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Derivatives Instruments Level 3 (Tables)
 9 Months Ended
Sep. 30, 2017
Derivative [Line Items]  
Schedule of Derivative Instruments [Table Text Block]
GMWB Hedging Instruments
 
Notional Amount
Fair Value
 
Sep. 30, 2017
Dec. 31, 2016
Sep. 30, 2017
Dec. 31, 2016
Customized swaps
$
5,035

$
5,191

$
62

$
100

Equity swaps, options, and futures
1,370

1,362

(41
)
(27
)
Interest rate swaps and futures
2,986

3,703

44

21

Total
$
9,391

$
10,256

$
65

$
94
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block]
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. Derivative fair value reported as liabilities after taking into account the master netting agreements was $809 and $963 as of September 30, 2017, and December 31, 2016, respectively. Derivatives in the Company’s separate accounts, where the associated gains and losses accrue directly to policyholders, are not included in the table below. 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 pay or receive amounts 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. The following tables exclude 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 5 - Fair Value Measurements of Notes to the Condensed Consolidated Financial Statements.
Derivative Balance Sheet Presentation
 
Net Derivatives
Asset Derivatives
Liability Derivatives
 
Notional Amount
Fair Value
Fair Value
Fair Value
Hedge Designation/ Derivative Type
Sep. 30, 2017
Dec. 31, 2016
Sep. 30, 2017
Dec. 31, 2016
Sep. 30, 2017
Dec. 31, 2016
Sep. 30, 2017
Dec. 31, 2016
Cash flow hedges
 
 
 
 
 
 
 
 
Interest rate swaps
$
3,855

$
3,440

$
(1
)
$
(79
)
$
79

$
11

$
(80
)
$
(90
)
Foreign currency swaps
299

239

(18
)
(15
)
6

11

(24
)
(26
)
Total cash flow hedges
4,154

3,679

(19
)
(94
)
85

22

(104
)
(116
)
Non-qualifying strategies
 
 
 
 
 
 
 
 
Interest rate contracts
 
 
 
 
 
 
 
 
Interest rate swaps, swaptions, and futures
11,228

11,743

(476
)
(890
)
634

264

(1,110
)
(1,154
)
Foreign exchange contracts
 
 
 
 
 
 
 
 
Foreign currency swaps and forwards
165

1,064

(1
)
68

—

70

(1
)
(2
)
Fixed payout annuity hedge
804

804

(255
)
(263
)
—

—

(255
)
(263
)
Credit contracts
 
 
 
 
 
 
 
 
Credit derivatives that purchase credit protection
144

209

(3
)
(4
)
—

—

(3
)
(4
)
Credit derivatives that assume credit risk [1]
1,105

1,309

4

10

23

15

(19
)
(5
)
Credit derivatives in offsetting positions
1,842

3,317

4

(1
)
25

39

(21
)
(40
)
Equity contracts
 
 
 
 
 
 
 
 
Equity index swaps and options
167

105

2

—

2

33

—

(33
)
Variable annuity hedge program
 
 
 
 
 
 
 
 
GMWB product derivatives [2]
11,797

13,114

(93
)
(241
)
—

—

(93
)
(241
)
GMWB reinsurance contracts
2,450

2,709

51

73

51

73

—

—

GMWB hedging instruments
9,391

10,256

65

94

130

190

(65
)
(96
)
Macro hedge program
8,157

6,532

166

178

192

201

(26
)
(23
)
Other
 
 
 
 
 
 
 
 
Contingent capital facility put option
—

500

—

1

—

1

—

—

Modified coinsurance reinsurance contracts
882

875

57

68

57

68

—

—

Total non-qualifying strategies
48,132

52,537

(479
)
(907
)
1,114

954

(1,593
)
(1,861
)
Total cash flow hedges and non-qualifying strategies
$
52,286

$
56,216

$
(498
)
$
(1,001
)
$
1,199

$
976

$
(1,697
)
$
(1,977
)
Balance Sheet Location
 
 
 
 
 
 
 
 
Fixed maturities, available-for-sale
$
156

$
322

$
—

$
1

$
—

$
1

$
—

$
—

Other investments
12,797

23,620

203

(180
)
281

377

(78
)
(557
)
Other liabilities
24,203

15,526

(716
)
(689
)
810

457

(1,526
)
(1,146
)
Reinsurance recoverables
3,333

3,584

108

141

108

141

—

—

Other policyholder funds and benefits payable
11,797

13,164

(93
)
(274
)
—

—

(93
)
(274
)
Total derivatives
$
52,286

$
56,216

$
(498
)
$
(1,001
)
$
1,199

$
976

$
(1,697
)
$
(1,977
)
[1]
The derivative instruments related to this strategy are held for other investment purposes.
[2]
These derivatives are embedded within liabilities and are not held for risk management purposes.
Offsetting Liabilities [Table Text Block]
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 September 30, 2017
 
 
 
 
 
 
 
 
 
 
 
Other investments
$
1,091

 
$
1,006

 
$
203

 
$
(118
)
 
$
42

 
$
43

Other liabilities
$
(1,604
)
 
$
(703
)
 
$
(716
)
 
$
(185
)
 
$
(888
)
 
$
(13
)
As of December 31, 2016
 
 
 
 
 
 
 
 
 
 
 
Other investments
$
834

 
$
670

 
$
(180
)
 
$
344

 
$
103

 
$
61

Other liabilities
$
(1,703
)
 
$
(884
)
 
$
(689
)
 
$
(130
)
 
$
(763
)
 
$
(56
)

[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.
Offsetting Assets [Table Text Block]
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 September 30, 2017
 
 
 
 
 
 
 
 
 
 
 
Other investments
$
1,091

 
$
1,006

 
$
203

 
$
(118
)
 
$
42

 
$
43

Other liabilities
$
(1,604
)
 
$
(703
)
 
$
(716
)
 
$
(185
)
 
$
(888
)
 
$
(13
)
As of December 31, 2016
 
 
 
 
 
 
 
 
 
 
 
Other investments
$
834

 
$
670

 
$
(180
)
 
$
344

 
$
103

 
$
61

Other liabilities
$
(1,703
)
 
$
(884
)
 
$
(689
)
 
$
(130
)
 
$
(763
)
 
$
(56
)

[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.
Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block]
[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 effective portion of 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. Gains and losses on the derivative representing hedge ineffectiveness are recognized in current period earnings. All components of each de
Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block]
Fair Value Hedges
For derivative instruments that are designated and qualify as fair value hedges, the gain or loss on the derivatives as well as the offsetting loss or gain on the hedged items attributable to the hedged risk are recognized in current earnings. The Company includes the gain or loss on the derivative in the same line item as the offsetting loss or gain on the hedged item. All components of each derivative’s gain or loss were included in the assessment of hedge effectiveness.
For the three and nine months ended September 30, 2017, the Company did not hold any fair value hedges. For the three and nine months ended September 30, 2016, the Company recognized in income immaterial gains and (losses) for the ineffective portion of fair value hedges related to the derivative instrument and the hedged item.
Derivative Instruments, Gain (Loss) [Table Text Block]
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 capital gains (losses).
Non-Qualifying Strategies Recognized within Net Realized Capital Gains (Losses)
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
2017
2016
 
2017
2016
Variable annuity hedge program
 
 
 
 
 
GMWB product derivatives
$
58

$
87

 
$
198

$
(22
)
GMWB reinsurance contracts
(9
)
(15
)
 
(33
)
(2
)
GMWB hedging instruments
(34
)
(66
)
 
(112
)
16

Macro hedge program
(65
)
(64
)
 
(189
)
(98
)
Total variable annuity hedge program
(50
)
(58
)
 
(136
)
(106
)
Foreign exchange contracts
 
 
 
 
 
Foreign currency swaps and forwards
—

4

 
(17
)
25

Fixed payout annuity hedge
(3
)
13

 
8

109

Total foreign exchange contracts
(3
)
17

 
(9
)
134

Other non-qualifying derivatives
 
 
 
 
 
Interest rate contracts
 
 
 
 
 
Interest rate swaps, swaptions, and futures
(9
)
(2
)
 
(3
)
(22
)
Credit contracts
 
 
 
 
 
Credit derivatives that purchase credit protection
10

(12
)
 
40

(19
)
Credit derivatives that assume credit risk
(3
)
24

 
(19
)
28

Equity contracts
 
 
 
 
 
Equity index swaps and options
(3
)
(2
)
 
(7
)
15

Other
 
 
 
 
 
Contingent capital facility put option
—

(1
)
 
(1
)
(4
)
Modified coinsurance reinsurance contracts
—

(1
)
 
(10
)
(48
)
Total other non-qualifying derivatives
(5
)
6

 
—

(50
)
Total [1]
$
(58
)
$
(35
)
 
$
(145
)
$
(22
)
[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 5 - Fair Value Measurements
Disclosure of Credit Derivatives [Table Text Block]
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 primarily reference investment grade single corporate issuers and baskets, which include standard diversified portfolios of corporate and CMBS issuers. The diversified portfolios of corporate issuers are established within sector concentration limits and may be divided into tranches that possess different credit ratings.
Credit 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 September 30, 2017
Single name credit default swaps
 
 
 
 
 
 
 
Investment grade risk exposure
$
240

$
5

4 years
Corporate Credit/
Foreign Gov.
A-
$
15

$
—

Below investment grade risk exposure
52

—

Less than 1 year
Corporate Credit
B
52

—

Basket credit default swaps [4]
 
 
 
 
 
 
 
Investment grade risk exposure
1,579

4

3 years
Corporate Credit
BBB+
719

(3
)
Below investment grade risk exposure
50

4

4 years
Corporate Credit
B+
50

—

Investment grade risk exposure
37

(2
)
4 years
CMBS Credit
A+
17

1

Below investment grade risk exposure
68

(13
)
Less than 1 year
CMBS Credit
CCC+
68

12

Total [5]
$
2,026

$
(2
)
 
 
 
$
921

$
10

As of December 31, 2016
Single name credit default swaps
 
 
 
 
 
 
 
Investment grade risk exposure
$
169

$
—

4 years
Corporate Credit/
Foreign Gov.
A-
$
50

$
—

Below investment grade risk exposure
77

—

1 year
Corporate Credit
B+
77

—

Basket credit default swaps [4]
 
 
 
 
 
 
 
Investment grade risk exposure
2,065

22

3 years
Corporate Credit
BBB+
1,204

(10
)
Below investment grade risk exposure
50

3

4 years
Corporate Credit
B
50

(3
)
Investment grade risk exposure
297

(5
)
4 years
CMBS Credit
AA
167

1

Below investment grade risk exposure
110

(26
)
1 year
CMBS Credit
CCC
111

26

Embedded credit derivatives
 
 
 
 
 
 
 
Investment grade risk exposure
200

201

Less than 1 year
Corporate Credit
A+
—

—

Total [5]
$
2,968

$
195

 
 
 
$
1,659

$
14


[1]
The average credit ratings are based on availability and are generally the midpoint of the available ratings among Moody’s, S&P, Fitch and Morningstar. 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, clearing house rules 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]
Includes $1.7 billion and $2.5 billion as of September 30, 2017, and December 31, 2016, respectively, of notional amount on swaps of standard market indices of diversified portfolios of corporate and 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 5 - Fair Value Measurements