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Segment Information (Tables)

12 Months Ended

Dec. 31, 2023

Segment Reporting [Abstract]

Schedule of Segment Reporting Information, by Segment

The following table presents information for the Company’s operating segments. Intersegment revenues include transactions between and among the segments, the corporate division and other.

Segment Information

						Years Ended December 31,
						2023												2022												2021
						Insurance						Asset Management						Insurance						Asset Management						Insurance						Asset Management
						(in millions)
Third-party revenues						$	845					$	49					$	748					$	78					$	724					$	73
Intersegment revenues						10						27						9						34						9						10
Segment revenues						855						76						757						112						733						83
Segment expenses						435						78						259						119						33						108
Segment equity in earnings (losses) of investees						82						5						(51)						—						144						—
Less: Segment provision (benefit) for income taxes						(119)						—						34						(1)						122						(6)
Segment adjusted operating income (loss)						$	621					$	3					$	413					$	(6)					$	722					$	(19)
Selected components of segment adjusted operating income:
Net investment income						$	370					$	—					$	278					$	—					$	280					$	—
Interest expense						—						1						1						1						—						1
Non-cash compensation and operating expenses (1)						38						8						41						18						56						17

_____________________

(1)    Consists of amortization of DAC and intangible assets, depreciation, share-based compensation (see Note 13, Employee Benefit Plans), write-off of long-lived intangible assets related to Municipal Assurance Corp.(MAC) licenses (see Note 11, Goodwill and Other Intangible Assets), and lease impairment (see Note 17, Leases).

Reconciliation of Other Significant Reconciling Items from Segments to Consolidated

The tables below present a reconciliation of significant components of segment information to the comparable consolidated amounts.

Reconciliation of Segment Information to Consolidated Information

Year Ended December 31, 2023

																					Less:												Net Income (Loss) Attributable to AGL
			Revenues						Expenses						Equity in Earnings (Losses) of Investees						Provision (Benefit) for Income Taxes (1)						Noncontrolling Interests
			(in millions)
Segments:
Insurance			$	855					$	435					$	82					$	(119)					$	—					$	621
Asset Management			76						78						5						—						—						3
Total segments			931						513						87						(119)						—						624
Corporate division			275						216						—						14						—						45
Other			61						6						(59)						(5)						22						(21)
Subtotal			1,267						735						28						(110)						22						648
Reconciling items:
Realized gains (losses) on investments			(14)						—						—						—						—						(14)
Non-credit impairment-related unrealized fair value gains (losses) on credit derivatives			104						(2)						—						—						—						106
Fair value gains (losses) on CCS			(35)						—						—						—						—						(35)
Foreign exchange gains (losses) on remeasurement of premiums receivable and loss and LAE reserves			51						—						—						—						—						51
Tax effect			—						—						—						17						—						(17)
Total consolidated			$	1,373					$	733					$	28					$	(93)					$	22					$	739

_____________________

(1)    Includes $189 million of tax benefit related to a Bermuda tax law change, which is included in Insurance segment. See Note 14, Income Taxes.

Reconciliation of Segment Information to Consolidated Information

Year Ended December 31, 2022

																					Less:												Net Income (Loss) Attributable to AGL
			Revenues						Expenses						Equity in Earnings (Losses) of Investees						Provision (Benefit) for Income Taxes						Noncontrolling Interests
			(in millions)
Segments:
Insurance			$	757					$	259					$	(51)					$	34					$	—					$	413
Asset Management			112						119						—						(1)						—						(6)
Total segments			869						378						(51)						33						—						407
Corporate division			4						143						—						(5)						—						(134)
Other			14						19						12						—						13						(6)
Subtotal			887						540						(39)						28						13						267
Reconciling items:
Realized gains (losses) on investments			(56)						—						—						—						—						(56)
Non-credit impairment-related unrealized fair value gains (losses) on credit derivatives			(22)						(4)						—						—						—						(18)
Fair value gains (losses) on CCS			24						—						—						—						—						24
Foreign exchange gains (losses) on remeasurement of premiums receivable and loss and LAE reserves			(110)						—						—						—						—						(110)
Tax effect			—						—						—						(17)						—						17
Total consolidated			$	723					$	536					$	(39)					$	11					$	13					$	124

Reconciliation of Segment Information to Consolidated Information

Year Ended December 31, 2021

																					Less:												Net Income (Loss) Attributable to AGL
			Revenues						Expenses						Equity in Earnings (Losses) of Investees						Provision (Benefit) for Income Taxes						Noncontrolling Interests
			(in millions)
Segments:
Insurance			$	733					$	33					$	144					$	122					$	—					$	722
Asset Management			83						108						—						(6)						—						(19)
Total segments			816						141						144						116						—						703
Corporate division			2						312						—						(47)						—						(263)
Other			142						26						(50)						6						30						30
Subtotal			960						479						94						75						30						470
Reconciling items:
Realized gains (losses) on investments			15						—						—						—						—						15
Non-credit impairment-related unrealized fair value gains (losses) on credit derivatives			(78)						(14)						—						—						—						(64)
Fair value gains (losses) on CCS			(28)						—						—						—						—						(28)
Foreign exchange gains (losses) on remeasurement of premiums receivable and loss and LAE reserves			(21)						—						—						—						—						(21)
Tax effect			—						—						—						(17)						—						17
Total consolidated			$	848					$	465					$	94					$	58					$	30					$	389

Supplemental Information

Year Ended December 31, 2023

			Net Earned Premiums						Net Investment Income						Loss and LAE (Benefit)						Amortization of DAC						Other Expenses(1)
			(in millions)
Segments:
Insurance			$	347					$	370					$	161					$	13					$	261
Asset Management			—						—						—						—						77
Total segments			347						370						161						13						338
Corporate division			—						8						—						—						117
Other			(3)						(13)						3						—						13
Subtotal			344						365						164						13						468
Reconciling items:
Credit derivative impairment (recoveries) (2)			—						—						(2)						—						—
Total consolidated			$	344					$	365					$	162					$	13					$	468

_____________________

(1)    Consists of “employee compensation and benefit expenses” and “other operating expenses.” Includes non-cash compensation and operating expenses of $38 million for Insurance segment, $8 million for Asset Management segment, and $18 million for Corporate division.

(2)    Credit derivative impairment (recoveries) are included in “fair value gains (losses) on credit derivatives” in the Company’s consolidated statements of operations, and in loss and LAE (benefit) on a segment basis.

Supplemental Information

Year Ended December 31, 2022

			Net Earned Premiums						Net Investment Income						Loss and LAE (Benefit)						Amortization of DAC						Other Expenses(1)
			(in millions)
Segments:
Insurance			$	497					$	278					$	12					$	14					$	232
Asset Management			—						—						—						—						118
Total segments			497						278						12						14						350
Corporate division			—						4						—						—						54
Other			(3)						(13)						8						—						21
Subtotal			494						269						20						14						425
Reconciling items:
Credit derivative impairment (recoveries) (2)			—						—						(4)						—						—
Total consolidated			$	494					$	269					$	16					$	14					$	425

_____________________

(1)    Consists of “employee compensation and benefit expenses” and “other operating expenses.” Includes non-cash compensation and operating expenses of $41 million for Insurance segment, $18 million for Asset Management segment, and $13 million for Corporate division.

(2)    Credit derivative impairment (recoveries) are included in “fair value gains (losses) on credit derivatives” in the Company’s consolidated statements of operations, and in loss and LAE (benefit) on a segment basis.

Supplemental Information

Year Ended December 31, 2021

			Net Earned Premiums						Net Investment Income						Loss and LAE (Benefit)						Amortization of DAC						Other Expenses(1)
			(in millions)
Segments:
Insurance			$	418					$	280					$	(221)					$	14					$	240
Asset Management			—						—						—						—						107
Total segments			418						280						(221)						14						347
Corporate division			—						2						—						—						41
Other			(4)						(13)						15						—						21
Subtotal			414						269						(206)						14						409
Reconciling items:
Credit derivative impairment (recoveries) (2)			—						—						(14)						—						—
Total consolidated			$	414					$	269					$	(220)					$	14					$	409

_____________________

(1)    Consists of “employee compensation and benefit expenses” and “other operating expenses.” Includes non-cash compensation and operating expenses of $56 million for Insurance segment, $17 million for Asset Management segment, and $5 million for Corporate division.

(2)    Credit derivative impairment (recoveries) are included in “fair value gains (losses) on credit derivatives” in the Company’s consolidated statements of operations, and in loss and LAE (benefit) on a segment basis.

Revenue from External Customers by Geographic Areas

The table below summarizes revenues for the operating segments, Corporate division and Other category by country of domicile for each period indicated, based on the country of domicile of the Company’s subsidiaries that generated the revenues.

Segment, Corporate Division and Other

Revenues by Country of Domicile

						Year Ended December 31,
Country of Domicile						2023						2022						2021
						(in millions)
U.S.						$	1,064					$	727					$	762
Bermuda						166						129						153
U.K.						36						32						42
Other						1						(1)						3
Total						$	1,267					$	887					$	960

X

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