | 22 | 8 | ||||||||
Impairment loss/loss on sale, net of tax benefit | -211 | ||||||||||
Amounts attributable to noncontrolling interests | 20 | -2 | -1 | ||||||||
Income (loss) from discontinued operations | ($177) | $20 | $7 |
Discontinued_Operations_Schedu1
Discontinued Operations - Schedule of Discontinued Operations Reflected in Consolidated Condensed Statements of Income (Parenthetical) (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2014 |
HighMount [Member] | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Income tax benefit on impairment loss/loss on sale | $62 |
CAC [Member] | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Income tax benefit on impairment loss/loss on sale | $40 |
Discontinued_Operations_Additi
Discontinued Operations - Additional Information (Detail) (HighMount [Member], USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
HighMount [Member] | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Impairment of natural gas and oil properties | $29 | $291 | $680 |
Impairment of natural gas and oil properties after tax | 19 | 186 | 433 |
Effects of cash flow hedges not considered in calculating ceiling limitation, impairments | 29 | 301 | 737 |
Effects of cash flow hedges not considered in calculating ceiling limitation after tax, impairments | 18 | 192 | 469 |
Impairment of goodwill before tax | 584 | ||
Impairment of goodwill after tax | $382 |
Discontinued_Operations_Schedu2
Discontinued Operations - Schedule of Assets and Liabilities Reported as Discontinued Operations (Detail) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Assets: | |
Investments, including cash | $29 |
Receivables | 23 |
Property, plant and equipment | 974 |
Other assets | 15 |
Total assets of discontinued operations | 1,041 |
Liabilities: | |
Short term debt | 21 |
Long term debt | 481 |
Other liabilities | 130 |
Total liabilities of discontinued operations | 632 |
Eliminations [Member] | |
Assets: | |
Receivables | -120 |
Deferred income taxes | -517 |
Total assets of discontinued operations | -637 |
HighMount [Member] | |
Assets: | |
Investments, including cash | 29 |
Receivables | 143 |
Property, plant and equipment | 974 |
Deferred income taxes | 517 |
Other assets | 15 |
Total assets of discontinued operations | 1,678 |
Liabilities: | |
Short term debt | 21 |
Long term debt | 481 |
Other liabilities | 130 |
Total liabilities of discontinued operations | $632 |
Business_Segments_Additional_I
Business Segments - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2014 | |
Segment | |
Segment Reporting Information [Line Items] | |
Number of offshore drilling rigs | 38 |
Number of countries where drilling rigs are located | 8 |
Number of mid-water rigs to be retired and scrapped | 3 |
Number of rigs under construction | 2 |
Miles of natural gas and NGL pipeline | 14,625 |
Number of states having natural gas storage facilities | 4 |
Total number of hotels owned and/or operated | 21 |
United States [Member] | |
Segment Reporting Information [Line Items] | |
Number of hotels | 20 |
Canada [Member] | |
Segment Reporting Information [Line Items] | |
Number of hotels | 1 |
Commercial [Member] | Core Operations [Member] | |
Segment Reporting Information [Line Items] | |
Number of CNA segments | 4 |
Business_Segments_Consolidated
Business Segments - Consolidated Revenues and Income (Loss) by Business Segment (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Segment Reporting Information [Line Items] | |||||||||||
Revenues | $3,521 | $3,523 | $3,593 | $3,688 | $3,782 | $3,597 | $3,616 | $3,618 | $14,325 | $14,613 | $14,072 |
Income (loss) before income tax and noncontrolling interests | 1,810 | 2,277 | 2,022 | ||||||||
Income from continuing operations | 215 | 179 | 303 | 265 | 248 | 318 | 261 | 322 | 962 | 1,149 | 968 |
Discontinued operations, net | -7 | 29 | -187 | -206 | -446 | -36 | 8 | -80 | -371 | -554 | -400 |
Net income (loss) | 208 | 208 | 116 | 59 | -198 | 282 | 269 | 242 | 591 | 595 | 568 |
Investment gains included in Revenues and Income (loss) before income tax and noncontrolling interests | 54 | 16 | 48 | ||||||||
Investment gains included in net income (loss) | 32 | 10 | 28 | ||||||||
Income Taxes | 457 | 656 | 513 | ||||||||
Interest Expense | 498 | 425 | 426 | ||||||||
CNA Financial [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 9,692 | 9,932 | 9,364 | ||||||||
Income (loss) before income tax and noncontrolling interests | 1,215 | 1,283 | 867 | ||||||||
Net income (loss) | 802 | 827 | 563 | ||||||||
Investment gains included in Revenues and Income (loss) before income tax and noncontrolling interests | 54 | 16 | 51 | ||||||||
Investment gains included in net income (loss) | 32 | 10 | 30 | ||||||||
Income Taxes | 322 | 363 | 242 | ||||||||
Interest Expense | 183 | 166 | 170 | ||||||||
CNA Financial [Member] | Other Non-Core [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 1,328 | 1,291 | 1,261 | ||||||||
Income (loss) before income tax and noncontrolling interests | -331 | -501 | -345 | ||||||||
Net income (loss) | -123 | -230 | -154 | ||||||||
Investment gains included in Revenues and Income (loss) before income tax and noncontrolling interests | 24 | 31 | -8 | ||||||||
Investment gains included in net income (loss) | 15 | 18 | -5 | ||||||||
Income Taxes | -195 | -245 | -174 | ||||||||
Interest Expense | 182 | 165 | 169 | ||||||||
CNA Financial [Member] | Property and Casualty [Member] | Specialty [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 3,708 | 3,676 | 3,522 | ||||||||
Income (loss) before income tax and noncontrolling interests | 967 | 1,005 | 715 | ||||||||
Net income (loss) | 578 | 598 | 425 | ||||||||
Investment gains included in Revenues and Income (loss) before income tax and noncontrolling interests | 15 | -5 | 18 | ||||||||
Investment gains included in net income (loss) | 9 | -2 | 10 | ||||||||
Income Taxes | 324 | 340 | 243 | ||||||||
CNA Financial [Member] | Property and Casualty [Member] | Commercial [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 3,683 | 3,984 | 3,869 | ||||||||
Income (loss) before income tax and noncontrolling interests | 477 | 662 | 399 | ||||||||
Net income (loss) | 285 | 394 | 241 | ||||||||
Investment gains included in Revenues and Income (loss) before income tax and noncontrolling interests | 16 | -15 | 34 | ||||||||
Investment gains included in net income (loss) | 9 | -9 | 20 | ||||||||
Income Taxes | 159 | 223 | 131 | ||||||||
CNA Financial [Member] | Property and Casualty [Member] | International [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 973 | 981 | 712 | ||||||||
Income (loss) before income tax and noncontrolling interests | 102 | 117 | 98 | ||||||||
Net income (loss) | 62 | 65 | 51 | ||||||||
Investment gains included in Revenues and Income (loss) before income tax and noncontrolling interests | -1 | 5 | 7 | ||||||||
Investment gains included in net income (loss) | -1 | 3 | 5 | ||||||||
Income Taxes | 34 | 45 | 42 | ||||||||
Interest Expense | 1 | 1 | 1 | ||||||||
Diamond Offshore [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 2,825 | 2,926 | 3,072 | ||||||||
Income (loss) before income tax and noncontrolling interests | 514 | 774 | 917 | ||||||||
Net income (loss) | 183 | 257 | 337 | ||||||||
Income Taxes | 142 | 245 | 223 | ||||||||
Interest Expense | 62 | 25 | 46 | ||||||||
Boardwalk Pipeline [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 1,236 | 1,232 | 1,187 | ||||||||
Income (loss) before income tax and noncontrolling interests | 140 | 241 | 304 | ||||||||
Net income (loss) | 18 | 78 | 111 | ||||||||
Income Taxes | 11 | 56 | 70 | ||||||||
Interest Expense | 165 | 163 | 166 | ||||||||
Loews Hotels [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 475 | 380 | 397 | ||||||||
Income (loss) before income tax and noncontrolling interests | 21 | -4 | 14 | ||||||||
Net income (loss) | 11 | -3 | 7 | ||||||||
Income Taxes | 10 | -1 | 7 | ||||||||
Interest Expense | 14 | 9 | 11 | ||||||||
Corporate and Other [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 97 | 143 | 52 | ||||||||
Income (loss) before income tax and noncontrolling interests | -80 | -17 | -80 | ||||||||
Net income (loss) | -52 | -10 | -50 | ||||||||
Investment gains included in Revenues and Income (loss) before income tax and noncontrolling interests | -3 | ||||||||||
Investment gains included in net income (loss) | -2 | ||||||||||
Income Taxes | -28 | -7 | -29 | ||||||||
Interest Expense | 74 | 62 | 40 | ||||||||
Interest Expense | $74 | $62 | $33 |
Consolidating_Financial_Inform2
Consolidating Financial Information - Consolidating Balance Sheet Information (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Millions, unless otherwise specified | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Investments | $52,032 | $52,945 | ||
Cash | 364 | 294 | 228 | 129 |
Receivables | 7,770 | 9,338 | ||
Property, plant and equipment | 15,611 | 13,524 | ||
Goodwill | 374 | 357 | 412 | |
Assets of discontinued operations | 1,041 | |||
Other assets | 1,616 | 1,635 | ||
Deferred acquisition costs of insurance subsidiaries | 600 | 624 | ||
Separate account business | 181 | |||
Total assets | 78,367 | 79,939 | ||
Insurance reserves | 36,380 | 38,394 | ||
Payable to brokers | 673 | 134 | ||
Short term debt | 335 | 819 | ||
Long term debt | 10,333 | 9,525 | ||
Deferred income taxes | 893 | 716 | ||
Liabilities of discontinued operations | 632 | |||
Other liabilities | 5,103 | 4,632 | ||
Separate account business | 181 | |||
Total liabilities | 53,717 | 55,033 | ||
Total shareholders' equity | 19,280 | 19,458 | ||
Noncontrolling interests | 5,370 | 5,448 | ||
Total equity | 24,650 | 24,906 | 24,676 | 23,203 |
Total liabilities and equity | 78,367 | 79,939 | ||
Eliminations [Member] | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Receivables | -56 | -25 | ||
Deferred income taxes | -598 | -247 | ||
Assets of discontinued operations | -637 | |||
Investments in capital stocks of subsidiaries | -15,974 | -17,264 | ||
Other assets | 14 | 39 | ||
Total assets | -16,614 | -18,134 | ||
Deferred income taxes | -400 | -725 | ||
Other liabilities | -240 | -565 | ||
Total liabilities | -640 | -1,290 | ||
Total shareholders' equity | -15,974 | -16,844 | ||
Total equity | -15,974 | -16,844 | ||
Total liabilities and equity | -16,614 | -18,134 | ||
CNA Financial [Member] | Operating Segments [Member] | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Investments | 46,262 | 46,107 | ||
Cash | 190 | 195 | ||
Receivables | 7,097 | 8,666 | ||
Property, plant and equipment | 280 | 282 | ||
Deferred income taxes | 222 | 244 | ||
Goodwill | 117 | 119 | ||
Other assets | 778 | 741 | ||
Deferred acquisition costs of insurance subsidiaries | 600 | 624 | ||
Separate account business | 181 | |||
Total assets | 55,546 | 57,159 | ||
Insurance reserves | 36,380 | 38,394 | ||
Payable to brokers | 117 | 85 | ||
Short term debt | 549 | |||
Long term debt | 2,561 | 2,011 | ||
Deferred income taxes | 11 | |||
Other liabilities | 3,713 | 3,323 | ||
Separate account business | 181 | |||
Total liabilities | 42,782 | 44,543 | ||
Total shareholders' equity | 11,457 | 11,354 | ||
Noncontrolling interests | 1,307 | 1,262 | ||
Total equity | 12,764 | 12,616 | ||
Total liabilities and equity | 55,546 | 57,159 | ||
Diamond Offshore [Member] | Operating Segments [Member] | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Investments | 234 | 2,061 | ||
Cash | 16 | 36 | ||
Receivables | 490 | 498 | ||
Property, plant and equipment | 6,949 | 5,472 | ||
Goodwill | 20 | 20 | ||
Other assets | 307 | 305 | ||
Total assets | 8,016 | 8,392 | ||
Payable to brokers | 5 | 1 | ||
Short term debt | 250 | 250 | ||
Long term debt | 1,981 | 2,230 | ||
Deferred income taxes | 514 | 516 | ||
Other liabilities | 792 | 734 | ||
Total liabilities | 3,542 | 3,731 | ||
Total shareholders' equity | 2,359 | 2,362 | ||
Noncontrolling interests | 2,115 | 2,299 | ||
Total equity | 4,474 | 4,661 | ||
Total liabilities and equity | 8,016 | 8,392 | ||
Boardwalk Pipeline [Member] | Operating Segments [Member] | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Cash | 8 | 29 | ||
Receivables | 128 | 97 | ||
Property, plant and equipment | 7,649 | 7,296 | ||
Goodwill | 237 | 215 | ||
Other assets | 304 | 360 | ||
Total assets | 8,326 | 7,997 | ||
Long term debt | 3,690 | 3,424 | ||
Deferred income taxes | 732 | 689 | ||
Other liabilities | 400 | 427 | ||
Total liabilities | 4,822 | 4,540 | ||
Total shareholders' equity | 1,558 | 1,570 | ||
Noncontrolling interests | 1,946 | 1,887 | ||
Total equity | 3,504 | 3,457 | ||
Total liabilities and equity | 8,326 | 7,997 | ||
Loews Hotels [Member] | Operating Segments [Member] | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Investments | 75 | 43 | ||
Cash | 9 | 10 | ||
Receivables | 29 | 28 | ||
Property, plant and equipment | 671 | 430 | ||
Deferred income taxes | 2 | 3 | ||
Goodwill | 3 | |||
Other assets | 206 | 183 | ||
Total assets | 992 | 700 | ||
Short term debt | 85 | 20 | ||
Long term debt | 421 | 182 | ||
Deferred income taxes | 36 | 41 | ||
Other liabilities | 17 | 23 | ||
Total liabilities | 559 | 266 | ||
Total shareholders' equity | 431 | 434 | ||
Noncontrolling interests | 2 | |||
Total equity | 433 | 434 | ||
Total liabilities and equity | 992 | 700 | ||
Corporate and Other [Member] | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Investments | 5,461 | 4,734 | ||
Cash | 141 | 24 | ||
Receivables | 82 | 74 | ||
Property, plant and equipment | 62 | 44 | ||
Deferred income taxes | 374 | |||
Assets of discontinued operations | 1,678 | |||
Investments in capital stocks of subsidiaries | 15,974 | 17,264 | ||
Other assets | 7 | 7 | ||
Total assets | 22,101 | 23,825 | ||
Payable to brokers | 551 | 48 | ||
Long term debt | 1,680 | 1,678 | ||
Deferred income taxes | 195 | |||
Liabilities of discontinued operations | 632 | |||
Other liabilities | 421 | 690 | ||
Total liabilities | 2,652 | 3,243 | ||
Total shareholders' equity | 19,449 | 20,582 | ||
Total equity | 19,449 | 20,582 | ||
Total liabilities and equity | $22,101 | $23,825 |
Consolidating_Financial_Inform3
Consolidating Financial Information - Consolidating Statement of Income Information (Detail) (USD $) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Condensed Financial Statements, Captions [Line Items] | ||||||
Insurance premiums | $7,212 | $7,271 | $6,881 | |||
Net investment income | 2,163 | 2,425 | 2,177 | |||
Investment gains (losses) | 54 | [1] | 16 | [1] | 48 | [1] |
Contract drilling revenues | 2,737 | 2,844 | 2,936 | |||
Other revenues | 2,159 | 2,057 | 2,030 | |||
Total | 14,325 | 14,613 | 14,072 | |||
Expenses: | ||||||
Insurance claims and policyholders' benefits | 5,591 | 5,806 | 5,729 | |||
Amortization of deferred acquisition costs | 1,317 | 1,362 | 1,274 | |||
Contract drilling expenses | 1,524 | 1,573 | 1,537 | |||
Other operating expenses | 3,585 | 3,170 | 3,084 | |||
Interest | 498 | 425 | 426 | |||
Total | 12,515 | 12,336 | 12,050 | |||
Income before income tax | 1,810 | 2,277 | 2,022 | |||
Income tax (expense) benefit | -457 | -656 | -513 | |||
Income (loss) from continuing operations | 1,353 | 1,621 | 1,509 | |||
Discontinued operations, net | -391 | -552 | -399 | |||
Net income (loss) | 962 | 1,069 | 1,110 | |||
Amounts attributable to noncontrolling interests | -371 | -474 | -542 | |||
Net income (loss) attributable to Loews Corporation | 591 | 595 | 568 | |||
Eliminations [Member] | ||||||
Condensed Financial Statements, Captions [Line Items] | ||||||
Intercompany interest and dividends | -782 | -736 | -683 | |||
Other revenues | -7 | |||||
Total | -782 | -736 | -690 | |||
Expenses: | ||||||
Other operating expenses | -7 | |||||
Interest | -7 | |||||
Total | -14 | |||||
Income before income tax | -782 | -736 | -676 | |||
Income (loss) from continuing operations | -782 | -736 | -676 | |||
Net income (loss) | -782 | -736 | -676 | |||
Net income (loss) attributable to Loews Corporation | -782 | -736 | -676 | |||
CNA Financial [Member] | ||||||
Expenses: | ||||||
Interest | 183 | 166 | 170 | |||
Income tax (expense) benefit | -322 | -363 | -242 | |||
CNA Financial [Member] | Operating Segments [Member] | ||||||
Condensed Financial Statements, Captions [Line Items] | ||||||
Insurance premiums | 7,212 | 7,271 | 6,881 | |||
Net investment income | 2,067 | 2,282 | 2,110 | |||
Investment gains (losses) | 54 | 16 | 51 | |||
Other revenues | 359 | 363 | 322 | |||
Total | 9,692 | 9,932 | 9,364 | |||
Expenses: | ||||||
Insurance claims and policyholders' benefits | 5,591 | 5,806 | 5,729 | |||
Amortization of deferred acquisition costs | 1,317 | 1,362 | 1,274 | |||
Other operating expenses | 1,386 | 1,315 | 1,324 | |||
Interest | 183 | 166 | 170 | |||
Total | 8,477 | 8,649 | 8,497 | |||
Income before income tax | 1,215 | 1,283 | 867 | |||
Income tax (expense) benefit | -322 | -363 | -242 | |||
Income (loss) from continuing operations | 893 | 920 | 625 | |||
Discontinued operations, net | -197 | 22 | 8 | |||
Net income (loss) | 696 | 942 | 633 | |||
Amounts attributable to noncontrolling interests | -71 | -95 | -63 | |||
Net income (loss) attributable to Loews Corporation | 625 | 847 | 570 | |||
Diamond Offshore [Member] | ||||||
Expenses: | ||||||
Interest | 62 | 25 | 46 | |||
Income tax (expense) benefit | -142 | -245 | -223 | |||
Diamond Offshore [Member] | Operating Segments [Member] | ||||||
Condensed Financial Statements, Captions [Line Items] | ||||||
Net investment income | 1 | 1 | 5 | |||
Contract drilling revenues | 2,737 | 2,844 | 2,936 | |||
Other revenues | 87 | 81 | 131 | |||
Total | 2,825 | 2,926 | 3,072 | |||
Expenses: | ||||||
Contract drilling expenses | 1,524 | 1,573 | 1,537 | |||
Other operating expenses | 725 | 554 | 572 | |||
Interest | 62 | 25 | 46 | |||
Total | 2,311 | 2,152 | 2,155 | |||
Income before income tax | 514 | 774 | 917 | |||
Income tax (expense) benefit | -142 | -245 | -223 | |||
Income (loss) from continuing operations | 372 | 529 | 694 | |||
Net income (loss) | 372 | 529 | 694 | |||
Amounts attributable to noncontrolling interests | -189 | -272 | -357 | |||
Net income (loss) attributable to Loews Corporation | 183 | 257 | 337 | |||
Boardwalk Pipeline [Member] | ||||||
Expenses: | ||||||
Interest | 165 | 163 | 166 | |||
Income tax (expense) benefit | -11 | -56 | -70 | |||
Boardwalk Pipeline [Member] | Operating Segments [Member] | ||||||
Condensed Financial Statements, Captions [Line Items] | ||||||
Net investment income | 1 | 1 | ||||
Investment gains (losses) | -3 | |||||
Other revenues | 1,235 | 1,231 | 1,187 | |||
Total | 1,236 | 1,232 | 1,184 | |||
Expenses: | ||||||
Other operating expenses | 931 | 828 | 717 | |||
Interest | 165 | 163 | 166 | |||
Total | 1,096 | 991 | 883 | |||
Income before income tax | 140 | 241 | 301 | |||
Income tax (expense) benefit | -11 | -56 | -70 | |||
Income (loss) from continuing operations | 129 | 185 | 231 | |||
Net income (loss) | 129 | 185 | 231 | |||
Amounts attributable to noncontrolling interests | -111 | -107 | -122 | |||
Net income (loss) attributable to Loews Corporation | 18 | 78 | 109 | |||
Loews Hotels [Member] | ||||||
Expenses: | ||||||
Interest | 14 | 9 | 11 | |||
Income tax (expense) benefit | -10 | 1 | -7 | |||
Loews Hotels [Member] | Operating Segments [Member] | ||||||
Condensed Financial Statements, Captions [Line Items] | ||||||
Net investment income | 1 | |||||
Other revenues | 475 | 380 | 396 | |||
Total | 475 | 380 | 397 | |||
Expenses: | ||||||
Other operating expenses | 440 | 375 | 372 | |||
Interest | 14 | 9 | 11 | |||
Total | 454 | 384 | 383 | |||
Income before income tax | 21 | -4 | 14 | |||
Income tax (expense) benefit | -10 | 1 | -7 | |||
Income (loss) from continuing operations | 11 | -3 | 7 | |||
Net income (loss) | 11 | -3 | 7 | |||
Net income (loss) attributable to Loews Corporation | 11 | -3 | 7 | |||
Corporate and Other [Member] | ||||||
Condensed Financial Statements, Captions [Line Items] | ||||||
Net investment income | 94 | 141 | 61 | |||
Intercompany interest and dividends | 782 | 736 | 683 | |||
Other revenues | 3 | 2 | 1 | |||
Total | 879 | 879 | 745 | |||
Expenses: | ||||||
Other operating expenses | 103 | 98 | 106 | |||
Interest | 74 | 62 | 40 | |||
Total | 177 | 160 | 146 | |||
Income before income tax | 702 | 719 | 599 | |||
Income tax (expense) benefit | 28 | 7 | 29 | |||
Income (loss) from continuing operations | 730 | 726 | 628 | |||
Discontinued operations, net | -194 | -574 | -407 | |||
Net income (loss) | 536 | 152 | 221 | |||
Net income (loss) attributable to Loews Corporation | $536 | $152 | $221 | |||
[1] | Includes gross realized gains of $178, $198 and $241 and gross realized losses of $136, $179 and $187 on available-for-sale securities for the years ended December 31, 2014, 2013 and 2012. |
Schedule_I_Condensed_Financial1
Schedule I - Condensed Financial Information of Registrant - Parent Company Only, Balance Sheets (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
ASSETS | ||
Other assets | $1,616 | $1,635 |
Total assets | 78,367 | 79,939 |
LIABILITIES AND SHAREHOLDERS' EQUITY | ||
Total liabilities | 53,717 | 55,033 |
Shareholders' equity | 19,280 | 19,458 |
Total liabilities and equity | 78,367 | 79,939 |
Loews Corporation [Member] | ||
ASSETS | ||
Current assets, principally investment in short term instruments | 3,959 | 3,350 |
Investments in securities | 1,439 | 1,330 |
Investments in capital stocks of subsidiaries, at equity | 15,974 | 17,264 |
Other assets | 585 | 33 |
Total assets | 21,957 | 21,977 |
LIABILITIES AND SHAREHOLDERS' EQUITY | ||
Current liabilities | 618 | 91 |
Long term debt | 1,680 | 1,678 |
Deferred income tax and other | 379 | 750 |
Total liabilities | 2,677 | 2,519 |
Shareholders' equity | 19,280 | 19,458 |
Total liabilities and equity | $21,957 | $21,977 |
Schedule_I_Condensed_Financial2
Schedule I - Condensed Financial Information of Registrant - Parent Company Only, Statements of Income and Comprehensive Income (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Millions, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Revenues: | |||||||||||
Equity in income of subsidiaries | ($62) | $12 | $24 | ||||||||
Total | 3,521 | 3,523 | 3,593 | 3,688 | 3,782 | 3,597 | 3,616 | 3,618 | 14,325 | 14,613 | 14,072 |
Expenses: | |||||||||||
Interest | 498 | 425 | 426 | ||||||||
Total | 12,515 | 12,336 | 12,050 | ||||||||
Income before income tax | 1,810 | 2,277 | 2,022 | ||||||||
Income tax (expense) benefit | -457 | -656 | -513 | ||||||||
Income from continuing operations | 1,353 | 1,621 | 1,509 | ||||||||
Discontinued operations, net | -391 | -552 | -399 | ||||||||
Net income | 962 | 1,069 | 1,110 | ||||||||
Total comprehensive income attributable to Loews Corporation | 532 | 254 | 857 | ||||||||
Loews Corporation [Member] | |||||||||||
Revenues: | |||||||||||
Equity in income of subsidiaries | 1,034 | 1,218 | 1,053 | ||||||||
Interest and other | 92 | 83 | 51 | ||||||||
Total | 1,126 | 1,301 | 1,104 | ||||||||
Expenses: | |||||||||||
Administrative | 97 | 91 | 101 | ||||||||
Interest | 74 | 62 | 40 | ||||||||
Total | 171 | 153 | 141 | ||||||||
Income before income tax | 955 | 1,148 | 963 | ||||||||
Income tax (expense) benefit | 7 | 1 | 5 | ||||||||
Income from continuing operations | 962 | 1,149 | 968 | ||||||||
Discontinued operations, net | -371 | -554 | -400 | ||||||||
Net income | 591 | 595 | 568 | ||||||||
Equity in other comprehensive income (loss) of subsidiaries | -59 | -341 | 289 | ||||||||
Total comprehensive income attributable to Loews Corporation | $532 | $254 | $857 |
Schedule_I_Condensed_Financial3
Schedule I - Condensed Financial Information of Registrant - Parent Company Only, Statements of Income and Comprehensive Income (Parenthetical) (Detail) (Loews Corporation [Member], USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Loews Corporation [Member] | |||
Condensed Financial Statements, Captions [Line Items] | |||
Cash dividends paid to the Company by affiliates | $782 | $736 | $676 |
Schedule_I_Condensed_Financial4
Schedule I - Condensed Financial Information of Registrant - Parent Company Only, Statements of Cash Flows (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Operating Activities: | |||
Net income | $962 | $1,069 | $1,110 |
Adjustments to reconcile net income to net cash provided (used) by operating activities: | |||
Undistributed losses of affiliates | 64 | -380 | -103 |
Provision for deferred income taxes | 11 | 6 | -22 |
Changes in operating assets and liabilities, net: | |||
Trading securities | -129 | -901 | -406 |
Investing Activities: | |||
Change in investments, primarily short term | 1,396 | -101 | -192 |
Other | -72 | -257 | -142 |
Financing Activities: | |||
Dividends paid | -95 | -97 | -99 |
Issuance of common stock | 6 | 5 | 13 |
Purchases of treasury shares | -622 | -228 | -212 |
Other | 16 | -40 | -7 |
Net change in cash | 70 | 66 | 99 |
Cash, beginning of year | 294 | 228 | 129 |
Cash, end of year | 364 | 294 | 228 |
Loews Corporation [Member] | |||
Operating Activities: | |||
Net income | 591 | 595 | 568 |
Adjustments to reconcile net income to net cash provided (used) by operating activities: | |||
Undistributed losses of affiliates | 95 | 58 | 14 |
Provision for deferred income taxes | -62 | -376 | 67 |
Changes in operating assets and liabilities, net: | |||
Receivables | -2 | -1 | 2 |
Accounts payable and accrued liabilities | 200 | 511 | -42 |
Trading securities | -269 | -787 | -396 |
Other, net | -23 | -59 | -13 |
Net cash flow operating activities | 530 | -59 | 200 |
Investing Activities: | |||
Investments in and advances to subsidiaries | 130 | -669 | 262 |
Change in investments, primarily short term | 7 | 111 | -158 |
Other | -2 | -3 | -10 |
Net cash flow investing activities | 135 | -561 | 94 |
Financing Activities: | |||
Dividends paid | -95 | -97 | -99 |
Issuance of common stock | 6 | 5 | 13 |
Purchases of treasury shares | -622 | -228 | -212 |
Issuance of debt | 983 | ||
Other | 2 | 1 | 4 |
Net cash flow financing activities | -709 | 664 | -294 |
Net change in cash | -44 | 44 | |
Cash, beginning of year | 44 | ||
Cash, end of year | $44 |
Schedule_II_Valuation_and_Qual1
Schedule II - Valuation and Qualifying Accounts (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | $329 | $213 | $241 |
Charged to Costs and Expenses | 23 | 1 | |
Charged to Other Accounts | 140 | 9 | |
Deductions | 212 | 47 | 38 |
Balance at End of Period | 117 | 329 | 213 |
Allowance for Doubtful Accounts [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | 329 | 213 | 241 |
Charged to Costs and Expenses | 23 | 1 | |
Charged to Other Accounts | 140 | 9 | |
Deductions | 212 | 47 | 38 |
Balance at End of Period | $117 | $329 | $213 |
Schedule_V_Supplemental_Inform1
Schedule V - Supplemental Information Concerning Property and Casualty Insurance Operations (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Supplemental Information for Property, Casualty Insurance Underwriters [Abstract] | |||
Deferred acquisition costs | $600 | $624 | |
Reserves for unpaid claim and claim adjustment expenses | 23,271 | 24,015 | |
Discount deducted from claim and claim adjustment expense reserves above (based on interest rates ranging from 3.5% to 8.0%) | 1,578 | 1,586 | |
Unearned premiums | 3,592 | 3,718 | |
Net written premiums | 7,088 | 7,348 | 6,964 |
Net earned premiums | 7,212 | 7,271 | 6,881 |
Net investment income | 2,031 | 2,240 | 2,074 |
Incurred claim and claim adjustment expenses related to current year | 5,043 | 5,113 | 5,266 |
Incurred claim and claim adjustment expenses related to prior years | -39 | -115 | -180 |
Amortization of deferred acquisition costs | 1,317 | 1,362 | 1,274 |
Paid claim and claim adjustment expenses | $5,297 | $5,566 | $5,257 |
Schedule_V_Supplemental_Inform2
Schedule V - Supplemental Information Concerning Property and Casualty Insurance Operations (Parenthetical) (Detail) | Dec. 31, 2014 | Dec. 31, 2013 |
Supplemental Information for Property, Casualty Insurance Underwriters [Abstract] | ||
Discount deducted from claim and claim adjustment expense reserves interest rates, Minimum | 3.50% | 3.50% |
Discount deducted from claim and claim adjustment expense reserves interest rates, Maximum | 8.00% | 8.00% |