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Investment Information (Tables)

3 Months Ended

Mar. 31, 2024

Disclosure Investment Information [Abstract]

Summary of fair value and cost or amortized cost of available for sale securities

The following table summarizes the fair value and cost or amortized cost of the Company’s securities classified as available for sale:

			Estimated Fair Value						Gross Unrealized Gains						Gross Unrealized Losses						Allowance for Expected Credit Losses						Cost or Amortized Cost
March 31, 2024
Fixed maturities:
Corporate bonds			$	11,698					$	98					$	(442)					$	(24)					$	12,066
U.S. government and government agencies			4,370						6						(109)						—						4,473
Asset backed securities			2,762						15						(44)						(5)						2,796
Non-U.S. government securities			2,195						20						(113)						(1)						2,289
Commercial mortgage backed securities			1,197						3						(30)						(2)						1,226
Residential mortgage backed securities			1,179						4						(69)						—						1,244
Municipal bonds			227						1						(18)						—						244
Total			23,628						147						(825)						(32)						24,338
Short-term investments			2,142						2						(3)						—						2,143
Total			$	25,770					$	149					$	(828)					$	(32)					$	26,481
December 31, 2023
Fixed maturities:
Corporate bonds			$	10,855					$	157					$	(464)					$	(20)					$	11,182
U.S. government and government agencies			5,814						63						(86)						—						5,837
Asset backed securities			2,250						11						(55)						(5)						2,299
Non-U.S. government securities			2,062						33						(100)						(1)						2,130
Commercial mortgage backed securities			1,213						3						(34)						(2)						1,246
Residential mortgage backed securities			1,103						7						(66)						—						1,162
Municipal bonds			256						1						(20)						—						275
Total			23,553						275						(825)						(28)						24,131
Short-term investments			2,063						1						(2)						—						2,064
Total			$	25,616					$	276					$	(827)					$	(28)					$	26,195

Summary of available for sale securities in a continual unrealized loss position

The following table summarizes, for all available for sale securities in an unrealized loss position, the fair value and gross unrealized loss by length of time the security has been in a continual unrealized loss position:

			Less than 12 Months												12 Months or More												Total
			Estimated Fair Value						Gross Unrealized Losses						Estimated Fair Value						Gross Unrealized Losses						Estimated Fair Value						Gross Unrealized Losses
March 31, 2024
Fixed maturities:
Corporate bonds			$	3,314					$	(50)					$	4,419					$	(392)					$	7,733					$	(442)
U.S. government and government agencies			3,093						(36)						763						(73)						3,856						(109)
Non-U.S. government securities			829						(10)						821						(103)						1,650						(113)
Residential mortgage backed securities			267						(4)						508						(65)						775						(69)
Asset backed securities			489						(1)						729						(43)						1,218						(44)
Commercial mortgage backed securities			88						(1)						892						(29)						980						(30)
Municipal bonds			18						—						197						(18)						215						(18)
Total			8,098						(102)						8,329						(723)						16,427						(825)
Short-term investments			727						(3)						—						—						727						(3)
Total			$	8,825					$	(105)					$	8,329					$	(723)					$	17,154					$	(828)
December 31, 2023
Fixed maturities:
Corporate bonds			$	1,559					$	(45)					$	4,959					$	(419)					$	6,518					$	(464)
U.S. government and government agencies			1,066						(10)						941						(76)						2,007						(86)
Non-U.S. government securities			365						(4)						897						(96)						1,262						(100)
Residential mortgage backed securities			221						(3)						522						(63)						743						(66)
Asset backed securities			234						(1)						1,112						(54)						1,346						(55)
Commercial mortgage backed securities			100						(1)						909						(33)						1,009						(34)
Municipal bonds			20						(1)						215						(19)						235						(20)
Total			3,565						(65)						9,555						(760)						13,120						(825)
Short-term investments			302						(2)						—						—						302						(2)
Total			$	3,867					$	(67)					$	9,555					$	(760)					$	13,422					$	(827)

Contractual maturities of the Company's fixed maturities

The contractual maturities of the Company’s fixed maturities are shown in the following table. Expected maturities, which are management’s best estimates, will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

						March 31, 2024												December 31, 2023
Maturity						Estimated Fair Value						Amortized Cost						Estimated Fair Value						Amortized Cost
Due in one year or less						$	536					$	554					$	480					$	499
Due after one year through five years						12,998						13,299						12,924						13,101
Due after five years through 10 years						4,632						4,860						5,249						5,450
Due after 10 years						324						359						334						374
						18,490						19,072						18,987						19,424
Residential mortgage backed securities						1,179						1,244						1,103						1,162
Commercial mortgage backed securities						1,197						1,226						1,213						1,246
Asset backed securities						2,762						2,796						2,250						2,299
Total						$	23,628					$	24,338					$	23,553					$	24,131

Summary of other investments, at fair value

The following table summarizes the Company’s other investments and other investable assets:

			March 31, 2024						December 31, 2023
Other investments			$	1,914					$	1,777
Fixed maturities			930						683
Short term investments			35						21
Equity securities			7						7
Total			$	2,886					$	2,488

The following table summarizes the Company’s other investments, as detailed in the previous table, by strategy:

			March 31, 2024						December 31, 2023
Lending			$	442					$	427
Investment grade fixed income			799						754
Term loan investments			344						272
Private equity			191						182
Credit related funds			120						124
Energy			18						18
Total			$	1,914					$	1,777

Components of net investment income

The components of net investment income were derived from the following sources:

			March 31,
			2024						2023
Three Months Ended
Fixed maturities			$	280					$	188
Short term investments			29						14
Equity securities			8						4
Other (1)			33						13
Gross investment income			350						219
Investment expenses			(23)						(20)
Net investment income			$	327					$	199

(1)    Amounts include dividends and other distributions on investment funds, term loan investments, funds held balances, cash balances and other items.

Summary of net realized gains (losses), including change in allowance for credit losses on financial assets and net impairment losses recognized in earnings

Net realized gains (losses), which include changes in the allowance for credit losses on financial assets and net impairment losses recognized in earnings were as follows:

			March 31,
			2024						2023
Three Months Ended
Available for sale securities:
Gross gains on investment sales			$	50					$	17
Gross losses on investment sales			(78)						(111)
Change in fair value of assets and liabilities accounted for using the fair value option:
Fixed maturities			2						6
Other investments			(2)						9
Equity securities			—						1
Equity securities, at fair value:
Net realized gains (losses) on sales during the period			11						19
Net unrealized gains (losses) on equity securities still held at reporting date			82						38
Allowance for credit losses:
Investments related			(6)						(16)
Underwriting related			1						—
Derivative instruments (1)			(10)						56
Other			17						(2)
Net realized gains (losses)			$	67					$	17

(1)    See note 9 for information on the Company’s derivative instruments.

Summary of investments accounted for using equity method

The following table summarizes the Company’s investments accounted for using the equity method, by strategy:

			March 31, 2024						December 31, 2023
Credit related funds			$	1,320					$	1,258
Private equity			1,341						1,175
Real estate			671						666
Lending			582						597
Infrastructure			323						320
Fixed income			327						277
Equities			188						178
Energy			90						95
Total			$	4,842					$	4,566

Summary of investments in limited partnership interests where the Company has a variable interest

The following table summarizes investments in limited partnership interests where the Company has a variable interest by balance sheet line item:

			March 31, 2024						December 31, 2023
Investments accounted for using the equity method (1)			$	4,842					$	4,566
Investments accounted for using the fair value option (2)			109						114
Total			$	4,951					$	4,680

(1)    Aggregate unfunded commitments were $3.5 billion at March 31, 2024, compared with $3.4 billion at December 31, 2023.

(2)    Aggregate unfunded commitments were $29 million at March 31, 2024, compared to $32 million at December 31, 2023.

Rollforward of the allowance for expected credit losses of securities classified as available for sale

The following table provides a roll forward of the allowance for expected credit losses of the Company’s securities classified as available for sale:

						Structured Securities (1)												Corporate Bonds												Non-U.S. Government Securities						Total
Three Months Ended March 31, 2024
Balance at beginning of period						$	7											$	20											$	1					$	28
Additions for current-period provision for expected credit losses						—												—												—						—
Additions (reductions) for previously recognized expected credit losses						—												5												—						5
Reductions due to disposals						—												(1)												—						(1)
Balance at end of period						$	7											$	24											$	1					$	32
Three Months Ended March 31, 2023
Balance at beginning of period						$	9											$	30											$	2					$	41
Additions for current-period provision for expected credit losses						—												1												—						1
Additions (reductions) for previously recognized expected credit losses						(1)												15												1						15
Reductions due to disposals						—												(1)												—						(1)
Balance at end of period						$	8											$	45											$	3					$	56

(1)    Includes asset backed securities, residential mortgage backed securities and commercial mortgage backed securities.

Summary of restricted assets

The following table details the value of the Company’s restricted assets:

			March 31, 2024						December 31, 2023
Assets used for collateral or guarantees:
Affiliated transactions			$	4,874					$	4,854
Third party agreements			2,694						2,869
Deposits with U.S. regulatory authorities			828						833
Other (1)			1,343						1,376
Total restricted assets			$	9,739					$	9,932

(1)    Primarily includes Funds at Lloyds, deposits with non-U.S. regulatory authorities and other restricted assets.

Reconciliation of cash and restricted cash

The following table details reconciliation of cash and restricted cash within the Consolidated Balance Sheets:

			March 31, 2024						December 31, 2023
Cash			$	993					$	917
Restricted cash (included in ‘other assets’)			607						581
Cash and restricted cash			$	1,600					$	1,498

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