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Investments | 3 Months Ended
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Mar. 31, 2025
Investments [Abstract] |
Investments | Investments The significant components of Net investment income are presented in the following table.
Three months ended March 31 |  |  |
(In millions) | 2025 |  | 2024
Fixed maturity securities | $ | 522 |  |  | $ | 502 |
Equity securities | 6 |  |  | 22 |
Limited partnership investments | 56 |  |  | 54 |
Mortgage loans | 16 |  |  | 15 |
Short-term investments | 19 |  |  | 28 |
Trading portfolio | 1 |  |  | 1 |
Other | 6 |  |  | 8 |
Gross investment income | 626 |  |  | 630 |
Investment expense | (22) |  |  | (21) |
Net investment income | $ | 604 |  |  | $ | 609 |
Net investment income (loss) recognized due to the change in fair value of common stock held as of March 31, 2025 and 2024 | $ | (4) |  |  | $ | 13 |
Net investment gains (losses) are presented in the following table.
Three months ended March 31 |  |  |
(In millions) | 2025 |  | 2024
Net investment gains (losses): |  |  |
Fixed maturity securities: |  |  |
Gross gains | $ | 13 |  |  | $ | 14 |
Gross losses | (22) |  |  | (46) |
Net investment gains (losses) on fixed maturity securities | (9) |  |  | (32) |
Equity securities | — |  |  | 11 |
Short-term investments and other | — |  |  | (1) |
Net investment gains (losses) | $ | (9) |  |  | $ | (22) |
Net investment gains (losses) recognized due to the change in fair value of non-redeemable preferred stock held as of March 31, 2025 and 2024 | $ | (2) |  |  | $ | 11 |
The available-for-sale impairment losses (gains) recognized in earnings by asset type are presented in the following table. The table includes losses (gains) on securities with an intention to sell and changes in the allowance for credit losses on securities since acquisition date.
Three months ended March 31 |  |  |
(In millions) | 2025 |  | 2024
Fixed maturity securities available-for-sale: |  |  |
Corporate and other bonds | $ | 7 |  |  | $ | 9 |
Asset-backed | — |  |  | 5 |
Impairment losses (gains) recognized in earnings | $ | 7 |  |  | $ | 14 |
There were no losses recognized on mortgage loans during the three months ended March 31, 2025 or 2024. The following tables present a summary of fixed maturity securities.
March 31, 2025 | Cost or Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Allowance for Credit Losses |  | Estimated Fair Value
(In millions) |  |  |  |
Fixed maturity securities available-for-sale: |  |  |  |  |  |  |  |  |
Corporate and other bonds | $ | 26,388 |  |  | $ | 502 |  |  | $ | 1,149 |  |  | $ | 15 |  |  | $ | 25,726 |
States, municipalities and political subdivisions | 7,246 |  |  | 227 |  |  | 829 |  |  | — |  |  | 6,644 |
Asset-backed: |  |  |  |  |  |  |  |  |
Residential mortgage-backed | 3,844 |  |  | 20 |  |  | 426 |  |  | — |  |  | 3,438 |
Commercial mortgage-backed | 1,788 |  |  | 14 |  |  | 119 |  |  | 18 |  |  | 1,665 |
Other asset-backed | 3,816 |  |  | 24 |  |  | 216 |  |  | 14 |  |  | 3,610 |
Total asset-backed | 9,448 |  |  | 58 |  |  | 761 |  |  | 32 |  |  | 8,713 |
U.S. Treasury and obligations of government-sponsored enterprises | 219 |  |  | 1 |  |  | 2 |  |  | — |  |  | 218 |
Foreign government | 688 |  |  | 8 |  |  | 26 |  |  | — |  |  | 670 |
Total fixed maturity securities available-for-sale | 43,989 |  |  | 796 |  |  | 2,767 |  |  | 47 |  |  | 41,971 |
Total fixed maturity securities trading | 2 |  |  | — |  |  | — |  |  | — |  |  | 2 |
Total fixed maturity securities | $ | 43,991 |  |  | $ | 796 |  |  | $ | 2,767 |  |  | $ | 47 |  |  | $ | 41,973 |
December 31, 2024 | Cost or Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Allowance for Credit Losses |  | Estimated Fair Value
(In millions) |  |  |  |
Fixed maturity securities available-for-sale: |  |  |  |  |  |  |  |  |
Corporate and other bonds | $ | 25,839 |  |  | $ | 423 |  |  | $ | 1,305 |  |  | $ | 13 |  |  | $ | 24,944 |
States, municipalities and political subdivisions | 7,396 |  |  | 243 |  |  | 835 |  |  | — |  |  | 6,804 |
Asset-backed: |  |  |  |  |  |  |  |  |
Residential mortgage-backed | 3,725 |  |  | 7 |  |  | 488 |  |  | — |  |  | 3,244 |
Commercial mortgage-backed | 1,830 |  |  | 11 |  |  | 142 |  |  | 18 |  |  | 1,681 |
Other asset-backed | 3,770 |  |  | 24 |  |  | 239 |  |  | 14 |  |  | 3,541 |
Total asset-backed | 9,325 |  |  | 42 |  |  | 869 |  |  | 32 |  |  | 8,466 |
U.S. Treasury and obligations of government-sponsored enterprises | 220 |  |  | 1 |  |  | 1 |  |  | — |  |  | 220 |
Foreign government | 701 |  |  | 6 |  |  | 30 |  |  | — |  |  | 677 |
Total fixed maturity securities available-for-sale | 43,481 |  |  | 715 |  |  | 3,040 |  |  | 45 |  |  | 41,111 |
Total fixed maturity securities trading | — |  |  | — |  |  | — |  |  | — |  |  | — |
Total fixed maturity securities | $ | 43,481 |  |  | $ | 715 |  |  | $ | 3,040 |  |  | $ | 45 |  |  | $ | 41,111 |
The following tables present the estimated fair value and gross unrealized losses of available-for-sale fixed maturity securities in a gross unrealized loss position for which an allowance for credit loss has not been recorded, by the length of time in which the securities have continuously been in that position.
| Less than 12 Months |  | 12 Months or Longer |  | Total
March 31, 2025 | Estimated Fair Value |  | Gross Unrealized Losses |  | Estimated Fair Value |  | Gross Unrealized Losses |  | Estimated Fair Value |  | Gross Unrealized Losses
(In millions) |  |  |  |  |
Fixed maturity securities available-for-sale: |  |  |  |  |  |  |  |  |  |  |
Corporate and other bonds | $ | 5,816 |  |  | $ | 141 |  |  | $ | 9,986 |  |  | $ | 1,008 |  |  | $ | 15,802 |  |  | $ | 1,149 |
States, municipalities and political subdivisions | 944 |  |  | 51 |  |  | 2,986 |  |  | 778 |  |  | 3,930 |  |  | 829 |
Asset-backed: |  |  |  |  |  |  |  |  |  |  |
Residential mortgage-backed | 413 |  |  | 9 |  |  | 2,016 |  |  | 417 |  |  | 2,429 |  |  | 426 |
Commercial mortgage-backed | 98 |  |  | 1 |  |  | 969 |  |  | 118 |  |  | 1,067 |  |  | 119 |
Other asset-backed | 629 |  |  | 16 |  |  | 1,499 |  |  | 200 |  |  | 2,128 |  |  | 216 |
Total asset-backed | 1,140 |  |  | 26 |  |  | 4,484 |  |  | 735 |  |  | 5,624 |  |  | 761 |
U.S. Treasury and obligations of government-sponsored enterprises | 43 |  |  | 1 |  |  | 42 |  |  | 1 |  |  | 85 |  |  | 2 |
Foreign government | 105 |  |  | 2 |  |  | 300 |  |  | 24 |  |  | 405 |  |  | 26 |
Total | $ | 8,048 |  |  | $ | 221 |  |  | $ | 17,798 |  |  | $ | 2,546 |  |  | $ | 25,846 |  |  | $ | 2,767 |
| Less than 12 Months |  | 12 Months or Longer |  | Total
December 31, 2024 | Estimated Fair Value |  | Gross Unrealized Losses |  | Estimated Fair Value |  | Gross Unrealized Losses |  | Estimated Fair Value |  | Gross Unrealized Losses
(In millions) |  |  |  |  |
Fixed maturity securities available-for-sale: |  |  |  |  |  |  |  |  |  |  |
Corporate and other bonds | $ | 5,846 |  |  | $ | 165 |  |  | $ | 10,388 |  |  | $ | 1,140 |  |  | $ | 16,234 |  |  | $ | 1,305 |
States, municipalities and political subdivisions | 1,247 |  |  | 52 |  |  | 2,967 |  |  | 783 |  |  | 4,214 |  |  | 835 |
Asset-backed: |  |  |  |  |  |  |  |  |  |  |
Residential mortgage-backed | 849 |  |  | 22 |  |  | 2,010 |  |  | 466 |  |  | 2,859 |  |  | 488 |
Commercial mortgage-backed | 230 |  |  | 3 |  |  | 988 |  |  | 139 |  |  | 1,218 |  |  | 142 |
Other asset-backed | 680 |  |  | 21 |  |  | 1,557 |  |  | 218 |  |  | 2,237 |  |  | 239 |
Total asset-backed | 1,759 |  |  | 46 |  |  | 4,555 |  |  | 823 |  |  | 6,314 |  |  | 869 |
U.S. Treasury and obligations of government-sponsored enterprises | 49 |  |  | 1 |  |  | 41 |  |  | — |  |  | 90 |  |  | 1 |
Foreign government | 118 |  |  | 3 |  |  | 368 |  |  | 27 |  |  | 486 |  |  | 30 |
Total | $ | 9,019 |  |  | $ | 267 |  |  | $ | 18,319 |  |  | $ | 2,773 |  |  | $ | 27,338 |  |  | $ | 3,040 |
The following table presents the estimated fair value and gross unrealized losses of available-for-sale fixed maturity securities in a gross unrealized loss position for which an allowance for credit loss has not been recorded, by ratings distribution.
| March 31, 2025 |  | December 31, 2024
(In millions) | Estimated Fair Value |  | Gross Unrealized Losses |  | Estimated Fair Value |  | Gross Unrealized Losses
U.S. Government, Government agencies and Government-sponsored enterprises | $ | 2,212 |  |  | $ | 322 |  |  | $ | 2,567 |  |  | $ | 373 |
AAA | 1,453 |  |  | 265 |  |  | 1,830 |  |  | 283 |
AA | 3,981 |  |  | 701 |  |  | 4,257 |  |  | 730 |
A | 6,254 |  |  | 527 |  |  | 6,340 |  |  | 582 |
BBB | 10,922 |  |  | 849 |  |  | 11,548 |  |  | 980 |
Non-investment grade | 1,024 |  |  | 103 |  |  | 796 |  |  | 92 |
Total | $ | 25,846 |  |  | $ | 2,767 |  |  | $ | 27,338 |  |  | $ | 3,040 |
Based on current facts and circumstances, the Company believes the unrealized losses presented in the March 31, 2025 securities in a gross unrealized loss position tables above are not indicative of the ultimate collectability of the current amortized cost of the securities, but rather are primarily attributable to changes in risk-free interest rates. In reaching this determination, the Company considered the volatility in risk-free rates and credit spreads as well as the fact that its unrealized losses are concentrated in investment grade issuers. Additionally, the Company has no current intent to sell securities with unrealized losses, nor is it more likely than not that it will be required to sell prior to recovery of amortized cost; accordingly, the Company has determined that there are no additional impairment losses to be recorded as of March 31, 2025. The following tables present the activity related to the allowance on available-for-sale securities with credit impairments and purchased credit-deteriorated (PCD) assets. Accrued interest receivable on available-for-sale fixed maturity securities totaled $456 million, $442 million, and $437 million as of March 31, 2025, December 31, 2024, and March 31, 2024 and is excluded from the estimate of expected credit losses and the amortized cost basis in the table included within this Note.
(In millions) | Corporate and other bonds |  | Asset-backed |  | Total
Allowance for credit losses: |  |  |  |  |
Balance as of January 1, 2025 | $ | 13 |  |  | $ | 32 |  |  | $ | 45 |
Additions to the allowance for credit losses: |  |  |  |  |
Securities for which credit losses were not previously recorded | — |  |  | — |  |  | — |
Available-for-sale securities accounted for as PCD assets | — |  |  | — |  |  | — |
Reductions to the allowance for credit losses: |  |  |  |  |
Securities sold during the period (realized) | — |  |  | — |  |  | — |
Intent to sell or more likely than not will be required to sell the security before recovery of its amortized cost basis | — |  |  | — |  |  | — |
Write-offs charged against the allowance | — |  |  | — |  |  | — |
Recoveries of amounts previously written off | — |  |  | — |  |  | — |
Additional increases or (decreases) to the allowance for credit losses on securities that had an allowance recorded in a previous period | 2 |  |  | — |  |  | 2 |
Balance as of March 31, 2025 | $ | 15 |  |  | $ | 32 |  |  | $ | 47 |
(In millions) | Corporate and other bonds |  | Asset-backed |  | Total
Allowance for credit losses: |  |  |  |  |
Balance as of January 1, 2024 | $ | 4 |  |  | $ | 12 |  |  | $ | 16 |
Additions to the allowance for credit losses: |  |  |  |  |
Securities for which credit losses were not previously recorded | — |  |  | — |  |  | — |
Available-for-sale securities accounted for as PCD assets | — |  |  | — |  |  | — |
Reductions to the allowance for credit losses: |  |  |  |  |
Securities sold during the period (realized) | — |  |  | — |  |  | — |
Intent to sell or more likely than not will be required to sell the security before recovery of its amortized cost basis | 1 |  |  | — |  |  | 1 |
Write-offs charged against the allowance | — |  |  | — |  |  | — |
Recoveries of amounts previously written off | — |  |  | — |  |  | — |
Additional increases or (decreases) to the allowance for credit losses on securities that had an allowance recorded in a previous period | — |  |  | 5 |  |  | 5 |
Balance as of March 31, 2024 | $ | 3 |  |  | $ | 17 |  |  | $ | 20 |
Contractual Maturity The following table presents available-for-sale fixed maturity securities by contractual maturity.
| March 31, 2025 |  | December 31, 2024
(In millions) | Cost or Amortized Cost |  | Estimated Fair Value |  | Cost or Amortized Cost |  | Estimated Fair Value
Due in one year or less | $ | 1,842 |  |  | $ | 1,826 |  |  | $ | 1,761 |  |  | $ | 1,753 |
Due after one year through five years | 11,606 |  |  | 11,371 |  |  | 11,678 |  |  | 11,403 |
Due after five years through ten years | 13,277 |  |  | 12,742 |  |  | 13,134 |  |  | 12,415 |
Due after ten years | 17,264 |  |  | 16,032 |  |  | 16,908 |  |  | 15,540 |
Total | $ | 43,989 |  |  | $ | 41,971 |  |  | $ | 43,481 |  |  | $ | 41,111 |
Actual maturities may differ from contractual maturities because certain securities may be called or prepaid. Securities not due at a single date are allocated based on weighted average life. Investment Commitments As part of its overall investment strategy, the Company invests in various assets which require future purchase, sale or funding commitments. These investments are recorded once funded, and the related commitments may include future capital calls from various third-party limited partnerships, signed and accepted mortgage loan applications, and obligations related to private placement securities. As of March 31, 2025, the Company had commitments to purchase or fund approximately $1,575 million and sell approximately $95 million under the terms of these investments. Mortgage Loans The following table presents the amortized cost basis of mortgage loans for each credit quality indicator by year of origination. The primary credit quality indicators utilized are debt service coverage ratios (DSCR) and loan-to-value ratios (LTV).
March 31, 2025 | Mortgage Loans Amortized Cost Basis by Origination Year (1)
(In millions) | 2025 |  | 2024 |  | 2023 |  | 2022 |  | 2021 |  | Prior |  | Total
DSCR ≥1.6x |  |  |  |  |  |  |  |  |  |  |  |  |
LTV less than 55% | $ | — |  |  | $ | — |  |  | $ | 33 |  |  | $ | 9 |  |  | $ | — |  |  | $ | 209 |  |  | $ | 251 |
LTV 55% to 65% | — |  |  | — |  |  | — |  |  | 15 |  |  | 11 |  |  | 16 |  |  | 42
LTV greater than 65% | — |  |  | — |  |  | 12 |  |  | 31 |  |  | 12 |  |  | — |  |  | 55
DSCR 1.2x - 1.6x |  |  |  |  |  |  |  |  |  |  |  |  |
LTV less than 55% | — |  |  | 60 |  |  | 28 |  |  | 5 |  |  | 2 |  |  | 137 |  |  | 232
LTV 55% to 65% | — |  |  | 41 |  |  | 31 |  |  | 20 |  |  | 30 |  |  | 58 |  |  | 180
LTV greater than 65% | — |  |  | — |  |  | — |  |  | 46 |  |  | — |  |  | — |  |  | 46
DSCR ≤1.2 |  |  |  |  |  |  |  |  |  |  |  |  |
LTV less than 55% | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | 21 |  |  | 21
LTV 55% to 65% | 37 |  |  | — |  |  | 23 |  |  | 73 |  |  | — |  |  | 20 |  |  | 153
LTV greater than 65% | — |  |  | — |  |  | — |  |  | 35 |  |  | 21 |  |  | 48 |  |  | 104
Total | $ | 37 |  |  | $ | 101 |  |  | $ | 127 |  |  | $ | 234 |  |  | $ | 76 |  |  | $ | 509 |  |  | $ | 1,084 |
(1) The values in the table above reflect DSCR on a standardized amortization period and LTV based on the most recent appraised values trended forward using changes in a commercial real estate price index. As of March 31, 2025, accrued interest receivable on mortgage loans totaled $4 million and is excluded from the amortized cost basis disclosed in the table above and the estimate of expected credit losses.

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- Definition The entire disclosure for investment. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 320 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/320/tableOfContent Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Name Accounting Standards Codification -Topic 321 -Publisher FASB -URI https://asc.fasb.org/321/tableOfContent Reference 3: http://www.xbrl.org/2009/role/commonPracticeRef -Name Accounting Standards Codification -Topic 325 -Publisher FASB -URI https://asc.fasb.org/325/tableOfContent + Details
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