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Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2021

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 September 30, 2021
			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
Asset backed securities ("ABS")			$	1,207		$	—		$	1,184		$	23
Collateralized loan obligations ("CLOs")			3,011			—			2,657			354
Commercial mortgage-backed securities ("CMBS")			4,191			—			4,090			101
Corporate			18,861			—			17,607			1,254
Foreign government/government agencies			953			—			948			5
Municipal			8,878			—			8,878			—
Residential mortgage-backed securities ("RMBS")			3,286			—			3,018			268
U.S. Treasuries			3,555			618			2,937			—
Total fixed maturities			43,942			618			41,319			2,005
Equity securities, at fair value			1,616			991			554			71
Derivative assets
Credit derivatives			1			—			1			—
Foreign exchange derivatives			1			—			1			—
Total derivative assets [1]			2			—			2			—
Fixed maturities, at fair value using the fair value option ("FVO") [2]			75			—			—			75
Short-term investments			3,612			1,941			1,648			23
Total assets accounted for at fair value on a recurring basis			$	49,247		$	3,550		$	43,523		$	2,174
Liabilities accounted for at fair value on a recurring basis
Derivative liabilities
Credit derivatives			$	5		$	—		$	5		$	—
Foreign exchange derivatives			2			—			2			—
Interest rate derivatives			(45)			—			(45)			—
Total derivative liabilities [3]			(38)			—			(38)			—
Total liabilities accounted for at fair value on a recurring basis			$	(38)		$	—		$	(38)		$	—

Assets and (Liabilities) Carried at Fair Value by Hierarchy Level as of December 31, 2020
			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			$	1,564		$	—		$	1,564		$	—
CLOs			2,780			—			2,420			360
CMBS			4,484			—			4,407			77
Corporate			20,273			—			19,392			881
Foreign government/government agencies			919			—			913			6
Municipal			9,503			—			9,503			—
RMBS			4,107			—			3,726			381
U.S. Treasuries			1,405			529			876			—
Total fixed maturities			45,035			529			42,801			1,705
Equity securities, at fair value			1,438			872			496			70
Derivative assets
Credit derivatives			21			—			21			—
Foreign exchange derivatives			1			—			1			—
Interest rate derivatives			1			—			1			—
Total derivative assets [1]			23			—			23			—
Short-term investments			3,283			2,663			590			30
Total assets accounted for at fair value on a recurring basis			$	49,779		$	4,064		$	43,910		$	1,805
Liabilities accounted for at fair value on a recurring basis
Derivative liabilities
Foreign exchange derivatives			$	(14)		$	—		$	(14)		$	—
Interest rate derivatives			(70)			—			(70)			—
Total derivative liabilities [3]			(84)			—			(84)			—
Total liabilities accounted for at fair value on a recurring basis			$	(84)		$	—		$	(84)		$	—

[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 3 to this table for derivative liabilities.

[2]Included within other investments on the Condensed Consolidated Balance Sheets.

[3]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 Value

Predominant Valuation Technique

Significant Unobservable Input

Minimum

Maximum

Weighted Average [1]

Impact of Increase in Input on Fair Value [2]

As of September 30, 2021

CLOs [3]

$

290

Discounted cash flows

Spread

227 bps

251 bps

248 bps

Decrease

CMBS [3]

$

96

Discounted cash flows

Spread (encompasses prepayment, default risk and loss severity)

192 bps

483 bps

289 bps

Decrease

Corporate [4]

$

1,178

Discounted cash flows

Spread

94 bps

978 bps

272 bps

Decrease

RMBS [3]

$

251

Discounted cash flows

Spread [6]

43 bps

233 bps

84 bps

Decrease

Constant prepayment rate [6]

2%

14%

7%

Decrease [5]

Constant default rate [6]

1%

6%

3%

Decrease

Loss severity [6]

—%

100%

65%

Decrease

As of December 31, 2020

CLOs [3]

$

340

Discounted cash flows

Spread

304 bps

305 bps

304 bps

Decrease

CMBS [3]

$

20

Discounted cash flows

Spread (encompasses prepayment, default risk and loss severity)

255 bps

975 bps

688 bps

Decrease

Corporate [4]

$

749

Discounted cash flows

Spread

110 bps

692 bps

293 bps

Decrease

RMBS [3]

$

364

Discounted cash flows

Spread [6]

7 bps

937 bps

119 bps

Decrease

Constant prepayment rate [6]

—%

10%

5%

Decrease [5]

Constant default rate [6]

2%

6%

3%

Decrease

Loss severity [6]

—%

100%

84%

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

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 Three Months Ended September 30, 2021
									Total realized/unrealized gains (losses)
						Fair value as of June 30, 2021			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 September 30, 2021
Assets
Fixed maturities, AFS
			ABS			$	14		$	—		$	—		$	23		$	—		$	—		$	—		$	(14)		$	23
			CLOs			375			—			—			132			(34)			—			—			(119)			354
			CMBS			86			—			—			29			—			—			—			(14)			101
			Corporate			1,141			—			(7)			156			(29)			(1)			—			(6)			1,254
			Foreign Govt./Govt. Agencies			—			—			—			5			—			—			—			—			5
			RMBS			302			—			(1)			41			(45)			—			—			(29)			268
Total fixed maturities, AFS						1,918			—			(8)			386			(108)			(1)			—			(182)			2,005
Equity securities, at fair value						74			4			—			2			(9)			—			—			—			71
Fixed maturities, FVO [4]						—			—			—			75			—			—			—			—			75
Short-term investments						18			—			—			8			(3)			—			—			—			23
Total Assets						$	2,010		$	4		$	(8)		$	471		$	(120)		$	(1)		$	—		$	(182)		$	2,174

Fair Value Rollforwards for Financial Instruments Classified as Level 3 for the  Nine Months Ended September 30, 2021
									Total realized/unrealized gains (losses)
						Fair value as of January 1, 2021			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 September 30, 2021
Assets
Fixed Maturities, AFS
			ABS			$	—		$	—		$	—		$	42		$	—		$	—		$	—		$	(19)		$	23
			CLOs			360			—			—			391			(79)			—			—			(318)			354
			CMBS			77			—			2			68			(3)			—			5			(48)			101
			Corporate			881			6			(18)			405			(105)			(45)			172			(42)			1,254
			Foreign Govt./Govt. Agencies			6			—			—			5			—			(6)			—			—			5
			RMBS			381			—			(3)			221			(148)			(14)			—			(169)			268
Total Fixed Maturities, AFS						1,705			6			(19)			1,132			(335)			(65)			177			(596)			2,005
Equity Securities, at fair value						70			6			—			5			(10)			—			—			—			71
Fixed maturities, FVO [4]						—			—			—			75			—			—			—			—			75
Short-term investments						30			—			—			10			(17)			—			—			—			23
Total Assets						$	1,805		$	12		$	(19)		$	1,222		$	(362)		$	(65)		$	177		$	(596)		$	2,174

Fair Value Rollforwards for Financial Instruments Classified as Level 3 for the  Three Months Ended September 30, 2020
									Total realized/unrealized gains (losses)
						Fair value as of June 30, 2020			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 September 30, 2020
Assets
Fixed Maturities, AFS
			ABS			$	23		$	—		$	—		$	—		$	—		$	—		$	—		$	(23)		$	—
			CLOs			99			—			1			63			(3)			—			—			(19)			141
			CMBS			20			—			2			66			(1)			—			5			—			92
			Corporate			1,109			1			19			45			(62)			—			22			(138)			996
			Municipal			—			(3)			2			—			—			—			7			—			6
			RMBS			479			—			2			40			(48)			—			—			(22)			451
Total Fixed Maturities, AFS						1,730			(2)			26			214			(114)			—			34			(202)			1,686
Equity Securities, at fair value						66			—			—			3			—			—			—			—			69
Short-term investments						14			—			—			—			—			—			—			—			14
Total Assets						$	1,810		$	(2)		$	26		$	217		$	(114)		$	—		$	34		$	(202)		$	1,769

Fair Value Rollforwards for Financial Instruments Classified as Level 3 for the  Nine Months Ended September 30, 2020
									Total realized/unrealized gains (losses)
						Fair value as of January 1, 2020			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 September 30, 2020
Assets
Fixed Maturities, AFS
			ABS			$	15		$	—		$	(1)		$	43		$	—		$	—		$	—		$	(57)		$	—
			CLOs			95			—			(1)			82			(16)			—			—			(19)			141
			CMBS			9			—			2			79			(3)			—			5			—			92
			Corporate			732			(31)			—			161			(126)			(27)			481			(194)			996
			Foreign Govt./Govt. Agencies			3			—			—			—			—			—			—			(3)			—
			Municipal			—			(3)			2			—			—			—			7			—			6
			RMBS			560			—			(10)			66			(136)			(7)			—			(22)			451
Total Fixed Maturities, AFS						1,414			(34)			(8)			431			(281)			(34)			493			(295)			1,686
Equity Securities, at fair value						73			(10)			—			6			—			—			—			—			69
Short-term investments						15			—			—			—			(1)			—			—			—			14
Total Assets						$	1,502		$	(44)		$	(8)		$	437		$	(282)		$	(34)		$	493		$	(295)		$	1,769
Liabilities
Contingent Consideration						$	(22)		$	12		$	—		$	—		$	10		$	—		$	—		$	—		$	—
Derivatives, net [5]
			Equity			(15)			36			—			—			(21)			—			—			—			—
Total Derivatives, net [5]						(15)			36			—			—			(21)			—			—			—			—
Total Liabilities						$	(37)		$	48		$	—		$	—		$	(11)		$	—		$	—		$	—		$	—

[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.

[4]Included within other investments on the Condensed Consolidated Balance Sheets.

[5]Derivative instruments are reported in this table on a net basis for asset (liability) positions and reported in the Condensed Consolidated Balance Sheets in other investments and other liabilities.

Changes in Unrealized Gains (Losses) for Financial Instruments Classified as Level 3 Still Held at End of Period
						Three Months Ended September 30,															Nine Months Ended September 30,
						2021			2020			2021			2020						2021			2020			2021			2020
						Changes in Unrealized Gain/(Loss) included in Net Income [1] [2]						Changes in Unrealized Gain/(Loss) 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
			CLOs			$	—		$	—		$	—		$	1					$	—		$	—		$	—		$	(1)
			CMBS			—			—			—			2						—			—			2			2
			Corporate			—			(1)			(7)			17						—			(21)			(16)			1
			Municipal			—			(3)			—			2						—			(3)			—			2
			RMBS			—			—			(1)			2						—			—			(3)			(9)
Total Fixed Maturities, AFS						—			(4)			(8)			24						—			(24)			(17)			(5)
Equity Securities, at fair value						1			—			—			—						4			(9)			—			—
Total Assets						$	1		$	(4)		$	(8)		$	24					$	4		$	(33)		$	(17)		$	(5)
Liabilities
Contingent Consideration						$	—		$	—		$	—		$	—					$	—		$	12		$	—		$	—
Total Liabilities						$	—		$	—		$	—		$	—					$	—		$	12		$	—		$	—

[1]All amounts in these rows are reported in net 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 gain (loss) on fixed maturities, AFS are reported in changes in net unrealized gain on securities 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
			September 30, 2021												December 31, 2020
			Fair Value Hierarchy Level			Carrying Amount [1]			Fair Value						Fair Value Hierarchy Level			Carrying Amount [1]			Fair Value
Assets
Mortgage loans			Level 3			$	5,106		$	5,332					Level 3			$	4,493		$	4,792
Liabilities
Other policyholder funds and benefits payable			Level 3			$	685		$	688					Level 3			$	701		$	703
Senior notes [2]			Level 2			$	3,853		$	4,707					Level 2			$	3,262		$	4,363
Junior subordinated debentures [2]			Level 2			$	1,090		$	1,107					Level 2			$	1,090		$	1,107

[1]As of September 30, 2021 and December 31, 2020, carrying amount of mortgage loans is net of ACL of $26 and $38, 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.

X

- Definition

Tabular disclosure of input and valuation technique used to measure fair value and change in valuation approach and technique for each separate class of asset and liability measured on recurring and nonrecurring basis.

+ References

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-Topic 820
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-Section 50
-Paragraph 2
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Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

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-Publisher FASB
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Tabular disclosure of information pertaining to carrying amount and estimated fair value of short-term and long-term debt instruments or arrangements, including but not limited to, identification of terms, features, and collateral requirements.

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Tabular disclosure of assets and liabilities, including [financial] instruments measured at fair value that are classified in stockholders' equity, if any, that are measured at fair value on a recurring basis. The disclosures contemplated herein include the fair value measurements at the reporting date by the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3).

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
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