Cover Document
Cover Document - shares | 6 Months Ended | |
Jun. 30, 2023 | Jul. 26, 2023 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2023 | |
Document Transition Report | false | |
Entity File Number | 001-13958 | |
Entity Registrant Name | THE HARTFORD FINANCIAL SERVICES GROUP, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 13-3317783 | |
Entity Address, Address Line One | One Hartford Plaza | |
Entity Address, City or Town | Hartford | |
Entity Address, State or Province | CT | |
Entity Address, Postal Zip Code | 06155 | |
City Area Code | 860 | |
Local Phone Number | 547-5000 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 305,816,560 | |
Entity Central Index Key | 0000874766 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Common Stock, par value $0.01 per share | ||
Title of 12(b) Security | Common Stock, par value $0.01 per share | |
Trading Symbol | HIG | |
Security Exchange Name | NYSE | |
6.10% Notes due October 1, 2041 | ||
Title of 12(b) Security | 6.10% Notes due October 1, 2041 | |
Trading Symbol | HIG 41 | |
Security Exchange Name | NYSE | |
Depositary Shares, Each Representing a 1/1,000th Interest in a Share of 6.000% Non-Cumulative Preferred Stock, Series G, par value $0.01 per share | ||
Title of 12(b) Security | Depositary Shares, Each Representing a 1/1,000th Interest in a Share of 6.000% Non-Cumulative Preferred Stock, Series G, par value $0.01 per share | |
Trading Symbol | HIG PR G | |
Security Exchange Name | NYSE |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Revenues | ||||
Earned premiums | $ 5,220 | $ 4,810 | $ 10,283 | $ 9,461 |
Fee income | 328 | 341 | 647 | 703 |
Net investment income | 540 | 541 | 1,055 | 1,050 |
Net realized losses | (64) | (338) | (71) | (483) |
Other revenues | 25 | 19 | 45 | 35 |
Total revenues | 6,049 | 5,373 | 11,959 | 10,766 |
Benefits, losses and expenses | ||||
Benefits, losses and loss adjustment expenses | 3,580 | 3,074 | 7,062 | 6,194 |
Amortization of deferred policy acquisition costs ("DAC") | 502 | 450 | 993 | 887 |
Insurance operating costs and other expense | 1,225 | 1,225 | 2,441 | 2,435 |
Interest expense | 50 | 51 | 100 | 113 |
Amortization of other intangible assets | 17 | 17 | 35 | 35 |
Restructuring and other costs | 3 | 2 | 3 | 7 |
Total benefits, losses and expenses | 5,377 | 4,819 | 10,634 | 9,671 |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | 672 | 554 | 1,325 | 1,095 |
Income tax expense | 125 | 110 | 243 | 208 |
Net income | 547 | 444 | 1,082 | 887 |
Preferred stock dividends | 5 | 5 | 10 | 10 |
Net income available to common stockholders | $ 542 | $ 439 | $ 1,072 | $ 877 |
EPS | ||||
Basic | $ 1.75 | $ 1.34 | $ 3.44 | $ 2.66 |
Diluted | $ 1.73 | $ 1.32 | $ 3.39 | $ 2.62 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 547 | $ 444 | $ 1,082 | $ 887 |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | ||||
Change in net unrealized gain (loss) on fixed maturities, available for sale ("AFS") | (269) | (1,597) | 317 | (3,489) |
Change in unrealized losses on fixed maturities for which an allowance for credit losses has been recorded | 3 | 0 | (3) | 0 |
Changes in net gain on cash flow hedging instruments | (17) | 25 | (9) | 24 |
Change in foreign currency translation adjustments | 3 | (8) | 5 | (8) |
Liability for Future Policy Benefits and Unpaid Claims and Claims Adjustment Expense | 5 | 29 | (3) | 72 |
Change in pension and other postretirement plan adjustments | 5 | 12 | 10 | 24 |
Other comprehensive income (loss), net of tax | (270) | (1,539) | 317 | (3,377) |
Comprehensive income (loss) | $ 277 | $ (1,095) | $ 1,399 | $ (2,490) |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Investments: | ||
Fixed maturities, AFS, at fair value (amortized cost of $40,411 and $39,533, and ACL of $18 and $12) | $ 37,497 | $ 36,231 |
Fixed maturities, at fair value using the fair value option ("FVO") | 320 | 333 |
Equity securities, at fair value | 895 | 1,801 |
Mortgage loans (net of ACL of $41 and $36) | 6,020 | 6,000 |
Limited partnerships and other alternative investments | 4,527 | 4,177 |
Other investments | 173 | 159 |
Short-term investments | 3,236 | 3,859 |
Total investments | 52,668 | 52,560 |
Cash | 150 | 229 |
Restricted cash | 72 | 115 |
Premiums receivable and agents' balances (net of ACL of $119 and $109) | 5,578 | 4,949 |
Reinsurance recoverables (net of allowance for uncollectible reinsurance of $110 and $105) | 6,912 | 6,964 |
Reinsurance recoverables (net of allowance for uncollectible reinsurance of $110 and $105) | 110 | 105 |
Deferred policy acquisition costs | 1,096 | 998 |
Deferred income taxes, net | 1,342 | 1,437 |
Goodwill | 1,911 | 1,911 |
Property and equipment, net | 884 | 927 |
Other intangible assets, net | 743 | 778 |
Other assets | 2,539 | 2,140 |
Total assets | 73,895 | 73,008 |
Liabilities | ||
Unpaid losses and loss adjustment expenses | 41,219 | 41,243 |
Other policyholder funds and benefits payable | 647 | 658 |
Unearned premiums | 8,589 | 7,815 |
Long-term debt | 4,360 | 4,357 |
Other liabilities | 4,439 | 4,757 |
Total liabilities | 59,743 | 59,332 |
Stockholders' Equity | ||
Preferred stock, $0.01 par value — 50,000,000 shares authorized, 13,800 shares issued at June 30, 2023 and December 31, 2022, aggregate liquidation preference of $345 | 334 | 334 |
Common Stock, Value, Issued | 3 | 3 |
Additional paid-in capital | 1,864 | 1,895 |
Retained earnings | 17,865 | 17,058 |
Treasury Stock, Value | (2,390) | (1,773) |
Accumulated other comprehensive income (loss) ("AOCI"), net of tax | (3,524) | (3,841) |
Total stockholders’ equity | 14,152 | 13,676 |
Total liabilities and stockholders’ equity | $ 73,895 | $ 73,008 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) shares in Thousands, $ in Millions | Total | Preferred Stock [Member] | Common Stock | Additional Paid-in Capital | Retained Earnings | AOCI Attributable to Parent [Member] | Treasury Stock, Common | Share-based Payment Arrangement [Member] Treasury Stock, Common |
Beginning balance at Dec. 31, 2021 | $ 17,805 | $ 3,309 | $ 15,770 | $ 128 | $ (1,740) | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Issuance of shares under incentive and stock compensation plans and other | (122) | |||||||
Stock-based compensation plans expense | 77 | |||||||
Net income | 887 | 887 | ||||||
Dividends declared on preferred stock | (10) | (10) | ||||||
Dividends declared on common stock | (253) | |||||||
Treasury stock acquired | (850) | (850) | ||||||
Issuance of shares under incentive and stock compensation plans from treasury stock and other | $ 142 | |||||||
Net shares acquired related to employee incentive and stock compensation plans | (54) | |||||||
Total other comprehensive income (loss) | (3,377) | |||||||
Ending balance at Jun. 30, 2022 | $ 14,245 | $ 334 | $ 4 | 3,264 | 16,394 | (3,249) | (2,502) | |
Preferred Stock, Shares Outstanding, Ending Balance at Jun. 30, 2022 | 13,800 | |||||||
Common Shares Outstanding, beginning of period at Dec. 31, 2021 | 334,926 | |||||||
Shares Granted or Issued, Share-based Payment Arrangement [Abstract] | ||||||||
Treasury stock acquired | (12,000) | (12,037) | ||||||
Issuance of shares under incentive and stock compensation plans and other | 2,621 | |||||||
Return of shares under incentive and stock compensation plans to treasury stock | (765) | |||||||
Common Shares Outstanding, at end of period at Jun. 30, 2022 | 324,745 | |||||||
Shares Granted or Issued, Share-based Payment Arrangement [Abstract] | ||||||||
Cash dividends declared per common share | $ 0.770 | |||||||
Cash dividends declared per preferred share | $ 750 | |||||||
Beginning balance at Mar. 31, 2022 | 3,249 | 16,081 | (1,710) | (2,068) | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Issuance of shares under incentive and stock compensation plans and other | (7) | |||||||
Stock-based compensation plans expense | 22 | |||||||
Net income | $ 444 | 444 | ||||||
Dividends declared on preferred stock | (5) | (5) | ||||||
Dividends declared on common stock | (126) | |||||||
Treasury stock acquired | (450) | |||||||
Issuance of shares under incentive and stock compensation plans from treasury stock and other | 18 | |||||||
Net shares acquired related to employee incentive and stock compensation plans | (2) | |||||||
Total other comprehensive income (loss) | (1,539) | |||||||
Ending balance at Jun. 30, 2022 | $ 14,245 | $ 334 | $ 4 | 3,264 | 16,394 | (3,249) | (2,502) | |
Preferred Stock, Shares Outstanding, Ending Balance at Jun. 30, 2022 | 13,800 | |||||||
Common Shares Outstanding, beginning of period at Mar. 31, 2022 | 330,709 | |||||||
Shares Granted or Issued, Share-based Payment Arrangement [Abstract] | ||||||||
Treasury stock acquired | (6,355) | |||||||
Issuance of shares under incentive and stock compensation plans and other | 411 | |||||||
Return of shares under incentive and stock compensation plans to treasury stock | (20) | |||||||
Common Shares Outstanding, at end of period at Jun. 30, 2022 | 324,745 | |||||||
Shares Granted or Issued, Share-based Payment Arrangement [Abstract] | ||||||||
Cash dividends declared per common share | $ 0.385 | |||||||
Cash dividends declared per preferred share | $ 375 | |||||||
Beginning balance at Dec. 31, 2022 | $ 13,676 | 1,895 | 17,058 | (3,841) | (1,773) | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Issuance of shares under incentive and stock compensation plans and other | (119) | |||||||
Stock-based compensation plans expense | 88 | |||||||
Net income | 1,082 | 1,082 | ||||||
Dividends declared on preferred stock | (10) | (10) | ||||||
Dividends declared on common stock | (265) | |||||||
Treasury stock acquired | (700) | (707) | ||||||
Issuance of shares under incentive and stock compensation plans from treasury stock and other | 139 | |||||||
Net shares acquired related to employee incentive and stock compensation plans | (49) | |||||||
Total other comprehensive income (loss) | 317 | |||||||
Ending balance at Jun. 30, 2023 | $ 14,152 | $ 334 | $ 3 | 1,864 | 17,865 | (3,524) | (2,390) | |
Preferred Stock, Shares Outstanding, Ending Balance at Jun. 30, 2023 | 13,800 | |||||||
Common Shares Outstanding, beginning of period at Dec. 31, 2022 | 315,111 | |||||||
Shares Granted or Issued, Share-based Payment Arrangement [Abstract] | ||||||||
Treasury stock acquired | (9,700) | (9,727) | ||||||
Issuance of shares under incentive and stock compensation plans and other | 2,312 | |||||||
Return of shares under incentive and stock compensation plans to treasury stock | (625) | |||||||
Common Shares Outstanding, at end of period at Jun. 30, 2023 | 307,071 | |||||||
Shares Granted or Issued, Share-based Payment Arrangement [Abstract] | ||||||||
Cash dividends declared per common share | $ 0.850 | |||||||
Cash dividends declared per preferred share | $ 750 | |||||||
Beginning balance at Mar. 31, 2023 | 1,847 | 17,454 | (3,254) | (2,044) | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Issuance of shares under incentive and stock compensation plans and other | (5) | |||||||
Stock-based compensation plans expense | 22 | |||||||
Net income | $ 547 | 547 | ||||||
Dividends declared on preferred stock | (5) | (5) | ||||||
Dividends declared on common stock | (131) | |||||||
Treasury stock acquired | (353) | |||||||
Issuance of shares under incentive and stock compensation plans from treasury stock and other | $ 7 | |||||||
Net shares acquired related to employee incentive and stock compensation plans | 0 | |||||||
Total other comprehensive income (loss) | (270) | |||||||
Ending balance at Jun. 30, 2023 | $ 14,152 | $ 334 | $ 3 | $ 1,864 | $ 17,865 | $ (3,524) | $ (2,390) | |
Preferred Stock, Shares Outstanding, Ending Balance at Jun. 30, 2023 | 13,800 | |||||||
Common Shares Outstanding, beginning of period at Mar. 31, 2023 | 311,780 | |||||||
Shares Granted or Issued, Share-based Payment Arrangement [Abstract] | ||||||||
Treasury stock acquired | (5,008) | |||||||
Issuance of shares under incentive and stock compensation plans and other | 307 | |||||||
Return of shares under incentive and stock compensation plans to treasury stock | (8) | |||||||
Common Shares Outstanding, at end of period at Jun. 30, 2023 | 307,071 | |||||||
Shares Granted or Issued, Share-based Payment Arrangement [Abstract] | ||||||||
Cash dividends declared per common share | $ 0.425 | |||||||
Cash dividends declared per preferred share | $ 375 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Operating Activities | ||
Net income | $ 1,082 | $ 887 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities | ||
Net realized losses | 71 | 483 |
Amortization of deferred policy acquisition costs | 993 | 887 |
Additions to deferred policy acquisition costs | (1,091) | (978) |
Depreciation and amortization | 258 | 338 |
Gain (Loss) on Extinguishment of Debt | 0 | 9 |
Other operating activities, net | 147 | 29 |
Additional Cash Flow Elements, Operating Activities | ||
Increase (Decrease) in Reinsurance Recoverable | 42 | (203) |
Net change in accrued and deferred income taxes | (249) | (127) |
Increase in insurance liabilities | 731 | 1,006 |
Increase (Decrease) in Premiums Receivable | (660) | (580) |
Net change in other assets and other liabilities | (502) | (348) |
Net cash provided by operating activities | 822 | 1,403 |
Proceeds from the sale/maturity/prepayment of: | ||
Fixed maturities, AFS | 3,507 | 10,047 |
Fixed maturities, FVO | 1 | 1 |
Equity securities, at fair value | 1,856 | 350 |
Mortgage loans | 562 | 700 |
Limited partnership and other alternative investments | 147 | 140 |
Payments for the purchase of: | ||
Fixed maturities, AFS | (4,441) | (9,644) |
Payments for the purchase of Fair Value Option Fixed Maturity Securties | 0 | (216) |
Equity securities, at fair value | (916) | (472) |
Mortgage loans | (587) | (1,176) |
Limited partnership and other alternative investments | (545) | (541) |
Payments for (Proceeds from) Derivative Instrument, Investing Activities | 37 | (52) |
Net additions of property and equipment | (99) | (77) |
Net proceeds from short-term investments | 614 | 1,207 |
Other investing activities, net | (9) | 16 |
Net cash provided by investing activities | 53 | 387 |
Financing Activities | ||
Deposits and other additions to investment and universal life-type contracts | 48 | 46 |
Withdrawals and other deductions from investment and universal life-type contracts | (49) | (68) |
Repayments of Short-Term Debt | 0 | (600) |
ProceedsPaymentsIssuanceReturnOfSharesUnderIncentiveAndShareBasedCompensationPlans | (25) | (34) |
Treasury stock acquired | (700) | (850) |
Dividends paid on preferred stock | (10) | (10) |
Dividends paid on common stock | (268) | (257) |
Net cash used for financing activities | (1,004) | (1,773) |
Effect of Exchange Rate on Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Including Disposal Group and Discontinued Operations | 7 | (6) |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total | (122) | 11 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 344 | 337 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 222 | 348 |
Supplemental Disclosure of Cash Flow Information | ||
Income tax paid | 470 | 279 |
Interest paid | $ 103 | $ 116 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets Parentheticals - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Debt Securities, Available-for-sale, Amortized Cost | $ 40,411 | $ 39,533 |
Debt Securities, Available-for-Sale, Allowance for Credit Loss | 18 | 12 |
ACL | (119) | (109) |
Reinsurance recoverables (net of allowance for uncollectible reinsurance of $110 and $105) | $ (110) | $ (105) |
Preferred Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Preferred Stock, Shares Authorized | 50,000,000 | 50,000,000 |
Preferred Stock, Shares Issued | 13,800,000 | 13,800,000 |
Preferred Stock, Liquidation Preference, Value | $ 345 | $ 345 |
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 |
Common Stock, Shares Authorized | 1,500,000,000 | 1,500,000,000 |
Common Stock, Shares, Issued | 344,960,228 | 344,960,228 |
Treasury Stock, Common, Shares | 37,889,534 | 29,848,980 |
Commercial Loan [Member] | ||
Financing Receivable, Allowance for Credit Loss | $ 41 | $ 36 |
Basis of Presentation and Signi
Basis of Presentation and Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Accounting Policies | 1. BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The Hartford Financial Services Group, Inc. is a holding company for insurance and financial services subsidiaries that provide property and casualty insurance, group life and disability products and mutual funds and exchange-traded funds ("ETF") to individual and business customers in the United States as well as in the United Kingdom and other international locations (collectively, “The Hartford”, the “Company”, “we” or “our”). The Condens ed Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information, which differ materially from the accounting practices prescribed by various insurance regulatory authorities. These Condensed Consolidated Financial Statements and Notes should be read in conjunction with the Consolidated Financial Statements and Notes thereto included in the Company's 2022 Form 10-K Annual Report. The results of operations for interim periods are not necessarily indicative of the results that may be expected for the full year. The accompanying Condensed Consolidated Financial Statements and Notes are unaudited. These financial statements reflect all adjustments (generally consisting only of normal accruals) which are, in the opinion of management, necessary for the fair statement of the financial position, results of operations and cash flows for the interim periods. The Company's significant accounting policies are summarized in Note 1 - Basis of Presentation and Significant Accounting Policies of Notes to Consolidated Financial Statements included in the Company's 2022 Form 10-K Annual Report. Consolidation The Condensed Consolidated Financial Statements include the accounts of The Hartford Financial Services Group, Inc., and entities in which the Company directly or indirectly has a controlling financial interest. Entities in which the Company has significant influence over the operating and financing decisions but does not control are reported using the equity method. Intercompany transactions and balances between The Hartford and its subsidiaries and affiliates have been eliminated. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The most significant estimates include those used in determining property and casualty and group long-term disability insurance product reserves, net of reinsurance; evaluation of goodwill for impairment; valuation of investments and derivative instruments; and contingencies relating to corporate litigation and regulatory matters. Reclassifications Certain reclassifications have been made to prior period financial information to conform to the current period presentation. Adoption of New Accounting Standards Reserve for Future Policy Benefits On January 1, 2023, the Company adopted the Financial Accounting Standard Board's ("FASB") updated guidance on accounting for long duration insurance contracts, which was applied on a modified retrospective basis as of January 1, 2021. The new guidance requires the discount rate assumption to be updated, as of the transition date and quarterly going forward, to a current upper-medium grade fixed-income investment yield, which has been interpreted to represent a yield based on single-A credit rated fixed maturity instruments with similar duration to the liability. The new guidance also eliminated the requirement to adjust the reserve for future policy benefits for unrealized gains and losses on fixed maturity investments as if those unrealized gains and losses were realized (referred to as shadow reserves). The change in the reserve estimate resulting from updating the discount rate assumptions and eliminating shadow reserves was recognized as a net cumulative effect adjustment that increased the reserve for future policy benefits by $85 and decreased AOCI by $65, net of deferred tax effects as of January 1, 2021. The new guidance also requires that underlying cash flow assumptions (i.e., mortality, lapse and expense) in the reserve for future policy benefits be based on best estimate assumptions. The adjustments to the reserve for future policy benefits at adoption resulted in establishing a deferred profit liability ("DPL") on limited pay contracts of $18 representing the estimated profits based on best estimate cash flow assumptions. The effect of adopting this guidance on the Company’s reserve for future policy benefits was as follows: Impact of Adoption on Reserve for Future Policy Benefits Payout Annuities Life Conversions Paid-up Life DPL Other Total Reserve for Future Policy Benefits as of December 31, 2020 $ 189 $ 94 $ 267 $ — $ 88 $ 638 Adjustments: Removal of shadow reserve [1] (26) — — — — (26) Update cash flow assumptions and establish DPL (16) — (2) 18 — — Effect of measurement at current single-A rate [1] 59 21 29 — 2 111 Total Adjustments 17 21 27 18 2 85 Reserve for Future Policy Benefits as of January 1, 2021 206 115 294 18 90 723 Change in reserves due to changes in the single-A rate (11) (7) (15) — — (33) Other changes in reserves (7) (14) (17) 2 (8) (44) Reserve for Future Policy Benefits as of December 31, 2021 $ 188 $ 94 $ 262 $ 20 $ 82 $ 646 [1] These changes were reflected as an adjustment to opening AOCI as of January 1, 2021, with a corresponding deferred tax benefit and increase in reinsurance recoverables of $18 and $2, respectively, resulting in a net decrease to AOCI of $65. The effect of adopting this guidance on the Company’s Condensed Consolidated Balance Sheets as of January 1, 2021 as well as December 31, 2022 and 2021, Condensed Consolidated Statements of Operations and Condensed Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2022 was as follows: Impact of Adoption on Condensed Consolidated Balance Sheets As of December 31, 2022 As of December 31, 2021 As of January 1, 2021 As previously reported Effect of change As currently reported As previously reported Effect of change As currently reported Balance prior to adoption Effect of change As currently reported Reinsurance recoverables $ 6,966 $ (2) $ 6,964 $ 6,523 $ 1 $ 6,524 $ 6,011 $ 2 $ 6,013 Deferred income taxes, net $ 1,449 $ (12) $ 1,437 $ 270 $ 11 $ 281 $ 46 $ 18 $ 64 Reserve for future policy benefits $ 561 $ (59) $ 502 $ 596 $ 50 $ 646 $ 638 $ 85 $ 723 Retained earnings $ 17,048 $ 10 $ 17,058 $ 15,764 $ 6 $ 15,770 $ 13,918 $ — $ 13,918 AOCI $ (3,876) $ 35 $ (3,841) $ 172 $ (44) $ 128 $ 1,170 $ (65) $ 1,105 Total stockholders' equity $ 13,631 $ 45 $ 13,676 $ 17,843 $ (38) $ 17,805 $ 18,556 $ (65) $ 18,491 Impact of Adoption on Condensed Consolidated Statements of Operations Three Months Ended June 30, 2022 Six Months Ended June 30, 2022 As previously reported Effect of change As currently reported As previously reported Effect of change As currently reported Benefits, losses and loss adjustment expenses $ 3,076 $ (2) $ 3,074 $ 6,194 $ — $ 6,194 Income before income taxes $ 552 $ 2 $ 554 $ 1,095 $ — $ 1,095 Income tax expense $ 110 $ — $ 110 $ 208 $ — $ 208 Net income $ 442 $ 2 $ 444 $ 887 $ — $ 887 Net income available to common stockholders $ 437 $ 2 $ 439 $ 877 $ — $ 877 Net income available to common stockholders per common share Basic $ 1.33 $ 0.01 $ 1.34 $ 2.66 $ — $ 2.66 Diluted $ 1.32 $ — $ 1.32 $ 2.62 $ — $ 2.62 Impact of Adoption on Condensed Consolidated Statements of Comprehensive Income Three Months Ended June 30, 2022 Six Months Ended June 30, 2022 As previously reported Effect of change As currently reported As previously reported Effect of change As currently reported Change in net unrealized gain (loss) on fixed maturities, AFS $ (1,592) $ (5) $ (1,597) $ (3,474) $ (15) $ (3,489) Change in liability for future policy benefits adjustments $ — $ 29 $ 29 $ — $ 72 $ 72 Other comprehensive loss, net of tax $ (1,563) $ 24 $ (1,539) $ (3,434) $ 57 $ (3,377) Comprehensive loss $ (1,121) $ 26 $ (1,095) $ (2,547) $ 57 $ (2,490) SIGNIFICANT ACCOUNTING POLICIES Reserve for Future Policy Benefits The Company’s reserves for future policy benefits includes paid-up life insurance and whole-life policies resulting from conversion from group life policies included within the Group Benefits segment and reserves for run-off structured settlement and terminal funding agreement liabilities, which are reported in the Corporate category. Contracts are grouped into cohorts by contract type and issue year. The Company establishes reserves for future policy benefits using the net premium approach, which represents the present value of future policyholder benefits and related expenses less the present value of future net premiums. Net premiums are calculated by multiplying gross premiums for the contracts in a specific cohort by a net premium ratio. The net premium ratio is determined for the lifetime of a given cohort as the present value of net benefits divided by the present value of gross premiums. Related expenses include termination and settlement costs and exclude acquisition costs and non-claim related costs, such as costs relating to investments, general administration, policy maintenance, product development, market research and general overhead or any other costs, which are expensed as incurred. The Company estimates premiums, benefits and related expense cash flows using methods that include assumptions, such as estimates of mortality, lapse, and claim-related expenses, and the possible impact of inflation on those expenses. Benefits include all guaranteed cash flows to be paid to the policyholder. The reserve for future policy benefits is adjusted for differences between actual and expected experience. Each quarter, the Company updates its estimates of cash flows expected over the life of a group of contracts using actual historical experience. These updated cash flows are used to calculate the revised net premiums and net premium ratio, which are used to derive an updated reserve for future policy benefits. In subsequent periods, the revised net premiums are used to measure the reserve for future policy benefits, subject to future revisions. Future cash flow assumptions, including mortality, lapse and expense are reviewed and, if a change is indicated, updated at least annually in the third quarter. The difference between the newly calculated reserve balance and the reserve balance before updating for actual experience and/or future cash flow assumptions is the remeasurement gain or loss, which is immaterial for the three and six months ended June 30, 2023 and 2022, and is presented in benefits losses and loss adjustments expense in the Condensed Consolidated Statements of Operations. Changes to the reserve due to updates to cash flow assumptions discounted at the discount rate used immediately prior to transition are recognized on a catch-up basis in the Condensed Consolidated Statement of Operations. The discount rate assumption is an equivalent single rate that is based on a current market observable, upper-medium grade fixed maturity yield. This has been interpreted to represent a yield based on single-A credit rated fixed maturity instruments with similar duration to the liability. The Company uses the yield of a market observable index of single-A credit rated fixed maturities as the basis for setting the discount rate. The discount rate assumption is updated quarterly and the change in the reserve estimate resulting from updating the discount rate assumption is recognized in other comprehensive income. |
Earnings Per Common Share
Earnings Per Common Share | 6 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
Earnings Per Common Share | 2. EARNINGS PER COMMON SHARE Computation of Basic and Diluted Earnings per Common Share Three Months Ended June 30, Six Months Ended June 30, (In millions, except for per share data) 2023 2022 2023 2022 Earnings Net income $ 547 $ 444 $ 1,082 $ 887 Less: Preferred stock dividends 5 5 10 10 Net income available to common stockholders $ 542 $ 439 $ 1,072 $ 877 Shares Weighted average common shares outstanding, basic 309.4 327.4 311.7 329.9 Dilutive effect of stock-based awards under compensation plans 3.9 4.4 4.3 4.7 Weighted average common shares outstanding and dilutive potential common shares 313.3 331.8 316.0 334.6 Net income available to common stockholders per common share Basic $ 1.75 $ 1.34 $ 3.44 $ 2.66 Diluted $ 1.73 $ 1.32 $ 3.39 $ 2.62 |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2023 | |
Segment Reporting [Abstract] | |
Segment Information | 3. SEGMENT INFORMATION The Company currently conducts business principally in five reporting segments including Commercial Lines, Personal Lines, Property & Casualty ("P&C") Other Operations, Group Benefits and Hartford Funds, as well as a Corporate category. Net Income (Loss) Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Commercial Lines $ 458 $ 389 $ 879 $ 772 Personal Lines (60) 6 (61) 83 Property & Casualty Other Operations 9 (20) 15 (12) Group Benefits 121 106 213 98 Hartford Funds 45 34 86 76 Corporate (26) (71) (50) (130) Net income 547 444 1,082 887 Preferred stock dividends 5 5 10 10 Net income available to common stockholders $ 542 $ 439 $ 1,072 $ 877 Revenues Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Earned premiums and fee income: Commercial Lines Workers’ compensation $ 924 $ 869 $ 1,822 $ 1,704 Liability 502 453 988 877 Marine 66 54 125 115 Package business 514 449 998 884 Property 244 212 472 402 Professional liability 196 182 384 360 Bond 80 77 157 149 Assumed reinsurance 143 118 281 218 Automobile 227 211 445 411 Total Commercial Lines 2,896 2,625 5,672 5,120 Personal Lines Automobile 528 502 1,043 1,001 Homeowners 239 231 471 460 Total Personal Lines [1] 767 733 1,514 1,461 Group Benefits Group disability 878 828 1,744 1,634 Group life 650 599 1,293 1,196 Other 102 90 202 177 Total Group Benefits 1,630 1,517 3,239 3,007 Hartford Funds Mutual fund and ETF 226 243 449 508 Third-party life and annuity separate accounts 18 20 36 42 Total Hartford Funds 244 263 485 550 Corporate 11 13 20 26 Total earned premiums and fee income 5,548 5,151 10,930 10,164 Net investment income 540 541 1,055 1,050 Net realized losses (64) (338) (71) (483) Other revenues 25 19 45 35 Total revenues $ 6,049 $ 5,373 $ 11,959 $ 10,766 [1] For the three months ended June 30, 2023 and 2022, AARP members accounted for earned premiums of $710 and $675, respectively. For the six months ended June 30, 2023 and 2022, AARP members accounted for earned premiums of $1.40 billion and $1.34 billion, respectively. Non-Insurance Revenue from Contracts with Customers Three Months Ended June 30, Six Months Ended June 30, Revenue Line Item 2023 2022 2023 2022 Commercial Lines Installment billing fees Fee income $ 10 $ 10 $ 20 $ 19 Personal Lines Installment billing fees Fee income 7 7 15 15 Insurance servicing revenues Other revenues 24 19 43 36 Group Benefits Administrative services Fee income 56 48 107 93 Hartford Funds Advisory, servicing and distribution fees Fee income 244 263 485 550 Corporate Investment management and other fees Fee income 11 13 20 26 Other Other revenues — 1 — 1 Total non-insurance revenues with customers $ 352 $ 361 $ 690 $ 740 |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 4. FAIR VALUE MEASUREMENTS The Company carries certain financial assets and liabilities at estimated fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market in an orderly transaction between market participants. Our fair value framework includes a hierarchy that gives the highest priority to the use of quoted prices in active markets, followed by the use of market observable inputs, followed by the use of unobservable inputs. The fair value hierarchy levels are as follows: Level 1 Fair values based primarily on unadjusted quoted prices for identical assets or liabilities, in active markets that the Company has the ability to access at the measurement date. Level 2 Fair values primarily based on observable inputs, other than quoted prices included in Level 1, or based on prices for similar assets and liabilities. Level 3 Fair values derived when one or more of the significant inputs are unobservable (including assumptions about risk). With little or no observable market, the determination of fair values uses considerable judgment and represents the Company’s best estimate of an amount that could be realized in a market exchange for the asset or liability. Also included are securities that are traded within illiquid markets and/or priced by independent brokers. The Company will classify the financial asset or liability by level based upon the lowest level input that is significant to the determination of the fair value. In most cases, both observable inputs (e.g., changes in interest rates) and unobservable inputs (e.g., changes in risk assumptions) are used to determine fair values that the Company has classified within Level 3. Assets and (Liabilities) Carried at Fair Value by Hierarchy Level as of June 30, 2023 Total Quoted Prices in Significant Significant Assets accounted for at fair value on a recurring basis Fixed maturities, AFS Asset backed securities ("ABS") $ 2,685 $ — $ 2,685 $ — Collateralized loan obligations ("CLO") 2,981 — 2,896 85 Commercial mortgage-backed securities ("CMBS") 3,227 — 2,989 238 Corporate 16,096 — 14,474 1,622 Foreign government/government agencies 539 — 539 — Municipal 6,226 — 6,226 — Residential mortgage-backed securities ("RMBS") 3,729 — 3,660 69 U.S. Treasuries 2,014 — 2,014 — Total fixed maturities, AFS 37,497 — 35,483 2,014 Fixed maturities, FVO 320 — 157 163 Equity securities, at fair value 895 357 479 59 Derivative assets Foreign exchange derivatives 5 — 5 — Interest rate derivatives 1 — 1 — Total derivative assets [1] 6 — 6 — Short-term investments 3,236 1,749 1,301 186 Total assets accounted for at fair value on a recurring basis $ 41,954 $ 2,106 $ 37,426 $ 2,422 Liabilities accounted for at fair value on a recurring basis Derivative liabilities Credit derivatives $ (71) $ — $ (71) $ — Foreign exchange derivatives 33 — 33 — Interest rate derivatives (3) — (3) — Total derivative liabilities [2] (41) — (41) — Total liabilities accounted for at fair value on a recurring basis $ (41) $ — $ (41) $ — Assets and (Liabilities) Carried at Fair Value by Hierarchy Level as of December 31, 2022 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets accounted for at fair value on a recurring basis Fixed maturities, AFS ABS $ 1,941 $ — $ 1,911 $ 30 CLO 2,941 — 2,826 115 CMBS 3,368 — 3,146 222 Corporate 15,233 — 13,644 1,589 Foreign government/government agencies 547 — 547 — Municipal 6,296 — 6,296 — RMBS 3,708 — 3,613 95 U.S. Treasuries 2,197 — 2,197 — Total fixed maturities, AFS 36,231 — 34,180 2,051 Fixed maturities, FVO 333 — 155 178 Equity securities, at fair value 1,801 1,261 479 61 Derivative assets Credit derivatives 2 — 2 — Foreign exchange derivatives 32 — 32 — Total derivative assets [1] 34 — 34 — Short-term investments 3,859 1,429 2,237 193 Total assets accounted for at fair value on a recurring basis $ 42,258 $ 2,690 $ 37,085 $ 2,483 Liabilities accounted for at fair value on a recurring basis Derivative liabilities Credit derivatives $ (2) $ — $ (2) $ — Foreign exchange derivatives 21 — 21 — Interest rate derivatives (6) — (6) — Total derivative liabilities [2] 13 — 13 — Total liabilities accounted for at fair value on a recurring basis $ 13 $ — $ 13 $ — [1] Includes derivative instruments in a net positive fair value position after consideration of the accrued interest and impact of collateral posting requirements which may be imposed by agreements and applicable law. See footnote 2 to this table for derivative liabilities. [2] Includes derivative instruments in a net negative fair value position (derivative liability) after consideration of the accrued interest and impact of collateral posting requirements which may be imposed by agreements and applicable law. The Company has overseas deposits included in other investments of $70 and $62 as of June 30, 2023 and December 31, 2022, respectively, which are measured at fair value using the net asset value as a practical expedient. Fixed Maturities, Equity Securities, Short-term Investments, and Derivatives Valuation Techniques The Company generally determines fair values using valuation techniques that use prices, rates, and other relevant information evident from market transactions involving identical or similar instruments. Valuation techniques also include, where appropriate, estimates of future cash flows that are converted into a single discounted amount using current market expectations. The Company uses a "waterfall" approach comprised of the following pricing sources and techniques, which are listed in priority order: • Quoted prices, unadjusted, for identical assets or liabilities in active markets, which are classified as Level 1. • Prices from third-party pricing services, which primarily utilize a combination of techniques. These services utilize recently reported trades of identical, similar, or benchmark securities making adjustments for market observable inputs available through the reporting date. If there are no recently reported trades, they may use a discounted cash flow technique to develop a price using expected cash flows based upon the anticipated future performance of the underlying collateral discounted at an estimated market rate. Both techniques develop prices that consider the time value of future cash flows and provide a margin for risk, including liquidity and credit risk. Most prices provided by third-party pricing services are classified as Level 2 because the inputs used in pricing the securities are observable. However, some securities that are less liquid or trade less actively are classified as Level 3. Additionally, certain long-dated securities, such as municipal securities and bank loans, include benchmark interest rate or credit spread assumptions that are not observable in the marketplace and are thus classified as Level 3. • Internal matrix pricing is a valuation process internally developed for private placement securities for which the Company is unable to obtain a price from a third-party pricing service. Internal pricing matrices determine credit spreads that, when combined with risk-free rates, are applied to contractual cash flows to develop a price. The Company develops credit spreads using market based data for public securities adjusted for credit spread differentials between public and private securities, which are obtained from a survey of multiple private placement brokers. The market-based reference credit spread considers the issuer’s sector, financial strength, and term to maturity, using an independent public security index, while the credit spread differential considers the non-public nature of the security. Securities priced using internal matrix pricing are classified as Level 2 because the significant inputs are observable or can be corroborated with observable data. • Independent broker quotes, which are typically non-binding, use inputs that can be difficult to corroborate with observable market-based data. Brokers may use present value techniques using assumptions specific to the security types, or they may use recent transactions of similar securities. Due to the lack of transparency in the process that brokers use to develop prices, valuations that are based on independent broker quotes are classified as Level 3. The fair value of derivative instruments is determined primarily using a discounted cash flow model or option model technique and incorporates counterparty credit risk. In some cases, quoted market prices for exchange-traded and over-the-counter ("OTC") cleared derivatives may be used and in other cases independent broker quotes may be used. The pricing valuation models primarily use inputs that are observable in the market or can be corroborated by observable market data. The valuation of certain derivatives may include significant inputs that are unobservable, such as volatility levels, and reflect the Company’s view of what other market participants would use when pricing such instruments. Valuation Controls The process for determining the fair value of investments is monitored by the Valuation Committee, which is a cross-functional group of senior management within the Company. The purpose of the Valuation Committee is to provide oversight of the pricing policy, procedures, and controls, including approval of valuation methodologies and pricing sources. The Valuation Committee reviews market data trends, pricing statistics and trading statistics to ensure that prices are reasonable and consistent with our fair value framework. Controls and procedures used to assess third-party pricing services are reviewed by the Valuation Committee, including the results of annual due-diligence reviews. Controls include, but are not limited to, reviewing daily and monthly price changes, stale prices, and missing prices and comparing new trade prices to third-party pricing services, weekly price changes to published bond index prices, and daily OTC derivative market valuations to counterparty valuations. The Company has a dedicated pricing group that works with trading and investment professionals to challenge prices received by a third-party pricing source if the Company believes that the valuation received does not accurately reflect the fair value. New valuation models and changes to current models require approval by the Valuation Committee. In addition, the Company’s enterprise-wide Operational Risk Management function provides an independent review of the suitability and reliability of model inputs, as well as an analysis of significant changes to current models. Valuation Inputs Quoted prices for identical assets in active markets are considered Level 1 and consist of on-the-run U.S. Treasuries, money market funds, exchange-traded equity securities, open-ended mutual funds, certain short-term investments, and exchange traded derivative instruments. Valuation Inputs Used in Levels 2 and 3 Measurements for Securities and Derivatives Level 2 Primary Observable Inputs Level 3 Primary Unobservable Inputs Fixed Maturity Investments Structured securities (includes ABS, CLO, CMBS and RMBS) • Benchmark yields and spreads Other inputs for ABS, CLO, and RMBS: • Independent broker quotes • Credit spreads beyond observable curve • Interest rates beyond observable curve Other inputs for less liquid securities or those that trade less actively, including subprime RMBS: • Estimated cash flows • Credit spreads, which include illiquidity premium • Constant prepayment rates • Constant default rates • Loss severity Corporates • Benchmark yields and spreads • Reported trades, bids, offers of the same or similar securities • Issuer spreads and credit default swap curves Other inputs for investment grade privately placed securities that utilize internal matrix pricing: • Credit spreads for public securities of similar quality, maturity, and sector, adjusted for non-public nature • Independent broker quotes Other inputs for below investment grade privately placed securities and private bank loans: U.S. Treasuries, Municipals, and Foreign government/government agencies • Benchmark yields and spreads • Credit spreads beyond observable curve Equity Securities • Quoted prices in markets that are not active • For privately traded equity securities, internal discounted cash flow models utilizing earnings multiples or other cash flow assumptions that are not observable Short-term Investments • Benchmark yields and spreads • Reported trades, bids, offers • Issuer spreads and credit default swap curves • Material event notices and new issue money market rates • Independent broker quotes Derivatives Credit derivatives • Swap yield curve • Credit default swap curves • Not applicable Foreign exchange derivatives • Swap yield curve • Currency spot and forward rates • Cross currency basis curves • Not applicable Interest rate derivatives • Swap yield curve • Not applicable Significant Unobservable Inputs for Level 3 - Securities Assets accounted for at fair value on a recurring basis Fair Predominant Significant Minimum Maximum Weighted Average [1] Impact of As of June 30, 2023 CLO $ 85 Discounted cash flows Spread 313 bps 313 bps 313 bps Decrease CMBS [3] $ 235 Discounted cash flows Spread (encompasses prepayment, default risk and loss severity) 349 bps 1,513 bps 491 bps Decrease Corporate [4] $ 1,577 Discounted cash flows Spread 63 bps 1,079 bps 360 bps Decrease RMBS $ 69 Discounted cash flows Spread [6] 54 bps 225 bps 133 bps Decrease Constant prepayment rate [6] 2% 10% 6% Decrease [5] Constant default rate [6] 1% 4% 2% Decrease Loss severity [6] 10% 100% 41% Decrease Short-term investments [3] $ 153 Discounted cash flows Spread 245 bps 577 bps 251 bps Decrease As of December 31, 2022 CLO $ 115 Discounted cash flows Spread 337 bps 337 bps 337 bps Decrease CMBS [3] $ 219 Discounted cash flows Spread (encompasses prepayment, default risk and loss severity) 419 bps 1,307 bps 527 bps Decrease Corporate [4] $ 1,541 Discounted cash flows Spread 77 bps 642 bps 360 bps Decrease RMBS [3] $ 65 Discounted cash flows Spread [6] 62 bps 249 bps 160 bps Decrease Constant prepayment rate [6] 1% 10% 7% Decrease [5] Constant default rate [6] 1% 4% 2% Decrease Loss severity [6] 10% 100% 38% Decrease [1] The weighted average is determined based on the fair value of the securities. [2] Conversely, the impact of a decrease in input would have the opposite impact to the fair value as that presented in the table. [3] Excludes securities for which the Company bases fair value on broker quotations. [4] Excludes securities for which the Company bases fair value on broker quotations; however, included are broker priced lower-rated private placement securities for which the Company receives spread and yield information to corroborate the fair value. [5] Decrease for above market rate coupons and increase for below market rate coupons. [6] Generally, a change in the assumption used for the constant default rate would have been accompanied by a directionally similar change in the assumption used for the loss severity and a directionally opposite change in the assumption used for constant prepayment rate and would have resulted in wider spreads. As of June 30, 2023 and December 31, 2022, the fair values of the Company's level 3 derivatives were less than $1 for both periods. The table above excludes certain securities for which fair values are predominately based on independent broker quotes. While the Company does not have access to the significant unobservable inputs that independent brokers may use in their pricing process, the Company believes brokers likely use inputs similar to those used by the Company and third-party pricing services to price similar instruments. As such, in their pricing models, brokers likely use estimated loss severity rates, prepayment rates, constant default rates and credit spreads. Therefore, similar to non-broker priced securities, increases in these inputs would generally cause fair values to decrease. As of June 30, 2023, no significant adjustments were made by the Company to broker prices received. Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs The Company uses derivative instruments to manage the risk associated with certain assets and liabilities. However, the derivative instrument may not be classified within the same fair value hierarchy level as the associated asset or liability. Fair Value Rollforwards for Financial Instruments Classified as Level 3 for the Total realized/unrealized gains (losses) Fair value as of March 31, 2023 Included in net income [1] Included in OCI [2] Purchases Settlements Sales Transfers into Level 3 [3] Transfers out of Level 3 [3] Fair value as of June 30, 2023 Assets Fixed maturities, AFS ABS $ 36 $ — $ — $ — $ — $ — $ — $ (36) $ — CLO 151 — — — (26) — — (40) 85 CMBS 231 (2) 7 2 (1) (5) 6 — 238 Corporate 1,643 (2) (3) 51 (30) (2) 4 (39) 1,622 RMBS 57 — — 19 (7) — — — 69 Total fixed maturities, AFS 2,118 (4) 4 72 (64) (7) 10 (115) 2,014 Fixed maturities, FVO 172 (5) — — (4) — — — 163 Equity securities, at fair value 60 (1) — — — — — — 59 Short-term investments 187 — — 3 (4) — — — 186 Total Assets $ 2,537 $ (10) $ 4 $ 75 $ (72) $ (7) $ 10 $ (115) $ 2,422 Fair Value Rollforwards for Financial Instruments Classified as Level 3 for the Total realized/unrealized gains (losses) Fair value as of January 1, 2023 Included in net income [1] Included in OCI [2] Purchases Settlements Sales Transfers into Level 3 [3] Transfers out of Level 3 [3] Fair value as of June 30, 2023 Assets Fixed Maturities, AFS ABS $ 30 $ — $ — $ 36 $ — $ — $ — $ (66) $ — CLO 115 — — 40 (30) — — (40) 85 CMBS 222 (2) 2 6 (1) (5) 16 — 238 Corporate 1,589 (1) 28 117 (81) (9) 31 (52) 1,622 RMBS 95 — — 19 (15) — — (30) 69 Total Fixed Maturities, AFS 2,051 (3) 30 218 (127) (14) 47 (188) 2,014 Fixed maturities, FVO 178 (13) — — (2) — — — 163 Equity Securities, at fair value 61 (2) — 1 (1) — — — 59 Short-term investments 193 — — 4 (11) — — — 186 Total Assets $ 2,483 $ (18) $ 30 $ 223 $ (141) $ (14) $ 47 $ (188) $ 2,422 Fair Value Rollforwards for Financial Instruments Classified as Level 3 for the Total realized/unrealized gains (losses) Fair value as of March 31, 2022 Included in net income [1] Included in OCI [2] Purchases Settlements Sales Transfers into Level 3 [3] Transfers out of Level 3 [3] Fair value as of June 30, 2022 Assets Fixed Maturities, AFS ABS $ 19 $ — $ — $ — $ — $ — $ — $ (19) $ — CLO 214 — (1) 28 (23) — — (54) 164 CMBS 236 — (10) — (2) — — — 224 Corporate 1,515 1 (99) 264 (62) (14) 21 (17) 1,609 Foreign Govt./Govt. Agencies 4 (1) (1) — — — 3 — 5 RMBS 301 — (4) — (30) — — (137) 130 Total Fixed Maturities, AFS 2,289 — (115) 292 (117) (14) 24 (227) 2,132 Fixed maturities, FVO 174 (13) — 35 (3) — — — 193 Equity Securities, at fair value 57 2 — 2 (1) — — — 60 Short-term investments 32 — — 32 (4) — — — 60 Total Assets $ 2,552 $ (11) $ (115) $ 361 $ (125) $ (14) $ 24 $ (227) $ 2,445 Fair Value Rollforwards for Financial Instruments Classified as Level 3 for the Total realized/unrealized gains (losses) Fair value as of January 1, 2022 Included in net income [1] Included in OCI [2] Purchases Settlements Sales Transfers into Level 3 [3] Transfers out of Level 3 [3] Fair value as of June 30, 2022 Assets Fixed Maturities, AFS ABS $ — $ — $ — $ 19 $ — $ — $ — $ (19) $ — CLO 257 — (2) 82 (40) — — (133) 164 CMBS 196 — (15) 46 (3) — — — 224 Corporate 1,618 (1) (158) 323 (132) (21) 21 (41) 1,609 Foreign Govt./Govt. Agencies 5 (1) (1) — — (1) 3 — 5 RMBS 328 — (10) 137 (64) — — (261) 130 Total Fixed Maturities, AFS 2,404 (2) (186) 607 (239) (22) 24 (454) 2,132 Fixed maturities, FVO 160 (11) — 55 (11) — — — 193 Equity Securities, at fair value 64 9 — 2 (15) — — — 60 Short-term investments 80 — — 36 (6) — — (50) 60 Total Assets $ 2,708 $ (4) $ (186) $ 700 $ (271) $ (22) $ 24 $ (504) $ 2,445 [1] Amounts in these columns are generally reported in net realized gains (losses). All amounts are before income taxes. [2] All amounts are before income taxes. [3] Transfers in and/or (out) of Level 3 are primarily attributable to the availability of market observable information and the re-evaluation of the observability of pricing inputs. Changes in Unrealized Gains (Losses) for Financial Instruments Classified as Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 2023 2022 2023 2022 Changes in Unrealized Gains (Losses) included in Net Income [1] [2] Changes in Unrealized Gains (Losses) included in OCI [3] Changes in Unrealized Gain/(Loss) included in Net Income [1] [2] Changes in Unrealized Gain/(Loss) included in OCI [3] Assets Fixed Maturities, AFS CLO $ — $ — $ — $ (1) $ — $ — $ — $ (2) CMBS — — 6 (10) — — 2 (15) Corporate (2) 1 (3) (99) (2) (1) 28 (157) Foreign Govt./Govt. Agencies — (1) — (1) — (1) — (1) RMBS — — — (4) — — — (10) Total Fixed Maturities, AFS (2) — 3 (115) (2) (2) 30 (185) Fixed maturities, FVO (5) (13) — — (13) (11) — — Equity Securities, at fair value (1) 1 — — (1) 1 — — Total Assets $ (8) $ (12) $ 3 $ (115) $ (16) $ (12) $ 30 $ (185) [1] All amounts in these rows are reported in net realized gains (losses). All amounts are before income taxes. [2] Amounts presented are for Level 3 only and therefore may not agree to other disclosures included herein. [3] Changes in unrealized gains (losses) on fixed maturities, AFS are reported in changes in net unrealized gain (loss) on fixed maturities in the Condensed Consolidated Statements of Comprehensive Income. Fair Value Option The Company has elected the fair value option for certain investments in residual interests of securitizations and other securities that contain embedded credit derivatives with underlying credit risk related to residential real estate in order to reflect changes in fair value in earnings. These instruments are included within fixed maturities, FVO on the Condensed Consolidated Balance Sheets and changes in the fair value of these investments are reported in net realized gains and losses. As of June 30, 2023 and December 31, 2022, the fair value of assets using the fair value option was $320 and $333, respectively, of which $163 and $178, respectively, were residual interests of securitizations. For the three and six months ended June 30, 2023, realized losses related to the change in fair value of assets using the fair value option were $3 and $11, respectively. For the three and six months ended June 30, 2022, realized losses related to the change in fair value of assets using the fair value option were $20 and $23, respectively. Financial Instruments Not Carried at Fair Value Financial Assets and Liabilities Not Carried at Fair Value June 30, 2023 December 31, 2022 Fair Value Hierarchy Level Carrying Amount [1] Fair Value Fair Value Hierarchy Level Carrying Amount [1] Fair Value Assets Mortgage loans Level 3 $ 6,020 $ 5,415 Level 3 $ 6,000 $ 5,362 Liabilities Other policyholder funds and benefits payable Level 3 $ 647 $ 647 Level 3 $ 658 $ 658 Senior notes [2] Level 2 $ 3,861 $ 3,377 Level 2 $ 3,858 $ 3,339 Junior subordinated debentures [2] Level 2 $ 499 $ 415 Level 2 $ 499 $ 419 [1] As of June 30, 2023 and December 31, 2022, the carrying amount of mortgage loans is net of ACL of $41 and $36, respectively. [2] Included in long-term debt in the Condensed Consolidated Balance Sheets, except for any current maturities, which are included in short-term debt when applicable. |
Investments
Investments | 6 Months Ended |
Jun. 30, 2023 | |
Investments [Abstract] | |
Investments | 5. INVESTMENTS Net Realized Gains (Losses) Three Months Ended June 30, Six Months Ended June 30, (Before tax) 2023 2022 2023 2022 Gross gains on sales of fixed maturities $ 3 $ 15 $ 20 $ 38 Gross losses on sales of fixed maturities (21) (80) (60) (175) Equity securities [1] Net realized gains (losses) on sales of equity securities 24 5 74 45 Change in net unrealized gains (losses) of equity securities (14) (267) (29) (414) Net realized and unrealized gains (losses) on equity securities 10 (262) 45 (369) Net credit losses on fixed maturities, AFS (3) — (8) (12) Change in ACL on mortgage loans (5) (5) (5) (7) Intent-to-sell impairments — — — (3) Other, net [2] (48) (6) (63) 45 Net realized gains (losses) $ (64) $ (338) $ (71) $ (483) [1] The change in net unrealized gains (losses) on equity securities still held as of June 30, 2023 and included in net realized gains (losses) were $7 and $7 for the three and six months ended June 30, 2023, respectively. The change in net unrealized gains (losses) on equity securities still held as of June 30, 2022 and included in net realized gains (losses) were $(259) and $(366) for the three and six months ended June 30, 2022, respectively. [2] For the three and six months ended June 30, 2023 includes gains (losses) from transactional foreign currency revaluation of $(9) and $(16), respectively, and gains (losses) on non-qualifying derivatives of $(39) and $(34), respectively. For the three and six months ended June 30, 2022 includes gains (losses) from transactional foreign currency revaluation of $15 and $21, respectively, and gains (losses) on non-qualifying derivatives of $14 and $61, respectively. Proceeds from the sales of fixed maturities, AFS totaled $0.6 billion and $2.0 billion for the three and six months ended June 30, 2023, respectively, and $2.6 billion and $8.1 billion for the three and six months ended June 30, 2022, respectively. Accrued Interest Receivable on Fixed Maturities, AFS and Mortgage Loans As of June 30, 2023 and December 31, 2022, the Company reported accrued interest receivable related to fixed maturities, AFS of $346 and $338, respectively, and accrued interest receivable related to mortgage loans of $19 and $18, respectively. These amounts are recorded in other assets on the Condensed Consolidated Balance Sheets and are not included in the carrying value of the fixed maturities or mortgage loans. The Company does not include the current accrued interest receivable balance when estimating the ACL. The Company has a policy to write-off accrued interest receivable balances that are more than 90 days past due. Write-offs of accrued interest receivable are recorded as a credit loss component of net realized gains and losses. Interest income on fixed maturities and mortgage loans is accrued unless it is past due over 90 days or management deems the interest uncollectible. Recognition and Presentation of Intent-to-Sell Impairments and ACL on Fixed Maturities, AFS The Company will record an "intent-to-sell impairment" as a reduction to the amortized cost of fixed maturities, AFS in an unrealized loss position if the Company intends to sell or it is more likely than not that the Company will be required to sell the fixed maturity before a recovery in value. A corresponding charge is recorded in net realized losses equal to the difference between the fair value on the impairment date and the amortized cost basis of the fixed maturity before recognizing the impairment. For fixed maturities where a credit loss has been identified and no intent-to-sell impairment has been recorded, the Company will record an ACL for the portion of the unrealized loss related to the credit loss. Any remaining unrealized loss on a fixed maturity after recording an ACL is the non-credit amount and is recorded in OCI. The ACL is the excess of the amortized cost over the greater of the Company's best estimate of the present value of expected future cash flows or the security's fair value. Cash flows are discounted at the effective yield that is used to record interest income. The ACL cannot exceed the unrealized loss and, therefore, it may fluctuate with changes in the fair value of the fixed maturity if the fair value is greater than the Company's best estimate of the present value of expected future cash flows. The initial ACL and any subsequent changes are recorded in net realized gains and losses. The ACL is written off against the amortized cost in the period in which all or a portion of the related fixed maturity is determined to be uncollectible. Developing the Company’s best estimate of expected future cash flows is a quantitative and qualitative process that incorporates information received from third-party sources along with certain internal assumptions regarding the future performance. The Company's considerations include, but are not limited to, (a) changes in the financial condition of the issuer and/or the underlying collateral, (b) whether the issuer is current on contractually obligated interest and principal payments, (c) credit ratings, (d) payment structure of the security and (e) the extent to which the fair value has been less than the amortized cost of the security. For non-structured securities, assumptions include, but are not limited to, economic and industry-specific trends and fundamentals, instrument-specific developments including changes in credit ratings, industry earnings multiples and the issuer’s ability to restructure, access capital markets, and execute asset sales. For structured securities, assumptions include, but are not limited to, various performance indicators such as historical and projected default and recovery rates, credit ratings, current and projected delinquency rates, loan-to-value (" LTV") ratios, average cumulative collateral loss rates that vary by vintage year, prepayment speeds, and property value declines. These assumptions require the use of significant management judgment and include the probability of issuer default and estimates regarding timing and amount of expected recoveries which may include estimating the underlying collateral value. ACL on Fixed Maturities, AFS by Type Three Months Ended June 30, 2023 2022 (Before tax) Corporate CMBS Total Corporate Foreign govt./govt. agencies CMBS Total Balance as of beginning of period $ 6 $ 11 $ 17 $ 9 $ 3 $ 1 $ 13 Credit losses on fixed maturities where an allowance was not previously recorded 2 — 2 — — — — Reduction due to sales (2) — (2) — — — — Net increases (decreases) on fixed maturities where an allowance was previously recorded — 1 1 (1) 1 — — Balance as of end of period $ 6 $ 12 $ 18 $ 8 $ 4 $ 1 $ 13 ACL on Fixed Maturities, AFS by Type Six Months Ended June 30, 2023 2022 (Before tax) Corporate CMBS Total Corporate Foreign govt./govt. agencies CMBS Total Balance as of beginning of period $ 2 $ 10 $ 12 $ 1 $ — $ — $ 1 Credit losses on fixed maturities where an allowance was not previously recorded 6 — 6 8 3 1 12 Reduction due to sales (2) — (2) — — — — Net increases (decreases) on fixed maturities where an allowance was previously recorded — 2 2 (1) 1 — — Balance as of end of period $ 6 $ 12 $ 18 $ 8 $ 4 $ 1 $ 13 Fixed Maturities, AFS Fixed Maturities, AFS, by Type June 30, 2023 December 31, 2022 Amortized ACL Gross Gross Fair Amortized ACL Gross Gross Fair ABS $ 2,757 $ — $ 1 $ (73) $ 2,685 $ 2,016 $ — $ — $ (75) $ 1,941 CLO 3,046 — 3 (68) 2,981 3,040 — 3 (102) 2,941 CMBS 3,607 (12) 19 (387) 3,227 3,715 (10) 21 (358) 3,368 Corporate 17,467 (6) 39 (1,404) 16,096 16,794 (2) 33 (1,592) 15,233 Foreign govt./govt. agencies 579 — — (40) 539 596 — — (49) 547 Municipal 6,523 — 96 (393) 6,226 6,718 — 93 (515) 6,296 RMBS 4,202 — 1 (474) 3,729 4,214 — 2 (508) 3,708 U.S. Treasuries 2,230 — — (216) 2,014 2,440 — — (243) 2,197 Total fixed maturities, AFS $ 40,411 $ (18) $ 159 $ (3,055) $ 37,497 $ 39,533 $ (12) $ 152 $ (3,442) $ 36,231 Fixed Maturities, AFS, by Contractual Maturity Year June 30, 2023 December 31, 2022 Amortized Cost Fair Value Amortized Cost Fair Value One year or less $ 1,320 $ 1,298 $ 1,417 $ 1,396 Over one year through five years 9,416 8,962 8,340 7,930 Over five years through ten years 6,910 6,277 7,259 6,485 Over ten years 9,153 8,338 9,532 8,462 Subtotal 26,799 24,875 26,548 24,273 Mortgage-backed and asset-backed securities 13,612 12,622 12,985 11,958 Total fixed maturities, AFS $ 40,411 $ 37,497 $ 39,533 $ 36,231 Estimated maturities may differ from contractual maturities due to call or prepayment provisions. Due to the potential for variability in payment speeds (i.e., prepayments or extensions), mortgage-backed and asset-backed securities are not categorized by contractual maturity. Concentration of Credit Risk The Company aims to maintain a diversified investment portfolio including issuer, sector and geographic stratification, where applicable, and has established certain exposure limits, diversification standards and review procedures to mitigate credit risk. The Company had no investment exposure to any credit concentration risk of a single issuer greater than 10% of the Company's stockholders' equity as of June 30, 2023 or December 31, 2022 other than U.S. government securities and certain U.S. government agencies. Unrealized Losses on Fixed Maturities, AFS Unrealized Loss Aging for Fixed Maturities, AFS by Type and Length of Time as of June 30, 2023 Less Than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses ABS $ 1,758 $ (24) $ 767 $ (49) $ 2,525 $ (73) CLO 128 (2) 2,738 (66) 2,866 (68) CMBS 458 (30) 2,656 (357) 3,114 (387) Corporate 4,078 (111) 10,121 (1,293) 14,199 (1,404) Foreign govt./govt. agencies 91 (3) 407 (37) 498 (40) Municipal 1,353 (28) 2,864 (365) 4,217 (393) RMBS 690 (31) 2,867 (443) 3,557 (474) U.S. Treasuries 412 (29) 1,595 (187) 2,007 (216) Total fixed maturities, AFS in an unrealized loss position $ 8,968 $ (258) $ 24,015 $ (2,797) $ 32,983 $ (3,055) Unrealized Loss Aging for Fixed Maturities, AFS by Type and Length of Time as of December 31, 2022 Less Than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses ABS $ 1,577 $ (50) $ 281 $ (25) $ 1,858 $ (75) CLO 1,490 (48) 1,378 (54) 2,868 (102) CMBS 2,560 (270) 521 (88) 3,081 (358) Corporate 11,157 (1,071) 2,575 (521) 13,732 (1,592) Foreign govt./govt. agencies 308 (26) 224 (23) 532 (49) Municipal 4,270 (461) 228 (54) 4,498 (515) RMBS 2,311 (249) 1,250 (259) 3,561 (508) U.S. Treasuries 1,554 (145) 633 (98) 2,187 (243) Total fixed maturities, AFS in an unrealized loss position $ 25,227 $ (2,320) $ 7,090 $ (1,122) $ 32,317 $ (3,442) As of June 30, 2023, fixed maturities, AFS in an unrealized loss position consisted of 4,667 instruments, and were primarily depressed due to higher interest rates and/or wider credit spreads since the purchase date. As of June 30, 2023, 93% of these fixed maturities were depressed less than 20% of cost or amortized cost. The decrease in unrealized losses during the six months ended June 30, 2023, was primarily attributable to tighter credit spreads. Most of the fixed maturities depressed for twelve months or more relate to the corporate sector, RMBS, municipal bonds, and CMBS which were primarily depressed because current rates are higher and/or market spreads are wider than at the respective purchase dates. The Company neither has an intention to sell nor does it expect to be required to sell the fixed maturities outlined in the preceding discussion. The decision to record credit losses on fixed maturities, AFS in the form of an ACL requires us to make qualitative and quantitative estimates of expected future cash flows. Mortgage Loans ACL on Mortgage Loans The Company reviews mortgage loans on a quarterly basis to estimate the ACL with changes in the ACL recorded in net realized gains and losses. Apart from an ACL recorded on individual mortgage loans where the borrower is experiencing financial difficulties, the Company records an ACL on the pool of mortgage loans based on lifetime expected credit losses. The Company utilizes a third-party forecasting model to estimate lifetime expected credit losses at a loan level under multiple economic scenarios. The scenarios use macroeconomic data provided by an internationally recognized economics firm that generates forecasts of varying economic factors such as GDP growth, unemployment and interest rates. The economic scenarios are projected over 10 years. The first two to four years of the 10-year period assume a specific modeled economic scenario (including moderate upside, moderate recession and severe recession scenarios) and then revert to historical long-term assumptions over the remaining period. Using these economic scenarios, the forecasting model projects property-specific operating income and capitalization rates used to estimate the value of a future operating income stream. The operating income and the property valuations derived from capitalization rates are compared to loan payment and principal amounts to create debt service coverage ratios ("DSCRs") and LTVs over the forecast period. The Company's process also considers qualitative factors. The model overlays historical data about mortgage loan performance based on DSCRs and LTVs and projects the probability of default, amount of loss given a default and resulting expected loss through maturity for each loan under each economic scenario. Economic scenarios are probability-weighted based on a statistical analysis of the forecasted economic factors and qualitative analysis. The Company records the change in the ACL on mortgage loans based on the weighted-average expected credit losses across the selected economic scenarios. When a borrower is experiencing financial difficulty, including when foreclosure is probable, the Company measures an ACL on individual mortgage loans. The ACL is established for any shortfall between the amortized cost of the loan and the fair value of the collateral less costs to sell. Estimates of collectibility from an individual borrower require the use of significant management judgment and include the probability and timing of borrower default and loss severity estimates. In addition, cash flow projections may change based upon new information about the borrower's ability to pay and/or the value of underlying collateral such as changes in projected property value estimates. As of June 30, 2023, the Company did not have any mortgage loans for which an ACL was established on an individual basis. There were no mortgage loans held-for-sale as of June 30, 2023 or December 31, 2022. For the three and six months ended June 30, 2023 and 2022, respectively, the Company had no mortgage loans that have had extensions or restructurings other than what is allowable under the original terms of the contract. ACL on Mortgage Loans Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 ACL as of beginning of period $ 36 $ 31 $ 36 $ 29 Current period provision (release) 5 5 5 7 ACL as of June 30, $ 41 $ 36 $ 41 $ 36 The increase in the allowance for the 2023 period is primarily attributable to the overall weaker projected real estate fundamentals, and to a lesser extent, net additions of new loans. The weighted-average LTV ratio of the Company’s mortgage loan portfolio was 52% as of June 30, 2023, while the weighted-average LTV ratio at origination of these loans was 59%. LTV ratios compare the loan amount to the value of the underlying property collateralizing the loan with property values based on appraisals updated no less than annually. Factors considered in estimating property values include, among other things, actual and expected property cash flows, geographic market data and the ratio of the property's net operating income to its value. DSCR compares a property’s net operating income to the borrower’s principal and interest payments and are updated no less than annually through reviews of underlying properties. Mortgage Loans LTV & DSCR by Origination Year as of June 30, 2023 2023 2022 2021 2020 2019 2018 & Prior Total Loan-to-value Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost [1] Avg. DSCR Greater than 80% $ — —x $ — —x $ — —x $ — —x $ — —x $ 10 1.93x $ 10 1.93x 65% - 80% — —x 16 2.02x 58 1.75x 72 2.81x 99 2.01x 197 1.32x 442 1.80x Less than 65% 196 1.86x 881 2.45x 1,530 2.83x 637 3.03x 678 2.93x 1,687 2.50x 5,609 2.67x Total mortgage loans $ 196 1.86x $ 897 2.44x $ 1,588 2.79x $ 709 3.01x $ 777 2.81x $ 1,894 2.37x $ 6,061 2.61x [1] Amortized cost of mortgage loans excludes ACL of $41. Mortgage Loans LTV & DSCR by Origination Year as of December 31, 2022 2022 2021 2020 2019 2018 2017 & Prior Total Loan-to-value Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost [1] Avg. DSCR Greater than 80% $ — —x $ — —x $ — —x $ — —x $ — —x $ 23 1.40x $ 23 1.40x 65% - 80% 16 2.02x 59 2.61x 43 2.78x 100 1.95x 108 1.11x 117 1.91x 443 1.91x Less than 65% 839 2.43x 1,475 2.79x 663 3.02x 680 2.77x 437 2.21x 1,476 2.54x 5,570 2.65x Total mortgage loans $ 855 2.42x $ 1,534 2.78x $ 706 3.01x $ 780 2.66x $ 545 1.99x $ 1,616 2.48x $ 6,036 2.59x [1] Amortized cost of mortgage loans excludes ACL of $36. Mortgage Loans by Region June 30, 2023 December 31, 2022 Amortized Cost Percent of Total Amortized Cost Percent of Total East North Central $ 358 5.9 % $ 317 5.3 % Middle Atlantic 253 4.2 % 316 5.2 % Mountain 707 11.7 % 707 11.7 % New England 353 5.8 % 395 6.5 % Pacific 1,304 21.5 % 1,299 21.5 % South Atlantic 1,776 29.3 % 1,670 27.7 % West North Central 116 1.9 % 105 1.7 % West South Central 448 7.4 % 421 7.0 % Other [1] 746 12.3 % 806 13.4 % Total mortgage loans 6,061 100.0 % 6,036 100.0 % ACL (41) (36) Total mortgage loans, net of ACL $ 6,020 $ 6,000 [1] Primarily represents loans collateralized by multiple properties in various regions. Mortgage Loans by Property Type June 30, 2023 December 31, 2022 Amortized Cost Percent of Total Amortized Cost Percent of Total Commercial Industrial $ 2,282 37.7 % $ 2,217 36.7 % Multifamily 2,243 37.0 % 2,247 37.2 % Office 583 9.6 % 585 9.7 % Retail [1] 953 15.7 % 947 15.7 % Other — — % 40 0.7 % Total mortgage loans 6,061 100.0 % 6,036 100.0 % ACL (41) (36) Total mortgage loans, net of ACL $ 6,020 $ 6,000 [1] Primarily comprised of grocery-anchored retail centers, with no exposure to regional shopping malls. Past-Due Mortgage Loans Mortgage loans are considered past due if a payment of principal or interest is not received according to the contractual terms of the loan agreement, which typically includes a grace period. As of June 30, 2023 and December 31, 2022, the Company held no mortgage loans considered past due. Mortgage Servicing The Company originates, sells and services commercial mortgage loans on behalf of third parties and recognizes servicing fee income over the period that services are performed. As of June 30, 2023, under this program, the Company serviced mortgage loans with a total outstanding principal of $9.5 billion, of which $4.5 billion was serviced on behalf of third parties and $5.0 billion was retained and reported in total investments on the Company's Condensed Consolidated Balance Sheets. As of December 31, 2022, the Company serviced mortgage loans with a total outstanding principal balance of $9.3 billion, of which $4.4 billion was serviced on behalf of third parties and $4.9 billion was retained and reported in total investments on the Company's Condensed Consolidated Balance Sheets. Servicing rights are carried at the lower of cost or fair value and were $0 as of June 30, 2023 and December 31, 2022, because servicing fees were market-level fees at origination and remain adequate to compensate the Company for servicing the loans. Variable Interest Entities The Company is engaged with various special purpose entities and other entities that are deemed to be VIEs primarily as an investor through normal investment activities or, at times, as an investment manager. A VIE is an entity that either has investors that lack certain essential characteristics of a controlling financial interest, such as simple majority kick-out rights, or lacks sufficient funds to finance its own activities without financial support provided by other entities. The Company performs ongoing qualitative assessments of its VIEs to determine whether the Company has a controlling financial interest in the VIE and therefore is the primary beneficiary. The Company is deemed to have a controlling financial interest when it has both the ability to direct the activities that most significantly impact the economic performance of the VIE and the obligation to absorb losses or right to receive benefits from the VIE that could potentially be significant to the VIE. Based on the Company’s assessment, if it determines it is the primary beneficiary, the Company consolidates the VIE in the Company’s Condensed Consolidated Financial Statements. Consolidated VIEs As of June 30, 2023 and December 31, 2022, the Company did not hold any securities for which it is the primary beneficiary. Non-Consolidated VIEs The Company, through normal investment activities, makes passive investments in limited partnerships and other alternative investments. For these non-consolidated VIEs, the Company has determined it is not the primary beneficiary as it has no ability to direct activities that could significantly affect the economic performance of the investments. The Company’s maximum exposure to loss as of June 30, 2023 and December 31, 2022 was limited to the total carrying value of $2.7 billion and $2.6 billion, respectively, which are a portion of the investments in limited partnerships and other alternative investments in the Company's Condensed Consolidated Balance Sheets that are primarily recorded using the equity method of accounting. As of June 30, 2023 and December 31, 2022, the Company has outstanding commitments totaling $1.8 billion for both periods, whereby the Company is committed to fund these investments and may be called by the partnership during the commitment period to fund the purchase of new investments and partnership expenses. These investments are generally of a passive nature in that the Company does not take an active role in management. For further discussion of these investments, see Equity Method Investments within Note 5 - Investments of Notes to Consolidated Financial Statements included in the Company’s 2022 Form 10-K Annual Report. In addition, the Company makes passive investments in structured securities issued by VIEs for which the Company is not the manager. These investments are included in ABS, CLO, CMBS, and RMBS and are reported in fixed maturities, AFS, and fixed maturities, FVO, on the Company's Condensed Consolidated Balance Sheets. The Company has not provided financial or other support with respect to these investments other than its original investment. For these investments, the Company determined it is not the primary beneficiary due to the relative size of the Company’s investment in comparison to the principal amount of the structured securities issued by the VIEs, the Company’s inability to direct the activities that most significantly impact the economic performance of the VIEs, and, where applicable, the level of credit subordination which reduces the Company’s obligation to absorb losses or right to receive benefits. The Company’s maximum exposure to loss on these investments is limited to the amount of the Company’s investment. Reverse Repurchase Agreements, Other Collateral Transactions and Restricted Investments Reverse Repurchase Agreements From time to time, the Company enters into reverse repurchase agreements where the Company purchases securities and simultaneously agrees to resell the same or substantially the same securities. The maturity of these transactions is generally within one year. The agreements require additional collateral to be transferred to the Company under specified conditions and the Company has the right to sell or re-pledge the securities received. The Company accounts for reverse repurchase agreements as collateralized financing. As of June 30, 2023 and December 31, 2022, the Company reported $33 and $41, respectively, within short-term investments on the Condensed Consolidated Balance Sheets representing a receivable for the amount of cash transferred to purchase the securities. Other Collateral Transactions As of June 30, 2023 and December 31, 2022, the Company pledged collateral of $7 and $7, respectively, of U.S. government securities or cash primarily related to certain bank loan participations committed through a limited partnership agreement. For disclosure of collateral in support of derivative transactions, refer to the Derivative Collateral Arrangements section in Note 6 - Derivatives of Notes to Condensed Consolidated Financial Statements. Other Restricted Investments The Company is required by law to deposit securities with government agencies in certain states in which it conducts business. In addition, the Company is required to hold fixed maturities and short-term investments in trust for the benefit of syndicate policyholders, hold fixed maturities in a Lloyd's of London ("Lloyd's") trust account to provide a portion of the required capital, and maintain other investments primarily consisting of overseas deposits in various countries with Lloyd's to support underwriting activities in those countries. Lloyd's is an insurance market-place operating worldwide. Lloyd's does not underwrite risks. The Company accepts risks as the sole member of Lloyd's Syndicate 1221 ("Lloyd's Syndicate"). The following table presents the components of the Company’s exposure to other restricted investments. June 30, 2023 December 31, 2022 Fair Value Fair Value Securities on deposit with government agencies $ 2,291 $ 2,189 Fixed maturities in trust for benefit of Lloyd's Syndicate policyholders 797 718 Short-term investments in trust for benefit of Lloyd's Syndicate policyholders 6 8 Fixed maturities in Lloyd's trust account 163 161 Other investments 70 62 Total Other Restricted Investments $ 3,327 $ 3,138 |
Derivatives
Derivatives | 6 Months Ended |
Jun. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives Instruments | 6. DERIVATIVES The Company utilizes a variety of OTC, OTC-cleared and exchange traded derivative instruments as a part of its overall risk management strategy as well as to enter into replication transactions or income generation covered call transactions. Derivative instruments are used to manage risk associated with interest rate, equity market, commodity market, credit spread, issuer default, price, and currency exchange rate or volatility. Replication transactions are used as an economical means to synthetically replicate the characteristics and performance of assets that are permissible investments under the Company’s investment policies. Strategies that Qualify for Hedge Accounting Some of the Company's derivatives satisfy hedge accounting requirements as outlined in Note 1 - Basis of Presentation and Significant Accounting Policies of Notes to Consolidated Financial Statements, included in The Hartford’s 2022 Form 10-K Annual Report. Typically, these hedging instruments include interest rate swaps and, to a lesser extent, foreign currency swaps where the terms or expected cash flows of the hedged item closely match the terms of the swap. The interest rate swaps are typically used to manage interest rate duration of certain fixed maturity securities or debt instruments issued. Cash Flow Hedges Interest rate swaps are predominantly used to manage portfolio duration and better match cash receipts from assets with cash disbursements required to fund liabilities. These derivatives primarily convert interest receipts on variable-rate fixed maturity securities to fixed rates. The Company has also entered into interest rate swaps to convert the variable interest payments on the $500 junior subordinated debentures due 2067 to fixed interest payments. For further information, see the Junior Subordinated Debentures section within Note 13 - Debt of Notes to Condensed Consolidated Financial Statements and Note 13 - Debt of Notes to the Consolidated Financial Statements, included in The Hartford's 2022 Form 10-K Annual Report. Foreign currency swaps are used to convert foreign currency denominated cash flows related to certain investment receipts to U.S. dollars in order to reduce cash flow fluctuations due to changes in currency rates. Non-qualifying Strategies Derivative relationships that do not qualify for hedge accounting (“non-qualifying strategies”) primarily include hedges of interest rate, foreign currency, equity, and commodity risk of certain fixed maturities and equities. In addition, hedging and replication strategies that utilize credit default swaps do not qualify for hedge accounting. The non-qualifying strategies include: Credit Contracts Credit default swaps are used to purchase credit protection on an individual entity or referenced index to economically hedge against default risk and credit-related changes in the value of fixed maturity securities. Credit default swaps are also used to assume credit risk related to an individual entity or referenced index as a part of replication transactions. These contracts require the Company to pay or receive a periodic fee in exchange for compensation from the counterparty or the Company should the referenced security issuers experience a credit event, as defined in the contract. The Company also enters into credit default swaps to terminate existing credit default swaps, thereby offsetting the changes in value of the original swap going forward. Interest Rate Swaps and Futures The Company uses interest rate swaps and futures to manage interest rate duration between assets and liabilities. In addition, the Company enters into interest rate swaps to terminate existing swaps, thereby offsetting the changes in value of the original swap going forward. As of June 30, 2023 and December 31, 2022, the notional amount of interest rate swaps in offsetting relationships was $13.1 billion and $6.6 billion, respectively. As of June 30, 2023 the notional amount of interest rate swaps in offsetting relationships included $6.5 billion of OTC-cleared swaps as part of the Chicago Mercantile Exchange ("CME") cleared swap conversion process related to reference rate reform. These swaps are expected to mature by September 30, 2023. Foreign Currency Swaps and Forwards The Company enters into foreign currency swaps to convert the foreign currency exposures of certain foreign currency-denominated fixed maturity investments to U.S. dollars. Equity Index Options The Company may enter into equity index options to hedge the impact of a decline in the equity markets on the investment portfolio. The Company has also previously entered into covered call options on equity securities to generate additional return. Commodity Options The Company previously purchased call option contracts on oil futures in order to partially offset potential changes in value related to certain fixed maturity securities that could arise if oil prices increased substantially. Derivative Balance Sheet Classification For reporting purposes, the Company has elected to offset within assets or liabilities based upon the net of the fair value amounts, income accruals and related cash collateral receivables and payables of OTC derivative instruments executed in a legal entity and with the same counterparty under a master netting agreement, which provides the Company with the legal right of offset. The following fair value amounts do not include income accruals or related cash collateral receivables and payables, which are netted with derivative fair value amounts to determine balance sheet presentation. The Company’s derivative instruments are held for risk management purposes, unless otherwise noted in the following table. The notional amount of derivative contracts represents the basis upon which payments or receipts are calculated and is presented in the table to quantify the volume of the Company’s derivative activity. Notional amounts are not necessarily reflective of credit risk. Derivative Balance Sheet Presentation Net Derivatives Asset Derivatives Liability Derivatives Notional Amount Fair Value Fair Value Fair Value Hedge Designation/ Derivative Type Jun 30, 2023 Dec. 31, 2022 Jun 30, 2023 Dec. 31, 2022 Jun 30, 2023 Dec. 31, 2022 Jun 30, 2023 Dec. 31, 2022 Cash flow hedges Interest rate swaps [1] $ 3,650 $ 2,155 $ — $ — $ — $ — $ — $ — Foreign currency swaps 568 568 38 53 47 57 (9) (4) Total cash flow hedges 4,218 2,723 38 53 47 57 (9) (4) Non-qualifying strategies Interest rate contracts Interest rate swaps and futures [1] 14,045 7,245 (2) (6) 3 2 (5) (8) Foreign exchange contracts Foreign currency swaps and forwards 568 569 — — — — — — Credit contracts Credit derivatives that purchase credit protection 4,411 11 (71) — — — (71) — Credit derivatives in offsetting positions 207 207 — — 3 3 (3) (3) Total non-qualifying strategies 19,231 8,032 (73) (6) 6 5 (79) (11) Total cash flow hedges and non-qualifying strategies $ 23,449 $ 10,755 $ (35) $ 47 $ 53 $ 62 $ (88) $ (15) Balance Sheet Location Fixed maturities, available-for-sale $ 568 $ 569 $ — $ — $ — $ — $ — $ — Other investments 17,174 9,108 6 34 10 38 (4) (4) Other liabilities 5,707 1,078 (41) 13 43 24 (84) (11) Total derivatives $ 23,449 $ 10,755 $ (35) $ 47 $ 53 $ 62 $ (88) $ (15) [1] As of June 30, 2023, notional amount includes $700 of OTC-cleared cash flow hedge interest rate swaps and $6.5 billion of OTC-cleared non-qualifying interest rate swaps as part of the CME cleared swap conversion process due to reference rate reform. These swaps are expected to mature by September 30, 2023. Offsetting of Derivative Assets/Liabilities The following tables present the gross fair value amounts, the offsetting amounts, and net position of derivative instruments eligible for offset in the Company's Condensed Consolidated Balance Sheets. Offsetting amounts include fair value amounts, income accruals and related cash collateral receivables and payables associated with derivative instruments that are traded under a common master netting agreement, as described in the preceding discussion. Also included in the tables are financial collateral receivables and payables, which are contractually permitted to be offset upon an event of default, although are disallowed for offsetting under U.S. GAAP. Offsetting Derivative Assets and Liabilities (i) (ii) (iii) = (i) - (ii) (iv) (v) = (iii) - (iv) Net Amounts Presented in the Statement of Financial Position Collateral Disallowed for Offset in the Statement of Financial Position Gross Amounts of Recognized Assets (Liabilities) Gross Amounts Offset in the Statement of Financial Position Derivative Assets [1] (Liabilities) [2] Accrued Interest and Cash Collateral (Received) [3] Pledged [2] Financial Collateral (Received) Pledged [4] Net Amount As of June 30, 2023 Other investments $ 53 $ 51 $ 6 $ (4) $ — $ 2 Other liabilities $ (88) $ (73) $ (41) $ 26 $ (12) $ (3) As of December 31, 2022 Other investments $ 62 $ 60 $ 34 $ (32) $ — $ 2 Other liabilities $ (15) $ (7) $ 13 $ (21) $ (7) $ (1) [1] Included in other investments in the Company's Condensed Consolidated Balance Sheets. [2] Included in other liabilities in the Company's Condensed Consolidated Balance Sheets and is limited to the net derivative payable associated with each counterparty. [3] Included in other investments in the Company's Condensed Consolidated Balance Sheets and is limited to the net derivative receivable associated with each counterparty. [4] Excludes collateral associated with exchange-traded derivative instruments. Cash Flow Hedges For derivative instruments that are designated and qualify as cash flow hedges, the gain or loss on the derivative is reported as a component of OCI and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. All components of each derivative’s gain or loss were included in the assessment of hedge effectiveness. Gains (Losses) Recognized in OCI Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Interest rate swaps $ (14) $ (3) $ (4) $ (5) Foreign currency swaps (7) 41 (10) 50 Total $ (21) $ 38 $ (14) $ 45 Gains (Losses) Reclassified from AOCI into Income Three months ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Net Investment Income Interest Expense Net Investment Income Interest Expense Net Investment Income Interest Expense Net Investment Income Interest Expense Interest rate swaps $ (7) $ 4 $ 5 $ (1) $ (15) $ 7 $ 14 $ (4) Foreign currency swaps 3 — 2 — 5 — 4 — Total $ (4) $ 4 $ 7 $ (1) $ (10) $ 7 $ 18 $ (4) Total amounts presented on the Condensed Consolidated Statement of Operations $ 540 $ 50 $ 541 $ 51 $ 1,055 $ 100 $ 1,050 $ 113 As of June 30, 2023, the before tax deferred net losses on derivative instruments recorded in AOCI that are expected to be reclassified to earnings during the next twelve months are $4. This expectation is based on the anticipated interest payments on hedged investments in fixed maturity securities and long-term debt that will occur over the next twelve months. At that time, the Company will recognize the deferred net gains (losses) as an adjustment to net investment income or interest expense, as applicable, over the term of the hedged instrument cash flows. During the three and six months ended June 30, 2023 and 2022, the Company had no net reclassifications from AOCI to earnings resulting from the discontinuance of cash-flow hedges due to forecasted transactions that were no longer probable of occurring. Non-qualifying Strategies For non-qualifying strategies, including embedded derivatives that are required to be bifurcated from their host contracts and accounted for as derivatives, the gain or loss on the derivative is recognized currently in earnings within net realized gains (losses). Non-Qualifying Strategies Recognized within Net Realized Gains (Losses) Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Foreign exchange contracts Foreign currency forwards $ — $ 4 $ — $ 5 Interest rate contracts Interest rate swaps, swaptions, and futures (3) 5 18 37 Credit contracts Credit derivatives that purchase credit protection (36) 5 (52) 5 Commodity contracts Commodity options — — — 14 Total [1] $ (39) $ 14 $ (34) $ 61 [1]Excludes investments that contain an embedded credit derivative for which the Company has elected the fair value option. For further discussion, see the Fair Value Option section in Note 4 - Fair Value Measurements of Notes to Condensed Consolidated Financial Statements. Credit Risk Assumed through Credit Derivatives The Company enters into credit default swaps that assume credit risk of a single entity or referenced index in order to synthetically replicate investment transactions that are permissible under the Company's investment policies. The Company will receive periodic payments based on an agreed upon rate and notional amount and will only make a payment if there is a credit event. A credit event payment will typically be equal to the notional value of the swap contract less the value of the referenced security issuer’s debt obligation after the occurrence of the credit event. A credit event is generally defined as a default on contractually obligated interest or principal payments or bankruptcy of the referenced entity. The credit default swaps in which the Company assumes credit risk reference baskets of standard diversified portfolios of CMBS issuers. Credit Risk Assumed Derivatives by Type Underlying Referenced Credit Obligation(s) [1] Notional Amount [2] Fair Value Weighted Average Years to Maturity Type Average Credit Rating Offsetting Notional Amount [3] Offsetting Fair Value [3] As of June 30, 2023 Basket credit default swaps [4] Investment grade risk exposure $ 100 $ (1) 5 years CMBS Credit AAA $ 100 $ 1 Below investment grade risk exposure 3 (2) Less than 1 year CMBS Credit CCC+ 3 2 Total [5] $ 103 $ (3) $ 103 $ 3 As of December 31, 2022 Basket credit default swaps [4] Investment grade risk exposure $ 100 $ (1) 6 years CMBS Credit AAA $ 100 $ 1 Below investment grade risk exposure 3 (2) Less than 1 year CMBS Credit B- 3 2 Total [5] $ 103 $ (3) $ 103 $ 3 [1] The average credit ratings are based on availability and are generally the midpoint of the available ratings among Moody’s, S&P and Fitch. If no rating is available from a rating agency, then an internally developed rating is used. [2] Notional amount is equal to the maximum potential future loss amount. These derivatives are governed by agreements and applicable law, which include collateral posting requirements. There is no additional specific collateral related to these contracts or recourse provisions included in the contracts to offset losses. [3] The Company has entered into offsetting credit default swaps to terminate certain existing credit default swaps, thereby offsetting the future changes in value of, or losses paid related to, the original swap. [4] Comprised of swaps of standard market indices of diversified portfolios of CMBS issuers referenced through credit default swaps. These swaps are subsequently valued based upon the observable standard market index. [5] Excludes investments that contain an embedded credit derivative for which the Company has elected the fair value option. For further discussion, see the Fair Value Option section in Note 4 - Fair Value Measurements of Notes to Condensed Consolidated Financial Statements. . Derivative Collateral Arrangements The Company enters into various collateral arrangements in connection with its derivative instruments, which require both the pledging and accepting of collateral. As of June 30, 2023 and December 31, 2022, the Company ha s pl edged cash collateral associated with derivative instruments of $65 and less than $1, respectively . In general, collateral receivable is recorded in other assets or other liabilities on the Company's Condensed Consolidated Balance Sheets as determined by the Company's election to offset on the balance sheet. As of June 30, 2023 and December 31, 2022, the Company pledged securities collateral associated with derivative instruments with a fair value of $6 and $8, respectively, which have been included in fixed maturities on the Company's Condensed Consolidated Balance Sheets. The counterparties generally have the right to sell or re-pledge these securities. In addition, as of June 30, 2023 and December 31, 2022, the Company has pledged initial margin of cash related to OTC-cleared and exchange traded derivatives with a fair value of $16 for both periods, which is recorded in other investments or other assets on the Company's Condensed Consolidated Balance Sheets. As of June 30, 2023 and December 31, 2022, the Company has pledged initial margin of securities related to OTC-cleared and exchange traded derivatives with a fair value of $196 and $57, respectively, which are included within fixed maturities on the Company's Condensed Consolidated Balance Sheets. As of June 30, 2023 and December 31, 2022, the Company accepted cash collateral associated with derivative instruments of $45 and $56, respectively, which was invested and recorded in the Company's Condensed Consolidated Balance Sheets in fixed maturities and short-term investments with corresponding amounts recorded in other investments or other liabilities as determined by the Company's election to offset on the balance sheet. The Company also accepted securities collateral as of June 30, 2023 and December 31, 2022, with a fair value of $0 and $1, respectively, which the Company has the right to repledge or sell. As of June 30, 2023 and December 31, 2022, the Company had no repledged securities. In addition, as of June 30, 2023 and December 31, 2022, non-cash collateral accepted was held in separate custodial accounts and was not included in the Company’s Condensed Consolidated Balance Sheets . |
Premiums Receivable (Notes)
Premiums Receivable (Notes) | 6 Months Ended |
Jun. 30, 2023 | |
Credit Loss [Abstract] | |
Premiums Receivable Note [Text Block] | 7. PREMIUMS RECEIVABLE AND AGENTS' BALANCES Premiums Receivable and Agents' Balances As of June 30, 2023 As of December 31, 2022 Premiums receivable, excluding receivables for losses within a deductible and retrospectively-rated policy premiums ("loss sensitive business") $ 5,328 $ 4,698 Receivables for loss sensitive business, by credit quality: AA 103 106 A 44 38 BBB 124 119 BB 58 56 Below BB 40 41 Total receivables for loss sensitive business 369 360 Total Premiums Receivable and Agents' Balances, Gross 5,697 5,058 ACL (119) (109) Total Premiums Receivable and Agents' Balances, Net of ACL $ 5,578 $ 4,949 ACL on Premiums Receivable and Agents' Balances Balances are considered past due when amounts that have been billed are not collected within contractually stipulated time periods. Premiums receivable and agents' balances, excluding receivables for loss sensitive business, are primarily comprised of premiums due from policyholders, which are typically collectible within one year or less. For these balances, the ACL is estimated based on an aging of receivables and recent historical credit loss and collection experience, adjusted for current economic conditions and reasonable and supportable forecasts, when appropriate. A portion of the Company's Commercial Lines business is written with large deductibles or under retrospectively-rated plans (referred to as "loss sensitive business"). Under some commercial insurance contracts with a large deductible, the Company is obligated to pay the claimant the full amount of the claim and the Company is subsequently reimbursed by the policyholder for the deductible amount. As such, the Company is subject to credit risk until reimbursement is made. Retrospectively-rated policies are utilized primarily for workers' compensation coverage, whereby the ultimate premium is adjusted based on actual losses incurred. Although the premium adjustment feature of a retrospectively-rated policy substantially reduces insurance risk for the Company, it presents credit risk to the Company. The Company’s results of operations could be adversely affected if a significant portion of such policyholders failed to reimburse the Company for the deductible amount or the amount of additional premium owed under retrospectively-rated policies. The Company manages these credit risks through credit analysis, collateral requirements, and oversight. The ACL for receivables for loss sensitive business is estimated as the amount of the receivable exposed to loss multiplied by estimated factors for probability of default and the amount of loss given a default. The probability of default is assigned based on each policyholder's credit rating, or a rating is estimated if no external rating is available. Credit ratings are reviewed and updated at least annually. The exposure amount is estimated net of collateral and other credit enhancement, considering the nature of the collateral, potential future changes in collateral values, and historical loss information for the type of collateral obtained. The probability of default factors are historical corporate defaults for receivables with similar durations estimated through multiple economic cycles. Credit ratings are forward-looking and consider a variety of economic outcomes. The loss given default factors are based on a study of historical recovery rates for general creditors through multiple economic cycles. The Company's evaluation of the required ACL for receivables for loss sensitive business considers the current economic environment as well as the probability-weighted macroeconomic scenarios similar to the approach used for estimating the ACL for mortgage loans. See Note 5 - Investments. The increase in the ACL in the three and six months ended June 30, 2023 reflected the provision required on increased premiums written in the quarter and recoveries, partially offset by write-offs. Rollforward of ACL on Premiums Receivable and Agents' Balances for the Three Months Ended June 30, 2023 June 30, 2022 Premiums Receivable and Agents' Balances, Excluding Receivables for Loss Sensitive Business Receivables for Loss Sensitive Business Total Premiums Receivable and Agents' Balances, Excluding Receivables for Loss Sensitive Business Receivables for Loss Sensitive Business Total Beginning ACL $ 86 $ 25 $ 111 $ 84 $ 22 $ 106 Current period provision (release) 19 — 19 10 1 11 Current period write-offs (13) — (13) (13) — (13) Current period recoveries 2 — 2 3 — 3 Ending ACL $ 94 $ 25 $ 119 $ 84 $ 23 $ 107 Rollforward of ACL on Premiums Receivable and Agents' Balances for the Six Months Ended June 30, 2023 June 30, 2022 Premiums Receivable and Agents' Balances, Excluding Receivables for Loss Sensitive Business Receivables for Loss Sensitive Business Total Premiums Receivable and Agents' Balances, Excluding Receivables for Loss Sensitive Business Receivables for Loss Sensitive Business Total Beginning ACL $ 85 $ 24 $ 109 $ 83 $ 22 $ 105 Current period provision (release) 31 1 32 23 1 24 Current period write-offs (27) — (27) (28) — (28) Current period recoveries 5 — 5 6 — 6 Ending ACL $ 94 $ 25 $ 119 $ 84 $ 23 $ 107 |
Reinsurance
Reinsurance | 6 Months Ended |
Jun. 30, 2023 | |
Reinsurance Disclosures [Abstract] | |
Reinsurance [Text Block] | 8. REINSURANCE The Company cedes insurance risk to reinsurers to enable the Company to manage capital and risk exposure. Such arrangements do not relieve the Company of its primary liability to policyholders. Failure of reinsurers to honor their obligations could result in losses to the Company. The Company's procedures include carefully selecting its reinsurers, structuring agreements to provide collateral funds where necessary, and regularly monitoring the financial condition and ratings of its reinsurers. Reinsurance Recoverables Reinsurance recoverables include balances due from reinsurance companies and are presented net of an allowance for uncollectible reinsurance. Reinsurance recoverables include an estimate of the amount of gross losses and loss adjustment expense reserves that may be ceded under the terms of the reinsurance agreements, including incurred but not reported (" IBNR ") unpaid losses. The Company’s estimate of losses and loss adjustment expense reserves ceded to reinsurers is based on assumptions that are consistent with those used in establishing the gross reserves for amounts the Company owes to its claimants. The Company estimates its ceded reinsurance recoverables based on the terms of any applicable facultative and treaty reinsurance, including an estimate of how incurred but not reported losses will ultimately be ceded under reinsurance agreements. Accordingly, the Company’s estimate of reinsurance recoverables is subject to similar risks and uncertainties as the estimate of the gross reserve for unpaid losses and loss adjustment expenses. Reinsurance Recoverables by Credit Quality Indicator As of June 30, 2023 As of December 31, 2022 P&C Group Benefits Corporate Total P&C Group Benefits Corporate Total A.M. Best Financial Strength Rating A++ $ 2,173 $ — $ — $ 2,173 $ 2,094 $ — $ — $ 2,094 A+ 2,049 238 247 2,534 2,169 239 259 2,667 A 893 — — 893 763 1 — 764 A- 70 6 — 76 79 6 — 85 B++ 601 — 3 604 616 — 2 618 Below B++ 20 — — 20 20 — — 20 Total Rated by A.M. Best 5,806 244 250 6,300 5,741 246 261 6,248 Mandatory (Assigned) and Voluntary Risk Pools 207 — — 207 218 — — 218 Captives 304 — — 304 319 — — 319 Other not rated companies 205 6 — 211 279 5 — 284 Gross Reinsurance Recoverables 6,522 250 250 7,022 6,557 251 261 7,069 Allowance for uncollectible reinsurance (107) (1) (2) (110) (102) (1) (2) (105) Net Reinsurance Recoverables $ 6,415 $ 249 $ 248 $ 6,912 $ 6,455 $ 250 $ 259 $ 6,964 Balances are considered past due when amounts that have been billed are not collected within contractually stipulated time periods, generally 30, 60 or 90 days. To manage reinsurer credit risk, a reinsurance security review committee evaluates the credit standing, financial performance, management and operational quality of each potential reinsurer. In placing reinsurance, the Company considers the nature of the risk reinsured, including the expected liability payout duration, and establishes limits tiered by reinsurer credit rating. Where its contracts permit, the Company secures future claim obligations with various forms of collateral or other credit enhancement, including irrevocable letters of credit, secured trusts, funds held accounts and group wide offsets. As part of its reinsurance recoverable review, the Company analyzes recent developments in commutation activity between reinsurers and cedants, recent trends in arbitration and litigation outcomes in disputes between cedants and reinsurers and the overall credit quality of the Company’s reinsurers. Due to the inherent uncertainties as to collection and the length of time before reinsurance recoverables become due, it is possible that future adjustments to the Company’s reinsurance recoverables, net of the allowance, could be required, which could have a material adverse effect on the Company’s consolidated results of operations or cash flows in a particular quarter or annual period. The allowance for uncollectible reinsurance comprises an ACL and an allowance for disputed balances. The ACL is estimated as the amount of reinsurance recoverables exposed to loss multiplied by estimated factors for the probability of default and the amount of loss given a default. The probability of default is assigned based on each reinsurer's credit rating, or a rating is estimated if no external rating is available. Credit ratings are reviewed on a quarterly basis and any significant changes are reflected in an updated estimate. The probability of default factors are historical insurer and reinsurer defaults for liabilities with similar durations to the reinsured liabilities as estimated through multiple economic cycles. Credit ratings are forward-looking and consider a variety of economic outcomes. The loss given default factors are based on a study of historical recovery rates for general creditors of corporations through multiple economic cycles or, in the case of purchased annuities funding structured settlements accounted for as reinsurance, historical recovery rates for annuity contract holders. As shown in the table above, a portion of the total gross reinsurance recoverable balance relates to the Company’s participation in various mandatory (assigned) and voluntary risk pools. Reinsurance recoverables due from pools are backed by the financial position of all insurance companies participating in the pools and the credit backing the reinsurance recoverable is not limited to the financial strength of each pool. The mandatory pools generally are funded through policy assessments or surcharges and if any participant in the pool defaults, remaining liabilities are apportioned among the other members. The Company's evaluation of the required ACL for reinsurance recoverables considers the current economic environment as well as macroeconomic scenarios similar to the approach used to estimate the ACL for mortgage loans. See Note 5 - Investments. Insurance companies, including reinsurers, are regulated and hold risk-based capital (" RBC ") to mitigate the risk of loss due to economic factors and other risks. Non-U.S. reinsurers are either subject to a capital regime substantively equivalent to domestic insurers or we hold collateral to support collection of reinsurance recoverables. As a result, there is limited history of losses from insurer defaults. Allowance for Uncollectible Reinsurance for the Three and Six Months Ended Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 P&C beginning allowance for uncollectible reinsurance $ 102 $ 96 $ 102 $ 96 Beginning allowance for disputed amounts 58 56 60 54 P&C beginning ACL 44 40 42 42 Current period provision (release) 1 1 3 (1) P&C ending ACL 45 41 45 41 Ending allowance for disputed amounts 62 61 62 61 P&C ending allowance for uncollectible reinsurance $ 107 $ 102 $ 107 $ 102 Group Benefits allowance for uncollectible reinsurance $ 1 $ 1 $ 1 $ 1 Corporate allowance for uncollectible reinsurance $ 2 $ 2 $ 2 $ 2 Total allowance for uncollectible reinsurance $ 110 $ 105 $ 110 $ 105 |
Reserve for Unpaid Losses and L
Reserve for Unpaid Losses and Loss Adjustment Expenses | 6 Months Ended |
Jun. 30, 2023 | |
Liability for Unpaid Claims and Claims Adjustment Expense, Activity in Liability [Abstract] | |
Reserve for Unpaid Losses and Loss Adjustment Expenses | 9. RESERVE FOR UNPAID LOSSES AND LOSS ADJUSTMENT EXPENSES | PROPERTY & CASUALTY INSURANCE PRODUCT RESERVES, NET OF REINSURANCE Rollforward of Liabilities for Unpaid Losses and Loss Adjustment Expenses For the six months ended June 30, 2023 2022 Beginning liabilities for unpaid losses and loss adjustment expenses, gross $ 33,083 $ 31,449 Reinsurance and other recoverables 6,465 6,081 Beginning liabilities for unpaid losses and loss adjustment expenses, net 26,618 25,368 Provision for unpaid losses and loss adjustment expenses Current accident year 4,712 3,998 Prior accident year development (39) (94) Total provision for unpaid losses and loss adjustment expenses 4,673 3,904 Payments Current accident year (997) (840) Prior accident years (3,731) (2,680) Total payments (4,728) (3,520) Foreign currency adjustment 18 (29) Ending liabilities for unpaid losses and loss adjustment expenses, net 26,581 25,723 Reinsurance and other recoverables 6,448 6,212 Ending liabilities for unpaid losses and loss adjustment expenses, gross $ 33,029 $ 31,935 Unfavorable (Favorable) Prior Accident Year Development For the six months ended June 30, 2023 2022 Workers’ compensation $ (113) $ (85) Workers’ compensation discount accretion 22 18 General liability 28 33 Marine (1) (3) Package business (8) (24) Commercial property — (21) Professional liability (3) (9) Bond 12 (4) Assumed reinsurance 17 12 Automobile liability - Commercial Lines 6 12 Automobile liability - Personal Lines — (5) Homeowners 1 — Net asbestos and environmental ("A&E") reserves — — Catastrophes (44) (30) Uncollectible reinsurance 12 6 Other reserve re-estimates, net 32 6 Total prior accident year development $ (39) $ (94) Re-estimates of prior accident year reserves for the six months ended June 30, 2023 Workers’ compensation reserves were decreased within the 2014 to 2019 accident years primarily in small commercial, driven by lower than previously estimated claim severity. In addition, the 2020 accident year reflects a $20 reduction of COVID-19 related reserves. General liability reserves were increased driven by higher frequency and estimated cost to settle large individual claims for the 2016 to 2019 accident years, partially offset by a decrease in reserves for the 2020 accident year due to favorable experience. In addition, reserves for sexual molestation and sexual abuse claims were increased for older accident years. Also included was a decrease in reserves for extra contractual liability claims and other miscellaneous run-off lines. Package business reserves decreased primarily due to lower than previously estimated property severity for accident year 2021. Package liability is flat overall with improvement in accident year 2020 due to favorable claim count emergence offset by reserve increases in accident years 2019 and prior related to higher severity. Commercial property reserves were flat primarily due to unfavorable development for accident year 2022 in middle & large commercial, offset by favorable development in global specialty. Bond reserves were increased primarily due to unfavorable development for 2013 and prior accident years related to customs bonds. Assumed reinsurance reserves were increased due to higher reserve estimates in the specialty casualty, Latin America casualty and surety business. Automobile liability reserves - Commercial Lines increased primarily due to adverse loss development within accident years 2017 to 2019. Automobile liability reserves - Personal Lines were flat as increases for accident year 2022 from higher estimated severity and increasing attorney representation rates were fully offset by decreases, primarily within accident years 2019 to 2021, due to lower estimated severity. Catastrophes reserves were decreased primarily within Commercial Lines driven by a reduction in reserves in accident year 2022 for Hurricane Ian and accident year 2021 for Hurricane Ida. Uncollectible reinsurance was increased primarily in Commercial Lines related to a captive reinsurer and, to a lesser extent, an increase in reserves for potential collection disputes and credit concerns. Other reserve re-estimates, net, were increased primarily due to an increase in accident year 2022 Personal Lines automobile physical damage severity. Re-estimates of prior accident year reserves for the six months ended June 30, 2022 Workers’ compensation reserves were decreased for the 2014 through 2018 accident years, predominately within small commercial, driven by lower than previously estimated claim severity. General liability reserves were increased, driven by an increase in the estimated cost to settle large individual claims in middle & large commercial for the 2016 to 2019 accident years, an increase in excess casualty for the 2019 accident year, and increases in primary construction on older accident years, partially offset by a decrease in reserves for other mass torts. Package business reserves decreased due to lower estimated loss adjustment expenses for accident years 2015 to 2018 and a reduction in property reserves for the 2020 and 2021 accident years. Commercial property reserves were decreased primarily due to favorable development for the 2020 accident year in middle & large commercial related to COVID-19 claims and a reduction in property reserves for the 2021 accident year. Professional liability reserves were decreased primarily due to favorable development on directors’ and officers’ claims for the 2018 to 2020 accident years and on errors and omissions claims for the 2013 to 2017 accident years, partially offset by large losses related to 2018 and prior accident years for primary and excess directors’ and officers’ claims. Assumed reinsurance reserves were increased primarily due to higher reserve estimates for syndicate property claims, including higher expected COVID-19 property losses in the 2020 accident year and increased reserves for international agriculture related to drought claims. Automobile liability reserves were decreased in Personal Lines principally due to lower estimated severity on AARP Direct claims, primarily within accident years 2016 to 2020 and were increased in Commercial Lines principally due to a higher number of large claims in accident years 2017 to 2019. Catastrophe reserves were decreased in both Commercial and Personal Lines with the largest reduction related to 2019 and 2020 wind and hail events. Other reserve re-estimates, net, were increased primarily due to an increase in automobile physical damage severity and unfavorable development from participation in involuntary market pools. Settlement Agreement with Boy Scouts of America Rollforward of Liabilities for Unpaid Losses and Loss Adjustment Expenses For the six months ended June 30, 2023 2022 Beginning liabilities for unpaid losses and loss adjustment expenses, gross $ 8,160 $ 8,210 Reinsurance recoverables 245 245 Beginning liabilities for unpaid losses and loss adjustment expenses, net 7,915 7,965 Provision for unpaid losses and loss adjustment expenses Current incurral year 2,622 2,497 Prior year's discount accretion 103 107 Prior incurral year development [1] (265) (242) Total provision for unpaid losses and loss adjustment expenses [2] 2,460 2,362 Payments Current incurral year (1,012) (984) Prior incurral years (1,416) (1,500) Total payments (2,428) (2,484) Ending liabilities for unpaid losses and loss adjustment expenses, net 7,947 7,843 Reinsurance recoverables 243 254 Ending liabilities for unpaid losses and loss adjustment expenses, gross $ 8,190 $ 8,097 [1] Prior incurral year development represents the change in estimated ultimate incurred losses and loss adjustment expenses for prior incurral years on a discounted basis. [2] Includes unallocated loss adjustment expenses ("ULAE") of $91 and $92 for the six months ended June 30, 2023 and 2022, respectively, that are recorded in insurance operating costs and other expenses in the Condensed Consolidated Statements of Operations. Re-estimates of prior incurral years reserves for the six months ended June 30, 2023 Group disability- Prior period reserve estimates decreased by approximately $236 largely driven by group long-term disability claim incidence lower than prior assumptions and strong recoveries on prior incurral year claims. Group life and accident (including group life premium waiver)- Prior period reserve estimates decreased by approximately $19 largely driven by continued low incidence in group life premium waiver. Supplemental accident and health- Prior period reserve estimates decreased by approximately $10 driven by lower than previously expected claim incidence. Re-estimates of prior incurral years reserves for the six months ended June 30, 2022 Group disability- Prior period reserve estimates decreased by approximately $195 largely driven by group long-term disability claim incidence lower than prior assumptions together with strong recoveries on prior incurral year claims. Group life and accident (including group life premium waiver)- Prior period reserve estimates decreased by approximately $40 largely driven by continued low incidence in group life premium waiver as well as a reduction in estimated mortality group term life losses incurred in fourth quarter 2021. Supplemental Accident & Health- Prior period reserve estimates decreased by approximately $10 driven by lower than previously expected claim incidence. Rollforward of Reserve for Future Policy Benefits For the six months ended June 30, 2023 2022 Payout Annuities Life Conversions Paid-up Life Payout Annuities Life Conversions Paid-up Life Present Value of Expected Net Premiums Balance, beginning of the period $ 47 $ 58 Balance, ending of the period $ 44 $ 49 Present Value of Expected Future Policy Benefits Beginning balance at single-A rate $ 140 $ 112 $ 192 $ 188 $ 152 $ 262 Beginning adjustment for changes in single-A rate 4 (14) (39) 47 19 14 Beginning balance at original discount rate 136 126 231 141 133 248 Effect of actual variances from expected experience 1 3 (1) — 3 — Adjusted beginning balance 137 129 230 141 136 248 Interest accrual 4 9 3 4 8 4 Benefit Payments (6) (14) (9) (6) (15) (13) Ending balance at original discount rate 135 124 224 139 129 239 Ending adjustment for changes in single-A rate 4 (15) (38) 13 (7) (27) Ending balance at single-A rate $ 139 $ 109 $ 186 $ 152 $ 122 $ 212 Net reserve for future policy benefits $ 139 $ 65 $ 186 $ 152 $ 73 $ 212 Weighted-average duration of the reserve for future policy benefits (years) 9.1 12.2 6.3 9.2 13.0 6.9 Net Reserve for Future Policy Benefits As of June 30, 2023 2022 Payout Annuities $ 139 $ 152 Life Conversions 65 73 Paid-up Life 186 212 DPL 19 20 Other 80 93 Total $ 489 $ 550 Undiscounted Expected Future Gross Premiums and Benefit Payments As of June 30, 2023 2022 Payout Annuities [1] Expected future benefit payments $ 267 $ 277 Life Conversions Expected future gross premiums $ 117 $ 126 Expected future benefit payments $ 208 $ 218 Paid-up Life [1] Expected future benefit payments $ 290 $ 312 [1]Payout Annuities and Paid-up Life have no expected future gross premiums. Weighted-Average Interest Rates For the six months ended June 30, 2023 2022 Payout Annuities Interest accretion rate 5.6 % 5.6 % Current discount rate 5.2 % 4.6 % Life Conversions Interest accretion rate 4.2 % 4.1 % Current discount rate 5.2 % 4.7 % Paid-up Life Interest accretion rate 2.9 % 2.9 % Current discount rate 5.3 % 4.3 % |
Reserve for Future Policy Benef
Reserve for Future Policy Benefits | 6 Months Ended |
Jun. 30, 2023 | |
Insurance Loss Reserves [Abstract] | |
Reserve for Future Policy Benefits | 9. RESERVE FOR UNPAID LOSSES AND LOSS ADJUSTMENT EXPENSES | PROPERTY & CASUALTY INSURANCE PRODUCT RESERVES, NET OF REINSURANCE Rollforward of Liabilities for Unpaid Losses and Loss Adjustment Expenses For the six months ended June 30, 2023 2022 Beginning liabilities for unpaid losses and loss adjustment expenses, gross $ 33,083 $ 31,449 Reinsurance and other recoverables 6,465 6,081 Beginning liabilities for unpaid losses and loss adjustment expenses, net 26,618 25,368 Provision for unpaid losses and loss adjustment expenses Current accident year 4,712 3,998 Prior accident year development (39) (94) Total provision for unpaid losses and loss adjustment expenses 4,673 3,904 Payments Current accident year (997) (840) Prior accident years (3,731) (2,680) Total payments (4,728) (3,520) Foreign currency adjustment 18 (29) Ending liabilities for unpaid losses and loss adjustment expenses, net 26,581 25,723 Reinsurance and other recoverables 6,448 6,212 Ending liabilities for unpaid losses and loss adjustment expenses, gross $ 33,029 $ 31,935 Unfavorable (Favorable) Prior Accident Year Development For the six months ended June 30, 2023 2022 Workers’ compensation $ (113) $ (85) Workers’ compensation discount accretion 22 18 General liability 28 33 Marine (1) (3) Package business (8) (24) Commercial property — (21) Professional liability (3) (9) Bond 12 (4) Assumed reinsurance 17 12 Automobile liability - Commercial Lines 6 12 Automobile liability - Personal Lines — (5) Homeowners 1 — Net asbestos and environmental ("A&E") reserves — — Catastrophes (44) (30) Uncollectible reinsurance 12 6 Other reserve re-estimates, net 32 6 Total prior accident year development $ (39) $ (94) Re-estimates of prior accident year reserves for the six months ended June 30, 2023 Workers’ compensation reserves were decreased within the 2014 to 2019 accident years primarily in small commercial, driven by lower than previously estimated claim severity. In addition, the 2020 accident year reflects a $20 reduction of COVID-19 related reserves. General liability reserves were increased driven by higher frequency and estimated cost to settle large individual claims for the 2016 to 2019 accident years, partially offset by a decrease in reserves for the 2020 accident year due to favorable experience. In addition, reserves for sexual molestation and sexual abuse claims were increased for older accident years. Also included was a decrease in reserves for extra contractual liability claims and other miscellaneous run-off lines. Package business reserves decreased primarily due to lower than previously estimated property severity for accident year 2021. Package liability is flat overall with improvement in accident year 2020 due to favorable claim count emergence offset by reserve increases in accident years 2019 and prior related to higher severity. Commercial property reserves were flat primarily due to unfavorable development for accident year 2022 in middle & large commercial, offset by favorable development in global specialty. Bond reserves were increased primarily due to unfavorable development for 2013 and prior accident years related to customs bonds. Assumed reinsurance reserves were increased due to higher reserve estimates in the specialty casualty, Latin America casualty and surety business. Automobile liability reserves - Commercial Lines increased primarily due to adverse loss development within accident years 2017 to 2019. Automobile liability reserves - Personal Lines were flat as increases for accident year 2022 from higher estimated severity and increasing attorney representation rates were fully offset by decreases, primarily within accident years 2019 to 2021, due to lower estimated severity. Catastrophes reserves were decreased primarily within Commercial Lines driven by a reduction in reserves in accident year 2022 for Hurricane Ian and accident year 2021 for Hurricane Ida. Uncollectible reinsurance was increased primarily in Commercial Lines related to a captive reinsurer and, to a lesser extent, an increase in reserves for potential collection disputes and credit concerns. Other reserve re-estimates, net, were increased primarily due to an increase in accident year 2022 Personal Lines automobile physical damage severity. Re-estimates of prior accident year reserves for the six months ended June 30, 2022 Workers’ compensation reserves were decreased for the 2014 through 2018 accident years, predominately within small commercial, driven by lower than previously estimated claim severity. General liability reserves were increased, driven by an increase in the estimated cost to settle large individual claims in middle & large commercial for the 2016 to 2019 accident years, an increase in excess casualty for the 2019 accident year, and increases in primary construction on older accident years, partially offset by a decrease in reserves for other mass torts. Package business reserves decreased due to lower estimated loss adjustment expenses for accident years 2015 to 2018 and a reduction in property reserves for the 2020 and 2021 accident years. Commercial property reserves were decreased primarily due to favorable development for the 2020 accident year in middle & large commercial related to COVID-19 claims and a reduction in property reserves for the 2021 accident year. Professional liability reserves were decreased primarily due to favorable development on directors’ and officers’ claims for the 2018 to 2020 accident years and on errors and omissions claims for the 2013 to 2017 accident years, partially offset by large losses related to 2018 and prior accident years for primary and excess directors’ and officers’ claims. Assumed reinsurance reserves were increased primarily due to higher reserve estimates for syndicate property claims, including higher expected COVID-19 property losses in the 2020 accident year and increased reserves for international agriculture related to drought claims. Automobile liability reserves were decreased in Personal Lines principally due to lower estimated severity on AARP Direct claims, primarily within accident years 2016 to 2020 and were increased in Commercial Lines principally due to a higher number of large claims in accident years 2017 to 2019. Catastrophe reserves were decreased in both Commercial and Personal Lines with the largest reduction related to 2019 and 2020 wind and hail events. Other reserve re-estimates, net, were increased primarily due to an increase in automobile physical damage severity and unfavorable development from participation in involuntary market pools. Settlement Agreement with Boy Scouts of America Rollforward of Liabilities for Unpaid Losses and Loss Adjustment Expenses For the six months ended June 30, 2023 2022 Beginning liabilities for unpaid losses and loss adjustment expenses, gross $ 8,160 $ 8,210 Reinsurance recoverables 245 245 Beginning liabilities for unpaid losses and loss adjustment expenses, net 7,915 7,965 Provision for unpaid losses and loss adjustment expenses Current incurral year 2,622 2,497 Prior year's discount accretion 103 107 Prior incurral year development [1] (265) (242) Total provision for unpaid losses and loss adjustment expenses [2] 2,460 2,362 Payments Current incurral year (1,012) (984) Prior incurral years (1,416) (1,500) Total payments (2,428) (2,484) Ending liabilities for unpaid losses and loss adjustment expenses, net 7,947 7,843 Reinsurance recoverables 243 254 Ending liabilities for unpaid losses and loss adjustment expenses, gross $ 8,190 $ 8,097 [1] Prior incurral year development represents the change in estimated ultimate incurred losses and loss adjustment expenses for prior incurral years on a discounted basis. [2] Includes unallocated loss adjustment expenses ("ULAE") of $91 and $92 for the six months ended June 30, 2023 and 2022, respectively, that are recorded in insurance operating costs and other expenses in the Condensed Consolidated Statements of Operations. Re-estimates of prior incurral years reserves for the six months ended June 30, 2023 Group disability- Prior period reserve estimates decreased by approximately $236 largely driven by group long-term disability claim incidence lower than prior assumptions and strong recoveries on prior incurral year claims. Group life and accident (including group life premium waiver)- Prior period reserve estimates decreased by approximately $19 largely driven by continued low incidence in group life premium waiver. Supplemental accident and health- Prior period reserve estimates decreased by approximately $10 driven by lower than previously expected claim incidence. Re-estimates of prior incurral years reserves for the six months ended June 30, 2022 Group disability- Prior period reserve estimates decreased by approximately $195 largely driven by group long-term disability claim incidence lower than prior assumptions together with strong recoveries on prior incurral year claims. Group life and accident (including group life premium waiver)- Prior period reserve estimates decreased by approximately $40 largely driven by continued low incidence in group life premium waiver as well as a reduction in estimated mortality group term life losses incurred in fourth quarter 2021. Supplemental Accident & Health- Prior period reserve estimates decreased by approximately $10 driven by lower than previously expected claim incidence. Rollforward of Reserve for Future Policy Benefits For the six months ended June 30, 2023 2022 Payout Annuities Life Conversions Paid-up Life Payout Annuities Life Conversions Paid-up Life Present Value of Expected Net Premiums Balance, beginning of the period $ 47 $ 58 Balance, ending of the period $ 44 $ 49 Present Value of Expected Future Policy Benefits Beginning balance at single-A rate $ 140 $ 112 $ 192 $ 188 $ 152 $ 262 Beginning adjustment for changes in single-A rate 4 (14) (39) 47 19 14 Beginning balance at original discount rate 136 126 231 141 133 248 Effect of actual variances from expected experience 1 3 (1) — 3 — Adjusted beginning balance 137 129 230 141 136 248 Interest accrual 4 9 3 4 8 4 Benefit Payments (6) (14) (9) (6) (15) (13) Ending balance at original discount rate 135 124 224 139 129 239 Ending adjustment for changes in single-A rate 4 (15) (38) 13 (7) (27) Ending balance at single-A rate $ 139 $ 109 $ 186 $ 152 $ 122 $ 212 Net reserve for future policy benefits $ 139 $ 65 $ 186 $ 152 $ 73 $ 212 Weighted-average duration of the reserve for future policy benefits (years) 9.1 12.2 6.3 9.2 13.0 6.9 Net Reserve for Future Policy Benefits As of June 30, 2023 2022 Payout Annuities $ 139 $ 152 Life Conversions 65 73 Paid-up Life 186 212 DPL 19 20 Other 80 93 Total $ 489 $ 550 Undiscounted Expected Future Gross Premiums and Benefit Payments As of June 30, 2023 2022 Payout Annuities [1] Expected future benefit payments $ 267 $ 277 Life Conversions Expected future gross premiums $ 117 $ 126 Expected future benefit payments $ 208 $ 218 Paid-up Life [1] Expected future benefit payments $ 290 $ 312 [1]Payout Annuities and Paid-up Life have no expected future gross premiums. Weighted-Average Interest Rates For the six months ended June 30, 2023 2022 Payout Annuities Interest accretion rate 5.6 % 5.6 % Current discount rate 5.2 % 4.6 % Life Conversions Interest accretion rate 4.2 % 4.1 % Current discount rate 5.2 % 4.7 % Paid-up Life Interest accretion rate 2.9 % 2.9 % Current discount rate 5.3 % 4.3 % |
Other Policyholder Funds and Be
Other Policyholder Funds and Benefits Payable | 6 Months Ended |
Jun. 30, 2023 | |
Insurance Loss Reserves [Abstract] | |
Policyholder Account Balance Disclosure [Text Block] | 11. OTHER POLICYHOLDER FUNDS AND BENEFITS PAYABLE Other policyholder funds and benefits payable of $647 and $664 as of June 30, 2023 and 2022 respectively, included universal life long-duration contacts of $228 and $242 as well as policyholder balances related to short-duration contracts of $419 and $422. The universal life long-duration contacts presented in the table below were economically ceded to Prudential as part of the sale of the Company's former individual life business, which closed in 2013. Universal Life Long Duration Contracts Rollforward For the six months ended June 30, 2023 2022 Balance, beginning of the period $ 232 $ 253 Premiums Received 6 7 Policy Charges (10) (12) Surrenders and Withdrawals (2) (2) Benefit Payments (3) (10) Interest Credited 5 6 Balance, end of the period $ 228 $ 242 Weighted-average crediting rate 4.2 % 4.2 % Net Amount at Risk [1] $ 950 $ 1,032 Cash Surrender Value $ 226 $ 239 [1]Net amount at risk is defined as the current death benefit in excess of the current account value as of the balance sheet date. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 12. INCOME TAXES Income Tax Expense Income Tax Rate Reconciliation Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Tax provision at U.S. federal statutory rate $ 141 $ 116 $ 278 $ 230 Nontaxable investment income (9) (5) (20) (14) Other (7) (1) (15) (8) Provision for income taxes $ 125 $ 110 $ 243 $ 208 Uncertain Tax Positions Rollforward of Unrecognized Tax Benefits Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Balance, beginning of period $ 23 $ 17 $ 22 $ 16 Gross increases - tax positions in current period 1 1 2 2 Lapse of statute of limitations (1) — (1) — Balance, end of period $ 23 $ 18 $ 23 $ 18 The entire amount of unrecognized tax benefits, if recognized, would affect the effective tax rate in the period of the release. Other Tax Matters As of June 30, 2023, the Company has a deferred tax asset for foreign net operating losses of $40 partially offset by a valuation allowance of $21. While the foreign net operating losses (" NOLs ") do not expire, this assessment reflects uncertainty in the Company's ability to generate sufficient taxable income in the near term in those specific jurisdictions. Management has assessed the need for a valuation allowance against its deferred tax assets based on tax character and jurisdiction. In making the assessment, management considered future taxable temporary difference reversals, future taxable income exclusive of reversing temporary differences and carryovers, taxable income in open carry back years and other tax planning strategies which management views as prudent and feasible. The federal income tax audits for the Company have been completed through 2013. The acquired Navigators Group is currently under IRS audit for the pre-acquisition 2019 tax period. The statute of limitations is closed through the 2019 tax year with the exception of NOL carryforwards utilized in open tax years and the Navigators pre-acquisition 2019 tax period. Management believes that adequate provision has been made in the Company's Condensed Consolidated Financial Statements for any potential adjustments that may result from tax examinations and other tax-related matters for all open tax years. |
Debt
Debt | 6 Months Ended |
Jun. 30, 2023 | |
Debt Disclosure [Abstract] | |
Debt | 13. DEBT Junior Subordinated Debentures The U.K. Financial Conduct Authority ("FCA") announced that publication of U.S. dollar London Inter Bank Offered Rate (“LIBOR”) on a representative basis will cease immediately after June 30, 2023. LIBOR is used as a benchmark or reference rate for certain investments and derivatives the Company owns, and floating rate debt the Company has issued. Uncertainties and risks relating to the transition from LIBOR have been reduced by the federal Adjustable Interest Rate (LIBOR) Act, which addresses replacement of LIBOR in certain contracts governed by U.S. law (including the law of any U.S. state), including 3-Month LIBOR, which was the original reference rate on the Company's $500 junior subordinated debentures due 2067. Prior to July 1, 2023, the Company's $500 junior subordinated debentures due 2067 paid interest at a rate of LIBOR plus 2.125%. Effective July 1, 2023, the interest rate on the $500 junior subordinated debentures due 2067 is determined based on a reference rate of 3-month CME term Secured Overnight Financing Rate (“SOFR”) plus a spread adjustment of 0.26161% plus 2.125%. The Company's interest rate swap agreements that converted the LIBOR variable interest payments on the $500 junior subordinated debentures to fixed interest payments were terminated and new interest rate swap agreements were entered into that reference SOFR so that interest rate swaps continue to effectively convert the variable interest payments to fixed interest payments of approximately 4.39%. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | 14. COMMITMENTS AND CONTINGENCIES Management evaluates each contingent matter separately. A loss is recorded if probable and reasonably estimable. Management establishes liabilities for these contingencies at its “best estimate,” or, if no one number within the range of possible losses is more probable than any other, the Company records an estimated liability at the low end of the range of losses. Litigation The Hartford is involved in claims litigation arising in the ordinary course of business, both as a liability insurer defending or providing indemnity for third-party claims brought against insureds and as an insurer defending coverage claims brought against it. The Hartford accounts for such activity through the establishment of unpaid loss and loss adjustment expense reserves. Subject to the uncertainties related to sexual molestation and sexual abuse claims discussed in Note 9 - Reserve for Unpaid Losses and Loss Adjustment Expenses of this Form 10-Q and in Note 11 - Reserve for Unpaid Losses and Loss Adjustment Expenses, of the Company's Annual Report on Form 10-K for the year ended December 31, 2022, and in the following discussion under the caption “COVID-19 Pandemic Business Income Insurance Litigation” and under the caption “Run-off Asbestos and Environmental Claims,” management expects that the ultimate liability, if any, with respect to such ordinary-course claims litigation, after consideration of provisions made for potential losses and costs of defense, will not be material to the consolidated financial condition, results of operations or cash flows of The Hartford. The Hartford is also involved in other kinds of legal actions, some of which assert claims for substantial amounts. In addition to the matter described below, these actions include putative class actions seeking certification of a state or national class. Such putative class actions have alleged, for example, underpayment of claims or improper sales or underwriting practices in connection with various kinds of insurance policies, such as personal and commercial automobile and property. The Hartford also is involved in individual actions in which punitive damages are sought, such as claims alleging bad faith in the handling of insurance claims or other allegedly unfair or improper business practices. Like many other insurers, The Hartford also has been joined in actions by asbestos plaintiffs asserting, among other things, that insurers had a duty to protect the public from the dangers of asbestos and that insurers committed unfair trade practices by asserting defenses on behalf of their policyholders in the underlying asbestos cases. Management expects that the ultimate liability, if any, with respect to such lawsuits, after consideration of provisions made for estimated losses, will not be material to the consolidated financial condition of The Hartford. Nonetheless, given the large or indeterminate amounts sought in certain of these actions, and the inherent unpredictability of litigation, the outcome in certain matters could, from time to time, have a material adverse effect on the Company’s results of operations or cash flows in particular quarterly or annual periods. COVID-19 Pandemic Business Income Insurance Litigation Like many others in the property and casualty insurance industry, beginning in April 2020, various direct and indirect subsidiaries of the Company (collectively the "Hartford Writing Companies”), and in some instances the Company itself, have been served as defendants in lawsuits seeking insurance coverage under commercial insurance policies issued by the Hartford Writing Companies for alleged losses resulting from the shutdown or suspension of their businesses due to the spread of COVID-19. More than 300 such lawsuits have been filed, of which more than 60 purport to be filed on behalf of broad nationwide or statewide classes of policyholders. These lawsuits have been filed in state and federal courts in roughly 35 states. Although the allegations vary, the plaintiffs generally seek a declaration of insurance coverage, damages for breach of contract in unspecified amounts, interest, and attorneys' fees. Many of the lawsuits also allege that the insurance claims were denied in bad faith or otherwise in violation of state laws and seek extra-contractual or punitive damages. Some of the lawsuits also allege that the Hartford Writing Companies engaged in unfair business practices by collecting or retaining excess premium. The Company and its subsidiaries deny the allegations and continue to vigorously defend these suits. The Hartford Writing Companies maintain that they have no coverage obligations with respect to these suits for business income allegedly lost by the plaintiffs due to the COVID-19 pandemic based on the clear terms of the applicable insurance policies. Although the policy terms vary depending, among other things, upon the size, nature, and location of the policyholder’s business, in general, the claims at issue in these lawsuits were denied because the claimant identified no direct physical damage or loss to property at the insured premises, and the governmental orders that led to the complete or partial shutdown of the business were not due to the existence of any direct physical damage or loss in the immediate vicinity of the insured premises and did not prohibit access to the insured premises, as required by the terms of the insurance policies. In addition, the vast majority of the policies at issue expressly exclude from coverage any loss caused directly or indirectly by the presence, growth, proliferation, spread or activity of a virus, subject to a narrow set of exceptions not applicable in connection with this pandemic, and contain a pollution and contamination exclusion that, among other things, expressly excludes from coverage any loss caused by material that threatens human health or welfare. In addition to the inherent difficulty in predicting litigation outcomes, the COVID-19 pandemic business income coverage lawsuits present numerous uncertainties and contingencies that are not yet fully known, including how many additional claims or lawsuits could be filed, the extent to which any state or nationwide classes will be certified, and the size and scope of any such classes. The legal theories advocated by plaintiffs vary significantly by case as do the state laws that govern the policy interpretation. These lawsuits are at various stages of litigation: some are in the earliest stages of litigation, some complaints may be amended, some have been dismissed voluntarily and may be refiled, while many have been dismissed through rulings in favor of the Hartford Writing Companies. Discovery is underway in certain single plaintiff cases. Moreover, dozens of policyholders have appealed dismissals in favor of the Hartford Writing Companies. The Hartford Writing Companies have received numerous favorable rulings on appeal, with only two adverse appellate rulings to date. The remainder of the Hartford Writing Companies' appeals are at various stages of the appellate process and have not yet been ruled upon. In addition, business income calculations depend upon a wide range of factors that are particular to the circumstances of each individual policyholder and, here, almost none of the plaintiffs have submitted proofs of loss or otherwise quantified or factually supported any allegedly covered loss, and, in any event, the Company’s experience shows that demands for damages often bear little relation to a reasonable estimate of potential loss. Accordingly, management cannot now reasonably estimate the possible loss or range of loss, if any. Nonetheless, given the large number of claims and potential claims, the indeterminate amounts sought, and the inherent unpredictability of litigation, it is possible that adverse outcomes, if any, in the aggregate, could have a material adverse effect on the Company’s consolidated operating results or liquidity. Run-off Asbestos and Environmental Claims The Company continues to receive asbestos and environmental ("A&E") claims. Asbestos claims relate primarily to bodily injuries asserted by people who came in contact with asbestos or products containing asbestos. Environmental claims relate primarily to pollution and related clean-up costs. The vast majority of the Company's exposure to A&E relates to accident years prior to 1986 that are reported in Property & Casualty Other Operations ("Run-off A&E"). In addition, since 1986, the Company has written asbestos and environmental exposures under general liability policies and pollution liability under homeowners policies, which are reported in the Commercial Lines and Personal Lines segments, respectively. Prior to 1986, the Company wrote several different categories of insurance contracts that may cover A&E claims. First, the Company wrote primary policies providing the first layer of coverage in an insured’s liability program. Second, the Company wrote excess and umbrella policies providing higher layers of coverage for losses that exhaust the limits of underlying coverage. Third, the Company acted as a reinsurer assuming a portion of those risks assumed by other insurers writing primary, excess, umbrella and reinsurance coverages. Significant uncertainty limits the ability of insurers and reinsurers to estimate the ultimate reserves necessary for unpaid gross losses and expenses related to environmental and asbestos claims. The degree of variability of gross reserve estimates for these exposures is significantly greater than for other more traditional exposures. In the case of the reserves for asbestos exposures, factors contributing to the high degree of uncertainty include inadequate loss development patterns, plaintiffs’ expanding theories of liability, the risks inherent in major litigation, and inconsistent and emerging legal doctrines with respect to the underlying claims and with respect to the Company's coverage obligations. Furthermore, over time, insurers, including the Company, have experienced significant changes in the rate at which asbestos claims are brought, the claims experience of particular insureds, and the value of claims, making predictions of future exposure from past experience uncertain. Plaintiffs and insureds also have sought to use bankruptcy proceedings, including “pre-packaged” bankruptcies, to accelerate and increase loss payments by insurers. In addition, some policyholders have asserted new classes of claims for coverages to which an aggregate limit of liability may not apply. Further uncertainties include insolvencies of other carriers, insolvencies of insureds and unanticipated developments pertaining to the Company’s ability to recover reinsurance for A&E claims. Management believes these issues are not likely to be resolved in the near future. In the case of the reserves for environmental exposures, factors contributing to the high degree of uncertainty include expanding theories of liability and damages against insureds, emerging risks such as per-and polyfluoroalkyl substances ("PFAS"), the risks inherent in major litigation, inconsistent and emerging legal doctrines concerning the existence and scope of coverage for environmental claims, and the scope and level of complexity of the remediation required by regulators. The reporting pattern for assumed reinsurance claims, including those related to A&E claims, is much longer than for direct claims. In many instances, it takes months or years to determine that the policyholder’s own obligations have been met and how the reinsurance in question may apply to such claims. The delay in reporting reinsurance claims and exposures adds to the uncertainty of estimating the related reserves. It is also not possible to predict changes in the legal and legislative environment and their effect on the future development of A&E claims. Given the factors described above, the Company believes the actuarial tools and other techniques it employs to estimate the ultimate cost of claims for more traditional kinds of insurance exposure are less precise in estimating reserves for A&E exposures. For this reason, the Company principally relies on exposure-based analysis to estimate the ultimate costs of these claims, both gross and net of reinsurance, and regularly evaluates new account information in assessing its potential A&E exposures. The Company supplements this exposure-based analysis with evaluations of the Company’s historical direct net loss and expense paid and reported experience, and net loss and expense paid and reported experience by calendar and/or report year, to assess any emerging trends, fluctuations or characteristics suggested by the aggregate paid and reported activity. While the Company believes that its current A&E reserves are appropriate, significant uncertainties limit the ability of insurers and reinsurers to estimate the ultimate reserves necessary for unpaid losses and related expenses. The ultimate liabilities, thus, could exceed the currently recorded reserves, and any such additional liability, while not estimable now, could be material to The Hartford’s consolidated operating results or liquidity. For its Run-off A&E claims, as of June 30, 2023, the Company reported $327 of net asbestos and environmental reserves, including the benefit of losses ceded to an A&E adverse development cover ("ADC") with National Indemnity Company, a subsidiary of Berkshire Hathaway ("NICO") (collectively the "A&E ADC"). In addition, the Company has recorded a $594 deferred gain within other liabilities for losses economically ceded to NICO but for which the benefit is not recognized in earnings until later periods. While the Company believes that its current Run-off A&E reserves are appropriate, significant uncertainties limit our ability to estimate the ultimate reserves necessary for unpaid losses and related expenses. The ultimate liabilities, thus, could exceed the currently recorded reserves, and any such additional liability, while not reasonably estimable now, could be material to The Hartford's consolidated operating results or liquidity. The Company’s A&E ADC reinsurance agreement reinsures substantially all A&E reserve development for 2016 and prior accident years, including Run-off A&E and A&E reserves included in Commercial Lines and Personal Lines. The A&E ADC has a coverage limit of $1.5 billion above the Company’s existing net A&E reserves as of December 31, 2016 of approximately $1.7 billion. As of June 30, 2023 , the Company has incurred $1,244 in cumulative adverse development on A&E reserves that have been ceded under the A&E ADC treaty, leaving $256 of coverage available for future adverse net reserve development, if any. Cumulative adverse development of A&E claims for accident years 2016 and prior could ultimately exceed the $1.5 billion treaty limit in which case any adverse development in excess of the treaty limit would be absorbed as a charge to earnings by the Company. In these scenarios, the effect of these charges could be material to the Company’s consolidated operating results or liquidity. For more information on the A&E ADC, refer to Note 11, Reserve for Unpaid Losses and Loss Adjustment Expenses of Notes to Consolidated Financial Statements included in the Company's 2022 Form 10-K Annual Report. Derivative Commitments Certain of the Company’s derivative agreements contain provisions that are tied to the financial strength ratings, as set by nationally recognized statistical agencies, of the individual legal entity that entered into the derivative agreement. If the legal entity’s financial strength were to fall below certain ratings, the counterparties to the derivative agreements could, in certain instances, terminate the agreements and demand immediate settlement of all outstanding derivative positions traded under each impacted bilateral agreement. The settlement amount is determined by netting the derivative positions transacted under each agreement. If the termination rights were to be exercised by the counterparties, it could impact the legal entity’s ability to conduct hedging activities by increasing the associated costs and decreasing the willingness of counterparties to transact with the legal entity. The aggregate fair value of all derivative instruments with credit-risk-related contingent features that are in a net liability position as of June 30, 2023 was $78 for which the legal entities have posted collateral of $69 in the normal course of business. Based on derivative contractual terms as of June 30, 2023, a downgrade of the current financial strength ratings by either Moody's or S&P would not require additional assets to be posted as collateral. This requirement could change as a result of changes in our hedging activities or to the extent changes in contractual terms are negotiated. The nature of the additional collateral that we would post, if required, would be primarily in the form of U.S. Treasury bills, U.S. Treasury notes and government agency securities. |
Equity
Equity | 6 Months Ended |
Jun. 30, 2023 | |
Equity [Abstract] | |
Equity | 15. EQUITY Equity Repurchase Program During the six months ended June 30, 2023 and 2022, the Company repurchased $700 (9.7 million shares) and $850 (12.0 million shares), respectively, of common stock under Board authorized share repurchase programs covering the applicable periods. As of June 30, 2023, the Company has $2.0 billion remaining for equity repurchases under the current $3.0 billion share repurchase program, which is effective until December 31, 2024. During the period July 1, 2023 through July 26, 2023, |
Changes in and Reclassification
Changes in and Reclassifications from Accumulated Other Comprehensive Income (Loss) | 6 Months Ended |
Jun. 30, 2023 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Changes in and Reclassifications from Accumulated Other Comprehensive Income (Loss) | 16. CHANGES IN AND RECLASSIFICATIONS FROM ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) Changes in AOCI, Net of Tax for the Three Months Ended June 30, 2023 Changes in Net Unrealized Gain (Loss) on Fixed Maturities, AFS Unrealized Loss on Fixed Maturities with ACL Net Gain on Cash Flow Hedging Instruments Foreign Currency Translation Adjustments Liability for Future Policy Benefits Adjustments Pension and Other Postretirement Plan Adjustments AOCI, Beginning balance $ (2,008) $ (13) $ 48 $ 33 $ 27 $ (1,341) $ (3,254) OCI before reclassifications (362) 2 (21) 4 6 (1) (372) Amounts reclassified from AOCI 21 2 — — — 7 30 OCI, before tax (341) 4 (21) 4 6 6 (342) Income tax benefit (expense) 72 (1) 4 (1) (1) (1) 72 OCI, net of tax (269) 3 (17) 3 5 5 (270) Ending balance $ (2,277) $ (10) $ 31 $ 36 $ 32 $ (1,336) $ (3,524) Changes in AOCI, Net of Tax for the Six Months Ended June 30, 2023 Changes in Net Unrealized Gain (Loss) on Fixed Maturities, AFS Unrealized Losses on Fixed Maturities with ACL Net Gain (Loss) on Cash Flow Hedging Instruments Foreign Currency Translation Adjustments Liability for Future Policy Benefits Adjustments Pension and Other Postretirement Plan Adjustments AOCI, Beginning balance $ (2,594) $ (7) $ 40 $ 31 $ 35 $ (1,346) $ (3,841) OCI before reclassifications 353 (6) (14) 6 (4) — 335 Amounts reclassified from AOCI 48 2 3 — — 13 66 OCI, before tax 401 (4) (11) 6 (4) 13 401 Income tax benefit (expense) (84) 1 2 (1) 1 (3) (84) OCI, net of tax 317 (3) (9) 5 (3) 10 317 Ending balance $ (2,277) $ (10) $ 31 $ 36 $ 32 $ (1,336) $ (3,524) Reclassifications from AOCI Three Months Ended June 30, 2023 Six Months Ended June 30, 2023 Affected Line Item in the Condensed Consolidated Statement of Operations Net Unrealized Gain (Loss) on Fixed Maturities, AFS Available-for-sale fixed maturities $ (21) $ (48) Net realized gains (losses) (21) (48) Total before tax (4) (10) Income tax expense $ (17) $ (38) Net income Unrealized Losses on Fixed Maturities with ACL Available-for-sale fixed maturities $ (2) $ (2) Net realized gains (losses) (2) (2) Total before tax (1) (1) Income tax expense $ (1) $ (1) Net income Net Gain (Loss) on Cash Flow Hedging Instruments Interest rate swaps $ (7) $ (15) Net investment income Interest rate swaps 4 7 Interest expense Foreign currency swaps 3 5 Net investment income — (3) Total before tax — (1) Income tax expense $ — $ (2) Net income Pension and Other Postretirement Plan Adjustments Amortization of prior service credit $ 1 $ 3 Insurance operating costs and other expenses Amortization of actuarial loss (8) (16) Insurance operating costs and other expenses (7) (13) Total before tax (1) (3) Income tax expense $ (6) $ (10) Net income Total amounts reclassified from AOCI $ (24) $ (51) Net income Changes in AOCI, Net of Tax for the Three Months Ended June 30, 2022 Changes in Net Unrealized Gain (Loss) on Fixed Maturities, AFS Unrealized Losses on Fixed Maturities with ACL Net Gain (Loss) on Cash Flow Hedging Instruments Foreign Currency Translation Adjustments Liability for Future Policy Benefits Adjustments Pension and Other Postretirement Plan Adjustments AOCI, Beginning balance $ (261) $ (2) $ 5 $ 41 $ (16) $ (1,477) $ (1,710) OCI before reclassifications (2,087) — 38 (10) 37 (1) (2,023) Amounts reclassified from AOCI 65 — (6) — — 16 75 OCI, before tax (2,022) — 32 (10) 37 15 (1,948) Income tax benefit (expense) 425 — (7) 2 (8) (3) 409 OCI, net of tax (1,597) — 25 (8) 29 12 (1,539) Ending balance $ (1,858) $ (2) $ 30 $ 33 $ 13 $ (1,465) $ (3,249) Changes in AOCI, Net of Tax for the Six Months Ended June 30, 2022 Changes in Net Unrealized Gain (Loss) on Fixed Maturities, AFS Unrealized Losses on Fixed Maturities with ACL Net Gain (Loss) on Cash Flow Hedging Instruments Foreign Currency Translation Adjustments Liability for Future Policy Benefits Adjustments Pension and Other Postretirement Plan Adjustments AOCI, Beginning balance $ 1,631 $ (2) $ 6 $ 41 $ (59) $ (1,489) $ 128 OCI before reclassifications (4,568) — 45 (10) 91 (1) (4,443) Amounts reclassified from AOCI 152 — (14) — — 31 169 OCI, before tax (4,416) — 31 (10) 91 30 (4,274) Income tax benefit (expense) 927 — (7) 2 (19) (6) 897 OCI, net of tax (3,489) — 24 (8) 72 24 (3,377) Ending balance $ (1,858) $ (2) $ 30 $ 33 $ 13 $ (1,465) $ (3,249) Reclassifications from AOCI Three Months Ended June 30, 2022 Six Months Ended June 30, 2022 Affected Line Item in the Condensed Consolidated Statement of Operations Net Unrealized Gain (Loss) on Fixed Maturities, AFS Available-for-sale fixed maturities $ (65) $ (152) Net realized gains (losses) (65) (152) Total before tax (14) (32) Income tax expense $ (51) $ (120) Net income Net Gain (Loss) on Cash Flow Hedging Instruments Interest rate swaps $ 5 $ 14 Net investment income Interest rate swaps (1) (4) Interest expense Foreign currency swaps 2 4 Net investment income 6 14 Total before tax 1 3 Income tax expense $ 5 $ 11 Net income Pension and Other Postretirement Plan Adjustments Amortization of prior service credit $ 1 $ 3 Insurance operating costs and other expenses Amortization of actuarial loss (17) (34) Insurance operating costs and other expenses (16) (31) Total before tax (3) (7) Income tax expense $ (13) $ (24) Net income Total amounts reclassified from AOCI $ (59) $ (133) Net income |
Employee Benefit Plans
Employee Benefit Plans | 6 Months Ended |
Jun. 30, 2023 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plans | 17. EMPLOYEE BENEFIT PLANS The Company’s employee benefit plans are described in Note 18 - Employee Benefit Plans of Notes to Consolidated Financial Statements included in The Hartford’s 2022 Form 10-K Annual Report. Net periodic cost (benefit) is recognized in insurance operating costs and other expenses in the Condensed Consolidated Statement of Operations. Based on the funded status of the U.S. qualified defined benefit pension plan, the Company does not anticipate contributing to the plan in 2023. Net Periodic Cost (Benefit) Pension Benefits Other Postretirement Benefits Three Months Ended June 30, Six Months Ended June 30, Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 2023 2022 2023 2022 Service cost $ 1 $ 1 $ 2 $ 2 $ — $ — $ — $ — Interest cost 45 28 90 56 2 1 4 2 Expected return on plan assets (59) (50) (118) (101) (1) (1) (1) (1) Amortization of prior service credit — — — — (1) (1) (3) (3) Amortization of actuarial loss 7 16 14 31 1 1 2 3 Net periodic cost (benefit) $ (6) $ (5) $ (12) $ (12) $ 1 $ — $ 2 $ 1 |
Restructuring and Related Activ
Restructuring and Related Activities | 6 Months Ended |
Jun. 30, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Related Activities Disclosure | 18. RESTRUCTURING AND OTHER COSTS In recognition of the need to become more cost efficient and competitive along with enhancing the experience we provide to agents and customers, on July 30, 2020 the Company announced an operational transformation and cost reduction plan it refers to as Hartford Next. Hartford Next is intended to reduce annual insurance operating costs and other expenses through reduction of the Company's headcount, investment in information technology ("IT") to further enhance our capabilities, and other activities. The activities are expected to be substantially complete by the end of 2023. Termination benefits related to workforce reductions and professional fees are included within restructuring and other costs in the Condensed Consolidated Statement of Operations and unpaid restructuring costs are included in other liabilities in the June 30, 2023 and December 31, 2022 Condensed Consolidated Balance Sheets. Subsequent to June 30, 2023, the Company expects to incur additional costs including amortization of right of use assets and other lease exit costs, other IT costs to retire applications and other expenses. Total restructuring and other costs are expected to be approximately $127, before tax, and will be recognized in Corporate for segment reporting. The estimated restructuring and other costs for future periods do not include all costs associated with the real estate consolidation plan as those plans are still being finalized. Restructuring and Other Costs, Before Tax Incurred in the Three Months Ended June 30, Incurred in the Six Months Ended June 30, Cumulative Incurred Through June 30, 2023 Total Amount Expected to be Incurred 2023 2022 2023 2022 Severance benefits $ — $ (5) $ (3) $ (7) $ 38 $ 38 IT costs 1 3 2 5 21 24 Professional fees and other expenses 2 4 4 9 62 65 Total restructuring and other costs, before tax $ 3 $ 2 $ 3 $ 7 $ 121 $ 127 Accrued Restructuring and Other Costs Six Months Ended June 30, 2023 Severance Benefits and Related Costs IT Costs Professional Fees and Other Total Restructuring and Other Costs Liability Balance, beginning of period $ 7 $ — $ — $ 7 Incurred (3) 2 4 3 Payments (1) (2) (4) (7) Balance, end of period $ 3 $ — $ — $ 3 Accrued Restructuring and Other Costs Six Months Ended June 30, 2022 Severance Benefits and Related Costs IT Costs Professional Fees and Other Total Restructuring and Other Costs Liability Balance, beginning of period $ 18 $ — $ — $ 18 Incurred (7) 5 9 7 Payments (2) (5) (9) (16) Balance, end of period $ 9 $ — $ — $ 9 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Pay vs Performance Disclosure | ||||
Net income | $ 547 | $ 444 | $ 1,082 | $ 887 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Jun. 30, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation | The Hartford Financial Services Group, Inc. is a holding company for insurance and financial services subsidiaries that provide property and casualty insurance, group life and disability products and mutual funds and exchange-traded funds ("ETF") to individual and business customers in the United States as well as in the United Kingdom and other international locations (collectively, “The Hartford”, the “Company”, “we” or “our”). The Condens ed Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information, which differ materially from the accounting practices prescribed by various insurance regulatory authorities. These Condensed Consolidated Financial Statements and Notes should be read in conjunction with the Consolidated Financial Statements and Notes thereto included in the Company's 2022 Form 10-K Annual Report. The results of operations for interim periods are not necessarily indicative of the results that may be expected for the full year. The accompanying Condensed Consolidated Financial Statements and Notes are unaudited. These financial statements reflect all adjustments (generally consisting only of normal accruals) which are, in the opinion of management, necessary for the fair statement of the financial position, results of operations and cash flows for the interim periods. The Company's significant accounting policies are summarized in Note 1 - Basis of Presentation and Significant Accounting Policies of Notes to Consolidated Financial Statements included in the Company's 2022 Form 10-K Annual Report. |
Consolidation | Consolidation The Condensed Consolidated Financial Statements include the accounts of The Hartford Financial Services Group, Inc., and entities in which the Company directly or indirectly has a controlling financial interest. Entities in which the Company has significant influence over the operating and financing decisions but does not control are reported using the equity method. Intercompany transactions and balances between The Hartford and its subsidiaries and affiliates have been eliminated. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The most significant estimates include those used in determining property and casualty and group long-term disability insurance product reserves, net of reinsurance; evaluation of goodwill for impairment; valuation of investments and derivative instruments; and contingencies relating to corporate litigation and regulatory matters. |
Reclassification, Comparability Adjustment [Policy Text Block] | ReclassificationsCertain reclassifications have been made to prior period financial information to conform to the current period presentation. |
Adoption of New Accounting Standards | Adoption of New Accounting Standards Reserve for Future Policy Benefits On January 1, 2023, the Company adopted the Financial Accounting Standard Board's ("FASB") updated guidance on accounting for long duration insurance contracts, which was applied on a modified retrospective basis as of January 1, 2021. The new guidance requires the discount rate assumption to be updated, as of the transition date and quarterly going forward, to a current upper-medium grade fixed-income investment yield, which has been interpreted to represent a yield based on single-A credit rated fixed maturity instruments with similar duration to the liability. The new guidance also eliminated the requirement to adjust the reserve for future policy benefits for unrealized gains and losses on fixed maturity investments as if those unrealized gains and losses were realized (referred to as shadow reserves). The change in the reserve estimate resulting from updating the discount rate assumptions and eliminating shadow reserves was recognized as a net cumulative effect adjustment that increased the reserve for future policy benefits by $85 and decreased AOCI by $65, net of deferred tax effects as of January 1, 2021. The new guidance also requires that underlying cash flow assumptions (i.e., mortality, lapse and expense) in the reserve for future policy benefits be based on best estimate assumptions. The adjustments to the reserve for future policy benefits at adoption resulted in establishing a deferred profit liability ("DPL") on limited pay contracts of $18 representing the estimated profits based on best estimate cash flow assumptions. The effect of adopting this guidance on the Company’s reserve for future policy benefits was as follows: |
Liability for Future Policy Benefit | SIGNIFICANT ACCOUNTING POLICIES Reserve for Future Policy Benefits The Company’s reserves for future policy benefits includes paid-up life insurance and whole-life policies resulting from conversion from group life policies included within the Group Benefits segment and reserves for run-off structured settlement and terminal funding agreement liabilities, which are reported in the Corporate category. Contracts are grouped into cohorts by contract type and issue year. The Company establishes reserves for future policy benefits using the net premium approach, which represents the present value of future policyholder benefits and related expenses less the present value of future net premiums. Net premiums are calculated by multiplying gross premiums for the contracts in a specific cohort by a net premium ratio. The net premium ratio is determined for the lifetime of a given cohort as the present value of net benefits divided by the present value of gross premiums. Related expenses include termination and settlement costs and exclude acquisition costs and non-claim related costs, such as costs relating to investments, general administration, policy maintenance, product development, market research and general overhead or any other costs, which are expensed as incurred. The Company estimates premiums, benefits and related expense cash flows using methods that include assumptions, such as estimates of mortality, lapse, and claim-related expenses, and the possible impact of inflation on those expenses. Benefits include all guaranteed cash flows to be paid to the policyholder. The reserve for future policy benefits is adjusted for differences between actual and expected experience. Each quarter, the Company updates its estimates of cash flows expected over the life of a group of contracts using actual historical experience. These updated cash flows are used to calculate the revised net premiums and net premium ratio, which are used to derive an updated reserve for future policy benefits. In subsequent periods, the revised net premiums are used to measure the reserve for future policy benefits, subject to future revisions. Future cash flow assumptions, including mortality, lapse and expense are reviewed and, if a change is indicated, updated at least annually in the third quarter. The difference between the newly calculated reserve balance and the reserve balance before updating for actual experience and/or future cash flow assumptions is the remeasurement gain or loss, which is immaterial for the three and six months ended June 30, 2023 and 2022, and is presented in benefits losses and loss adjustments expense in the Condensed Consolidated Statements of Operations. Changes to the reserve due to updates to cash flow assumptions discounted at the discount rate used immediately prior to transition are recognized on a catch-up basis in the Condensed Consolidated Statement of Operations. The discount rate assumption is an equivalent single rate that is based on a current market observable, upper-medium grade fixed maturity yield. This has been interpreted to represent a yield based on single-A credit rated fixed maturity instruments with similar duration to the liability. The Company uses the yield of a market observable index of single-A credit rated fixed maturities as the basis for setting the discount rate. The discount rate assumption is updated quarterly and the change in the reserve estimate resulting from updating the discount rate assumption is recognized in other comprehensive income. |
Commitments and Contingencies, Policy [Policy Text Block] | Management evaluates each contingent matter separately. A loss is recorded if probable and reasonably estimable. Management establishes liabilities for these contingencies at its “best estimate,” or, if no one number within the range of possible losses is more probable than any other, the Company records an estimated liability at the low end of the range of losses. |
Fair Value Measurement, Policy | The Company carries certain financial assets and liabilities at estimated fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market in an orderly transaction between market participants. Our fair value framework includes a hierarchy that gives the highest priority to the use of quoted prices in active markets, followed by the use of market observable inputs, followed by the use of unobservable inputs. The fair value hierarchy levels are as follows: Level 1 Fair values based primarily on unadjusted quoted prices for identical assets or liabilities, in active markets that the Company has the ability to access at the measurement date. Level 2 Fair values primarily based on observable inputs, other than quoted prices included in Level 1, or based on prices for similar assets and liabilities. Level 3 Fair values derived when one or more of the significant inputs are unobservable (including assumptions about risk). With little or no observable market, the determination of fair values uses considerable judgment and represents the Company’s best estimate of an amount that could be realized in a market exchange for the asset or liability. Also included are securities that are traded within illiquid markets and/or priced by independent brokers. The Company will classify the financial asset or liability by level based upon the lowest level input that is significant to the determination of the fair value. In most cases, both observable inputs (e.g., changes in interest rates) and unobservable inputs (e.g., changes in risk assumptions) are used to determine fair values that the Company has classified within Level 3. |
Fair Value of Financial Instruments, Policy [Policy Text Block] | Valuation Techniques The Company generally determines fair values using valuation techniques that use prices, rates, and other relevant information evident from market transactions involving identical or similar instruments. Valuation techniques also include, where appropriate, estimates of future cash flows that are converted into a single discounted amount using current market expectations. The Company uses a "waterfall" approach comprised of the following pricing sources and techniques, which are listed in priority order: • Quoted prices, unadjusted, for identical assets or liabilities in active markets, which are classified as Level 1. • Prices from third-party pricing services, which primarily utilize a combination of techniques. These services utilize recently reported trades of identical, similar, or benchmark securities making adjustments for market observable inputs available through the reporting date. If there are no recently reported trades, they may use a discounted cash flow technique to develop a price using expected cash flows based upon the anticipated future performance of the underlying collateral discounted at an estimated market rate. Both techniques develop prices that consider the time value of future cash flows and provide a margin for risk, including liquidity and credit risk. Most prices provided by third-party pricing services are classified as Level 2 because the inputs used in pricing the securities are observable. However, some securities that are less liquid or trade less actively are classified as Level 3. Additionally, certain long-dated securities, such as municipal securities and bank loans, include benchmark interest rate or credit spread assumptions that are not observable in the marketplace and are thus classified as Level 3. • Internal matrix pricing is a valuation process internally developed for private placement securities for which the Company is unable to obtain a price from a third-party pricing service. Internal pricing matrices determine credit spreads that, when combined with risk-free rates, are applied to contractual cash flows to develop a price. The Company develops credit spreads using market based data for public securities adjusted for credit spread differentials between public and private securities, which are obtained from a survey of multiple private placement brokers. The market-based reference credit spread considers the issuer’s sector, financial strength, and term to maturity, using an independent public security index, while the credit spread differential considers the non-public nature of the security. Securities priced using internal matrix pricing are classified as Level 2 because the significant inputs are observable or can be corroborated with observable data. • Independent broker quotes, which are typically non-binding, use inputs that can be difficult to corroborate with observable market-based data. Brokers may use present value techniques using assumptions specific to the security types, or they may use recent transactions of similar securities. Due to the lack of transparency in the process that brokers use to develop prices, valuations that are based on independent broker quotes are classified as Level 3. The fair value of derivative instruments is determined primarily using a discounted cash flow model or option model technique and incorporates counterparty credit risk. In some cases, quoted market prices for exchange-traded and over-the-counter ("OTC") cleared derivatives may be used and in other cases independent broker quotes may be used. The pricing valuation models primarily use inputs that are observable in the market or can be corroborated by observable market data. The valuation of certain derivatives may include significant inputs that are unobservable, such as volatility levels, and reflect the Company’s view of what other market participants would use when pricing such instruments. Valuation Controls The process for determining the fair value of investments is monitored by the Valuation Committee, which is a cross-functional group of senior management within the Company. The purpose of the Valuation Committee is to provide oversight of the pricing policy, procedures, and controls, including approval of valuation methodologies and pricing sources. The Valuation Committee reviews market data trends, pricing statistics and trading statistics to ensure that prices are reasonable and consistent with our fair value framework. Controls and procedures used to assess third-party pricing services are reviewed by the Valuation Committee, including the results of annual due-diligence reviews. Controls include, but are not limited to, reviewing daily and monthly price changes, stale prices, and missing prices and comparing new trade prices to third-party pricing services, weekly price changes to published bond index prices, and daily OTC derivative market valuations to counterparty valuations. The Company has a dedicated pricing group that works with trading and investment professionals to challenge prices received by a third-party pricing source if the Company believes that the valuation received does not accurately reflect the fair value. New valuation models and changes to current models require approval by the Valuation Committee. In addition, the Company’s enterprise-wide Operational Risk Management function provides an independent review of the suitability and reliability of model inputs, as well as an analysis of significant changes to current models. Valuation Inputs Quoted prices for identical assets in active markets are considered Level 1 and consist of on-the-run U.S. Treasuries, money market funds, exchange-traded equity securities, open-ended mutual funds, certain short-term investments, and exchange traded derivative instruments. Valuation Inputs Used in Levels 2 and 3 Measurements for Securities and Derivatives Level 2 Primary Observable Inputs Level 3 Primary Unobservable Inputs Fixed Maturity Investments Structured securities (includes ABS, CLO, CMBS and RMBS) • Benchmark yields and spreads Other inputs for ABS, CLO, and RMBS: • Independent broker quotes • Credit spreads beyond observable curve • Interest rates beyond observable curve Other inputs for less liquid securities or those that trade less actively, including subprime RMBS: • Estimated cash flows • Credit spreads, which include illiquidity premium • Constant prepayment rates • Constant default rates • Loss severity Corporates • Benchmark yields and spreads • Reported trades, bids, offers of the same or similar securities • Issuer spreads and credit default swap curves Other inputs for investment grade privately placed securities that utilize internal matrix pricing: • Credit spreads for public securities of similar quality, maturity, and sector, adjusted for non-public nature • Independent broker quotes Other inputs for below investment grade privately placed securities and private bank loans: U.S. Treasuries, Municipals, and Foreign government/government agencies • Benchmark yields and spreads • Credit spreads beyond observable curve Equity Securities • Quoted prices in markets that are not active • For privately traded equity securities, internal discounted cash flow models utilizing earnings multiples or other cash flow assumptions that are not observable Short-term Investments • Benchmark yields and spreads • Reported trades, bids, offers • Issuer spreads and credit default swap curves • Material event notices and new issue money market rates • Independent broker quotes Derivatives Credit derivatives • Swap yield curve • Credit default swap curves • Not applicable Foreign exchange derivatives • Swap yield curve • Currency spot and forward rates • Cross currency basis curves • Not applicable Interest rate derivatives • Swap yield curve • Not applicable |
Derivatives, Policy [Policy Text Block] | For reporting purposes, the Company has elected to offset within assets or liabilities based upon the net of the fair value amounts, income accruals and related cash collateral receivables and payables of OTC derivative instruments executed in a legal entity and with the same counterparty under a master netting agreement, which provides the Company with the legal right of offset. |
Investment Holdings (Policies)
Investment Holdings (Policies) | 6 Months Ended |
Jun. 30, 2023 | |
Schedule of Investments [Abstract] | |
Financing Receivable, Allowance for Credit Losses, Policy for Uncollectible Amounts [Policy Text Block] | The Company will record an "intent-to-sell impairment" as a reduction to the amortized cost of fixed maturities, AFS in an unrealized loss position if the Company intends to sell or it is more likely than not that the Company will be required to sell the fixed maturity before a recovery in value. A corresponding charge is recorded in net realized losses equal to the difference between the fair value on the impairment date and the amortized cost basis of the fixed maturity before recognizing the impairment.For fixed maturities where a credit loss has been identified and no intent-to-sell impairment has been recorded, the Company will record an ACL for the portion of the unrealized loss related to the credit loss. Any remaining unrealized loss on a fixed maturity after recording an ACL is the non-credit amount and is recorded in OCI. The ACL is the excess of the amortized cost over the greater of the Company's best estimate of the present value of expected future cash flows or the security's fair value. Cash flows are discounted at the effective yield that is used to record interest income. The ACL cannot exceed the unrealized loss and, therefore, it may fluctuate with changes in the fair value of the fixed maturity if the fair value is greater than the Company's best estimate of the present value of expected future cash flows. The initial ACL and any subsequent changes are recorded in net realized gains and losses. The ACL is written off against the amortized cost in the period in which all or a portion of the related fixed maturity is determined to be uncollectible |
Accounting Policies (Tables)
Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Accounting Policies [Abstract] | |
Accounting Standards Update and Change in Accounting Principle [Table Text Block] | Impact of Adoption on Reserve for Future Policy Benefits Payout Annuities Life Conversions Paid-up Life DPL Other Total Reserve for Future Policy Benefits as of December 31, 2020 $ 189 $ 94 $ 267 $ — $ 88 $ 638 Adjustments: Removal of shadow reserve [1] (26) — — — — (26) Update cash flow assumptions and establish DPL (16) — (2) 18 — — Effect of measurement at current single-A rate [1] 59 21 29 — 2 111 Total Adjustments 17 21 27 18 2 85 Reserve for Future Policy Benefits as of January 1, 2021 206 115 294 18 90 723 Change in reserves due to changes in the single-A rate (11) (7) (15) — — (33) Other changes in reserves (7) (14) (17) 2 (8) (44) Reserve for Future Policy Benefits as of December 31, 2021 $ 188 $ 94 $ 262 $ 20 $ 82 $ 646 [1] These changes were reflected as an adjustment to opening AOCI as of January 1, 2021, with a corresponding deferred tax benefit and increase in reinsurance recoverables of $18 and $2, respectively, resulting in a net decrease to AOCI of $65. Impact of Adoption on Condensed Consolidated Balance Sheets As of December 31, 2022 As of December 31, 2021 As of January 1, 2021 As previously reported Effect of change As currently reported As previously reported Effect of change As currently reported Balance prior to adoption Effect of change As currently reported Reinsurance recoverables $ 6,966 $ (2) $ 6,964 $ 6,523 $ 1 $ 6,524 $ 6,011 $ 2 $ 6,013 Deferred income taxes, net $ 1,449 $ (12) $ 1,437 $ 270 $ 11 $ 281 $ 46 $ 18 $ 64 Reserve for future policy benefits $ 561 $ (59) $ 502 $ 596 $ 50 $ 646 $ 638 $ 85 $ 723 Retained earnings $ 17,048 $ 10 $ 17,058 $ 15,764 $ 6 $ 15,770 $ 13,918 $ — $ 13,918 AOCI $ (3,876) $ 35 $ (3,841) $ 172 $ (44) $ 128 $ 1,170 $ (65) $ 1,105 Total stockholders' equity $ 13,631 $ 45 $ 13,676 $ 17,843 $ (38) $ 17,805 $ 18,556 $ (65) $ 18,491 Impact of Adoption on Condensed Consolidated Statements of Operations Three Months Ended June 30, 2022 Six Months Ended June 30, 2022 As previously reported Effect of change As currently reported As previously reported Effect of change As currently reported Benefits, losses and loss adjustment expenses $ 3,076 $ (2) $ 3,074 $ 6,194 $ — $ 6,194 Income before income taxes $ 552 $ 2 $ 554 $ 1,095 $ — $ 1,095 Income tax expense $ 110 $ — $ 110 $ 208 $ — $ 208 Net income $ 442 $ 2 $ 444 $ 887 $ — $ 887 Net income available to common stockholders $ 437 $ 2 $ 439 $ 877 $ — $ 877 Net income available to common stockholders per common share Basic $ 1.33 $ 0.01 $ 1.34 $ 2.66 $ — $ 2.66 Diluted $ 1.32 $ — $ 1.32 $ 2.62 $ — $ 2.62 Impact of Adoption on Condensed Consolidated Statements of Comprehensive Income Three Months Ended June 30, 2022 Six Months Ended June 30, 2022 As previously reported Effect of change As currently reported As previously reported Effect of change As currently reported Change in net unrealized gain (loss) on fixed maturities, AFS $ (1,592) $ (5) $ (1,597) $ (3,474) $ (15) $ (3,489) Change in liability for future policy benefits adjustments $ — $ 29 $ 29 $ — $ 72 $ 72 Other comprehensive loss, net of tax $ (1,563) $ 24 $ (1,539) $ (3,434) $ 57 $ (3,377) Comprehensive loss $ (1,121) $ 26 $ (1,095) $ (2,547) $ 57 $ (2,490) |
Earnings (Loss) Per Common Shar
Earnings (Loss) Per Common Share Earnings Per Common Share (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) Per Common Share | Computation of Basic and Diluted Earnings per Common Share Three Months Ended June 30, Six Months Ended June 30, (In millions, except for per share data) 2023 2022 2023 2022 Earnings Net income $ 547 $ 444 $ 1,082 $ 887 Less: Preferred stock dividends 5 5 10 10 Net income available to common stockholders $ 542 $ 439 $ 1,072 $ 877 Shares Weighted average common shares outstanding, basic 309.4 327.4 311.7 329.9 Dilutive effect of stock-based awards under compensation plans 3.9 4.4 4.3 4.7 Weighted average common shares outstanding and dilutive potential common shares 313.3 331.8 316.0 334.6 Net income available to common stockholders per common share Basic $ 1.75 $ 1.34 $ 3.44 $ 2.66 Diluted $ 1.73 $ 1.32 $ 3.39 $ 2.62 |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Segment Reporting [Abstract] | |
Reconciliation of Net Income from Segments to Consolidated | Net Income (Loss) Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Commercial Lines $ 458 $ 389 $ 879 $ 772 Personal Lines (60) 6 (61) 83 Property & Casualty Other Operations 9 (20) 15 (12) Group Benefits 121 106 213 98 Hartford Funds 45 34 86 76 Corporate (26) (71) (50) (130) Net income 547 444 1,082 887 Preferred stock dividends 5 5 10 10 Net income available to common stockholders $ 542 $ 439 $ 1,072 $ 877 |
Reconciliation of Revenue from Segments to Consolidated | Revenues Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Earned premiums and fee income: Commercial Lines Workers’ compensation $ 924 $ 869 $ 1,822 $ 1,704 Liability 502 453 988 877 Marine 66 54 125 115 Package business 514 449 998 884 Property 244 212 472 402 Professional liability 196 182 384 360 Bond 80 77 157 149 Assumed reinsurance 143 118 281 218 Automobile 227 211 445 411 Total Commercial Lines 2,896 2,625 5,672 5,120 Personal Lines Automobile 528 502 1,043 1,001 Homeowners 239 231 471 460 Total Personal Lines [1] 767 733 1,514 1,461 Group Benefits Group disability 878 828 1,744 1,634 Group life 650 599 1,293 1,196 Other 102 90 202 177 Total Group Benefits 1,630 1,517 3,239 3,007 Hartford Funds Mutual fund and ETF 226 243 449 508 Third-party life and annuity separate accounts 18 20 36 42 Total Hartford Funds 244 263 485 550 Corporate 11 13 20 26 Total earned premiums and fee income 5,548 5,151 10,930 10,164 Net investment income 540 541 1,055 1,050 Net realized losses (64) (338) (71) (483) Other revenues 25 19 45 35 Total revenues $ 6,049 $ 5,373 $ 11,959 $ 10,766 [1] For the three months ended June 30, 2023 and 2022, AARP members accounted for earned premiums of $710 and $675, respectively. For the six months ended June 30, 2023 and 2022, AARP members accounted for earned premiums of $1.40 billion and $1.34 billion, respectively. |
Disaggregation of Revenue [Table Text Block] | Revenue from Contracts with Customers Three Months Ended June 30, Six Months Ended June 30, Revenue Line Item 2023 2022 2023 2022 Commercial Lines Installment billing fees Fee income $ 10 $ 10 $ 20 $ 19 Personal Lines Installment billing fees Fee income 7 7 15 15 Insurance servicing revenues Other revenues 24 19 43 36 Group Benefits Administrative services Fee income 56 48 107 93 Hartford Funds Advisory, servicing and distribution fees Fee income 244 263 485 550 Corporate Investment management and other fees Fee income 11 13 20 26 Other Other revenues — 1 — 1 Total non-insurance revenues with customers $ 352 $ 361 $ 690 $ 740 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | Assets and (Liabilities) Carried at Fair Value by Hierarchy Level as of June 30, 2023 Total Quoted Prices in Significant Significant Assets accounted for at fair value on a recurring basis Fixed maturities, AFS Asset backed securities ("ABS") $ 2,685 $ — $ 2,685 $ — Collateralized loan obligations ("CLO") 2,981 — 2,896 85 Commercial mortgage-backed securities ("CMBS") 3,227 — 2,989 238 Corporate 16,096 — 14,474 1,622 Foreign government/government agencies 539 — 539 — Municipal 6,226 — 6,226 — Residential mortgage-backed securities ("RMBS") 3,729 — 3,660 69 U.S. Treasuries 2,014 — 2,014 — Total fixed maturities, AFS 37,497 — 35,483 2,014 Fixed maturities, FVO 320 — 157 163 Equity securities, at fair value 895 357 479 59 Derivative assets Foreign exchange derivatives 5 — 5 — Interest rate derivatives 1 — 1 — Total derivative assets [1] 6 — 6 — Short-term investments 3,236 1,749 1,301 186 Total assets accounted for at fair value on a recurring basis $ 41,954 $ 2,106 $ 37,426 $ 2,422 Liabilities accounted for at fair value on a recurring basis Derivative liabilities Credit derivatives $ (71) $ — $ (71) $ — Foreign exchange derivatives 33 — 33 — Interest rate derivatives (3) — (3) — Total derivative liabilities [2] (41) — (41) — Total liabilities accounted for at fair value on a recurring basis $ (41) $ — $ (41) $ — Assets and (Liabilities) Carried at Fair Value by Hierarchy Level as of December 31, 2022 Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets accounted for at fair value on a recurring basis Fixed maturities, AFS ABS $ 1,941 $ — $ 1,911 $ 30 CLO 2,941 — 2,826 115 CMBS 3,368 — 3,146 222 Corporate 15,233 — 13,644 1,589 Foreign government/government agencies 547 — 547 — Municipal 6,296 — 6,296 — RMBS 3,708 — 3,613 95 U.S. Treasuries 2,197 — 2,197 — Total fixed maturities, AFS 36,231 — 34,180 2,051 Fixed maturities, FVO 333 — 155 178 Equity securities, at fair value 1,801 1,261 479 61 Derivative assets Credit derivatives 2 — 2 — Foreign exchange derivatives 32 — 32 — Total derivative assets [1] 34 — 34 — Short-term investments 3,859 1,429 2,237 193 Total assets accounted for at fair value on a recurring basis $ 42,258 $ 2,690 $ 37,085 $ 2,483 Liabilities accounted for at fair value on a recurring basis Derivative liabilities Credit derivatives $ (2) $ — $ (2) $ — Foreign exchange derivatives 21 — 21 — Interest rate derivatives (6) — (6) — Total derivative liabilities [2] 13 — 13 — Total liabilities accounted for at fair value on a recurring basis $ 13 $ — $ 13 $ — [1] Includes derivative instruments in a net positive fair value position after consideration of the accrued interest and impact of collateral posting requirements which may be imposed by agreements and applicable law. See footnote 2 to this table for derivative liabilities. [2] Includes derivative instruments in a net negative fair value position (derivative liability) after consideration of the accrued interest and impact of collateral posting requirements which may be imposed by agreements and applicable law. |
Fair Value Inputs, Assets, Quantitative Information | Significant Unobservable Inputs for Level 3 - Securities Assets accounted for at fair value on a recurring basis Fair Predominant Significant Minimum Maximum Weighted Average [1] Impact of As of June 30, 2023 CLO $ 85 Discounted cash flows Spread 313 bps 313 bps 313 bps Decrease CMBS [3] $ 235 Discounted cash flows Spread (encompasses prepayment, default risk and loss severity) 349 bps 1,513 bps 491 bps Decrease Corporate [4] $ 1,577 Discounted cash flows Spread 63 bps 1,079 bps 360 bps Decrease RMBS $ 69 Discounted cash flows Spread [6] 54 bps 225 bps 133 bps Decrease Constant prepayment rate [6] 2% 10% 6% Decrease [5] Constant default rate [6] 1% 4% 2% Decrease Loss severity [6] 10% 100% 41% Decrease Short-term investments [3] $ 153 Discounted cash flows Spread 245 bps 577 bps 251 bps Decrease As of December 31, 2022 CLO $ 115 Discounted cash flows Spread 337 bps 337 bps 337 bps Decrease CMBS [3] $ 219 Discounted cash flows Spread (encompasses prepayment, default risk and loss severity) 419 bps 1,307 bps 527 bps Decrease Corporate [4] $ 1,541 Discounted cash flows Spread 77 bps 642 bps 360 bps Decrease RMBS [3] $ 65 Discounted cash flows Spread [6] 62 bps 249 bps 160 bps Decrease Constant prepayment rate [6] 1% 10% 7% Decrease [5] Constant default rate [6] 1% 4% 2% Decrease Loss severity [6] 10% 100% 38% Decrease [1] The weighted average is determined based on the fair value of the securities. [2] Conversely, the impact of a decrease in input would have the opposite impact to the fair value as that presented in the table. [3] Excludes securities for which the Company bases fair value on broker quotations. [4] Excludes securities for which the Company bases fair value on broker quotations; however, included are broker priced lower-rated private placement securities for which the Company receives spread and yield information to corroborate the fair value. [5] Decrease for above market rate coupons and increase for below market rate coupons. |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | Fair Value Rollforwards for Financial Instruments Classified as Level 3 for the Total realized/unrealized gains (losses) Fair value as of March 31, 2023 Included in net income [1] Included in OCI [2] Purchases Settlements Sales Transfers into Level 3 [3] Transfers out of Level 3 [3] Fair value as of June 30, 2023 Assets Fixed maturities, AFS ABS $ 36 $ — $ — $ — $ — $ — $ — $ (36) $ — CLO 151 — — — (26) — — (40) 85 CMBS 231 (2) 7 2 (1) (5) 6 — 238 Corporate 1,643 (2) (3) 51 (30) (2) 4 (39) 1,622 RMBS 57 — — 19 (7) — — — 69 Total fixed maturities, AFS 2,118 (4) 4 72 (64) (7) 10 (115) 2,014 Fixed maturities, FVO 172 (5) — — (4) — — — 163 Equity securities, at fair value 60 (1) — — — — — — 59 Short-term investments 187 — — 3 (4) — — — 186 Total Assets $ 2,537 $ (10) $ 4 $ 75 $ (72) $ (7) $ 10 $ (115) $ 2,422 Fair Value Rollforwards for Financial Instruments Classified as Level 3 for the Total realized/unrealized gains (losses) Fair value as of January 1, 2023 Included in net income [1] Included in OCI [2] Purchases Settlements Sales Transfers into Level 3 [3] Transfers out of Level 3 [3] Fair value as of June 30, 2023 Assets Fixed Maturities, AFS ABS $ 30 $ — $ — $ 36 $ — $ — $ — $ (66) $ — CLO 115 — — 40 (30) — — (40) 85 CMBS 222 (2) 2 6 (1) (5) 16 — 238 Corporate 1,589 (1) 28 117 (81) (9) 31 (52) 1,622 RMBS 95 — — 19 (15) — — (30) 69 Total Fixed Maturities, AFS 2,051 (3) 30 218 (127) (14) 47 (188) 2,014 Fixed maturities, FVO 178 (13) — — (2) — — — 163 Equity Securities, at fair value 61 (2) — 1 (1) — — — 59 Short-term investments 193 — — 4 (11) — — — 186 Total Assets $ 2,483 $ (18) $ 30 $ 223 $ (141) $ (14) $ 47 $ (188) $ 2,422 Fair Value Rollforwards for Financial Instruments Classified as Level 3 for the Total realized/unrealized gains (losses) Fair value as of March 31, 2022 Included in net income [1] Included in OCI [2] Purchases Settlements Sales Transfers into Level 3 [3] Transfers out of Level 3 [3] Fair value as of June 30, 2022 Assets Fixed Maturities, AFS ABS $ 19 $ — $ — $ — $ — $ — $ — $ (19) $ — CLO 214 — (1) 28 (23) — — (54) 164 CMBS 236 — (10) — (2) — — — 224 Corporate 1,515 1 (99) 264 (62) (14) 21 (17) 1,609 Foreign Govt./Govt. Agencies 4 (1) (1) — — — 3 — 5 RMBS 301 — (4) — (30) — — (137) 130 Total Fixed Maturities, AFS 2,289 — (115) 292 (117) (14) 24 (227) 2,132 Fixed maturities, FVO 174 (13) — 35 (3) — — — 193 Equity Securities, at fair value 57 2 — 2 (1) — — — 60 Short-term investments 32 — — 32 (4) — — — 60 Total Assets $ 2,552 $ (11) $ (115) $ 361 $ (125) $ (14) $ 24 $ (227) $ 2,445 Fair Value Rollforwards for Financial Instruments Classified as Level 3 for the Total realized/unrealized gains (losses) Fair value as of January 1, 2022 Included in net income [1] Included in OCI [2] Purchases Settlements Sales Transfers into Level 3 [3] Transfers out of Level 3 [3] Fair value as of June 30, 2022 Assets Fixed Maturities, AFS ABS $ — $ — $ — $ 19 $ — $ — $ — $ (19) $ — CLO 257 — (2) 82 (40) — — (133) 164 CMBS 196 — (15) 46 (3) — — — 224 Corporate 1,618 (1) (158) 323 (132) (21) 21 (41) 1,609 Foreign Govt./Govt. Agencies 5 (1) (1) — — (1) 3 — 5 RMBS 328 — (10) 137 (64) — — (261) 130 Total Fixed Maturities, AFS 2,404 (2) (186) 607 (239) (22) 24 (454) 2,132 Fixed maturities, FVO 160 (11) — 55 (11) — — — 193 Equity Securities, at fair value 64 9 — 2 (15) — — — 60 Short-term investments 80 — — 36 (6) — — (50) 60 Total Assets $ 2,708 $ (4) $ (186) $ 700 $ (271) $ (22) $ 24 $ (504) $ 2,445 [1] Amounts in these columns are generally reported in net realized gains (losses). All amounts are before income taxes. [2] All amounts are before income taxes. [3] Transfers in and/or (out) of Level 3 are primarily attributable to the availability of market observable information and the re-evaluation of the observability of pricing inputs. Changes in Unrealized Gains (Losses) for Financial Instruments Classified as Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 2023 2022 2023 2022 Changes in Unrealized Gains (Losses) included in Net Income [1] [2] Changes in Unrealized Gains (Losses) included in OCI [3] Changes in Unrealized Gain/(Loss) included in Net Income [1] [2] Changes in Unrealized Gain/(Loss) included in OCI [3] Assets Fixed Maturities, AFS CLO $ — $ — $ — $ (1) $ — $ — $ — $ (2) CMBS — — 6 (10) — — 2 (15) Corporate (2) 1 (3) (99) (2) (1) 28 (157) Foreign Govt./Govt. Agencies — (1) — (1) — (1) — (1) RMBS — — — (4) — — — (10) Total Fixed Maturities, AFS (2) — 3 (115) (2) (2) 30 (185) Fixed maturities, FVO (5) (13) — — (13) (11) — — Equity Securities, at fair value (1) 1 — — (1) 1 — — Total Assets $ (8) $ (12) $ 3 $ (115) $ (16) $ (12) $ 30 $ (185) [1] All amounts in these rows are reported in net realized gains (losses). All amounts are before income taxes. [2] Amounts presented are for Level 3 only and therefore may not agree to other disclosures included herein. [3] Changes in unrealized gains (losses) on fixed maturities, AFS are reported in changes in net unrealized gain (loss) on fixed maturities in the Condensed Consolidated Statements of Comprehensive Income. |
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments | Financial Assets and Liabilities Not Carried at Fair Value June 30, 2023 December 31, 2022 Fair Value Hierarchy Level Carrying Amount [1] Fair Value Fair Value Hierarchy Level Carrying Amount [1] Fair Value Assets Mortgage loans Level 3 $ 6,020 $ 5,415 Level 3 $ 6,000 $ 5,362 Liabilities Other policyholder funds and benefits payable Level 3 $ 647 $ 647 Level 3 $ 658 $ 658 Senior notes [2] Level 2 $ 3,861 $ 3,377 Level 2 $ 3,858 $ 3,339 Junior subordinated debentures [2] Level 2 $ 499 $ 415 Level 2 $ 499 $ 419 [1] As of June 30, 2023 and December 31, 2022, the carrying amount of mortgage loans is net of ACL of $41 and $36, respectively. [2] Included in long-term debt in the Condensed Consolidated Balance Sheets, except for any current maturities, which are included in short-term debt when applicable. |
Investments (Tables)
Investments (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Investments [Abstract] | |
Net Realized Capital Gains (Losses) | Net Realized Gains (Losses) Three Months Ended June 30, Six Months Ended June 30, (Before tax) 2023 2022 2023 2022 Gross gains on sales of fixed maturities $ 3 $ 15 $ 20 $ 38 Gross losses on sales of fixed maturities (21) (80) (60) (175) Equity securities [1] Net realized gains (losses) on sales of equity securities 24 5 74 45 Change in net unrealized gains (losses) of equity securities (14) (267) (29) (414) Net realized and unrealized gains (losses) on equity securities 10 (262) 45 (369) Net credit losses on fixed maturities, AFS (3) — (8) (12) Change in ACL on mortgage loans (5) (5) (5) (7) Intent-to-sell impairments — — — (3) Other, net [2] (48) (6) (63) 45 Net realized gains (losses) $ (64) $ (338) $ (71) $ (483) [1] The change in net unrealized gains (losses) on equity securities still held as of June 30, 2023 and included in net realized gains (losses) were $7 and $7 for the three and six months ended June 30, 2023, respectively. The change in net unrealized gains (losses) on equity securities still held as of June 30, 2022 and included in net realized gains (losses) were $(259) and $(366) for the three and six months ended June 30, 2022, respectively. |
Debt Securities, Available-for-sale, Allowance for Credit Loss [Table Text Block] | ACL on Fixed Maturities, AFS by Type Three Months Ended June 30, 2023 2022 (Before tax) Corporate CMBS Total Corporate Foreign govt./govt. agencies CMBS Total Balance as of beginning of period $ 6 $ 11 $ 17 $ 9 $ 3 $ 1 $ 13 Credit losses on fixed maturities where an allowance was not previously recorded 2 — 2 — — — — Reduction due to sales (2) — (2) — — — — Net increases (decreases) on fixed maturities where an allowance was previously recorded — 1 1 (1) 1 — — Balance as of end of period $ 6 $ 12 $ 18 $ 8 $ 4 $ 1 $ 13 ACL on Fixed Maturities, AFS by Type Six Months Ended June 30, 2023 2022 (Before tax) Corporate CMBS Total Corporate Foreign govt./govt. agencies CMBS Total Balance as of beginning of period $ 2 $ 10 $ 12 $ 1 $ — $ — $ 1 Credit losses on fixed maturities where an allowance was not previously recorded 6 — 6 8 3 1 12 Reduction due to sales (2) — (2) — — — — Net increases (decreases) on fixed maturities where an allowance was previously recorded — 2 2 (1) 1 — — Balance as of end of period $ 6 $ 12 $ 18 $ 8 $ 4 $ 1 $ 13 |
Schedule of Available-for-sale Securities | Fixed Maturities, AFS, by Type June 30, 2023 December 31, 2022 Amortized ACL Gross Gross Fair Amortized ACL Gross Gross Fair ABS $ 2,757 $ — $ 1 $ (73) $ 2,685 $ 2,016 $ — $ — $ (75) $ 1,941 CLO 3,046 — 3 (68) 2,981 3,040 — 3 (102) 2,941 CMBS 3,607 (12) 19 (387) 3,227 3,715 (10) 21 (358) 3,368 Corporate 17,467 (6) 39 (1,404) 16,096 16,794 (2) 33 (1,592) 15,233 Foreign govt./govt. agencies 579 — — (40) 539 596 — — (49) 547 Municipal 6,523 — 96 (393) 6,226 6,718 — 93 (515) 6,296 RMBS 4,202 — 1 (474) 3,729 4,214 — 2 (508) 3,708 U.S. Treasuries 2,230 — — (216) 2,014 2,440 — — (243) 2,197 Total fixed maturities, AFS $ 40,411 $ (18) $ 159 $ (3,055) $ 37,497 $ 39,533 $ (12) $ 152 $ (3,442) $ 36,231 |
Investments by Contractual Maturity Year | Fixed Maturities, AFS, by Contractual Maturity Year June 30, 2023 December 31, 2022 Amortized Cost Fair Value Amortized Cost Fair Value One year or less $ 1,320 $ 1,298 $ 1,417 $ 1,396 Over one year through five years 9,416 8,962 8,340 7,930 Over five years through ten years 6,910 6,277 7,259 6,485 Over ten years 9,153 8,338 9,532 8,462 Subtotal 26,799 24,875 26,548 24,273 Mortgage-backed and asset-backed securities 13,612 12,622 12,985 11,958 Total fixed maturities, AFS $ 40,411 $ 37,497 $ 39,533 $ 36,231 |
Unrealized Gain (Loss) on Investments [Table Text Block] | Unrealized Loss Aging for Fixed Maturities, AFS by Type and Length of Time as of June 30, 2023 Less Than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses ABS $ 1,758 $ (24) $ 767 $ (49) $ 2,525 $ (73) CLO 128 (2) 2,738 (66) 2,866 (68) CMBS 458 (30) 2,656 (357) 3,114 (387) Corporate 4,078 (111) 10,121 (1,293) 14,199 (1,404) Foreign govt./govt. agencies 91 (3) 407 (37) 498 (40) Municipal 1,353 (28) 2,864 (365) 4,217 (393) RMBS 690 (31) 2,867 (443) 3,557 (474) U.S. Treasuries 412 (29) 1,595 (187) 2,007 (216) Total fixed maturities, AFS in an unrealized loss position $ 8,968 $ (258) $ 24,015 $ (2,797) $ 32,983 $ (3,055) Unrealized Loss Aging for Fixed Maturities, AFS by Type and Length of Time as of December 31, 2022 Less Than 12 Months 12 Months or More Total Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses ABS $ 1,577 $ (50) $ 281 $ (25) $ 1,858 $ (75) CLO 1,490 (48) 1,378 (54) 2,868 (102) CMBS 2,560 (270) 521 (88) 3,081 (358) Corporate 11,157 (1,071) 2,575 (521) 13,732 (1,592) Foreign govt./govt. agencies 308 (26) 224 (23) 532 (49) Municipal 4,270 (461) 228 (54) 4,498 (515) RMBS 2,311 (249) 1,250 (259) 3,561 (508) U.S. Treasuries 1,554 (145) 633 (98) 2,187 (243) Total fixed maturities, AFS in an unrealized loss position $ 25,227 $ (2,320) $ 7,090 $ (1,122) $ 32,317 $ (3,442) |
Financing Receivable, Allowance for Credit Loss [Table Text Block] | ACL on Mortgage Loans Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 ACL as of beginning of period $ 36 $ 31 $ 36 $ 29 Current period provision (release) 5 5 5 7 ACL as of June 30, $ 41 $ 36 $ 41 $ 36 |
Loans Credit Quality | Mortgage Loans LTV & DSCR by Origination Year as of June 30, 2023 2023 2022 2021 2020 2019 2018 & Prior Total Loan-to-value Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost [1] Avg. DSCR Greater than 80% $ — —x $ — —x $ — —x $ — —x $ — —x $ 10 1.93x $ 10 1.93x 65% - 80% — —x 16 2.02x 58 1.75x 72 2.81x 99 2.01x 197 1.32x 442 1.80x Less than 65% 196 1.86x 881 2.45x 1,530 2.83x 637 3.03x 678 2.93x 1,687 2.50x 5,609 2.67x Total mortgage loans $ 196 1.86x $ 897 2.44x $ 1,588 2.79x $ 709 3.01x $ 777 2.81x $ 1,894 2.37x $ 6,061 2.61x [1] Amortized cost of mortgage loans excludes ACL of $41. Mortgage Loans LTV & DSCR by Origination Year as of December 31, 2022 2022 2021 2020 2019 2018 2017 & Prior Total Loan-to-value Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost Avg. DSCR Amortized Cost [1] Avg. DSCR Greater than 80% $ — —x $ — —x $ — —x $ — —x $ — —x $ 23 1.40x $ 23 1.40x 65% - 80% 16 2.02x 59 2.61x 43 2.78x 100 1.95x 108 1.11x 117 1.91x 443 1.91x Less than 65% 839 2.43x 1,475 2.79x 663 3.02x 680 2.77x 437 2.21x 1,476 2.54x 5,570 2.65x Total mortgage loans $ 855 2.42x $ 1,534 2.78x $ 706 3.01x $ 780 2.66x $ 545 1.99x $ 1,616 2.48x $ 6,036 2.59x [1] Amortized cost of mortgage loans excludes ACL of $36. Mortgage Loans by Region June 30, 2023 December 31, 2022 Amortized Cost Percent of Total Amortized Cost Percent of Total East North Central $ 358 5.9 % $ 317 5.3 % Middle Atlantic 253 4.2 % 316 5.2 % Mountain 707 11.7 % 707 11.7 % New England 353 5.8 % 395 6.5 % Pacific 1,304 21.5 % 1,299 21.5 % South Atlantic 1,776 29.3 % 1,670 27.7 % West North Central 116 1.9 % 105 1.7 % West South Central 448 7.4 % 421 7.0 % Other [1] 746 12.3 % 806 13.4 % Total mortgage loans 6,061 100.0 % 6,036 100.0 % ACL (41) (36) Total mortgage loans, net of ACL $ 6,020 $ 6,000 [1] Primarily represents loans collateralized by multiple properties in various regions. Mortgage Loans by Property Type June 30, 2023 December 31, 2022 Amortized Cost Percent of Total Amortized Cost Percent of Total Commercial Industrial $ 2,282 37.7 % $ 2,217 36.7 % Multifamily 2,243 37.0 % 2,247 37.2 % Office 583 9.6 % 585 9.7 % Retail [1] 953 15.7 % 947 15.7 % Other — — % 40 0.7 % Total mortgage loans 6,061 100.0 % 6,036 100.0 % ACL (41) (36) Total mortgage loans, net of ACL $ 6,020 $ 6,000 [1] Primarily comprised of grocery-anchored retail centers, with no exposure to regional shopping malls. |
Schedule of Financial Instruments Owned and Pledged as Collateral | June 30, 2023 December 31, 2022 Fair Value Fair Value Securities on deposit with government agencies $ 2,291 $ 2,189 Fixed maturities in trust for benefit of Lloyd's Syndicate policyholders 797 718 Short-term investments in trust for benefit of Lloyd's Syndicate policyholders 6 8 Fixed maturities in Lloyd's trust account 163 161 Other investments 70 62 Total Other Restricted Investments $ 3,327 $ 3,138 |
Derivatives (Tables)
Derivatives (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Balance Sheet Presentation | Derivative Balance Sheet Presentation Net Derivatives Asset Derivatives Liability Derivatives Notional Amount Fair Value Fair Value Fair Value Hedge Designation/ Derivative Type Jun 30, 2023 Dec. 31, 2022 Jun 30, 2023 Dec. 31, 2022 Jun 30, 2023 Dec. 31, 2022 Jun 30, 2023 Dec. 31, 2022 Cash flow hedges Interest rate swaps [1] $ 3,650 $ 2,155 $ — $ — $ — $ — $ — $ — Foreign currency swaps 568 568 38 53 47 57 (9) (4) Total cash flow hedges 4,218 2,723 38 53 47 57 (9) (4) Non-qualifying strategies Interest rate contracts Interest rate swaps and futures [1] 14,045 7,245 (2) (6) 3 2 (5) (8) Foreign exchange contracts Foreign currency swaps and forwards 568 569 — — — — — — Credit contracts Credit derivatives that purchase credit protection 4,411 11 (71) — — — (71) — Credit derivatives in offsetting positions 207 207 — — 3 3 (3) (3) Total non-qualifying strategies 19,231 8,032 (73) (6) 6 5 (79) (11) Total cash flow hedges and non-qualifying strategies $ 23,449 $ 10,755 $ (35) $ 47 $ 53 $ 62 $ (88) $ (15) Balance Sheet Location Fixed maturities, available-for-sale $ 568 $ 569 $ — $ — $ — $ — $ — $ — Other investments 17,174 9,108 6 34 10 38 (4) (4) Other liabilities 5,707 1,078 (41) 13 43 24 (84) (11) Total derivatives $ 23,449 $ 10,755 $ (35) $ 47 $ 53 $ 62 $ (88) $ (15) [1] As of June 30, 2023, notional amount includes $700 of OTC-cleared cash flow hedge interest rate swaps and $6.5 billion of OTC-cleared non-qualifying interest rate swaps as part of the CME cleared swap conversion process due to reference rate reform. These swaps are expected to mature by September 30, 2023. |
Offsetting Liabilities | Offsetting Derivative Assets and Liabilities (i) (ii) (iii) = (i) - (ii) (iv) (v) = (iii) - (iv) Net Amounts Presented in the Statement of Financial Position Collateral Disallowed for Offset in the Statement of Financial Position Gross Amounts of Recognized Assets (Liabilities) Gross Amounts Offset in the Statement of Financial Position Derivative Assets [1] (Liabilities) [2] Accrued Interest and Cash Collateral (Received) [3] Pledged [2] Financial Collateral (Received) Pledged [4] Net Amount As of June 30, 2023 Other investments $ 53 $ 51 $ 6 $ (4) $ — $ 2 Other liabilities $ (88) $ (73) $ (41) $ 26 $ (12) $ (3) As of December 31, 2022 Other investments $ 62 $ 60 $ 34 $ (32) $ — $ 2 Other liabilities $ (15) $ (7) $ 13 $ (21) $ (7) $ (1) [1] Included in other investments in the Company's Condensed Consolidated Balance Sheets. [2] Included in other liabilities in the Company's Condensed Consolidated Balance Sheets and is limited to the net derivative payable associated with each counterparty. [3] Included in other investments in the Company's Condensed Consolidated Balance Sheets and is limited to the net derivative receivable associated with each counterparty. [4] Excludes collateral associated with exchange-traded derivative instruments. |
Derivatives in Cash Flow Hedging Relationships | Gains (Losses) Recognized in OCI Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Interest rate swaps $ (14) $ (3) $ (4) $ (5) Foreign currency swaps (7) 41 (10) 50 Total $ (21) $ 38 $ (14) $ 45 Gains (Losses) Reclassified from AOCI into Income Three months ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Net Investment Income Interest Expense Net Investment Income Interest Expense Net Investment Income Interest Expense Net Investment Income Interest Expense Interest rate swaps $ (7) $ 4 $ 5 $ (1) $ (15) $ 7 $ 14 $ (4) Foreign currency swaps 3 — 2 — 5 — 4 — Total $ (4) $ 4 $ 7 $ (1) $ (10) $ 7 $ 18 $ (4) Total amounts presented on the Condensed Consolidated Statement of Operations $ 540 $ 50 $ 541 $ 51 $ 1,055 $ 100 $ 1,050 $ 113 |
Non-Qualifying Strategies Recognized within Net Realized Capital Gains (Losses) | Non-Qualifying Strategies Recognized within Net Realized Gains (Losses) Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Foreign exchange contracts Foreign currency forwards $ — $ 4 $ — $ 5 Interest rate contracts Interest rate swaps, swaptions, and futures (3) 5 18 37 Credit contracts Credit derivatives that purchase credit protection (36) 5 (52) 5 Commodity contracts Commodity options — — — 14 Total [1] $ (39) $ 14 $ (34) $ 61 |
Credit Derivatives by Type | Credit Risk Assumed Derivatives by Type Underlying Referenced Credit Obligation(s) [1] Notional Amount [2] Fair Value Weighted Average Years to Maturity Type Average Credit Rating Offsetting Notional Amount [3] Offsetting Fair Value [3] As of June 30, 2023 Basket credit default swaps [4] Investment grade risk exposure $ 100 $ (1) 5 years CMBS Credit AAA $ 100 $ 1 Below investment grade risk exposure 3 (2) Less than 1 year CMBS Credit CCC+ 3 2 Total [5] $ 103 $ (3) $ 103 $ 3 As of December 31, 2022 Basket credit default swaps [4] Investment grade risk exposure $ 100 $ (1) 6 years CMBS Credit AAA $ 100 $ 1 Below investment grade risk exposure 3 (2) Less than 1 year CMBS Credit B- 3 2 Total [5] $ 103 $ (3) $ 103 $ 3 [1] The average credit ratings are based on availability and are generally the midpoint of the available ratings among Moody’s, S&P and Fitch. If no rating is available from a rating agency, then an internally developed rating is used. [2] Notional amount is equal to the maximum potential future loss amount. These derivatives are governed by agreements and applicable law, which include collateral posting requirements. There is no additional specific collateral related to these contracts or recourse provisions included in the contracts to offset losses. [3] The Company has entered into offsetting credit default swaps to terminate certain existing credit default swaps, thereby offsetting the future changes in value of, or losses paid related to, the original swap. [4] Comprised of swaps of standard market indices of diversified portfolios of CMBS issuers referenced through credit default swaps. These swaps are subsequently valued based upon the observable standard market index. [5] Excludes investments that contain an embedded credit derivative for which the Company has elected the fair value option. For further discussion, see the Fair Value Option section in Note 4 - Fair Value Measurements of Notes to Condensed Consolidated Financial Statements. . |
Premiums Receivable (Tables)
Premiums Receivable (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Credit Loss [Abstract] | |
Premium Receivable, Allowance for Credit Loss [Table Text Block] | Premiums Receivable and Agents' Balances As of June 30, 2023 As of December 31, 2022 Premiums receivable, excluding receivables for losses within a deductible and retrospectively-rated policy premiums ("loss sensitive business") $ 5,328 $ 4,698 Receivables for loss sensitive business, by credit quality: AA 103 106 A 44 38 BBB 124 119 BB 58 56 Below BB 40 41 Total receivables for loss sensitive business 369 360 Total Premiums Receivable and Agents' Balances, Gross 5,697 5,058 ACL (119) (109) Total Premiums Receivable and Agents' Balances, Net of ACL $ 5,578 $ 4,949 Rollforward of ACL on Premiums Receivable and Agents' Balances for the Three Months Ended June 30, 2023 June 30, 2022 Premiums Receivable and Agents' Balances, Excluding Receivables for Loss Sensitive Business Receivables for Loss Sensitive Business Total Premiums Receivable and Agents' Balances, Excluding Receivables for Loss Sensitive Business Receivables for Loss Sensitive Business Total Beginning ACL $ 86 $ 25 $ 111 $ 84 $ 22 $ 106 Current period provision (release) 19 — 19 10 1 11 Current period write-offs (13) — (13) (13) — (13) Current period recoveries 2 — 2 3 — 3 Ending ACL $ 94 $ 25 $ 119 $ 84 $ 23 $ 107 Rollforward of ACL on Premiums Receivable and Agents' Balances for the Six Months Ended June 30, 2023 June 30, 2022 Premiums Receivable and Agents' Balances, Excluding Receivables for Loss Sensitive Business Receivables for Loss Sensitive Business Total Premiums Receivable and Agents' Balances, Excluding Receivables for Loss Sensitive Business Receivables for Loss Sensitive Business Total Beginning ACL $ 85 $ 24 $ 109 $ 83 $ 22 $ 105 Current period provision (release) 31 1 32 23 1 24 Current period write-offs (27) — (27) (28) — (28) Current period recoveries 5 — 5 6 — 6 Ending ACL $ 94 $ 25 $ 119 $ 84 $ 23 $ 107 |
Reinsurance (Tables)
Reinsurance (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Reinsurance Disclosures [Abstract] | |
Reinsurance Recoverable, Credit Quality Indicator [Table Text Block] | Reinsurance Recoverables by Credit Quality Indicator As of June 30, 2023 As of December 31, 2022 P&C Group Benefits Corporate Total P&C Group Benefits Corporate Total A.M. Best Financial Strength Rating A++ $ 2,173 $ — $ — $ 2,173 $ 2,094 $ — $ — $ 2,094 A+ 2,049 238 247 2,534 2,169 239 259 2,667 A 893 — — 893 763 1 — 764 A- 70 6 — 76 79 6 — 85 B++ 601 — 3 604 616 — 2 618 Below B++ 20 — — 20 20 — — 20 Total Rated by A.M. Best 5,806 244 250 6,300 5,741 246 261 6,248 Mandatory (Assigned) and Voluntary Risk Pools 207 — — 207 218 — — 218 Captives 304 — — 304 319 — — 319 Other not rated companies 205 6 — 211 279 5 — 284 Gross Reinsurance Recoverables 6,522 250 250 7,022 6,557 251 261 7,069 Allowance for uncollectible reinsurance (107) (1) (2) (110) (102) (1) (2) (105) Net Reinsurance Recoverables $ 6,415 $ 249 $ 248 $ 6,912 $ 6,455 $ 250 $ 259 $ 6,964 |
Reinsurance Recoverable, Allowance for Credit Loss [Table Text Block] | Allowance for Uncollectible Reinsurance for the Three and Six Months Ended Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 P&C beginning allowance for uncollectible reinsurance $ 102 $ 96 $ 102 $ 96 Beginning allowance for disputed amounts 58 56 60 54 P&C beginning ACL 44 40 42 42 Current period provision (release) 1 1 3 (1) P&C ending ACL 45 41 45 41 Ending allowance for disputed amounts 62 61 62 61 P&C ending allowance for uncollectible reinsurance $ 107 $ 102 $ 107 $ 102 Group Benefits allowance for uncollectible reinsurance $ 1 $ 1 $ 1 $ 1 Corporate allowance for uncollectible reinsurance $ 2 $ 2 $ 2 $ 2 Total allowance for uncollectible reinsurance $ 110 $ 105 $ 110 $ 105 |
Reserve for Unpaid Losses and_2
Reserve for Unpaid Losses and Loss Adjustment Expenses (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Schedule of Liability for Unpaid Claims and Claims Adjustment Expense [Table Text Block] | Unfavorable (Favorable) Prior Accident Year Development For the six months ended June 30, 2023 2022 Workers’ compensation $ (113) $ (85) Workers’ compensation discount accretion 22 18 General liability 28 33 Marine (1) (3) Package business (8) (24) Commercial property — (21) Professional liability (3) (9) Bond 12 (4) Assumed reinsurance 17 12 Automobile liability - Commercial Lines 6 12 Automobile liability - Personal Lines — (5) Homeowners 1 — Net asbestos and environmental ("A&E") reserves — — Catastrophes (44) (30) Uncollectible reinsurance 12 6 Other reserve re-estimates, net 32 6 Total prior accident year development $ (39) $ (94) |
Group Benefits | |
Schedule of Liability for Unpaid Claims and Claims Adjustment Expense [Table Text Block] | Rollforward of Liabilities for Unpaid Losses and Loss Adjustment Expenses For the six months ended June 30, 2023 2022 Beginning liabilities for unpaid losses and loss adjustment expenses, gross $ 8,160 $ 8,210 Reinsurance recoverables 245 245 Beginning liabilities for unpaid losses and loss adjustment expenses, net 7,915 7,965 Provision for unpaid losses and loss adjustment expenses Current incurral year 2,622 2,497 Prior year's discount accretion 103 107 Prior incurral year development [1] (265) (242) Total provision for unpaid losses and loss adjustment expenses [2] 2,460 2,362 Payments Current incurral year (1,012) (984) Prior incurral years (1,416) (1,500) Total payments (2,428) (2,484) Ending liabilities for unpaid losses and loss adjustment expenses, net 7,947 7,843 Reinsurance recoverables 243 254 Ending liabilities for unpaid losses and loss adjustment expenses, gross $ 8,190 $ 8,097 [1] Prior incurral year development represents the change in estimated ultimate incurred losses and loss adjustment expenses for prior incurral years on a discounted basis. |
Property, Liability and Casualty Insurance Product Line | |
Schedule of Liability for Unpaid Claims and Claims Adjustment Expense [Table Text Block] | Rollforward of Liabilities for Unpaid Losses and Loss Adjustment Expenses For the six months ended June 30, 2023 2022 Beginning liabilities for unpaid losses and loss adjustment expenses, gross $ 33,083 $ 31,449 Reinsurance and other recoverables 6,465 6,081 Beginning liabilities for unpaid losses and loss adjustment expenses, net 26,618 25,368 Provision for unpaid losses and loss adjustment expenses Current accident year 4,712 3,998 Prior accident year development (39) (94) Total provision for unpaid losses and loss adjustment expenses 4,673 3,904 Payments Current accident year (997) (840) Prior accident years (3,731) (2,680) Total payments (4,728) (3,520) Foreign currency adjustment 18 (29) Ending liabilities for unpaid losses and loss adjustment expenses, net 26,581 25,723 Reinsurance and other recoverables 6,448 6,212 Ending liabilities for unpaid losses and loss adjustment expenses, gross $ 33,029 $ 31,935 |
Reserve for Future Policy Ben_2
Reserve for Future Policy Benefits (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Insurance Loss Reserves [Abstract] | |
Liability for Future Policy Benefit, Activity [Table Text Block] | Rollforward of Reserve for Future Policy Benefits For the six months ended June 30, 2023 2022 Payout Annuities Life Conversions Paid-up Life Payout Annuities Life Conversions Paid-up Life Present Value of Expected Net Premiums Balance, beginning of the period $ 47 $ 58 Balance, ending of the period $ 44 $ 49 Present Value of Expected Future Policy Benefits Beginning balance at single-A rate $ 140 $ 112 $ 192 $ 188 $ 152 $ 262 Beginning adjustment for changes in single-A rate 4 (14) (39) 47 19 14 Beginning balance at original discount rate 136 126 231 141 133 248 Effect of actual variances from expected experience 1 3 (1) — 3 — Adjusted beginning balance 137 129 230 141 136 248 Interest accrual 4 9 3 4 8 4 Benefit Payments (6) (14) (9) (6) (15) (13) Ending balance at original discount rate 135 124 224 139 129 239 Ending adjustment for changes in single-A rate 4 (15) (38) 13 (7) (27) Ending balance at single-A rate $ 139 $ 109 $ 186 $ 152 $ 122 $ 212 Net reserve for future policy benefits $ 139 $ 65 $ 186 $ 152 $ 73 $ 212 Weighted-average duration of the reserve for future policy benefits (years) 9.1 12.2 6.3 9.2 13.0 6.9 Net Reserve for Future Policy Benefits As of June 30, 2023 2022 Payout Annuities $ 139 $ 152 Life Conversions 65 73 Paid-up Life 186 212 DPL 19 20 Other 80 93 Total $ 489 $ 550 Undiscounted Expected Future Gross Premiums and Benefit Payments As of June 30, 2023 2022 Payout Annuities [1] Expected future benefit payments $ 267 $ 277 Life Conversions Expected future gross premiums $ 117 $ 126 Expected future benefit payments $ 208 $ 218 Paid-up Life [1] Expected future benefit payments $ 290 $ 312 [1]Payout Annuities and Paid-up Life have no expected future gross premiums. Weighted-Average Interest Rates For the six months ended June 30, 2023 2022 Payout Annuities Interest accretion rate 5.6 % 5.6 % Current discount rate 5.2 % 4.6 % Life Conversions Interest accretion rate 4.2 % 4.1 % Current discount rate 5.2 % 4.7 % Paid-up Life Interest accretion rate 2.9 % 2.9 % Current discount rate 5.3 % 4.3 % |
Other Policyholder Funds and _2
Other Policyholder Funds and Benefits Payable (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Insurance Loss Reserves [Abstract] | |
Policyholder Account Balance | Universal Life Long Duration Contracts Rollforward For the six months ended June 30, 2023 2022 Balance, beginning of the period $ 232 $ 253 Premiums Received 6 7 Policy Charges (10) (12) Surrenders and Withdrawals (2) (2) Benefit Payments (3) (10) Interest Credited 5 6 Balance, end of the period $ 228 $ 242 Weighted-average crediting rate 4.2 % 4.2 % Net Amount at Risk [1] $ 950 $ 1,032 Cash Surrender Value $ 226 $ 239 |
Income Taxes (Tables)
Income Taxes (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Tax Rate Reconciliation | Income Tax Rate Reconciliation Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Tax provision at U.S. federal statutory rate $ 141 $ 116 $ 278 $ 230 Nontaxable investment income (9) (5) (20) (14) Other (7) (1) (15) (8) Provision for income taxes $ 125 $ 110 $ 243 $ 208 |
Roll-forward of Unrecognized Tax Benefits | Rollforward of Unrecognized Tax Benefits Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 Balance, beginning of period $ 23 $ 17 $ 22 $ 16 Gross increases - tax positions in current period 1 1 2 2 Lapse of statute of limitations (1) — (1) — Balance, end of period $ 23 $ 18 $ 23 $ 18 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income Loss (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Changes in AOCI, net of tax | Changes in AOCI, Net of Tax for the Three Months Ended June 30, 2023 Changes in Net Unrealized Gain (Loss) on Fixed Maturities, AFS Unrealized Loss on Fixed Maturities with ACL Net Gain on Cash Flow Hedging Instruments Foreign Currency Translation Adjustments Liability for Future Policy Benefits Adjustments Pension and Other Postretirement Plan Adjustments AOCI, Beginning balance $ (2,008) $ (13) $ 48 $ 33 $ 27 $ (1,341) $ (3,254) OCI before reclassifications (362) 2 (21) 4 6 (1) (372) Amounts reclassified from AOCI 21 2 — — — 7 30 OCI, before tax (341) 4 (21) 4 6 6 (342) Income tax benefit (expense) 72 (1) 4 (1) (1) (1) 72 OCI, net of tax (269) 3 (17) 3 5 5 (270) Ending balance $ (2,277) $ (10) $ 31 $ 36 $ 32 $ (1,336) $ (3,524) Changes in AOCI, Net of Tax for the Six Months Ended June 30, 2023 Changes in Net Unrealized Gain (Loss) on Fixed Maturities, AFS Unrealized Losses on Fixed Maturities with ACL Net Gain (Loss) on Cash Flow Hedging Instruments Foreign Currency Translation Adjustments Liability for Future Policy Benefits Adjustments Pension and Other Postretirement Plan Adjustments AOCI, Beginning balance $ (2,594) $ (7) $ 40 $ 31 $ 35 $ (1,346) $ (3,841) OCI before reclassifications 353 (6) (14) 6 (4) — 335 Amounts reclassified from AOCI 48 2 3 — — 13 66 OCI, before tax 401 (4) (11) 6 (4) 13 401 Income tax benefit (expense) (84) 1 2 (1) 1 (3) (84) OCI, net of tax 317 (3) (9) 5 (3) 10 317 Ending balance $ (2,277) $ (10) $ 31 $ 36 $ 32 $ (1,336) $ (3,524) Changes in AOCI, Net of Tax for the Three Months Ended June 30, 2022 Changes in Net Unrealized Gain (Loss) on Fixed Maturities, AFS Unrealized Losses on Fixed Maturities with ACL Net Gain (Loss) on Cash Flow Hedging Instruments Foreign Currency Translation Adjustments Liability for Future Policy Benefits Adjustments Pension and Other Postretirement Plan Adjustments AOCI, Beginning balance $ (261) $ (2) $ 5 $ 41 $ (16) $ (1,477) $ (1,710) OCI before reclassifications (2,087) — 38 (10) 37 (1) (2,023) Amounts reclassified from AOCI 65 — (6) — — 16 75 OCI, before tax (2,022) — 32 (10) 37 15 (1,948) Income tax benefit (expense) 425 — (7) 2 (8) (3) 409 OCI, net of tax (1,597) — 25 (8) 29 12 (1,539) Ending balance $ (1,858) $ (2) $ 30 $ 33 $ 13 $ (1,465) $ (3,249) Changes in AOCI, Net of Tax for the Six Months Ended June 30, 2022 Changes in Net Unrealized Gain (Loss) on Fixed Maturities, AFS Unrealized Losses on Fixed Maturities with ACL Net Gain (Loss) on Cash Flow Hedging Instruments Foreign Currency Translation Adjustments Liability for Future Policy Benefits Adjustments Pension and Other Postretirement Plan Adjustments AOCI, Beginning balance $ 1,631 $ (2) $ 6 $ 41 $ (59) $ (1,489) $ 128 OCI before reclassifications (4,568) — 45 (10) 91 (1) (4,443) Amounts reclassified from AOCI 152 — (14) — — 31 169 OCI, before tax (4,416) — 31 (10) 91 30 (4,274) Income tax benefit (expense) 927 — (7) 2 (19) (6) 897 OCI, net of tax (3,489) — 24 (8) 72 24 (3,377) Ending balance $ (1,858) $ (2) $ 30 $ 33 $ 13 $ (1,465) $ (3,249) |
Reclassifications from AOCI | Reclassifications from AOCI Three Months Ended June 30, 2023 Six Months Ended June 30, 2023 Affected Line Item in the Condensed Consolidated Statement of Operations Net Unrealized Gain (Loss) on Fixed Maturities, AFS Available-for-sale fixed maturities $ (21) $ (48) Net realized gains (losses) (21) (48) Total before tax (4) (10) Income tax expense $ (17) $ (38) Net income Unrealized Losses on Fixed Maturities with ACL Available-for-sale fixed maturities $ (2) $ (2) Net realized gains (losses) (2) (2) Total before tax (1) (1) Income tax expense $ (1) $ (1) Net income Net Gain (Loss) on Cash Flow Hedging Instruments Interest rate swaps $ (7) $ (15) Net investment income Interest rate swaps 4 7 Interest expense Foreign currency swaps 3 5 Net investment income — (3) Total before tax — (1) Income tax expense $ — $ (2) Net income Pension and Other Postretirement Plan Adjustments Amortization of prior service credit $ 1 $ 3 Insurance operating costs and other expenses Amortization of actuarial loss (8) (16) Insurance operating costs and other expenses (7) (13) Total before tax (1) (3) Income tax expense $ (6) $ (10) Net income Total amounts reclassified from AOCI $ (24) $ (51) Net income Reclassifications from AOCI Three Months Ended June 30, 2022 Six Months Ended June 30, 2022 Affected Line Item in the Condensed Consolidated Statement of Operations Net Unrealized Gain (Loss) on Fixed Maturities, AFS Available-for-sale fixed maturities $ (65) $ (152) Net realized gains (losses) (65) (152) Total before tax (14) (32) Income tax expense $ (51) $ (120) Net income Net Gain (Loss) on Cash Flow Hedging Instruments Interest rate swaps $ 5 $ 14 Net investment income Interest rate swaps (1) (4) Interest expense Foreign currency swaps 2 4 Net investment income 6 14 Total before tax 1 3 Income tax expense $ 5 $ 11 Net income Pension and Other Postretirement Plan Adjustments Amortization of prior service credit $ 1 $ 3 Insurance operating costs and other expenses Amortization of actuarial loss (17) (34) Insurance operating costs and other expenses (16) (31) Total before tax (3) (7) Income tax expense $ (13) $ (24) Net income Total amounts reclassified from AOCI $ (59) $ (133) Net income |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Retirement Benefits [Abstract] | |
Schedule of Net Benefit Costs | Net Periodic Cost (Benefit) Pension Benefits Other Postretirement Benefits Three Months Ended June 30, Six Months Ended June 30, Three Months Ended June 30, Six Months Ended June 30, 2023 2022 2023 2022 2023 2022 2023 2022 Service cost $ 1 $ 1 $ 2 $ 2 $ — $ — $ — $ — Interest cost 45 28 90 56 2 1 4 2 Expected return on plan assets (59) (50) (118) (101) (1) (1) (1) (1) Amortization of prior service credit — — — — (1) (1) (3) (3) Amortization of actuarial loss 7 16 14 31 1 1 2 3 Net periodic cost (benefit) $ (6) $ (5) $ (12) $ (12) $ 1 $ — $ 2 $ 1 |
Restructuring and Related Act_2
Restructuring and Related Activities (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Related Costs | Restructuring and Other Costs, Before Tax Incurred in the Three Months Ended June 30, Incurred in the Six Months Ended June 30, Cumulative Incurred Through June 30, 2023 Total Amount Expected to be Incurred 2023 2022 2023 2022 Severance benefits $ — $ (5) $ (3) $ (7) $ 38 $ 38 IT costs 1 3 2 5 21 24 Professional fees and other expenses 2 4 4 9 62 65 Total restructuring and other costs, before tax $ 3 $ 2 $ 3 $ 7 $ 121 $ 127 |
Schedule of Restructuring Reserve by Type of Cost | Accrued Restructuring and Other Costs Six Months Ended June 30, 2023 Severance Benefits and Related Costs IT Costs Professional Fees and Other Total Restructuring and Other Costs Liability Balance, beginning of period $ 7 $ — $ — $ 7 Incurred (3) 2 4 3 Payments (1) (2) (4) (7) Balance, end of period $ 3 $ — $ — $ 3 Accrued Restructuring and Other Costs Six Months Ended June 30, 2022 Severance Benefits and Related Costs IT Costs Professional Fees and Other Total Restructuring and Other Costs Liability Balance, beginning of period $ 18 $ — $ — $ 18 Incurred (7) 5 9 7 Payments (2) (5) (9) (16) Balance, end of period $ 9 $ — $ — $ 9 |
Basis of Presentation and Sig_2
Basis of Presentation and Significant Accounting Policies (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Jan. 01, 2021 | Dec. 31, 2020 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | $ 489 | $ 550 | $ 489 | $ 550 | $ 646 | $ 502 | $ 723 | $ 638 |
OCI, Liability for Future Policy Benefit, Gain (Loss), before Reclassification Adjustment and Tax | (33) | |||||||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Increase (Decrease) for Other Change | (44) | |||||||
Net Reinsurance Recoverables | 6,912 | 6,912 | 6,524 | 6,964 | 6,013 | |||
Deferred income taxes, net | 1,342 | 1,342 | 281 | 1,437 | 64 | |||
Retained earnings | 17,865 | 17,865 | 15,770 | 17,058 | 13,918 | |||
Accumulated other comprehensive income (loss) ("AOCI"), net of tax | (3,524) | (3,524) | 128 | (3,841) | 1,105 | |||
Stockholders' Equity Attributable to Parent | 14,152 | 14,245 | 14,152 | 14,245 | 17,805 | 13,676 | 18,491 | |
Policyholder Benefits and Claims Incurred, Net | 3,580 | 3,074 | 7,062 | 6,194 | ||||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 672 | 554 | 1,325 | 1,095 | ||||
Income tax expense | 125 | 110 | 243 | 208 | ||||
Net income | 547 | 444 | 1,082 | 887 | ||||
Net income available to common stockholders | $ 542 | $ 439 | $ 1,072 | $ 877 | ||||
Net income available to common stockholders | $ 1.75 | $ 1.34 | $ 3.44 | $ 2.66 | ||||
Net income available to common stockholders | $ 1.73 | $ 1.32 | $ 3.39 | $ 2.62 | ||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $ 277 | $ (1,095) | $ 1,399 | $ (2,490) | ||||
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax, Portion Attributable to Parent | (269) | (1,597) | 317 | (3,489) | ||||
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | (270) | (1,539) | 317 | (3,377) | ||||
Liability for Future Policy Benefits and Unpaid Claims and Claims Adjustment Expense | 5 | 29 | (3) | 72 | ||||
Previously Reported | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 596 | 561 | 638 | |||||
Net Reinsurance Recoverables | 6,523 | 6,966 | 6,011 | |||||
Deferred income taxes, net | 270 | 1,449 | 46 | |||||
Retained earnings | 15,764 | 17,048 | 13,918 | |||||
Accumulated other comprehensive income (loss) ("AOCI"), net of tax | 172 | (3,876) | 1,170 | |||||
Stockholders' Equity Attributable to Parent | 17,843 | 13,631 | 18,556 | |||||
Policyholder Benefits and Claims Incurred, Net | 3,076 | 6,194 | ||||||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 552 | 1,095 | ||||||
Income tax expense | 110 | 208 | ||||||
Net income | 442 | 887 | ||||||
Net income available to common stockholders | $ 437 | $ 877 | ||||||
Net income available to common stockholders | $ 1.33 | $ 2.66 | ||||||
Net income available to common stockholders | $ 1.32 | $ 2.62 | ||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $ (1,121) | $ (2,547) | ||||||
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax, Portion Attributable to Parent | (1,592) | (3,474) | ||||||
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | (1,563) | (3,434) | ||||||
Liability for Future Policy Benefits and Unpaid Claims and Claims Adjustment Expense | 0 | 0 | ||||||
Accounting Standards Update 2018-12 | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 50 | (59) | 85 | |||||
Net Reinsurance Recoverables | 1 | (2) | 2 | |||||
Deferred income taxes, net | 11 | (12) | 18 | |||||
Retained earnings | 6 | 10 | 0 | |||||
Accumulated other comprehensive income (loss) ("AOCI"), net of tax | (44) | 35 | (65) | |||||
Stockholders' Equity Attributable to Parent | (38) | $ 45 | (65) | |||||
Policyholder Benefits and Claims Incurred, Net | (2) | 0 | ||||||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 2 | 0 | ||||||
Income tax expense | 0 | 0 | ||||||
Net income | 2 | 0 | ||||||
Net income available to common stockholders | $ 2 | $ 0 | ||||||
Net income available to common stockholders | $ 0.01 | $ 0 | ||||||
Net income available to common stockholders | $ 0 | $ 0 | ||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $ 26 | $ 57 | ||||||
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax, Portion Attributable to Parent | (5) | (15) | ||||||
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | 24 | 57 | ||||||
Liability for Future Policy Benefits and Unpaid Claims and Claims Adjustment Expense | 29 | 72 | ||||||
Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 85 | |||||||
Net Reinsurance Recoverables | 2 | |||||||
Deferred income taxes, net | 18 | |||||||
Accumulated other comprehensive income (loss) ("AOCI"), net of tax | (65) | |||||||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Removal of shadow reserve | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | (26) | |||||||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Update cash flow assumptions and establish DPL | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 0 | |||||||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Effect of measurement at current single-A rate | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 111 | |||||||
Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 646 | 723 | ||||||
Fixed Annuity | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 139 | 152 | 139 | 152 | 189 | |||
OCI, Liability for Future Policy Benefit, Gain (Loss), before Reclassification Adjustment and Tax | (11) | |||||||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Increase (Decrease) for Other Change | (7) | |||||||
Fixed Annuity | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 17 | |||||||
Fixed Annuity | Cumulative Effect, Period of Adoption, Adjustment [Member] | Removal of shadow reserve | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | (26) | |||||||
Fixed Annuity | Cumulative Effect, Period of Adoption, Adjustment [Member] | Update cash flow assumptions and establish DPL | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | (16) | |||||||
Fixed Annuity | Cumulative Effect, Period of Adoption, Adjustment [Member] | Effect of measurement at current single-A rate | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 59 | |||||||
Fixed Annuity | Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 188 | 206 | ||||||
Life Conversions | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 65 | 73 | 65 | 73 | 94 | |||
OCI, Liability for Future Policy Benefit, Gain (Loss), before Reclassification Adjustment and Tax | (7) | |||||||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Increase (Decrease) for Other Change | (14) | |||||||
Life Conversions | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 21 | |||||||
Life Conversions | Cumulative Effect, Period of Adoption, Adjustment [Member] | Removal of shadow reserve | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 0 | |||||||
Life Conversions | Cumulative Effect, Period of Adoption, Adjustment [Member] | Update cash flow assumptions and establish DPL | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 0 | |||||||
Life Conversions | Cumulative Effect, Period of Adoption, Adjustment [Member] | Effect of measurement at current single-A rate | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 21 | |||||||
Life Conversions | Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 94 | 115 | ||||||
Paid Up Life | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 186 | 212 | 186 | 212 | 267 | |||
OCI, Liability for Future Policy Benefit, Gain (Loss), before Reclassification Adjustment and Tax | (15) | |||||||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Increase (Decrease) for Other Change | (17) | |||||||
Paid Up Life | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 27 | |||||||
Paid Up Life | Cumulative Effect, Period of Adoption, Adjustment [Member] | Removal of shadow reserve | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 0 | |||||||
Paid Up Life | Cumulative Effect, Period of Adoption, Adjustment [Member] | Update cash flow assumptions and establish DPL | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | (2) | |||||||
Paid Up Life | Cumulative Effect, Period of Adoption, Adjustment [Member] | Effect of measurement at current single-A rate | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 29 | |||||||
Paid Up Life | Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 262 | 294 | ||||||
Deferred Profit Liability | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 19 | 20 | 19 | 20 | 0 | |||
OCI, Liability for Future Policy Benefit, Gain (Loss), before Reclassification Adjustment and Tax | 0 | |||||||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Increase (Decrease) for Other Change | 2 | |||||||
Deferred Profit Liability | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 18 | |||||||
Deferred Profit Liability | Cumulative Effect, Period of Adoption, Adjustment [Member] | Removal of shadow reserve | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 0 | |||||||
Deferred Profit Liability | Cumulative Effect, Period of Adoption, Adjustment [Member] | Update cash flow assumptions and establish DPL | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 18 | |||||||
Deferred Profit Liability | Cumulative Effect, Period of Adoption, Adjustment [Member] | Effect of measurement at current single-A rate | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 0 | |||||||
Deferred Profit Liability | Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 20 | 18 | ||||||
Long-Duration Insurance, Other | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | $ 80 | $ 93 | $ 80 | $ 93 | $ 88 | |||
OCI, Liability for Future Policy Benefit, Gain (Loss), before Reclassification Adjustment and Tax | 0 | |||||||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Increase (Decrease) for Other Change | (8) | |||||||
Long-Duration Insurance, Other | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 2 | |||||||
Long-Duration Insurance, Other | Cumulative Effect, Period of Adoption, Adjustment [Member] | Removal of shadow reserve | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 0 | |||||||
Long-Duration Insurance, Other | Cumulative Effect, Period of Adoption, Adjustment [Member] | Update cash flow assumptions and establish DPL | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 0 | |||||||
Long-Duration Insurance, Other | Cumulative Effect, Period of Adoption, Adjustment [Member] | Effect of measurement at current single-A rate | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | 2 | |||||||
Long-Duration Insurance, Other | Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | ||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||
Liability for Future Policy Benefit, before Reinsurance | $ 82 | $ 90 |
Earnings (Loss) Per Common Sh_2
Earnings (Loss) Per Common Share - Computation of Basic and Diluted Earnings Per Common Share (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Earnings | ||||
Net income | $ 547 | $ 444 | $ 1,082 | $ 887 |
Less: Preferred stock dividends | 5 | 5 | 10 | 10 |
Net income available to common stockholders | $ 542 | $ 439 | $ 1,072 | $ 877 |
Shares | ||||
Weighted average common shares outstanding, basic | 309.4 | 327.4 | 311.7 | 329.9 |
Dilutive effect of stock-based awards under compensation plans | 3.9 | 4.4 | 4.3 | 4.7 |
Weighted average common shares outstanding and dilutive potential common shares | 313.3 | 331.8 | 316 | 334.6 |
Earnings Per Share, Basic [Abstract] | ||||
Net income available to common stockholders | $ 1.75 | $ 1.34 | $ 3.44 | $ 2.66 |
Earnings Per Share, Diluted [Abstract] | ||||
Net income available to common stockholders | $ 1.73 | $ 1.32 | $ 3.39 | $ 2.62 |
Segment Information - Additiona
Segment Information - Additional Information (Details) | 6 Months Ended |
Jun. 30, 2023 | |
Statement of Financial Position [Abstract] | |
Number of Reportable Segments | 5 |
Segment Information - Net Incom
Segment Information - Net Income (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Segment Reporting Information [Line Items] | ||||
Net income | $ 547 | $ 444 | $ 1,082 | $ 887 |
Preferred stock dividends | 5 | 5 | 10 | 10 |
Net income available to common stockholders | 542 | 439 | 1,072 | 877 |
Corporate | ||||
Segment Reporting Information [Line Items] | ||||
Net income | (26) | (71) | (50) | (130) |
Commercial Lines | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net income | 458 | 389 | 879 | 772 |
Personal Lines | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net income | (60) | 6 | (61) | 83 |
Property & Casualty Other Operations | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net income | 9 | (20) | 15 | (12) |
Group Benefits | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net income | 121 | 106 | 213 | 98 |
Hartford Funds | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net income | $ 45 | $ 34 | $ 86 | $ 76 |
Segment Information - Revenues
Segment Information - Revenues (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | $ 5,548 | $ 5,151 | $ 10,930 | $ 10,164 |
Net investment income | 540 | 541 | 1,055 | 1,050 |
Net realized losses | (64) | (338) | (71) | (483) |
Other revenues | 25 | 19 | 45 | 35 |
Total revenues | 6,049 | 5,373 | 11,959 | 10,766 |
Corporate | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 11 | 13 | 20 | 26 |
Commercial Lines | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 2,896 | 2,625 | 5,672 | 5,120 |
Commercial Lines | Operating Segments [Member] | Workers’ compensation | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 924 | 869 | 1,822 | 1,704 |
Commercial Lines | Operating Segments [Member] | Liability | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 502 | 453 | 988 | 877 |
Commercial Lines | Operating Segments [Member] | Marine | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 66 | 54 | 125 | 115 |
Commercial Lines | Operating Segments [Member] | Package business | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 514 | 449 | 998 | 884 |
Commercial Lines | Operating Segments [Member] | Property | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 244 | 212 | 472 | 402 |
Commercial Lines | Operating Segments [Member] | Professional liability | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 196 | 182 | 384 | 360 |
Commercial Lines | Operating Segments [Member] | Bond | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 80 | 77 | 157 | 149 |
Commercial Lines | Operating Segments [Member] | Assumed reinsurance | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 143 | 118 | 281 | 218 |
Commercial Lines | Operating Segments [Member] | Automobile | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 227 | 211 | 445 | 411 |
Personal Lines | AARP Members [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 710 | 675 | 1,400 | 1,340 |
Personal Lines | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 767 | 733 | 1,514 | 1,461 |
Personal Lines | Operating Segments [Member] | Property | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 239 | 231 | 471 | 460 |
Personal Lines | Operating Segments [Member] | Automobile | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 528 | 502 | 1,043 | 1,001 |
Group Benefits | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 1,630 | 1,517 | 3,239 | 3,007 |
Group Benefits | Operating Segments [Member] | Group disability | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 878 | 828 | 1,744 | 1,634 |
Group Benefits | Operating Segments [Member] | Group life | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 650 | 599 | 1,293 | 1,196 |
Group Benefits | Operating Segments [Member] | Other | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 102 | 90 | 202 | 177 |
Hartford Funds | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 244 | 263 | 485 | 550 |
Hartford Funds | Operating Segments [Member] | Mutual fund and ETF | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | 226 | 243 | 449 | 508 |
Hartford Funds | Operating Segments [Member] | Third-party life and annuity separate accounts | ||||
Segment Reporting Information [Line Items] | ||||
Earned premiums and fee income | $ 18 | $ 20 | $ 36 | $ 42 |
Segment Information - Non-insur
Segment Information - Non-insurance Revenue from Customers (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Segment Reporting Information [Line Items] | ||||
Insurance Commissions and Fees | $ 328 | $ 341 | $ 647 | $ 703 |
Other revenues | 25 | 19 | 45 | 35 |
Non-insurance revenues with customers | 352 | 361 | 690 | 740 |
Installment billing fees [Member] | Operating Segments [Member] | Commercial Lines | ||||
Segment Reporting Information [Line Items] | ||||
Insurance Commissions and Fees | 10 | 10 | 20 | 19 |
Installment billing fees [Member] | Operating Segments [Member] | Personal Lines | ||||
Segment Reporting Information [Line Items] | ||||
Insurance Commissions and Fees | 7 | 7 | 15 | 15 |
Insurance servicing revenues | Operating Segments [Member] | Personal Lines | ||||
Segment Reporting Information [Line Items] | ||||
Other revenues | 24 | 19 | 43 | 36 |
Administrative services | Operating Segments [Member] | Group Benefits | ||||
Segment Reporting Information [Line Items] | ||||
Insurance Commissions and Fees | 56 | 48 | 107 | 93 |
Advisor, distribution and other management fees | Operating Segments [Member] | Hartford Funds | ||||
Segment Reporting Information [Line Items] | ||||
Insurance Commissions and Fees | 244 | 263 | 485 | 550 |
Investment management and other fees | Corporate | ||||
Segment Reporting Information [Line Items] | ||||
Insurance Commissions and Fees | 11 | 13 | 20 | 26 |
Other | Corporate | ||||
Segment Reporting Information [Line Items] | ||||
Other revenues | $ 0 | $ 1 | $ 0 | $ 1 |
Fair Value Measurements - Fair
Fair Value Measurements - Fair Value by Hierarchy (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | $ 37,497 | $ 36,231 |
Fixed maturities, at fair value using the fair value option ("FVO") | 320 | 333 |
Equity securities, at fair value | 895 | 1,801 |
Derivative assets | 6 | 34 |
Short-term investments | 3,236 | 3,859 |
Total assets accounted for at fair value on a recurring basis | 41,954 | 42,258 |
Liabilities accounted for at fair value on a recurring basis | ||
Derivative liabilities | (41) | 13 |
Total liabilities accounted for at fair value on a recurring basis | (41) | 13 |
Credit derivatives | ||
Assets accounted for at fair value on a recurring basis | ||
Derivative assets | 2 | |
Liabilities accounted for at fair value on a recurring basis | ||
Derivative liabilities | (71) | (2) |
Foreign exchange derivatives | ||
Assets accounted for at fair value on a recurring basis | ||
Derivative assets | 5 | 32 |
Liabilities accounted for at fair value on a recurring basis | ||
Derivative liabilities | 33 | 21 |
Interest rate derivatives | ||
Assets accounted for at fair value on a recurring basis | ||
Derivative assets | 1 | |
Liabilities accounted for at fair value on a recurring basis | ||
Derivative liabilities | (3) | (6) |
Asset backed securities ("ABS") | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 2,685 | 1,941 |
Collateralized Loan Obligations [Member] | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 2,981 | 2,941 |
Fixed maturities, at fair value using the fair value option ("FVO") | 163 | 178 |
CMBS | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 3,227 | 3,368 |
Corporate | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 16,096 | 15,233 |
Foreign government/government agencies | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 539 | 547 |
Municipal | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 6,226 | 6,296 |
RMBS | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 3,729 | 3,708 |
U.S. Treasuries | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 2,014 | 2,197 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 0 | 0 |
Fixed maturities, at fair value using the fair value option ("FVO") | 0 | 0 |
Equity securities, at fair value | 357 | 1,261 |
Derivative assets | 0 | 0 |
Short-term investments | 1,749 | 1,429 |
Total assets accounted for at fair value on a recurring basis | 2,106 | 2,690 |
Liabilities accounted for at fair value on a recurring basis | ||
Derivative liabilities | 0 | 0 |
Total liabilities accounted for at fair value on a recurring basis | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Credit derivatives | ||
Assets accounted for at fair value on a recurring basis | ||
Derivative assets | 0 | |
Liabilities accounted for at fair value on a recurring basis | ||
Derivative liabilities | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Foreign exchange derivatives | ||
Assets accounted for at fair value on a recurring basis | ||
Derivative assets | 0 | 0 |
Liabilities accounted for at fair value on a recurring basis | ||
Derivative liabilities | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Interest rate derivatives | ||
Assets accounted for at fair value on a recurring basis | ||
Derivative assets | 0 | |
Liabilities accounted for at fair value on a recurring basis | ||
Derivative liabilities | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Asset backed securities ("ABS") | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Collateralized Loan Obligations [Member] | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | CMBS | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Foreign government/government agencies | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Municipal | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | RMBS | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. Treasuries | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 0 | 0 |
Significant Observable Inputs (Level 2) | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 35,483 | 34,180 |
Fixed maturities, at fair value using the fair value option ("FVO") | 157 | 155 |
Equity securities, at fair value | 479 | 479 |
Derivative assets | 6 | 34 |
Short-term investments | 1,301 | 2,237 |
Total assets accounted for at fair value on a recurring basis | 37,426 | 37,085 |
Liabilities accounted for at fair value on a recurring basis | ||
Derivative liabilities | (41) | 13 |
Total liabilities accounted for at fair value on a recurring basis | (41) | 13 |
Significant Observable Inputs (Level 2) | Credit derivatives | ||
Assets accounted for at fair value on a recurring basis | ||
Derivative assets | 2 | |
Liabilities accounted for at fair value on a recurring basis | ||
Derivative liabilities | (71) | (2) |
Significant Observable Inputs (Level 2) | Foreign exchange derivatives | ||
Assets accounted for at fair value on a recurring basis | ||
Derivative assets | 5 | 32 |
Liabilities accounted for at fair value on a recurring basis | ||
Derivative liabilities | 33 | 21 |
Significant Observable Inputs (Level 2) | Interest rate derivatives | ||
Assets accounted for at fair value on a recurring basis | ||
Derivative assets | 1 | |
Liabilities accounted for at fair value on a recurring basis | ||
Derivative liabilities | (3) | (6) |
Significant Observable Inputs (Level 2) | Asset backed securities ("ABS") | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 2,685 | 1,911 |
Significant Observable Inputs (Level 2) | Collateralized Loan Obligations [Member] | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 2,896 | 2,826 |
Significant Observable Inputs (Level 2) | CMBS | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 2,989 | 3,146 |
Significant Observable Inputs (Level 2) | Corporate | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 14,474 | 13,644 |
Significant Observable Inputs (Level 2) | Foreign government/government agencies | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 539 | 547 |
Significant Observable Inputs (Level 2) | Municipal | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 6,226 | 6,296 |
Significant Observable Inputs (Level 2) | RMBS | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 3,660 | 3,613 |
Significant Observable Inputs (Level 2) | U.S. Treasuries | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 2,014 | 2,197 |
Significant Unobservable Inputs (Level 3) | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 2,014 | 2,051 |
Fixed maturities, at fair value using the fair value option ("FVO") | 163 | 178 |
Equity securities, at fair value | 59 | 61 |
Derivative assets | 0 | 0 |
Short-term investments | 186 | 193 |
Total assets accounted for at fair value on a recurring basis | 2,422 | 2,483 |
Liabilities accounted for at fair value on a recurring basis | ||
Derivative liabilities | 0 | 0 |
Total liabilities accounted for at fair value on a recurring basis | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Credit derivatives | ||
Assets accounted for at fair value on a recurring basis | ||
Derivative assets | 0 | |
Liabilities accounted for at fair value on a recurring basis | ||
Derivative liabilities | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Foreign exchange derivatives | ||
Assets accounted for at fair value on a recurring basis | ||
Derivative assets | 0 | 0 |
Liabilities accounted for at fair value on a recurring basis | ||
Derivative liabilities | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Interest rate derivatives | ||
Assets accounted for at fair value on a recurring basis | ||
Derivative assets | 0 | |
Liabilities accounted for at fair value on a recurring basis | ||
Derivative liabilities | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Asset backed securities ("ABS") | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 0 | 30 |
Significant Unobservable Inputs (Level 3) | Collateralized Loan Obligations [Member] | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 85 | 115 |
Significant Unobservable Inputs (Level 3) | CMBS | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 238 | 222 |
Significant Unobservable Inputs (Level 3) | Corporate | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 1,622 | 1,589 |
Significant Unobservable Inputs (Level 3) | Foreign government/government agencies | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Municipal | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 0 | 0 |
Significant Unobservable Inputs (Level 3) | RMBS | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | 69 | 95 |
Significant Unobservable Inputs (Level 3) | U.S. Treasuries | ||
Assets accounted for at fair value on a recurring basis | ||
Debt Securities, Available-for-sale | $ 0 | $ 0 |
Fair Value Measurements - Signi
Fair Value Measurements - Significant Unobservable Inputs Securities (Details) $ in Millions | Jun. 30, 2023 USD ($) | Dec. 31, 2022 USD ($) |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale | $ 37,497 | $ 36,231 |
Other Short-term Investments | 3,236 | 3,859 |
Collateralized Loan Obligations [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale | 2,981 | 2,941 |
CMBS | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale | 3,227 | 3,368 |
Corporate | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale | 16,096 | 15,233 |
RMBS | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale | 3,729 | 3,708 |
Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale | 2,014 | 2,051 |
Other Short-term Investments | 186 | 193 |
Significant Unobservable Inputs (Level 3) | Collateralized Loan Obligations [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale | 85 | 115 |
Significant Unobservable Inputs (Level 3) | CMBS | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale | 238 | 222 |
Significant Unobservable Inputs (Level 3) | Corporate | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale | 1,622 | 1,589 |
Significant Unobservable Inputs (Level 3) | RMBS | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale | 69 | 95 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Other Short-term Investments | $ 153 | |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | Measurement Input, Credit Spread [Member] | Minimum | Short-term investments | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Instrument, Measurement Input | 2.45 | |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | Measurement Input, Credit Spread [Member] | Maximum | Short-term investments | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Instrument, Measurement Input | 5.77 | |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | Measurement Input, Credit Spread [Member] | Weighted Average [Member] | Short-term investments | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Instrument, Measurement Input | 2.51 | |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | Collateralized Loan Obligations [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale | $ 85 | $ 115 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | Collateralized Loan Obligations [Member] | Measurement Input, Credit Spread [Member] | Minimum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 3.13 | 3.37 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | Collateralized Loan Obligations [Member] | Measurement Input, Credit Spread [Member] | Maximum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 3.13 | 3.37 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | Collateralized Loan Obligations [Member] | Measurement Input, Credit Spread [Member] | Weighted Average [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 3.13 | 3.37 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | CMBS | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale | $ 235 | $ 219 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | CMBS | Measurement Input, Credit Spread [Member] | Minimum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 3.49 | 4.19 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | CMBS | Measurement Input, Credit Spread [Member] | Maximum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 15.13 | 13.07 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | CMBS | Measurement Input, Credit Spread [Member] | Weighted Average [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 4.91 | 5.27 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | Corporate | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale | $ 1,577 | $ 1,541 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | Corporate | Measurement Input, Credit Spread [Member] | Minimum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 0.63 | 0.77 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | Corporate | Measurement Input, Credit Spread [Member] | Maximum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 10.79 | 6.42 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | Corporate | Measurement Input, Credit Spread [Member] | Weighted Average [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 3.60 | 3.60 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | RMBS | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale | $ 69 | $ 65 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | RMBS | Measurement Input, Credit Spread [Member] | Minimum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 0.54 | 0.62 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | RMBS | Measurement Input, Credit Spread [Member] | Maximum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 2.25 | 2.49 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | RMBS | Measurement Input, Credit Spread [Member] | Weighted Average [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 1.33 | 1.60 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | RMBS | Measurement Input, Constant Prepayment Rate [Member] | Minimum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 0.02 | 0.01 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | RMBS | Measurement Input, Constant Prepayment Rate [Member] | Maximum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 0.10 | 0.10 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | RMBS | Measurement Input, Constant Prepayment Rate [Member] | Weighted Average [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 0.06 | 0.07 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | RMBS | Measurement Input, Default Rate [Member] | Minimum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 0.01 | 0.01 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | RMBS | Measurement Input, Default Rate [Member] | Maximum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 0.04 | 0.04 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | RMBS | Measurement Input, Default Rate [Member] | Weighted Average [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 0.02 | 0.02 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | RMBS | Measurement Input, Loss Severity [Member] | Minimum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 0.10 | 0.10 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | RMBS | Measurement Input, Loss Severity [Member] | Maximum | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 1 | 1 |
Fair Value, Recurring [Member] | Significant Unobservable Inputs (Level 3) | RMBS | Measurement Input, Loss Severity [Member] | Weighted Average [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Debt Securities, Available-for-sale, Measurement Input | 0.41 | 0.38 |
Fair Value Measurements - Sig_2
Fair Value Measurements - Significant Unobservable Inputs Freestanding Derivatives (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation | ||
Adjustment Resulting from Broker Prices Received | $ 0 | |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation | ||
Derivative Assets (Liabilities), at Fair Value, Net | $ 1 | $ 1 |
Fair Value Measurements - Fai_2
Fair Value Measurements - Fair Value Recurring Basis, Unobservable Input (Details) - Fair Value, Measurements, Recurring - Significant Unobservable Inputs (Level 3) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Assets | ||||
Beginning balance | $ 2,537 | $ 2,552 | $ 2,483 | $ 2,708 |
Total realized/unrealized gains (losses), Included in net income | (10) | (11) | (18) | (4) |
Total realized/unrealized gains (losses), Included in OCI | 4 | (115) | 30 | (186) |
Purchases | 75 | 361 | 223 | 700 |
Settlements | (72) | (125) | (141) | (271) |
Sales | (7) | (14) | (14) | (22) |
Transfers into Level 3 | 10 | 24 | 47 | 24 |
Transfers out of Level 3 | (115) | (227) | (188) | (504) |
Ending balance | 2,422 | 2,445 | 2,422 | 2,445 |
Equity securities, at fair value | ||||
Assets | ||||
Beginning balance | 60 | 57 | 61 | 64 |
Total realized/unrealized gains (losses), Included in net income | (1) | 2 | (2) | 9 |
Total realized/unrealized gains (losses), Included in OCI | 0 | 0 | 0 | 0 |
Purchases | 0 | 2 | 1 | 2 |
Settlements | 0 | (1) | (1) | (15) |
Sales | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 | 0 |
Ending balance | 59 | 60 | 59 | 60 |
Short-term investments | ||||
Assets | ||||
Beginning balance | 187 | 32 | 193 | 80 |
Total realized/unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 |
Total realized/unrealized gains (losses), Included in OCI | 0 | 0 | 0 | 0 |
Purchases | 3 | 32 | 4 | 36 |
Settlements | (4) | (4) | (11) | (6) |
Sales | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 | (50) |
Ending balance | 186 | 60 | 186 | 60 |
Securities available-for-sale and other | Total Fixed Maturities, AFS | ||||
Assets | ||||
Beginning balance | 2,118 | 2,289 | 2,051 | 2,404 |
Total realized/unrealized gains (losses), Included in net income | (4) | 0 | (3) | (2) |
Total realized/unrealized gains (losses), Included in OCI | 4 | (115) | 30 | (186) |
Purchases | 72 | 292 | 218 | 607 |
Settlements | (64) | (117) | (127) | (239) |
Sales | (7) | (14) | (14) | (22) |
Transfers into Level 3 | 10 | 24 | 47 | 24 |
Transfers out of Level 3 | (115) | (227) | (188) | (454) |
Ending balance | 2,014 | 2,132 | 2,014 | 2,132 |
Securities available-for-sale and other | ABS | Total Fixed Maturities, AFS | ||||
Assets | ||||
Beginning balance | 36 | 19 | 30 | 0 |
Total realized/unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 |
Total realized/unrealized gains (losses), Included in OCI | 0 | 0 | 0 | 0 |
Purchases | 0 | 0 | 36 | 19 |
Settlements | 0 | 0 | 0 | 0 |
Sales | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | (36) | (19) | (66) | (19) |
Ending balance | 0 | 0 | 0 | 0 |
Securities available-for-sale and other | Collateralized Loan Obligations [Member] | Total Fixed Maturities, AFS | ||||
Assets | ||||
Beginning balance | 151 | 214 | 115 | 257 |
Total realized/unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 |
Total realized/unrealized gains (losses), Included in OCI | 0 | (1) | 0 | (2) |
Purchases | 0 | 28 | 40 | 82 |
Settlements | (26) | (23) | (30) | (40) |
Sales | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | (40) | (54) | (40) | (133) |
Ending balance | 85 | 164 | 85 | 164 |
Securities available-for-sale and other | CMBS | Total Fixed Maturities, AFS | ||||
Assets | ||||
Beginning balance | 231 | 236 | 222 | 196 |
Total realized/unrealized gains (losses), Included in net income | (2) | 0 | (2) | 0 |
Total realized/unrealized gains (losses), Included in OCI | 7 | (10) | 2 | (15) |
Purchases | 2 | 0 | 6 | 46 |
Settlements | (1) | (2) | (1) | (3) |
Sales | (5) | 0 | (5) | 0 |
Transfers into Level 3 | 6 | 0 | 16 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 | 0 |
Ending balance | 238 | 224 | 238 | 224 |
Securities available-for-sale and other | Corporate | Total Fixed Maturities, AFS | ||||
Assets | ||||
Beginning balance | 1,643 | 1,515 | 1,589 | 1,618 |
Total realized/unrealized gains (losses), Included in net income | (2) | 1 | (1) | (1) |
Total realized/unrealized gains (losses), Included in OCI | (3) | (99) | 28 | (158) |
Purchases | 51 | 264 | 117 | 323 |
Settlements | (30) | (62) | (81) | (132) |
Sales | (2) | (14) | (9) | (21) |
Transfers into Level 3 | 4 | 21 | 31 | 21 |
Transfers out of Level 3 | (39) | (17) | (52) | (41) |
Ending balance | 1,622 | 1,609 | 1,622 | 1,609 |
Securities available-for-sale and other | Foreign government/government agencies | Total Fixed Maturities, AFS | ||||
Assets | ||||
Beginning balance | 4 | 5 | ||
Total realized/unrealized gains (losses), Included in net income | (1) | (1) | ||
Total realized/unrealized gains (losses), Included in OCI | (1) | (1) | ||
Purchases | 0 | 0 | ||
Settlements | 0 | 0 | ||
Sales | 0 | (1) | ||
Transfers into Level 3 | 3 | 3 | ||
Transfers out of Level 3 | 0 | 0 | ||
Ending balance | 5 | 5 | ||
Securities available-for-sale and other | RMBS | Total Fixed Maturities, AFS | ||||
Assets | ||||
Beginning balance | 57 | 301 | 95 | 328 |
Total realized/unrealized gains (losses), Included in net income | 0 | 0 | 0 | 0 |
Total realized/unrealized gains (losses), Included in OCI | 0 | (4) | 0 | (10) |
Purchases | 19 | 0 | 19 | 137 |
Settlements | (7) | (30) | (15) | (64) |
Sales | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | (137) | (30) | (261) |
Ending balance | 69 | 130 | 69 | 130 |
Fair Value Option, Other Eligible Items | Collateralized Loan Obligations [Member] | Total Fixed Maturities, AFS | ||||
Assets | ||||
Beginning balance | 172 | 174 | 178 | 160 |
Total realized/unrealized gains (losses), Included in net income | (5) | (13) | (13) | (11) |
Total realized/unrealized gains (losses), Included in OCI | 0 | 0 | 0 | 0 |
Purchases | 0 | 35 | 0 | 55 |
Settlements | (4) | (3) | (2) | (11) |
Sales | 0 | 0 | 0 | 0 |
Transfers into Level 3 | 0 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 | 0 |
Ending balance | $ 163 | $ 193 | $ 163 | $ 193 |
Fair Value Measurements - Chang
Fair Value Measurements - Changes in Unrealized Gains (Losses) Included in Net Income for Financial Instruments Classified as Level 3 Still Held at Year End (Details) - Fair Value, Recurring [Member] - Significant Unobservable Inputs (Level 3) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | $ (8) | $ (12) | $ (16) | $ (12) |
Other Comprehensive Income (Loss) [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | 3 | (115) | 30 | (185) |
Equity Securities [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | (1) | 1 | (1) | 1 |
Equity Securities [Member] | Other Comprehensive Income (Loss) [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | 0 | 0 | 0 | 0 |
Total Fixed Maturities, AFS | Securities available-for-sale and other | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | (2) | 0 | (2) | (2) |
Total Fixed Maturities, AFS | Securities available-for-sale and other | Other Comprehensive Income (Loss) [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | 3 | (115) | 30 | (185) |
Total Fixed Maturities, AFS | Collateralized Loan Obligations [Member] | Securities available-for-sale and other | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | 0 | 0 | 0 | 0 |
Total Fixed Maturities, AFS | Collateralized Loan Obligations [Member] | Securities available-for-sale and other | Other Comprehensive Income (Loss) [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | 0 | (1) | 0 | (2) |
Total Fixed Maturities, AFS | Collateralized Loan Obligations [Member] | Fair Value Option, Other Eligible Items | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | (5) | (13) | (13) | (11) |
Total Fixed Maturities, AFS | Collateralized Loan Obligations [Member] | Fair Value Option, Other Eligible Items | Other Comprehensive Income (Loss) [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | 0 | 0 | 0 | 0 |
Total Fixed Maturities, AFS | CMBS | Securities available-for-sale and other | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | 0 | 0 | 0 | 0 |
Total Fixed Maturities, AFS | CMBS | Securities available-for-sale and other | Other Comprehensive Income (Loss) [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | 6 | (10) | 2 | (15) |
Total Fixed Maturities, AFS | Corporate | Securities available-for-sale and other | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | (2) | 1 | (2) | (1) |
Total Fixed Maturities, AFS | Corporate | Securities available-for-sale and other | Other Comprehensive Income (Loss) [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | (3) | (99) | 28 | (157) |
Total Fixed Maturities, AFS | Foreign Government/Government Agencies | Securities available-for-sale and other | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | 0 | (1) | 0 | (1) |
Total Fixed Maturities, AFS | Foreign Government/Government Agencies | Securities available-for-sale and other | Other Comprehensive Income (Loss) [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | 0 | (1) | 0 | (1) |
Total Fixed Maturities, AFS | RMBS | Securities available-for-sale and other | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | 0 | 0 | 0 | 0 |
Total Fixed Maturities, AFS | RMBS | Securities available-for-sale and other | Other Comprehensive Income (Loss) [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Changes in Unrealized Gain/(Loss) Included in Net Income, Assets | $ 0 | $ (4) | $ 0 | $ (10) |
Fair Value Measurements - Fai_3
Fair Value Measurements - Fair Value Option (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Fair Value Disclosures [Abstract] | |||||
Fixed maturities, at fair value using the fair value option ("FVO") | $ 320 | $ 320 | $ 333 | ||
Changes in fair value of assets using fair value option | $ 3 | $ 20 | $ 11 | $ 23 |
Fair Value Measurements - Finan
Fair Value Measurements - Financial Instruments Not Carried at Fair Value (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Assets, carrying value | $ 73,895 | $ 73,008 | ||||
Assets, fair value | 41,954 | 42,258 | ||||
Liabilities, carrying value | 59,743 | 59,332 | ||||
Significant Unobservable Inputs (Level 3) | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Assets, fair value | 2,422 | 2,483 | ||||
Significant Observable Inputs (Level 2) | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Assets, fair value | 37,426 | 37,085 | ||||
Carrying Amount | Significant Unobservable Inputs (Level 3) | Other policyholder funds and benefits payable | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Liabilities, carrying value | 647 | 658 | ||||
Carrying Amount | Significant Unobservable Inputs (Level 3) | Mortgage loans | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Assets, carrying value | 6,020 | 6,000 | ||||
Carrying Amount | Significant Observable Inputs (Level 2) | Senior notes [2] | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Liabilities, carrying value | 3,861 | 3,858 | ||||
Carrying Amount | Significant Observable Inputs (Level 2) | Junior subordinated debentures [2] | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Liabilities, carrying value | 499 | 499 | ||||
Fair Value | Significant Unobservable Inputs (Level 3) | Other policyholder funds and benefits payable | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Liabilities, fair value | 647 | 658 | ||||
Fair Value | Significant Unobservable Inputs (Level 3) | Mortgage loans | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Assets, fair value | 5,415 | 5,362 | ||||
Fair Value | Significant Observable Inputs (Level 2) | Senior notes [2] | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Liabilities, fair value | 3,377 | 3,339 | ||||
Fair Value | Significant Observable Inputs (Level 2) | Junior subordinated debentures [2] | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Liabilities, fair value | 415 | 419 | ||||
Commercial Loan [Member] | ||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Financing Receivable, Allowance for Credit Loss | $ 41 | $ 36 | $ 36 | $ 36 | $ 31 | $ 29 |
Investments - Investments - Net
Investments - Investments - Net Realized Capital Gains (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Schedule of Investments [Line Items] | ||||
Net realized losses | $ (64) | $ (338) | $ (71) | $ (483) |
Proceeds from Sale of Debt Securities, Available-for-sale | 3,507 | 10,047 | ||
Realized Investment Gains Losses | ||||
Schedule of Investments [Line Items] | ||||
Equity Securities, FV-NI, Unrealized Gain (Loss) | 7 | (259) | 7 | (366) |
Debt Securities [Member] | ||||
Schedule of Investments [Line Items] | ||||
Proceeds from Sale of Debt Securities, Available-for-sale | 600 | 2,600 | 2,000 | 8,100 |
Not Designated as Hedging Instrument | ||||
Schedule of Investments [Line Items] | ||||
Translation Adjustment Functional to Reporting Currency, Increase (Decrease), Gross of Tax | (9) | 15 | (16) | 21 |
Non-qualifying foreign currency derivatives | (39) | 14 | (34) | 61 |
Other, net | ||||
Schedule of Investments [Line Items] | ||||
Other, net | (48) | (6) | (63) | 45 |
Total Fixed Maturities, AFS | ||||
Schedule of Investments [Line Items] | ||||
Debt Securities, Available-for-sale, Realized Gain | 3 | 15 | 20 | 38 |
Gross losses on sales of fixed maturities | (21) | (80) | (60) | (175) |
Change in ACL on fixed maturities, AFS | (3) | 0 | (8) | (12) |
Reduction due to intent to sell | 0 | 0 | 0 | (3) |
Equity Securities [Member] | ||||
Schedule of Investments [Line Items] | ||||
Equity Securities, FV-NI, Realized Gain (Loss) | 24 | 5 | 74 | 45 |
Equity Securities, FV-NI, Unrealized Gain (Loss) | (14) | (267) | (29) | (414) |
Equity securities | 10 | (262) | 45 | (369) |
Mortgages [Member] | ||||
Schedule of Investments [Line Items] | ||||
Change in ACL on mortgage loans | $ (5) | $ (5) | $ (5) | $ (7) |
Investments - Sales of Availabl
Investments - Sales of Available for Sale Debt Securities (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Debt Securities, Available-for-sale [Line Items] | ||||
Proceeds from Sale of Debt Securities, Available-for-sale | $ 3,507 | $ 10,047 | ||
Debt Securities [Member] | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Proceeds from Sale of Debt Securities, Available-for-sale | $ 600 | $ 2,600 | $ 2,000 | $ 8,100 |
Investments - Investments - Acc
Investments - Investments - Accrued Interest Receivable on Fixed Maturities, AFS and Mortgage Loans (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Debt Securities [Member] | ||
Schedule of Investments [Line Items] | ||
Interest Receivable | $ 346 | $ 338 |
Mortgages [Member] | ||
Schedule of Investments [Line Items] | ||
Interest Receivable | $ 19 | $ 18 |
Investments - Investments - ACL
Investments - Investments - ACL on Fixed Maturities (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss, Beginning Balance | $ 17 | $ 13 | $ 12 | $ 1 |
Credit losses on fixed maturities where credit losses were not previously recorded | 2 | 0 | 6 | 12 |
Net increases (decreases) in allowance on fixed maturities that had an allowance in a previous period | 1 | 0 | 2 | 0 |
Debt Securities, Available-for-sale, Allowance for Credit Loss, Ending Balance | 18 | 13 | 18 | 13 |
Reduction due to sales | (2) | 0 | (2) | 0 |
Corporate | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss, Beginning Balance | 6 | 9 | 2 | 1 |
Credit losses on fixed maturities where credit losses were not previously recorded | 2 | 0 | 6 | 8 |
Net increases (decreases) in allowance on fixed maturities that had an allowance in a previous period | 0 | (1) | 0 | (1) |
Debt Securities, Available-for-sale, Allowance for Credit Loss, Ending Balance | 6 | 8 | 6 | 8 |
Reduction due to sales | (2) | 0 | (2) | 0 |
Foreign Govt./Govt. Agencies | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss, Beginning Balance | 3 | 0 | 0 | |
Credit losses on fixed maturities where credit losses were not previously recorded | 0 | 3 | ||
Net increases (decreases) in allowance on fixed maturities that had an allowance in a previous period | 1 | 1 | ||
Debt Securities, Available-for-sale, Allowance for Credit Loss, Ending Balance | 0 | 4 | 0 | 4 |
Reduction due to sales | 0 | 0 | ||
CMBS | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss [Line Items] | ||||
Debt Securities, Available-for-sale, Allowance for Credit Loss, Beginning Balance | 11 | 1 | 10 | 0 |
Credit losses on fixed maturities where credit losses were not previously recorded | 0 | 0 | 0 | 1 |
Net increases (decreases) in allowance on fixed maturities that had an allowance in a previous period | 1 | 0 | 2 | 0 |
Debt Securities, Available-for-sale, Allowance for Credit Loss, Ending Balance | 12 | 1 | 12 | 1 |
Reduction due to sales | $ 0 | $ 0 | $ 0 | $ 0 |
Investments - Investments - Ava
Investments - Investments - Available-for-Sale Securities (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 |
Debt Securities, Available-for-sale [Line Items] | ||||||
Fixed maturities, available-for-sale, at fair value, amortized cost | $ 40,411 | $ 39,533 | ||||
Allowance for credit losses, fixed maturity, AFS | (18) | $ (17) | (12) | $ (13) | $ (13) | $ (1) |
Gross Unrealized Gains, fixed maturities, available-for-sale | 159 | 152 | ||||
Gross Unrealized Losses, fixed maturities, available-for-sale | (3,055) | (3,442) | ||||
Fixed maturities, available-for-sale, at fair value (amortized cost of $54,478 and $53,805) | 37,497 | 36,231 | ||||
ABS | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Fixed maturities, available-for-sale, at fair value, amortized cost | 2,757 | 2,016 | ||||
Allowance for credit losses, fixed maturity, AFS | 0 | 0 | ||||
Gross Unrealized Gains, fixed maturities, available-for-sale | 1 | 0 | ||||
Gross Unrealized Losses, fixed maturities, available-for-sale | (73) | (75) | ||||
Fixed maturities, available-for-sale, at fair value (amortized cost of $54,478 and $53,805) | 2,685 | 1,941 | ||||
Collateralized Loan Obligations [Member] | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Fixed maturities, available-for-sale, at fair value, amortized cost | 3,046 | 3,040 | ||||
Allowance for credit losses, fixed maturity, AFS | 0 | 0 | ||||
Gross Unrealized Gains, fixed maturities, available-for-sale | 3 | 3 | ||||
Gross Unrealized Losses, fixed maturities, available-for-sale | (68) | (102) | ||||
Fixed maturities, available-for-sale, at fair value (amortized cost of $54,478 and $53,805) | 2,981 | 2,941 | ||||
CMBS | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Fixed maturities, available-for-sale, at fair value, amortized cost | 3,607 | 3,715 | ||||
Allowance for credit losses, fixed maturity, AFS | (12) | (11) | (10) | (1) | (1) | 0 |
Gross Unrealized Gains, fixed maturities, available-for-sale | 19 | 21 | ||||
Gross Unrealized Losses, fixed maturities, available-for-sale | (387) | (358) | ||||
Fixed maturities, available-for-sale, at fair value (amortized cost of $54,478 and $53,805) | 3,227 | 3,368 | ||||
Corporate | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Fixed maturities, available-for-sale, at fair value, amortized cost | 17,467 | 16,794 | ||||
Allowance for credit losses, fixed maturity, AFS | (6) | $ (6) | (2) | (8) | (9) | (1) |
Gross Unrealized Gains, fixed maturities, available-for-sale | 39 | 33 | ||||
Gross Unrealized Losses, fixed maturities, available-for-sale | (1,404) | (1,592) | ||||
Fixed maturities, available-for-sale, at fair value (amortized cost of $54,478 and $53,805) | 16,096 | 15,233 | ||||
Foreign Govt./Govt. Agencies | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Fixed maturities, available-for-sale, at fair value, amortized cost | 579 | 596 | ||||
Allowance for credit losses, fixed maturity, AFS | 0 | 0 | $ (4) | $ (3) | $ 0 | |
Gross Unrealized Gains, fixed maturities, available-for-sale | 0 | 0 | ||||
Gross Unrealized Losses, fixed maturities, available-for-sale | (40) | (49) | ||||
Fixed maturities, available-for-sale, at fair value (amortized cost of $54,478 and $53,805) | 539 | 547 | ||||
Municipal | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Fixed maturities, available-for-sale, at fair value, amortized cost | 6,523 | 6,718 | ||||
Allowance for credit losses, fixed maturity, AFS | 0 | 0 | ||||
Gross Unrealized Gains, fixed maturities, available-for-sale | 96 | 93 | ||||
Gross Unrealized Losses, fixed maturities, available-for-sale | (393) | (515) | ||||
Fixed maturities, available-for-sale, at fair value (amortized cost of $54,478 and $53,805) | 6,226 | 6,296 | ||||
RMBS | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Fixed maturities, available-for-sale, at fair value, amortized cost | 4,202 | 4,214 | ||||
Allowance for credit losses, fixed maturity, AFS | 0 | 0 | ||||
Gross Unrealized Gains, fixed maturities, available-for-sale | 1 | 2 | ||||
Gross Unrealized Losses, fixed maturities, available-for-sale | (474) | (508) | ||||
Fixed maturities, available-for-sale, at fair value (amortized cost of $54,478 and $53,805) | 3,729 | 3,708 | ||||
U.S. Treasuries | ||||||
Debt Securities, Available-for-sale [Line Items] | ||||||
Fixed maturities, available-for-sale, at fair value, amortized cost | 2,230 | 2,440 | ||||
Allowance for credit losses, fixed maturity, AFS | 0 | 0 | ||||
Gross Unrealized Gains, fixed maturities, available-for-sale | 0 | 0 | ||||
Gross Unrealized Losses, fixed maturities, available-for-sale | (216) | (243) | ||||
Fixed maturities, available-for-sale, at fair value (amortized cost of $54,478 and $53,805) | $ 2,014 | $ 2,197 |
Investments - Investments - Fix
Investments - Investments - Fixed Maturities, AFS, by Contractual Maturity Year (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Amortized Cost | ||
One year or less | $ 1,320 | $ 1,417 |
Over one year through five years | 9,416 | 8,340 |
Over five years through ten years | 6,910 | 7,259 |
Over ten years | 9,153 | 9,532 |
Subtotal | 26,799 | 26,548 |
Mortgage-backed and asset-backed securities | 13,612 | 12,985 |
Fixed maturities, available-for-sale, at fair value, amortized cost | 40,411 | 39,533 |
Fair Value | ||
One year or less | 1,298 | 1,396 |
Over one year through five years | 8,962 | 7,930 |
Over five years through ten years | 6,277 | 6,485 |
Over ten years | 8,338 | 8,462 |
Subtotal | 24,875 | 24,273 |
Mortgage-backed and asset-backed securities | 12,622 | 11,958 |
Fixed maturities, available-for-sale, at fair value (amortized cost of $54,478 and $53,805) | $ 37,497 | $ 36,231 |
Investments - Investments - Con
Investments - Investments - Concentration of Credit Risk (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Investments, All Other Investments [Abstract] | ||
Fair Value, Concentration of Risk, Investments | $ 0 | $ 0 |
Investments - Investments - Unr
Investments - Investments - Unrealized Losses on AFS Securities (Details) $ in Millions | Jun. 30, 2023 USD ($) | Dec. 31, 2022 USD ($) |
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Available-for-sale, Unrealized Loss Position, Number of Positions | 4,667 | |
Percentage of Gross Unrealized Losses Depressed Less than Twenty Percent of Cost or Amortized Cost | 93% | |
ABS | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months | $ 1,758 | $ 1,577 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 24 | 50 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer | 767 | 281 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 49 | 25 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Total | 2,525 | 1,858 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss, Total | 73 | 75 |
Collateralized Loan Obligations [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months | 128 | 1,490 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 2 | 48 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer | 2,738 | 1,378 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 66 | 54 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Total | 2,866 | 2,868 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss, Total | 68 | 102 |
CMBS | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months | 458 | 2,560 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 30 | 270 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer | 2,656 | 521 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 357 | 88 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Total | 3,114 | 3,081 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss, Total | 387 | 358 |
Corporate | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months | 4,078 | 11,157 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 111 | 1,071 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer | 10,121 | 2,575 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 1,293 | 521 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Total | 14,199 | 13,732 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss, Total | 1,404 | 1,592 |
Foreign Govt./Govt. Agencies | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months | 91 | 308 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 3 | 26 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer | 407 | 224 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 37 | 23 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Total | 498 | 532 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss, Total | 40 | 49 |
Municipal | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months | 1,353 | 4,270 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 28 | 461 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer | 2,864 | 228 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 365 | 54 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Total | 4,217 | 4,498 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss, Total | 393 | 515 |
RMBS | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months | 690 | 2,311 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 31 | 249 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer | 2,867 | 1,250 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 443 | 259 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Total | 3,557 | 3,561 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss, Total | 474 | 508 |
U.S. Treasuries | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months | 412 | 1,554 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 29 | 145 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer | 1,595 | 633 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 187 | 98 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Total | 2,007 | 2,187 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss, Total | 216 | 243 |
Available-for-sale Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months | 8,968 | 25,227 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | 258 | 2,320 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer | 24,015 | 7,090 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 2,797 | 1,122 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Total | 32,983 | 32,317 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss, Total | $ 3,055 | $ 3,442 |
Investments - Investments - Mor
Investments - Investments - Mortgage Loans- Valuation Allowance Activity (Details) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 USD ($) | Jun. 30, 2022 | Jun. 30, 2023 USD ($) | Jun. 30, 2022 | Dec. 31, 2022 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Number of loans held-for-sale | 0 | 0 | 0 | ||
Number of loans with modifications | 0 | 0 | 0 | 0 | |
Commercial Loan [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Financing Receivable, Individually Evaluated for Impairment | $ 0 | $ 0 |
Investments - Investments - A_2
Investments - Investments - ACL on Mortgages (Details) - Commercial Loan [Member] - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Beginning balance | $ (36) | $ (31) | $ (36) | $ (29) |
Current period provision | 5 | 5 | 5 | 7 |
Financing Receivable, Allowance for Credit Loss | $ (41) | $ (36) | $ (41) | $ (36) |
Investments - Investments - Loa
Investments - Investments - Loan-to-Value and Debt Service Coverage Ratio by Origination Year (Details) $ in Millions | Jun. 30, 2023 USD ($) | Dec. 31, 2022 USD ($) |
Schedule of Investments [Line Items] | ||
Current Weighted Average Loan to Value Ratio of Commercial Mortgage Loan | 52% | |
Original Weighted Average Loan to Value Ratio of Commercial Mortgage loan | 59% | |
Commercial Loan [Member] | ||
Schedule of Investments [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss | $ 6,061 | $ 6,036 |
Avg. Debt-Service Coverage Ratio | 2.61 | 2.59 |
Commercial Loan [Member] | LTV Greater than 80 Percent | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 1.93 | 1.40 |
Commercial Loan [Member] | 65% - 80% | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 1.80 | 1.91 |
Commercial Loan [Member] | Less than 65% | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 2.67 | 2.65 |
Amortized Cost [Member] | Commercial Loan [Member] | ||
Schedule of Investments [Line Items] | ||
Mortgage loans originated in current year | $ 196 | $ 855 |
Mortgage loans originated in year before latest fiscal year | 897 | 1,534 |
Mortgage loans originated two years before latest fiscal year | 1,588 | 706 |
Mortgage loans originated three years before latest fiscal year | 709 | 780 |
Mortgage loans originated four years before latest fiscal year | 777 | 545 |
Mortgage loans originated five or more years before latest fiscal year | 1,894 | 1,616 |
Financing Receivable, before Allowance for Credit Loss | 6,061 | 6,036 |
Amortized Cost [Member] | Commercial Loan [Member] | LTV Greater than 80 Percent | ||
Schedule of Investments [Line Items] | ||
Mortgage loans originated in current year | 0 | 0 |
Mortgage loans originated in year before latest fiscal year | 0 | 0 |
Mortgage loans originated two years before latest fiscal year | 0 | 0 |
Mortgage loans originated three years before latest fiscal year | 0 | 0 |
Mortgage loans originated four years before latest fiscal year | 0 | 0 |
Mortgage loans originated five or more years before latest fiscal year | 10 | 23 |
Financing Receivable, before Allowance for Credit Loss | 10 | 23 |
Amortized Cost [Member] | Commercial Loan [Member] | 65% - 80% | ||
Schedule of Investments [Line Items] | ||
Mortgage loans originated in current year | 0 | 16 |
Mortgage loans originated in year before latest fiscal year | 16 | 59 |
Mortgage loans originated two years before latest fiscal year | 58 | 43 |
Mortgage loans originated three years before latest fiscal year | 72 | 100 |
Mortgage loans originated four years before latest fiscal year | 99 | 108 |
Mortgage loans originated five or more years before latest fiscal year | 197 | 117 |
Financing Receivable, before Allowance for Credit Loss | 442 | 443 |
Amortized Cost [Member] | Commercial Loan [Member] | Less than 65% | ||
Schedule of Investments [Line Items] | ||
Mortgage loans originated in current year | 196 | 839 |
Mortgage loans originated in year before latest fiscal year | 881 | 1,475 |
Mortgage loans originated two years before latest fiscal year | 1,530 | 663 |
Mortgage loans originated three years before latest fiscal year | 637 | 680 |
Mortgage loans originated four years before latest fiscal year | 678 | 437 |
Mortgage loans originated five or more years before latest fiscal year | 1,687 | 1,476 |
Financing Receivable, before Allowance for Credit Loss | $ 5,609 | $ 5,570 |
Originated in Current Fiscal Year | Commercial Loan [Member] | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 1.86 | 2.42 |
Originated in Current Fiscal Year | Commercial Loan [Member] | LTV Greater than 80 Percent | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 0 | 0 |
Originated in Current Fiscal Year | Commercial Loan [Member] | 65% - 80% | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 0 | 2.02 |
Originated in Current Fiscal Year | Commercial Loan [Member] | Less than 65% | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 1.86 | 2.43 |
Originated in Fiscal Year Before Latest Fiscal Year | Commercial Loan [Member] | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 2.44 | 2.78 |
Originated in Fiscal Year Before Latest Fiscal Year | Commercial Loan [Member] | LTV Greater than 80 Percent | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 0 | 0 |
Originated in Fiscal Year Before Latest Fiscal Year | Commercial Loan [Member] | 65% - 80% | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 2.02 | 2.61 |
Originated in Fiscal Year Before Latest Fiscal Year | Commercial Loan [Member] | Less than 65% | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 2.45 | 2.79 |
Originated Two Years Before Latest Fiscal Year | Commercial Loan [Member] | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 2.79 | 3.01 |
Originated Two Years Before Latest Fiscal Year | Commercial Loan [Member] | LTV Greater than 80 Percent | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 0 | 0 |
Originated Two Years Before Latest Fiscal Year | Commercial Loan [Member] | 65% - 80% | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 1.75 | 2.78 |
Originated Two Years Before Latest Fiscal Year | Commercial Loan [Member] | Less than 65% | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 2.83 | 3.02 |
Originated Three Years Before Latest Fiscal Year | Commercial Loan [Member] | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 3.01 | 2.66 |
Originated Three Years Before Latest Fiscal Year | Commercial Loan [Member] | LTV Greater than 80 Percent | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 0 | 0 |
Originated Three Years Before Latest Fiscal Year | Commercial Loan [Member] | 65% - 80% | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 2.81 | 1.95 |
Originated Three Years Before Latest Fiscal Year | Commercial Loan [Member] | Less than 65% | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 3.03 | 2.77 |
Originated Four Years Before Latest Fiscal Year | Commercial Loan [Member] | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 2.81 | 1.99 |
Originated Four Years Before Latest Fiscal Year | Commercial Loan [Member] | LTV Greater than 80 Percent | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 0 | 0 |
Originated Four Years Before Latest Fiscal Year | Commercial Loan [Member] | 65% - 80% | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 2.01 | 1.11 |
Originated Four Years Before Latest Fiscal Year | Commercial Loan [Member] | Less than 65% | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 2.93 | 2.21 |
Originated Five or More Years Before Latest Fiscal Year | Commercial Loan [Member] | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 2.37 | 2.48 |
Originated Five or More Years Before Latest Fiscal Year | Commercial Loan [Member] | LTV Greater than 80 Percent | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 1.93 | 1.40 |
Originated Five or More Years Before Latest Fiscal Year | Commercial Loan [Member] | 65% - 80% | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 1.32 | 1.91 |
Originated Five or More Years Before Latest Fiscal Year | Commercial Loan [Member] | Less than 65% | ||
Schedule of Investments [Line Items] | ||
Avg. Debt-Service Coverage Ratio | 2.50 | 2.54 |
Investments - Investments - M_2
Investments - Investments - Mortgage Loans by Region and Property Type (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing Receivable, after Allowance for Credit Loss | $ 6,020 | $ 6,000 | ||||
Commercial Loan [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing Receivable, before Allowance for Credit Loss | $ 6,061 | $ 6,036 | ||||
Percent of Total | 100% | 100% | ||||
Financing Receivable, Allowance for Credit Loss | $ (41) | $ (36) | $ (36) | $ (36) | $ (31) | $ (29) |
Financing Receivable, after Allowance for Credit Loss | 6,020 | 6,000 | ||||
Commercial Loan [Member] | Industrial | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing Receivable, before Allowance for Credit Loss | $ 2,282 | $ 2,217 | ||||
Percent of Total | 37.70% | 36.70% | ||||
Commercial Loan [Member] | Multifamily | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing Receivable, before Allowance for Credit Loss | $ 2,243 | $ 2,247 | ||||
Percent of Total | 37% | 37.20% | ||||
Commercial Loan [Member] | Office | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing Receivable, before Allowance for Credit Loss | $ 583 | $ 585 | ||||
Percent of Total | 9.60% | 9.70% | ||||
Commercial Loan [Member] | Retail | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing Receivable, before Allowance for Credit Loss | $ 953 | $ 947 | ||||
Percent of Total | 15.70% | 15.70% | ||||
Commercial Loan [Member] | Other | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing Receivable, before Allowance for Credit Loss | $ 0 | $ 40 | ||||
Percent of Total | 0% | 0.70% | ||||
Commercial Loan [Member] | Mortgages [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Percent of Total | 100% | 100% | ||||
Commercial Loan [Member] | East North Central [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing Receivable, before Allowance for Credit Loss | $ 358 | $ 317 | ||||
Commercial Loan [Member] | East North Central [Member] | Mortgages [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Percent of Total | 5.90% | 5.30% | ||||
Commercial Loan [Member] | Middle Atlantic [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing Receivable, before Allowance for Credit Loss | $ 253 | $ 316 | ||||
Commercial Loan [Member] | Middle Atlantic [Member] | Mortgages [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Percent of Total | 4.20% | 5.20% | ||||
Commercial Loan [Member] | Mountain [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing Receivable, before Allowance for Credit Loss | $ 707 | $ 707 | ||||
Commercial Loan [Member] | Mountain [Member] | Mortgages [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Percent of Total | 11.70% | 11.70% | ||||
Commercial Loan [Member] | New England [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing Receivable, before Allowance for Credit Loss | $ 353 | $ 395 | ||||
Commercial Loan [Member] | New England [Member] | Mortgages [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Percent of Total | 5.80% | 6.50% | ||||
Commercial Loan [Member] | Pacific [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing Receivable, before Allowance for Credit Loss | $ 1,304 | $ 1,299 | ||||
Commercial Loan [Member] | Pacific [Member] | Mortgages [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Percent of Total | 21.50% | 21.50% | ||||
Commercial Loan [Member] | South Atlantic [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing Receivable, before Allowance for Credit Loss | $ 1,776 | $ 1,670 | ||||
Commercial Loan [Member] | South Atlantic [Member] | Mortgages [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Percent of Total | 29.30% | 27.70% | ||||
Commercial Loan [Member] | West North Central [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing Receivable, before Allowance for Credit Loss | $ 116 | $ 105 | ||||
Commercial Loan [Member] | West North Central [Member] | Mortgages [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Percent of Total | 1.90% | 1.70% | ||||
Commercial Loan [Member] | West South Central [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing Receivable, before Allowance for Credit Loss | $ 448 | $ 421 | ||||
Commercial Loan [Member] | West South Central [Member] | Mortgages [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Percent of Total | 7.40% | 7% | ||||
Commercial Loan [Member] | Region Others [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Financing Receivable, before Allowance for Credit Loss | $ 746 | $ 806 | ||||
Commercial Loan [Member] | Region Others [Member] | Mortgages [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Percent of Total | 12.30% | 13.40% |
Investments - Investments - Pas
Investments - Investments - Past-Due Mortgage Loans (Details) - Commercial Loan [Member] - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Financing Receivable, Past Due [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss | $ 6,061 | $ 6,036 |
Mortgages [Member] | Financial Asset, Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Financing Receivable, before Allowance for Credit Loss | $ 0 | $ 0 |
Investments - Investments - M_3
Investments - Investments - Mortgage Servicing (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Continuing Involvement with Transferred Financial Assets, Principal Amount Outstanding | $ 9,500 | $ 9,300 |
Continuing Involvement with Derecognized Transferred Financial Assets, Amount Outstanding | 4,500 | 4,400 |
Servicing Asset at Fair Value, Amount | 0 | 0 |
Investments [Member] | ||
Continuing Involvement with Continued to be Recognized Transferred Financial Assets, Amount Outstanding | $ 5,000 | $ 4,900 |
Investments - Investments - VIE
Investments - Investments - VIEs (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Schedule of Investments [Line Items] | ||
Variable Interest Entity, Primary Beneficiary, Maximum Loss Exposure, Amount | $ 0 | $ 0 |
Variable Interest Entity, Reporting Entity Involvement, Maximum Loss Exposure, Amount | 2,700 | 2,600 |
Variable Interest Entity, Not Primary Beneficiary [Member] | ||
Schedule of Investments [Line Items] | ||
Variable Interest Entity, Reporting Entity Involvement, Commitments | $ 1,800 | $ 1,800 |
Investments - Investments - Sec
Investments - Investments - Securities Lending, Repurchase Agreements, and Other Collateral Transactions (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Reverse Repurchase Agreements, Other Collateral Transactions and Restricted Investments | ||
Securities for Reverse Repurchase Agreements | $ 33 | $ 41 |
US Treasury Securities [Member] | ||
Reverse Repurchase Agreements, Other Collateral Transactions and Restricted Investments | ||
Debt Securities, Available-for-sale, Restricted | $ 7 | $ 7 |
Investments - Restricted Invest
Investments - Restricted Investments (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Schedule of Investments [Line Items] | ||
Assets Held by Insurance Regulators | $ 2,291 | $ 2,189 |
Restricted Investments | 3,327 | 3,138 |
Fair Value Measured at Net Asset Value Per Share [Member] | ||
Schedule of Investments [Line Items] | ||
Deposit Assets | 70 | 62 |
Syndicate Policyholders [Member] | Debt Securities [Member] | ||
Schedule of Investments [Line Items] | ||
Debt Securities, Available-for-sale, Restricted | 797 | 718 |
Syndicate Policyholders [Member] | Short-term investments | ||
Schedule of Investments [Line Items] | ||
Restricted Investments, Current | 6 | 8 |
Lloyd's of London [Member] | Debt Securities [Member] | ||
Schedule of Investments [Line Items] | ||
Debt Securities, Available-for-sale, Restricted | $ 163 | $ 161 |
Derivatives - Additional Inform
Derivatives - Additional Information (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Derivative, Notional Amount | $ 23,449,000,000 | $ 23,449,000,000 | $ 10,755,000,000 | ||
Derivative, Collateral, Right to Reclaim Cash | 65,000,000 | 65,000,000 | 1,000,000 | ||
Cash collateral held | 45,000,000 | 45,000,000 | 56,000,000 | ||
Securities Received as Collateral | 0 | 0 | 1,000,000 | ||
Collateral Securities Repledged, Delivered, or Used | 0 | 0 | 0 | ||
Open Swap Contract, Identifier [Axis]: CME SWAPS MARKETS (CME) DESIGNATED AS A HEDGE [Member] | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Derivative, Notional Amount | 700,000,000 | 700,000,000 | |||
Open Swap Contract, Identifier [Axis]: CME SWAPS MARKETS (CME) NON-DESIGNATED [Member] | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Derivative, Notional Amount | 6,500,000,000 | 6,500,000,000 | |||
Collateral Pledged | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Derivative, Collateral, Right to Reclaim Cash | 16,000,000 | 16,000,000 | 16,000,000 | ||
Asset Pledged as Collateral [Member] | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Derivative, Collateral, Right to Reclaim Securities | 6,000,000 | 6,000,000 | 8,000,000 | ||
Over the Counter [Member] | Asset Pledged as Collateral [Member] | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Derivative, Collateral, Right to Reclaim Securities | 196,000,000 | 196,000,000 | 57,000,000 | ||
Reclassification out of Accumulated Other Comprehensive Income [Member] | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Loss on Discontinuation of Cash Flow Hedge Due to Forecasted Transaction Probable of Not Occurring | 0 | $ 0 | 0 | $ 0 | |
AOCI Attributable to Parent [Member] | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Cash Flow Hedge Gain (Loss) to be Reclassified within Twelve Months | 4,000,000 | ||||
Not Designated as Hedging Instrument | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Derivative, Notional Amount | 19,231,000,000 | 19,231,000,000 | 8,032,000,000 | ||
Non-qualifying foreign currency derivatives | (39,000,000) | 14,000,000 | (34,000,000) | 61,000,000 | |
Not Designated as Hedging Instrument | Interest rate swaps [1] | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Derivative, Notional Amount | 13,100,000,000 | 13,100,000,000 | 6,600,000,000 | ||
Not Designated as Hedging Instrument | Commodity Option | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Non-qualifying foreign currency derivatives | 0 | $ 0 | 0 | $ 14,000,000 | |
Not Designated as Hedging Instrument | Interest Rate Swaps and Futures [Member] | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Derivative, Notional Amount | 14,045,000,000 | 14,045,000,000 | 7,245,000,000 | ||
Designated as Hedging Instrument | Interest rate swaps [1] | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Derivative, Notional Amount | $ 3,650,000,000 | $ 3,650,000,000 | $ 2,155,000,000 |
Derivatives - Derivative Balanc
Derivatives - Derivative Balance Sheet Classification (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | $ 23,449 | $ 10,755 |
Fair Value | (35) | 47 |
Asset Derivatives | 53 | 62 |
Liability Derivatives | (88) | (15) |
Available-for-sale Securities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | 568 | 569 |
Fair Value | 0 | 0 |
Asset Derivatives | 0 | 0 |
Liability Derivatives | 0 | 0 |
Other investments | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | 17,174 | 9,108 |
Fair Value | 6 | 34 |
Asset Derivatives | 10 | 38 |
Liability Derivatives | (4) | (4) |
Other liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | 5,707 | 1,078 |
Fair Value | (41) | 13 |
Asset Derivatives | 43 | 24 |
Liability Derivatives | (84) | (11) |
Not Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | 19,231 | 8,032 |
Fair Value | (73) | (6) |
Asset Derivatives | 6 | 5 |
Liability Derivatives | (79) | (11) |
Interest rate swaps [1] | Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | 3,650 | 2,155 |
Fair Value | 0 | 0 |
Asset Derivatives | 0 | 0 |
Liability Derivatives | 0 | 0 |
Interest rate swaps [1] | Not Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | 13,100 | 6,600 |
Foreign currency swaps | Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | 568 | 568 |
Fair Value | 38 | 53 |
Asset Derivatives | 47 | 57 |
Liability Derivatives | (9) | (4) |
Total cash flow hedges | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | 4,218 | 2,723 |
Fair Value | 38 | 53 |
Asset Derivatives | 47 | 57 |
Liability Derivatives | (9) | (4) |
Interest rate swaps and futures [1] | Not Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | 14,045 | 7,245 |
Fair Value | (2) | (6) |
Asset Derivatives | 3 | 2 |
Liability Derivatives | (5) | (8) |
Foreign currency swaps and forwards | Not Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | 568 | 569 |
Fair Value | 0 | 0 |
Asset Derivatives | 0 | 0 |
Liability Derivatives | 0 | 0 |
Credit derivatives that purchase credit protection | Not Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | 4,411 | 11 |
Fair Value | (71) | 0 |
Asset Derivatives | 0 | 0 |
Liability Derivatives | (71) | 0 |
Credit derivatives in offsetting positions | Not Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, Notional Amount | 207 | 207 |
Fair Value | 0 | 0 |
Asset Derivatives | 3 | 3 |
Liability Derivatives | $ (3) | $ (3) |
Derivatives - Offsetting Deriva
Derivatives - Offsetting Derivative Assets and Liabilities (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Dec. 31, 2022 |
Derivative [Line Items] | ||
Asset Derivatives | $ 53 | $ 62 |
Derivative assets | 6 | 34 |
Gross Amounts of Recognized (Liabilities) | (88) | (15) |
Derivative Liability | (41) | 13 |
Other liabilities | ||
Derivative [Line Items] | ||
Derivative, Collateral, Obligation to Return Cash | (26) | 21 |
Gross Amounts of Recognized (Liabilities) | (88) | (15) |
Gross Amounts Offset in the Statement of Financial Position, liabilities | (73) | (7) |
Derivative Liability | (41) | 13 |
Derivative, Collateral, Obligation to Return Cash | 26 | (21) |
Financial Collateral (Received) | (12) | (7) |
Net amount, liabilities | (3) | (1) |
Other investments | ||
Derivative [Line Items] | ||
Asset Derivatives | 53 | 62 |
Gross Amounts Offset in the Statement of Financial Position, assets | 51 | 60 |
Derivative assets | 6 | 34 |
Derivative, Collateral, Obligation to Return Cash | 4 | 32 |
Financial Collateral Pledged | 0 | 0 |
Net Amount, assets | 2 | 2 |
Derivative, Collateral, Obligation to Return Cash | $ (4) | $ (32) |
Derivatives - Cash Flow Hedges
Derivatives - Cash Flow Hedges (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Net Investment Income | $ 540 | $ 541 | $ 1,055 | $ 1,050 |
Interest Expense | 50 | 51 | 100 | 113 |
Interest rate swaps [1] | Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Net Investment Income | (7) | 5 | (15) | 14 |
Interest Expense | 4 | (1) | 7 | (4) |
Foreign currency swaps | Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Net Investment Income | 3 | 2 | 5 | 4 |
Cash Flow Hedging | Designated as Hedging Instrument | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification and Tax | (21) | 38 | (14) | 45 |
Cash Flow Hedging | Designated as Hedging Instrument | Reclassification out of Accumulated Other Comprehensive Income | Net investment income | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (Loss) Reclassified from AOCI into Income (Effective Portion) | (4) | 7 | (10) | 18 |
Cash Flow Hedging | Designated as Hedging Instrument | Reclassification out of Accumulated Other Comprehensive Income | Interest expense | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (Loss) Reclassified from AOCI into Income (Effective Portion) | 4 | (1) | 7 | (4) |
Cash Flow Hedging | Designated as Hedging Instrument | Interest rate swaps [1] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification and Tax | (14) | (3) | (4) | (5) |
Cash Flow Hedging | Designated as Hedging Instrument | Interest rate swaps [1] | Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | Net investment income | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (Loss) Reclassified from AOCI into Income (Effective Portion) | (7) | 5 | (15) | 14 |
Cash Flow Hedging | Designated as Hedging Instrument | Interest rate swaps [1] | Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | Interest expense | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (Loss) Reclassified from AOCI into Income (Effective Portion) | 4 | (1) | 7 | (4) |
Cash Flow Hedging | Designated as Hedging Instrument | Foreign currency swaps | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification and Tax | (7) | 41 | (10) | 50 |
Cash Flow Hedging | Designated as Hedging Instrument | Foreign currency swaps | Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | Net investment income | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (Loss) Reclassified from AOCI into Income (Effective Portion) | 3 | 2 | 5 | 4 |
Cash Flow Hedging | Designated as Hedging Instrument | Foreign currency swaps | Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | Interest expense | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Gain (Loss) Reclassified from AOCI into Income (Effective Portion) | $ 0 | $ 0 | $ 0 | $ 0 |
Derivatives - Non-qualifying St
Derivatives - Non-qualifying Strategies (Details) - Not Designated as Hedging Instrument - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Non-qualifying foreign currency derivatives | $ (39) | $ 14 | $ (34) | $ 61 |
Foreign Exchange Forward [Member] | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Non-qualifying foreign currency derivatives | 0 | 4 | 0 | 5 |
Interest rate swaps, swaptions, and futures | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Non-qualifying foreign currency derivatives | (3) | 5 | 18 | 37 |
Credit derivatives that assume credit risk | Credit derivatives that purchase credit protection | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Non-qualifying foreign currency derivatives | (36) | 5 | (52) | 5 |
Commodity Option | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Non-qualifying foreign currency derivatives | $ 0 | $ 0 | $ 0 | $ 14 |
Derivatives - Credit Risk Assum
Derivatives - Credit Risk Assumed through Credit Derivatives (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2023 | Dec. 31, 2022 | |
Credit Derivatives [Line Items] | ||
Derivative, Notional Amount | $ 23,449 | $ 10,755 |
Fair Value | (35) | 47 |
Derivative, Collateral, Right to Reclaim Cash | 65 | 1 |
Securities Received as Collateral | 0 | 1 |
Collateral Pledged | ||
Credit Derivatives [Line Items] | ||
Derivative, Collateral, Right to Reclaim Cash | 16 | 16 |
Asset Pledged as Collateral [Member] | ||
Credit Derivatives [Line Items] | ||
Derivative, Collateral, Right to Reclaim Securities | 6 | 8 |
Credit derivatives | ||
Credit Derivatives [Line Items] | ||
Derivative, Notional Amount | 103 | 103 |
Fair Value | (3) | (3) |
Derivative, Nominal Value, Amount Offset Against Collateral, Net | 103 | 103 |
Offsetting Fair Value | 3 | 3 |
Credit derivatives | Basket credit default swaps | Standard & Poor's, AAA Rating [Member] | Investment grade risk exposure | ||
Credit Derivatives [Line Items] | ||
Derivative, Notional Amount | 100 | 100 |
Fair Value | $ (1) | $ (1) |
Weighted Average Years to Maturity | 5 years | 6 years |
Derivative, Nominal Value, Amount Offset Against Collateral, Net | $ 100 | $ 100 |
Offsetting Fair Value | 1 | 1 |
Credit derivatives | Basket credit default swaps | Standard & Poor's, B- Rating | Below investment grade risk exposure | ||
Credit Derivatives [Line Items] | ||
Derivative, Notional Amount | 3 | |
Fair Value | $ (2) | |
Average Term of Credit Risk Derivatives Less than 1 Year | Less than 1 year | |
Derivative, Nominal Value, Amount Offset Against Collateral, Net | $ 3 | |
Offsetting Fair Value | $ 2 | |
Credit derivatives | Basket credit default swaps | Standard & Poor's, CCC+ Rating | Below investment grade risk exposure | ||
Credit Derivatives [Line Items] | ||
Derivative, Notional Amount | 3 | |
Fair Value | $ (2) | |
Average Term of Credit Risk Derivatives Less than 1 Year | Less than 1 year | |
Derivative, Nominal Value, Amount Offset Against Collateral, Net | $ 3 | |
Offsetting Fair Value | $ 2 |
Premiums Receivable - Premiums
Premiums Receivable - Premiums Receivable and Agents' Balances (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Premiums Receivable, Gross | $ 5,697 | $ 5,058 | ||||
ACL | (119) | $ (111) | (109) | $ (107) | $ (106) | $ (105) |
Premiums receivable and agents' balances, net of ACL | 5,578 | 4,949 | ||||
Premiums receivable, excluding receivables for losses within a deductible and retrospectively-rated policy premiums ("loss sensitive business") | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Premiums Receivable, Gross | 5,328 | 4,698 | ||||
ACL | (94) | (86) | (85) | (84) | (84) | (83) |
Receivables for Loss Sensitive Business | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Premiums Receivable, Gross | 369 | 360 | ||||
ACL | (25) | $ (25) | (24) | $ (23) | $ (22) | $ (22) |
Receivables for Loss Sensitive Business | Standard & Poor's, AA Rating | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Premiums Receivable, Gross | 103 | 106 | ||||
Receivables for Loss Sensitive Business | Standard & Poor's, A Rating [Member] | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Premiums Receivable, Gross | 44 | 38 | ||||
Receivables for Loss Sensitive Business | Standard & Poor's, BBB Rating | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Premiums Receivable, Gross | 124 | 119 | ||||
Receivables for Loss Sensitive Business | Standard & Poor's, BB Rating | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Premiums Receivable, Gross | 58 | 56 | ||||
Receivables for Loss Sensitive Business | Standard & Poor's, Below BB Rating | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Premiums Receivable, Gross | $ 40 | $ 41 |
Premiums Receivable - Rollforwa
Premiums Receivable - Rollforward of Premiums Receivable and Agents' Balances (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Premium Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Premium Receivable, Allowance for Credit Loss | $ (111) | $ (106) | $ (109) | $ (105) |
Premium Receivable, Credit Loss Expense (Reversal) | 19 | 11 | 32 | 24 |
Premium Receivable, Allowance for Credit Loss, Writeoff | (13) | (13) | (27) | (28) |
Premium Receivable, Allowance for Credit Loss, Recovery | 2 | 3 | 5 | 6 |
Premium Receivable, Allowance for Credit Loss | (119) | (107) | (119) | (107) |
Premiums Receivable, Due in One Year or Less, Excluding Receivables for Loss within a Deductible and Retrospectively-Rated Policy Premiums [Member] | ||||
Premium Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Premium Receivable, Allowance for Credit Loss | (86) | (84) | (85) | (83) |
Premium Receivable, Credit Loss Expense (Reversal) | 19 | 10 | 31 | 23 |
Premium Receivable, Allowance for Credit Loss, Writeoff | (13) | (13) | (27) | (28) |
Premium Receivable, Allowance for Credit Loss, Recovery | 2 | 3 | 5 | 6 |
Premium Receivable, Allowance for Credit Loss | (94) | (84) | (94) | (84) |
Premiums Receivable, Loss Within a Deductible and Retrospectively-Rated Policy Premiums [Member] | ||||
Premium Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Premium Receivable, Allowance for Credit Loss | (25) | (22) | (24) | (22) |
Premium Receivable, Credit Loss Expense (Reversal) | 0 | 1 | 1 | 1 |
Premium Receivable, Allowance for Credit Loss, Writeoff | 0 | 0 | 0 | 0 |
Premium Receivable, Allowance for Credit Loss, Recovery | 0 | 0 | 0 | 0 |
Premium Receivable, Allowance for Credit Loss | $ (25) | $ (23) | $ (25) | $ (23) |
Reinsurance - Credit Quality In
Reinsurance - Credit Quality Information (Details) - USD ($) $ in Millions | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | Jan. 01, 2021 |
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | $ 7,022 | $ 7,069 | |||||
Reinsurance Recoverable, Allowance for Credit Loss | (110) | (105) | $ (105) | ||||
Net Reinsurance Recoverables | 6,912 | 6,964 | $ 6,524 | $ 6,013 | |||
Mandatory and Voluntary Risk Pools [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 207 | 218 | |||||
Captives [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 304 | 319 | |||||
Other not rated companies [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 211 | 284 | |||||
AMBestRated [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 6,300 | 6,248 | |||||
AM Best, A++ Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 2,173 | 2,094 | |||||
AM Best, A+ Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 2,534 | 2,667 | |||||
AM Best, A Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 893 | 764 | |||||
AM Best, A- Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 76 | 85 | |||||
AM Best, B++ Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 604 | 618 | |||||
AM Best, Below B plus plus Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 20 | 20 | |||||
Corporate | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 250 | 261 | |||||
Reinsurance Recoverable, Allowance for Credit Loss | (2) | (2) | (2) | ||||
Net Reinsurance Recoverables | 248 | 259 | |||||
Corporate | Mandatory and Voluntary Risk Pools [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 0 | 0 | |||||
Corporate | Captives [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 0 | 0 | |||||
Corporate | Other not rated companies [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 0 | 0 | |||||
Corporate | AMBestRated [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 250 | 261 | |||||
Corporate | AM Best, A++ Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 0 | 0 | |||||
Corporate | AM Best, A+ Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 247 | 259 | |||||
Corporate | AM Best, A Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 0 | 0 | |||||
Corporate | AM Best, A- Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 0 | 0 | |||||
Corporate | AM Best, B++ Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 3 | 2 | |||||
Corporate | AM Best, Below B plus plus Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 0 | 0 | |||||
Property, Liability and Casualty Insurance Product Line | Operating Segments [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 6,522 | 6,557 | |||||
Reinsurance Recoverable, Allowance for Credit Loss | (107) | $ (102) | (102) | (102) | $ (96) | (96) | |
Net Reinsurance Recoverables | 6,415 | 6,455 | |||||
Property, Liability and Casualty Insurance Product Line | Operating Segments [Member] | Mandatory and Voluntary Risk Pools [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 207 | 218 | |||||
Property, Liability and Casualty Insurance Product Line | Operating Segments [Member] | Captives [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 304 | 319 | |||||
Property, Liability and Casualty Insurance Product Line | Operating Segments [Member] | Other not rated companies [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 205 | 279 | |||||
Property, Liability and Casualty Insurance Product Line | Operating Segments [Member] | Reinsurance Contract [Axis]: Before Disputed Amounts [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverable, Allowance for Credit Loss | (45) | (44) | (42) | (41) | (40) | (42) | |
Property, Liability and Casualty Insurance Product Line | Operating Segments [Member] | Reinsurance Contract [Axis]: Disputes [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverable, Allowance for Credit Loss | (62) | $ (58) | (60) | (61) | $ (56) | $ (54) | |
Property, Liability and Casualty Insurance Product Line | Operating Segments [Member] | AMBestRated [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 5,806 | 5,741 | |||||
Property, Liability and Casualty Insurance Product Line | Operating Segments [Member] | AM Best, A++ Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 2,173 | 2,094 | |||||
Property, Liability and Casualty Insurance Product Line | Operating Segments [Member] | AM Best, A+ Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 2,049 | 2,169 | |||||
Property, Liability and Casualty Insurance Product Line | Operating Segments [Member] | AM Best, A Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 893 | 763 | |||||
Property, Liability and Casualty Insurance Product Line | Operating Segments [Member] | AM Best, A- Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 70 | 79 | |||||
Property, Liability and Casualty Insurance Product Line | Operating Segments [Member] | AM Best, B++ Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 601 | 616 | |||||
Property, Liability and Casualty Insurance Product Line | Operating Segments [Member] | AM Best, Below B plus plus Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 20 | 20 | |||||
Group Benefits | Operating Segments [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 250 | 251 | |||||
Reinsurance Recoverable, Allowance for Credit Loss | (1) | (1) | $ (1) | ||||
Net Reinsurance Recoverables | 249 | 250 | |||||
Group Benefits | Operating Segments [Member] | Mandatory and Voluntary Risk Pools [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 0 | 0 | |||||
Group Benefits | Operating Segments [Member] | Captives [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 0 | 0 | |||||
Group Benefits | Operating Segments [Member] | Other not rated companies [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 6 | 5 | |||||
Group Benefits | Operating Segments [Member] | AMBestRated [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 244 | 246 | |||||
Group Benefits | Operating Segments [Member] | AM Best, A++ Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 0 | 0 | |||||
Group Benefits | Operating Segments [Member] | AM Best, A+ Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 238 | 239 | |||||
Group Benefits | Operating Segments [Member] | AM Best, A Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 0 | 1 | |||||
Group Benefits | Operating Segments [Member] | AM Best, A- Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 6 | 6 | |||||
Group Benefits | Operating Segments [Member] | AM Best, B++ Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | 0 | 0 | |||||
Group Benefits | Operating Segments [Member] | AM Best, Below B plus plus Rating [Member] | |||||||
Reinsurance Recoverable, Credit Quality Indicator [Line Items] | |||||||
Reinsurance Recoverables, Gross | $ 0 | $ 0 |
Reinsurance - Reinsurance Recov
Reinsurance - Reinsurance Recoverable, Allowance for Credit Loss (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Reinsurance Recoverable, Allowance for Credit Loss [Roll Forward] | ||||
Reinsurance Recoverable, Allowance for Credit Loss, Beginning Balance | $ 105 | |||
Reinsurance Recoverable, Allowance for Credit Loss, Ending Balance | $ 110 | $ 105 | 110 | $ 105 |
Operating Segments [Member] | Property, Liability and Casualty Insurance Product Line | ||||
Reinsurance Recoverable, Allowance for Credit Loss [Roll Forward] | ||||
Reinsurance Recoverable, Allowance for Credit Loss, Beginning Balance | 102 | 96 | 102 | 96 |
Reinsurance Recoverable, Credit Loss Expense (Reversal) | 1 | 1 | 3 | (1) |
Reinsurance Recoverable, Allowance for Credit Loss, Ending Balance | 107 | 102 | 107 | 102 |
Operating Segments [Member] | Group Benefits | ||||
Reinsurance Recoverable, Allowance for Credit Loss [Roll Forward] | ||||
Reinsurance Recoverable, Allowance for Credit Loss, Beginning Balance | 1 | |||
Reinsurance Recoverable, Allowance for Credit Loss, Ending Balance | 1 | 1 | 1 | 1 |
Corporate, Non-Segment [Member] | ||||
Reinsurance Recoverable, Allowance for Credit Loss [Roll Forward] | ||||
Reinsurance Recoverable, Allowance for Credit Loss, Beginning Balance | 2 | |||
Reinsurance Recoverable, Allowance for Credit Loss, Ending Balance | 2 | 2 | 2 | 2 |
Reinsurance Contract [Axis]: Before Disputed Amounts [Member] | Operating Segments [Member] | Property, Liability and Casualty Insurance Product Line | ||||
Reinsurance Recoverable, Allowance for Credit Loss [Roll Forward] | ||||
Reinsurance Recoverable, Allowance for Credit Loss, Beginning Balance | 44 | 40 | 42 | 42 |
Reinsurance Recoverable, Allowance for Credit Loss, Ending Balance | 45 | 41 | 45 | 41 |
Reinsurance Contract [Axis]: Disputes [Member] | Operating Segments [Member] | Property, Liability and Casualty Insurance Product Line | ||||
Reinsurance Recoverable, Allowance for Credit Loss [Roll Forward] | ||||
Reinsurance Recoverable, Allowance for Credit Loss, Beginning Balance | 58 | 56 | 60 | 54 |
Reinsurance Recoverable, Allowance for Credit Loss, Ending Balance | $ 62 | $ 61 | $ 62 | $ 61 |
Reserve for Unpaid Losses and_3
Reserve for Unpaid Losses and Loss Adjustment Expenses - P&C Liabilities for Unpaid Losses and Loss Adjustment Expense (Details) - USD ($) $ in Millions | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | |
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward] | ||||
Beginning liabilities for unpaid losses and loss adjustment expenses, gross | $ 41,243 | |||
Less: payments | ||||
Ending liabilities for unpaid losses and loss adjustment expenses, gross | 41,219 | |||
Property, Liability and Casualty Insurance Product Line | ||||
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward] | ||||
Beginning liabilities for unpaid losses and loss adjustment expenses, gross | 33,083 | $ 31,449 | ||
Reinsurance and other recoverables | 6,448 | 6,212 | $ 6,465 | $ 6,081 |
Beginning liabilities for unpaid losses and loss adjustment expenses, net | 26,581 | 25,723 | $ 26,618 | $ 25,368 |
Provision for unpaid losses and loss adjustment expense | ||||
Current accident year | 4,712 | 3,998 | ||
Prior accident year development | (39) | (94) | ||
Total provision for unpaid losses and loss adjustment expenses | 4,673 | 3,904 | ||
Less: payments | ||||
Liability for Unpaid Claims and Claims Adjustment Expense, Claims Paid, Current Year | (997) | (840) | ||
Liability for Unpaid Claims and Claims Adjustment Expense, Claims Paid, Prior Years | (3,731) | (2,680) | ||
Total payments | (4,728) | (3,520) | ||
Foreign currency adjustment | 18 | (29) | ||
Ending liabilities for unpaid losses and loss adjustment expenses, net | 26,581 | 25,723 | ||
Ending liabilities for unpaid losses and loss adjustment expenses, gross | $ 33,029 | $ 31,935 |
Reserve for Unpaid Losses and_4
Reserve for Unpaid Losses and Loss Adjustment Expenses - P&C Prior Accident Years Reserve Development (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Segment Reconciling Items | Asbestos and Environmental | ||
Prior accident year development | $ 0 | $ 0 |
Segment Reconciling Items | Catastrophe | ||
Prior accident year development | (44) | (30) |
Accident and Health Insurance Product Line [Member] | Segment Reconciling Items | ||
Prior accident year development | (113) | (85) |
Accident and Health Insurance Product Line [Member] | Segment Reconciling Items | COVID-19 related Claims | ||
Prior accident year development | 20 | |
Change in Workers Compensation Discount Including Accretion [Member] | Segment Reconciling Items | ||
Prior accident year development | 22 | 18 |
General Liability [Member] | Segment Reconciling Items | ||
Prior accident year development | 28 | 33 |
Marine | Segment Reconciling Items | ||
Prior accident year development | (1) | (3) |
Package Business [Member] | Segment Reconciling Items | ||
Prior accident year development | (8) | (24) |
Property Insurance [Member] | Commercial Lines | Segment Reconciling Items | ||
Prior accident year development | 0 | (21) |
Property Insurance [Member] | Personal Lines | Segment Reconciling Items | ||
Prior accident year development | 1 | 0 |
Professional Liability Insurance [Member] | Segment Reconciling Items | ||
Prior accident year development | (3) | (9) |
Surety Product Line [Member] | Segment Reconciling Items | ||
Prior accident year development | 12 | (4) |
Assumed reinsurance | Segment Reconciling Items | ||
Prior accident year development | 17 | 12 |
Automobiles [Member] | Commercial Lines | Segment Reconciling Items | ||
Prior accident year development | 6 | 12 |
Automobiles [Member] | Personal Lines | Segment Reconciling Items | ||
Prior accident year development | 0 | (5) |
Uncollectible reinsurance | Segment Reconciling Items | ||
Prior accident year development | 12 | 6 |
Insurance, Other [Member] | Segment Reconciling Items | ||
Prior accident year development | 32 | 6 |
Property, Liability and Casualty Insurance Product Line | ||
Prior accident year development | $ (39) | $ (94) |
Reserve for Unpaid Losses and_5
Reserve for Unpaid Losses and Loss Adjustment Expenses - PC Additional Information (Details) - USD ($) $ in Millions | 6 Months Ended | ||
Apr. 20, 2023 | Jun. 30, 2023 | Dec. 31, 2022 | |
Liability for Claims and Claims Adjustment Expense [Line Items] | |||
Liability for Claims and Claims Adjustment Expense | $ 41,219 | $ 41,243 | |
Reinsurance Recoverables, Gross | 7,022 | $ 7,069 | |
Abuse Claims | General Liability [Member] | |||
Liability for Claims and Claims Adjustment Expense [Line Items] | |||
Liability for Claims and Claims Adjustment Expense | 787 | ||
Prior accident years | $ 787 | ||
Reinsurance Contract [Axis]: Asbestos and Environmental | Asbestos and Environmental | |||
Liability for Claims and Claims Adjustment Expense [Line Items] | |||
Change in Deferred Gain on Retroactive Reinsurance | 594 | ||
Maximum | Reinsurance Contract [Axis]: Asbestos and Environmental | Asbestos and Environmental | |||
Liability for Claims and Claims Adjustment Expense [Line Items] | |||
Reinsurance, Excess Retention, Amount Reinsured, Per Policy | $ 1,500 |
Reserve for Unpaid Losses and_6
Reserve for Unpaid Losses and Loss Adjustment Expenses - GB Liabilities for Unpaid Losses and Loss Adjustment Expenses (Details) - USD ($) $ in Millions | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | |
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward] | ||||
Beginning liabilities for unpaid losses and loss adjustment expenses, gross | $ 41,243 | |||
Less: payments | ||||
Ending liabilities for unpaid losses and loss adjustment expenses, gross | 41,219 | |||
Group Insurance Policy [Member] | ||||
Liability for Unpaid Claims and Claims Adjustment Expense [Roll Forward] | ||||
Beginning liabilities for unpaid losses and loss adjustment expenses, gross | 8,160 | $ 8,210 | ||
Reinsurance recoverables | 243 | 254 | $ 245 | $ 245 |
Beginning liabilities for unpaid losses and loss adjustment expenses, net | 7,915 | 7,965 | ||
Provision for unpaid losses and loss adjustment expense | ||||
Current incurral year | 2,622 | 2,497 | ||
Prior year's discount accretion | 103 | 107 | ||
Prior incurral year development [1] | (265) | (242) | ||
Total provision for unpaid losses and loss adjustment expenses | 2,460 | 2,362 | ||
Less: payments | ||||
Current incurral year | (1,012) | (984) | ||
Prior incurral years | (1,416) | (1,500) | ||
Total payments | (2,428) | (2,484) | ||
Beginning liabilities for unpaid losses and loss adjustment expenses, net | 7,947 | 7,843 | $ 7,915 | $ 7,965 |
Ending liabilities for unpaid losses and loss adjustment expenses, gross | 8,190 | 8,097 | ||
Group Insurance Policy [Member] | Disability Insurance Policy [Member] | ||||
Provision for unpaid losses and loss adjustment expense | ||||
Prior incurral year development [1] | 236 | 195 | ||
Group Insurance Policy [Member] | group life term, disability and accident [Member] | ||||
Provision for unpaid losses and loss adjustment expense | ||||
Prior incurral year development [1] | 19 | 40 | ||
Group Insurance Policy [Member] | Supplemental Health | ||||
Provision for unpaid losses and loss adjustment expense | ||||
Prior incurral year development [1] | 10 | 10 | ||
Group Insurance Policy [Member] | Other Operating Income (Expense) [Member] | ||||
Provision for unpaid losses and loss adjustment expense | ||||
Total provision for unpaid losses and loss adjustment expenses | $ 91 | $ 92 |
Reserve for Unpaid Losses and_7
Reserve for Unpaid Losses and Loss Adjustment Expenses - GB Additional information (Details) - Group Benefits - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Prior incurral year development [1] | $ (265) | $ (242) |
Disability Insurance Policy [Member] | ||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Prior incurral year development [1] | 236 | 195 |
group life term, disability and accident [Member] | ||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Prior incurral year development [1] | 19 | 40 |
Supplemental Health | ||
Liability for Claims and Claims Adjustment Expense [Line Items] | ||
Prior incurral year development [1] | $ 10 | $ 10 |
Reserve for Future Policy Ben_3
Reserve for Future Policy Benefits (Details) - USD ($) $ in Millions | 6 Months Ended | |||||
Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | Jan. 01, 2021 | Dec. 31, 2020 | |
Liabilities for Guarantees on Long-Duration Contracts [Line Items] | ||||||
Liability for Future Policy Benefit, before Reinsurance | $ 489 | $ 550 | $ 502 | $ 646 | $ 723 | $ 638 |
Life Conversions | ||||||
Liabilities for Guarantees on Long-Duration Contracts [Line Items] | ||||||
Liability for Future Policy Benefit, Expected Future Gross Premium, Discounted, before Reinsurance | 44 | 49 | 47 | 58 | ||
Liability for Future Policy Benefit, Expected Future Policy Benefit, before Reinsurance, after Discount Rate Change | 109 | 122 | 112 | 152 | ||
AOCI, Liability for Future Policy Benefit, Expected Future Policy Benefit, before Tax | (15) | (7) | (14) | 19 | ||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Original Discount Rate, before Cash Flow and Reinsurance | 124 | 129 | 126 | 133 | ||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Cumulative Increase (Decrease) of Actual Variance from Expected Experience | 3 | 3 | ||||
Liability for Future Policy Benefit, Expected Future Benefit, Original Discount Rate, before Reinsurance, after Cash Flow Change | 129 | 136 | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Interest Expense | 9 | 8 | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Benefit Payment | (14) | (15) | ||||
Liability for Future Policy Benefit, before Reinsurance | $ 65 | $ 73 | 94 | |||
Liability for Future Policy Benefit, Weighted-Average Duration | 12 years 2 months 12 days | 13 years | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Undiscounted, before Reinsurance | $ 208 | $ 218 | ||||
Liability for Future Policy Benefit, Expected Future Gross Premium, Undiscounted, before Reinsurance | $ 117 | $ 126 | ||||
Liability for Future Policy Benefit, Weighted-Average Interest Accretion Rate | 4.20% | 4.10% | ||||
Liability for Future Policy Benefit, Current Weighted-Average Discount Rate | 5.20% | 4.70% | ||||
Paid Up Life | ||||||
Liabilities for Guarantees on Long-Duration Contracts [Line Items] | ||||||
Liability for Future Policy Benefit, Expected Future Policy Benefit, before Reinsurance, after Discount Rate Change | $ 186 | $ 212 | 192 | 262 | ||
AOCI, Liability for Future Policy Benefit, Expected Future Policy Benefit, before Tax | (38) | (27) | (39) | 14 | ||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Original Discount Rate, before Cash Flow and Reinsurance | 224 | 239 | 231 | 248 | ||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Cumulative Increase (Decrease) of Actual Variance from Expected Experience | (1) | 0 | ||||
Liability for Future Policy Benefit, Expected Future Benefit, Original Discount Rate, before Reinsurance, after Cash Flow Change | 230 | 248 | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Interest Expense | 3 | 4 | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Benefit Payment | (9) | (13) | ||||
Liability for Future Policy Benefit, before Reinsurance | $ 186 | $ 212 | 267 | |||
Liability for Future Policy Benefit, Weighted-Average Duration | 6 years 3 months 18 days | 6 years 10 months 24 days | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Undiscounted, before Reinsurance | $ 290 | $ 312 | ||||
Liability for Future Policy Benefit, Expected Future Gross Premium, Undiscounted, before Reinsurance | $ 0 | $ 0 | ||||
Liability for Future Policy Benefit, Weighted-Average Interest Accretion Rate | 2.90% | 2.90% | ||||
Liability for Future Policy Benefit, Current Weighted-Average Discount Rate | 5.30% | 4.30% | ||||
Deferred Profit Liability | ||||||
Liabilities for Guarantees on Long-Duration Contracts [Line Items] | ||||||
Liability for Future Policy Benefit, before Reinsurance | $ 19 | $ 20 | 0 | |||
Fixed Annuity | ||||||
Liabilities for Guarantees on Long-Duration Contracts [Line Items] | ||||||
Liability for Future Policy Benefit, Expected Future Policy Benefit, before Reinsurance, after Discount Rate Change | 139 | 152 | 140 | 188 | ||
AOCI, Liability for Future Policy Benefit, Expected Future Policy Benefit, before Tax | 4 | 13 | 4 | 47 | ||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Original Discount Rate, before Cash Flow and Reinsurance | 135 | 139 | 136 | 141 | ||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Cumulative Increase (Decrease) of Actual Variance from Expected Experience | 1 | 0 | ||||
Liability for Future Policy Benefit, Expected Future Benefit, Original Discount Rate, before Reinsurance, after Cash Flow Change | $ 137 | $ 141 | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Interest Expense | 4 | 4 | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Benefit Payment | (6) | (6) | ||||
Liability for Future Policy Benefit, before Reinsurance | $ 139 | $ 152 | 189 | |||
Liability for Future Policy Benefit, Weighted-Average Duration | 9 years 1 month 6 days | 9 years 2 months 12 days | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit, Undiscounted, before Reinsurance | $ 267 | $ 277 | ||||
Liability for Future Policy Benefit, Expected Future Gross Premium, Undiscounted, before Reinsurance | $ 0 | $ 0 | ||||
Liability for Future Policy Benefit, Weighted-Average Interest Accretion Rate | 5.60% | 5.60% | ||||
Liability for Future Policy Benefit, Current Weighted-Average Discount Rate | 5.20% | 4.60% | ||||
Long-Duration Insurance, Other | ||||||
Liabilities for Guarantees on Long-Duration Contracts [Line Items] | ||||||
Liability for Future Policy Benefit, before Reinsurance | $ 80 | $ 93 | $ 88 |
Other Policyholder Funds and _3
Other Policyholder Funds and Benefits Payable (Details) - USD ($) $ in Millions | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | |
Liabilities for Guarantees on Long-Duration Contracts [Line Items] | ||||
Other policyholder funds and benefits payable | $ 647 | $ 664 | $ 658 | |
Universal Life | ||||
Liabilities for Guarantees on Long-Duration Contracts [Line Items] | ||||
Other policyholder funds and benefits payable | 228 | 242 | $ 232 | $ 253 |
Policyholder Account Balance, Premium Received | 6 | 7 | ||
Policyholder Account Balance, Policy Charge | 10 | 12 | ||
Policyholder Account Balance, Surrender and Withdrawal | 2 | 2 | ||
Policyholder Account Balance, Benefit Payment | 3 | 10 | ||
Policyholder Account Balance, Interest Expense | $ 5 | $ 6 | ||
Policyholder Account Balance, Weighted Average Crediting Rate | 4.20% | 4.20% | ||
Policyholder Account Balance, Net Amount at Risk | $ 950 | $ 1,032 | ||
Policyholder Account Balance, Cash Surrender Value | $ 226 | 239 | ||
Universal Life | Policyholder Account Balance, Guaranteed Minimum Crediting Rate, Range from 0400 to 0499 | Minimum | ||||
Liabilities for Guarantees on Long-Duration Contracts [Line Items] | ||||
Policyholder Account Balance, Guaranteed Minimum Credit Rating | 4% | |||
Universal Life | Policyholder Account Balance, Guaranteed Minimum Crediting Rate, Range from 0400 to 0499 | Maximum | ||||
Liabilities for Guarantees on Long-Duration Contracts [Line Items] | ||||
Policyholder Account Balance, Guaranteed Minimum Credit Rating | 5% | |||
Universal Life | Policyholder Account Balance, Guaranteed Minimum Crediting Rate, Range from 0400 to 0499 | Policyholder Account Balance, at Guaranteed Minimum Crediting Rate | ||||
Liabilities for Guarantees on Long-Duration Contracts [Line Items] | ||||
Other policyholder funds and benefits payable | $ 227 | 240 | ||
Short-Duration Insurance, Other | ||||
Liabilities for Guarantees on Long-Duration Contracts [Line Items] | ||||
Other policyholder funds and benefits payable | $ 419 | $ 422 |
Income Taxes - Effective Income
Income Taxes - Effective Income Tax Rate Reconciliation (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Income Tax Disclosure [Abstract] | ||||
Tax provision at U.S. federal statutory rate | $ 141 | $ 116 | $ 278 | $ 230 |
Nontaxable investment income | (9) | (5) | (20) | (14) |
Other | 7 | 1 | 15 | 8 |
Income tax expense | $ 125 | $ 110 | $ 243 | $ 208 |
Income Taxes - Uncertain Tax Po
Income Taxes - Uncertain Tax Positions (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ||||
Balance, beginning of period | $ 23 | $ 17 | $ 22 | $ 16 |
Gross increases - tax positions in current period | 1 | 1 | 2 | 2 |
Balance, end of period | $ 23 | $ 18 | $ 23 | $ 18 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Operating Loss Carryforwards [Line Items] | ||||
Unrecognized Tax Benefits, Reduction Resulting from Lapse of Applicable Statute of Limitations | $ 1 | $ 0 | $ 1 | $ 0 |
Foreign Tax Authority [Member] | ||||
Operating Loss Carryforwards [Line Items] | ||||
Deferred Tax Assets, Operating Loss Carryforwards | 40 | 40 | ||
Deferred Tax Assets, Valuation Allowance | $ 21 | $ 21 |
Debt (Details)
Debt (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jul. 01, 2023 | Jun. 30, 2023 | |
Debt Instrument [Line Items] | ||
Derivative, Fixed Interest Rate | 4.39% | |
LIBOR Plus Two Point One Two Five Percent Junior Subordinated Notes Due Two Thousand Sixty Seven | ||
Debt Instrument [Line Items] | ||
Junior Subordinated Debentures | $ 500 | |
LIBOR Plus Two Point One Two Five Percent Junior Subordinated Notes Due Two Thousand Sixty Seven | Credit Spread Adjustment | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Basis Spread on Variable Rate | 2.125% | |
SOFR Plus Two Point One Two Five Percent Plus Zero Point Two Six One Six One Percent Junior Subordinated Notes Due Two Thousand Sixty Seven | Subsequent Event [Member] | ||
Debt Instrument [Line Items] | ||
Junior Subordinated Debentures | $ 500 | |
SOFR Plus Two Point One Two Five Percent Plus Zero Point Two Six One Six One Percent Junior Subordinated Notes Due Two Thousand Sixty Seven | Subsequent Event [Member] | Tenor Spread Adjustment | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Basis Spread on Variable Rate | 0.26161% | |
SOFR Plus Two Point One Two Five Percent Plus Zero Point Two Six One Six One Percent Junior Subordinated Notes Due Two Thousand Sixty Seven | Subsequent Event [Member] | Credit Spread Adjustment | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Basis Spread on Variable Rate | 2.125% |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) - Asbestos and Environmental - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended | 78 Months Ended |
Jun. 30, 2023 | Dec. 31, 2016 | Jun. 30, 2023 | |
Loss Contingencies [Line Items] | |||
Liability for unpaid losses and loss adjustment expenses, at undiscounted amounts | $ 327 | $ 327 | |
Reinsurance Contract [Axis]: Asbestos and Environmental | |||
Loss Contingencies [Line Items] | |||
Change in Deferred Gain on Retroactive Reinsurance | 594 | 594 | |
Reinsurance, Amount Retained, Per Policy | $ 1,700 | ||
Reinsurance Retention Policy, Excess Retention, Amount Reinsured | $ 1,244 | ||
Reinsurance Contract [Axis]: Asbestos and Environmental | Remaining [Member] | |||
Loss Contingencies [Line Items] | |||
Reinsurance, Excess Retention, Amount Reinsured, Per Policy | $ 256 |
Commitments and Contingencies_2
Commitments and Contingencies - Derivative Instruments (Details) $ in Millions | Jun. 30, 2023 USD ($) |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative, Net Liability Position, Aggregate Fair Value | $ 78 |
Collateral Already Posted, Aggregate Fair Value | 69 |
Additional Collateral, Aggregate Fair Value | $ 0 |
Equity Equity Repurchase Progra
Equity Equity Repurchase Program (Details) - USD ($) shares in Millions, $ in Millions | 1 Months Ended | 6 Months Ended | |
Jul. 26, 2023 | Jun. 30, 2023 | Jun. 30, 2022 | |
Equity, Class of Treasury Stock [Line Items] | |||
Value of shares acquired | $ 700 | $ 850 | |
Number of shares acquired | 9.7 | 12 | |
Remaining authorized repurchase amount | $ 2,000 | ||
Stock repurchase authorization amount | $ 3,000 | ||
Subsequent Event [Member] | |||
Equity, Class of Treasury Stock [Line Items] | |||
Value of shares acquired | $ 101 | ||
Number of shares acquired | 1.4 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income Loss - AOCI Rollforward (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | $ 13,676 | $ 17,805 | ||
Other comprehensive income (loss), net of tax | $ (270) | $ (1,539) | 317 | (3,377) |
Ending balance | 14,152 | 14,245 | 14,152 | 14,245 |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent [Member] | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | (2,008) | (261) | (2,594) | 1,631 |
OCI before reclassifications | (362) | (2,087) | 353 | (4,568) |
Amounts reclassified from AOCI | 21 | 65 | 48 | 152 |
OCI, before tax | (341) | (2,022) | 401 | (4,416) |
Other Comprehensive Income (Loss), Tax, Portion Attributable to Parent | 72 | 425 | (84) | 927 |
Other comprehensive income (loss), net of tax | (269) | (1,597) | 317 | (3,489) |
Ending balance | (2,277) | (1,858) | (2,277) | (1,858) |
AOCI, Gain (Loss), Debt Securities, Available-for-sale, with Allowance for Credit Loss, Parent | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | (13) | (2) | (7) | (2) |
OCI before reclassifications | 2 | 0 | (6) | 0 |
Amounts reclassified from AOCI | 2 | 0 | 2 | 0 |
OCI, before tax | 4 | 0 | (4) | 0 |
Other Comprehensive Income (Loss), Tax, Portion Attributable to Parent | (1) | 0 | 1 | 0 |
Other comprehensive income (loss), net of tax | 3 | 0 | (3) | 0 |
Ending balance | (10) | (2) | (10) | (2) |
Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | 48 | 5 | 40 | 6 |
OCI before reclassifications | (21) | 38 | (14) | 45 |
Amounts reclassified from AOCI | 0 | (6) | 3 | (14) |
OCI, before tax | (21) | 32 | (11) | 31 |
Other Comprehensive Income (Loss), Tax, Portion Attributable to Parent | 4 | (7) | 2 | (7) |
Other comprehensive income (loss), net of tax | (17) | 25 | (9) | 24 |
Ending balance | 31 | 30 | 31 | 30 |
Accumulated Foreign Currency Adjustment Attributable to Parent [Member] | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | 33 | 41 | 31 | 41 |
OCI before reclassifications | 4 | (10) | 6 | (10) |
Amounts reclassified from AOCI | 0 | 0 | 0 | 0 |
OCI, before tax | 4 | (10) | 6 | (10) |
Other Comprehensive Income (Loss), Tax, Portion Attributable to Parent | (1) | 2 | (1) | 2 |
Other comprehensive income (loss), net of tax | 3 | (8) | 5 | (8) |
Ending balance | 36 | 33 | 36 | 33 |
Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | (1,341) | (1,477) | (1,346) | (1,489) |
OCI before reclassifications | (1) | (1) | 0 | (1) |
Amounts reclassified from AOCI | 7 | 16 | 13 | 31 |
OCI, before tax | 6 | 15 | 13 | 30 |
Other Comprehensive Income (Loss), Tax, Portion Attributable to Parent | (1) | (3) | (3) | (6) |
Other comprehensive income (loss), net of tax | 5 | 12 | 10 | 24 |
Ending balance | (1,336) | (1,465) | (1,336) | (1,465) |
AOCI Attributable to Parent [Member] | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | (3,254) | (1,710) | (3,841) | 128 |
OCI before reclassifications | (372) | (2,023) | 335 | (4,443) |
Amounts reclassified from AOCI | 30 | 75 | 66 | 169 |
OCI, before tax | (342) | (1,948) | 401 | (4,274) |
Other Comprehensive Income (Loss), Tax, Portion Attributable to Parent | 72 | 409 | (84) | 897 |
Other comprehensive income (loss), net of tax | (270) | (1,539) | 317 | (3,377) |
Ending balance | (3,524) | (3,249) | (3,524) | (3,249) |
AOCI, Liability for Future Policy Benefit, Parent | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Beginning balance | 27 | (16) | 35 | (59) |
OCI before reclassifications | 6 | 37 | (4) | 91 |
Amounts reclassified from AOCI | 0 | 0 | 0 | 0 |
OCI, before tax | 6 | 37 | (4) | 91 |
Other Comprehensive Income (Loss), Tax, Portion Attributable to Parent | (1) | (8) | 1 | (19) |
Other comprehensive income (loss), net of tax | 5 | 29 | (3) | 72 |
Ending balance | $ 32 | $ 13 | $ 32 | $ 13 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income Loss - Reclassifications from AOCI (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | $ 672 | $ 554 | $ 1,325 | $ 1,095 |
Net Investment Income | 540 | 541 | 1,055 | 1,050 |
Interest Expense | 50 | 51 | 100 | 113 |
Income tax expense | 125 | 110 | 243 | 208 |
Net income | 547 | 444 | 1,082 | 887 |
Net realized losses | (64) | (338) | (71) | (483) |
Reclassification out of Accumulated Other Comprehensive Income | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Net income | (24) | (59) | (51) | (133) |
Reclassification out of Accumulated Other Comprehensive Income | Net Unrealized Gain on Securities | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | (21) | (65) | (48) | (152) |
Income tax expense | (4) | (14) | (10) | (32) |
Net income | (17) | (51) | (38) | (120) |
Net realized losses | (21) | (65) | (48) | (152) |
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | 0 | 6 | (3) | 14 |
Income tax expense | 0 | 1 | (1) | 3 |
Net income | 0 | 5 | (2) | 11 |
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | Interest rate swaps [1] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Net Investment Income | (7) | 5 | (15) | 14 |
Interest Expense | 4 | (1) | 7 | (4) |
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent | Currency Swap [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Net Investment Income | 3 | 2 | 5 | 4 |
Reclassification out of Accumulated Other Comprehensive Income | Amortization of prior service credit | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Insurance operating costs and other expenses | 1 | 1 | 3 | 3 |
Reclassification out of Accumulated Other Comprehensive Income | Amortization of actuarial loss | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Insurance operating costs and other expenses | (8) | (17) | (16) | (34) |
Reclassification out of Accumulated Other Comprehensive Income | Pension and Other Postretirement Plan Adjustments | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | (7) | (16) | (13) | (31) |
Income tax expense | (1) | (3) | (3) | (7) |
Net income | (6) | $ (13) | (10) | $ (24) |
Reclassification out of Accumulated Other Comprehensive Income | AOCI, Gain (Loss), Debt Securities, Available-for-sale, with Allowance for Credit Loss, Parent | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total | (2) | (2) | ||
Income tax expense | (1) | (1) | ||
Net income | (1) | (1) | ||
Net realized losses | $ (2) | $ (2) |
Employee Benefit Plans - Compon
Employee Benefit Plans - Components of Net Periodic Benefit Cost (Benefit) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 1 | $ 1 | $ 2 | $ 2 |
Interest cost | (45) | (28) | (90) | (56) |
Expected return on plan assets | (59) | (50) | (118) | (101) |
Amortization of prior service credit | 0 | 0 | 0 | 0 |
Amortization of actuarial loss | (7) | (16) | (14) | (31) |
Net periodic cost (benefit) | (6) | (5) | (12) | (12) |
Other Postretirement Benefits Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 0 | 0 | 0 | 0 |
Interest cost | (2) | (1) | (4) | (2) |
Expected return on plan assets | (1) | (1) | (1) | (1) |
Amortization of prior service credit | (1) | (1) | (3) | (3) |
Amortization of actuarial loss | (1) | (1) | (2) | (3) |
Net periodic cost (benefit) | $ 1 | $ 0 | $ 2 | $ 1 |
Restructuring and Other Costs,
Restructuring and Other Costs, Before Tax (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 36 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | |
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring and other costs | $ 3 | $ 2 | $ 3 | $ 7 | |
Hartford Next Program | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Payments for Restructuring | (7) | (16) | |||
Hartford Next Program | Other liabilities | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring Reserve, Beginning Balance | 7 | 18 | |||
Restructuring Reserve, Ending Balance | 3 | 9 | 3 | 9 | $ 3 |
Employee Severance | Hartford Next Program | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Payments for Restructuring | (1) | (2) | |||
Employee Severance | Hartford Next Program | Other liabilities | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring Reserve, Beginning Balance | 7 | 18 | |||
Restructuring Reserve, Ending Balance | 3 | 9 | 3 | 9 | 3 |
Information Technology | Hartford Next Program | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Payments for Restructuring | (2) | (5) | |||
Information Technology | Hartford Next Program | Other liabilities | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring Reserve, Beginning Balance | 0 | 0 | |||
Restructuring Reserve, Ending Balance | 0 | 0 | 0 | 0 | 0 |
Professional fees and other expenses | Hartford Next Program | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Payments for Restructuring | (4) | (9) | |||
Professional fees and other expenses | Hartford Next Program | Other liabilities | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring Reserve, Beginning Balance | 0 | 0 | |||
Restructuring Reserve, Ending Balance | 0 | 0 | 0 | 0 | 0 |
Other Operating Income (Expense) [Member] | Hartford Next Program | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring and other costs | 3 | 2 | 3 | 7 | 121 |
Restructuring and Related Cost, Expected Cost | 127 | 127 | 127 | ||
Other Operating Income (Expense) [Member] | Employee Severance | Hartford Next Program | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring and other costs | 0 | (5) | (3) | (7) | 38 |
Restructuring and Related Cost, Expected Cost | 38 | 38 | 38 | ||
Other Operating Income (Expense) [Member] | Information Technology | Hartford Next Program | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring and other costs | 1 | 3 | 2 | 5 | 21 |
Restructuring and Related Cost, Expected Cost | 24 | 24 | 24 | ||
Other Operating Income (Expense) [Member] | Professional fees and other expenses | Hartford Next Program | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring and other costs | 2 | $ 4 | 4 | $ 9 | 62 |
Restructuring and Related Cost, Expected Cost | $ 65 | $ 65 | $ 65 |