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Fair Value (Tables) | 3 Months Ended
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Mar. 31, 2025
Fair Value Disclosures [Abstract] |
Assets and liabilities measured at fair value on a recurring basis | Assets and liabilities measured at fair value on a recurring basis are presented in the following tables. Corporate bonds and other includes obligations of the United States of America (U.S.) Treasury, government-sponsored enterprises, foreign governments and redeemable preferred stock.
March 31, 2025 |  |  |  |  |  |  | Total Assets/Liabilities at Fair Value
(In millions) | Level 1 |  | Level 2 |  | Level 3 |
Assets |  |  |  |  |  |  |
Fixed maturity securities: |  |  |  |  |  |  |
Corporate bonds and other | $ | 222 |  |  | $ | 25,043 |  |  | $ | 1,351 |  |  | $ | 26,616 |
States, municipalities and political subdivisions | — |  |  | 6,600 |  |  | 44 |  |  | 6,644 |
Asset-backed | — |  |  | 7,824 |  |  | 889 |  |  | 8,713 |
Total fixed maturity securities | 222 |  |  | 39,467 |  |  | 2,284 |  |  | 41,973 |
Equity securities: |  |  |  |  |  |  |
Common stock | 165 |  |  | — |  |  | 17 |  |  | 182 |
Non-redeemable preferred stock | 35 |  |  | 478 |  |  | — |  |  | 513 |
Total equity securities | 200 |  |  | 478 |  |  | 17 |  |  | 695 |
Short-term and other | 1,368 |  |  | 43 |  |  | — |  |  | 1,411 |
Total assets | $ | 1,790 |  |  | $ | 39,988 |  |  | $ | 2,301 |  |  | $ | 44,079 |
Total liabilities | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |
December 31, 2024 |  |  |  |  |  |  | Total Assets/Liabilities at Fair Value
(In millions) | Level 1 |  | Level 2 |  | Level 3 |
Assets |  |  |  |  |  |  |
Fixed maturity securities: |  |  |  |  |  |  |
Corporate bonds and other | $ | 223 |  |  | $ | 24,340 |  |  | $ | 1,278 |  |  | $ | 25,841 |
States, municipalities and political subdivisions | — |  |  | 6,762 |  |  | 42 |  |  | 6,804 |
Asset-backed | — |  |  | 7,590 |  |  | 876 |  |  | 8,466 |
Total fixed maturity securities | 223 |  |  | 38,692 |  |  | 2,196 |  |  | 41,111 |
Equity securities: |  |  |  |  |  |  |
Common stock | 162 |  |  | — |  |  | 18 |  |  | 180 |
Non-redeemable preferred stock | 36 |  |  | 441 |  |  | 2 |  |  | 479 |
Total equity securities | 198 |  |  | 441 |  |  | 20 |  |  | 659 |
Short-term and other | 1,852 |  |  | 70 |  |  | — |  |  | 1,922 |
Total assets | $ | 2,273 |  |  | $ | 39,203 |  |  | $ | 2,216 |  |  | $ | 43,692 |
Total liabilities | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |
Table of reconciliation for assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs | The tables below present a reconciliation for all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3).
Level 3 (In millions) | Corporate bonds and other |  | States, municipalities and political subdivisions |  | Asset-backed |  | Equity securities |  |  |  | Total
Balance as of January 1, 2025 | $ | 1,278 |  |  | $ | 42 |  |  | $ | 876 |  |  | $ | 20 |  |  |  |  | $ | 2,216 |
Total realized and unrealized investment gains (losses): |  |  |  |  |  |  |  |  |  |  |
Reported in Net investment gains (losses) | — |  |  | — |  |  | — |  |  | 2 |  |  |  |  | 2 |
Reported in Net investment income | — |  |  | — |  |  | 4 |  |  | (1) |  |  |  |  | 3 |
Reported in Other comprehensive income (loss) | 21 |  |  | 2 |  |  | 1 |  |  | — |  |  |  |  | 24 |
Total realized and unrealized investment gains (losses) | 21 |  |  | 2 |  |  | 5 |  |  | 1 |  |  |  |  | 29 |
Purchases | 55 |  |  | — |  |  | 27 |  |  | — |  |  |  |  | 82 |
Sales | — |  |  | — |  |  | — |  |  | — |  |  |  |  | — |
Settlements | (18) |  |  | — |  |  | (19) |  |  | (4) |  |  |  |  | (41) |
Transfers into Level 3 | 15 |  |  | — |  |  | — |  |  | — |  |  |  |  | 15 |
Transfers out of Level 3 | — |  |  | — |  |  | — |  |  | — |  |  |  |  | — |
Balance as of March 31, 2025 | $ | 1,351 |  |  | $ | 44 |  |  | $ | 889 |  |  | $ | 17 |  |  |  |  | $ | 2,301 |
Unrealized gains (losses) on Level 3 assets and liabilities held as of March 31, 2025 recognized in Net income (loss) in the period | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | (1) |  |  |  |  | $ | (1) |
Unrealized gains (losses) on Level 3 assets and liabilities held as of March 31, 2025 recognized in Other comprehensive income (loss) in the period | 21 |  |  | 2 |  |  | 1 |  |  | — |  |  |  |  | 24 |
Level 3 (In millions) | Corporate bonds and other |  | States, municipalities and political subdivisions |  | Asset-backed |  | Equity securities |  |  |  | Total
Balance as of January 1, 2024 | $ | 1,045 |  |  | $ | 44 |  |  | $ | 901 |  |  | $ | 24 |  |  |  |  | $ | 2,014 |
Total realized and unrealized investment gains (losses): |  |  |  |  |  |  |  |  |  |  |
Reported in Net investment gains (losses) | — |  |  | — |  |  | (4) |  |  | — |  |  |  |  | (4) |
Reported in Net investment income | — |  |  | — |  |  | 6 |  |  | 6 |  |  |  |  | 12 |
Reported in Other comprehensive income (loss) | (12) |  |  | (1) |  |  | (5) |  |  | — |  |  |  |  | (18) |
Total realized and unrealized investment gains (losses) | (12) |  |  | (1) |  |  | (3) |  |  | 6 |  |  |  |  | (10) |
Purchases | 74 |  |  | — |  |  | 18 |  |  | — |  |  |  |  | 92 |
Sales | — |  |  | — |  |  | (9) |  |  | (19) |  |  |  |  | (28) |
Settlements | (36) |  |  | — |  |  | (17) |  |  | — |  |  |  |  | (53) |
Transfers into Level 3 | 11 |  |  | — |  |  | — |  |  | — |  |  |  |  | 11 |
Transfers out of Level 3 | — |  |  | — |  |  | (19) |  |  | — |  |  |  |  | (19) |
Balance as of March 31, 2024 | $ | 1,082 |  |  | $ | 43 |  |  | $ | 871 |  |  | $ | 11 |  |  |  |  | $ | 2,007 |
Unrealized gains (losses) on Level 3 assets and liabilities held as of March 31, 2024 recognized in Net income (loss) in the period | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 1 |  |  |  |  | $ | 1 |
Unrealized gains (losses) on Level 3 assets and liabilities held as of March 31, 2024 recognized in Other comprehensive income (loss) in the period | (14) |  |  | (1) |  |  | (5) |  |  | — |  |  |  |  | (20) |
Quantitative information about significant unobservable inputs in the fair value measurement of level 3 assets | The following tables present quantitative information about the significant unobservable inputs utilized by the Company in the fair value measurements of Level 3 assets. Valuations for assets and liabilities not presented in the tables below are primarily based on broker/dealer quotes for which there is a lack of transparency as to inputs used to develop the valuations. The quantitative detail of these unobservable inputs is neither provided nor reasonably available to the Company. The weighted average rate is calculated based on fair value.
March 31, 2025 | Estimated Fair Value (In millions) |  | Valuation Technique(s) |  | Unobservable Input(s) |  | Range (Weighted Average)
Fixed maturity securities | $ | 1,805 |  |  | Discounted cash flow |  | Credit spread |  | 1% - 7% (2%)
December 31, 2024 | Estimated Fair Value (In millions) |  | Valuation Technique(s) |  | Unobservable Input(s) |  | Range (Weighted Average)
Fixed maturity securities | $ | 1,724 |  |  | Discounted cash flow |  | Credit spread |  | 1% - 6% (2%)
Carrying amount and estimated fair value of financial instrument assets and liabilities not measured at fair value | The carrying amount and estimated fair value of the Company's financial assets and liabilities which are not measured at fair value on the Condensed Consolidated Balance Sheets are presented in the following tables.
March 31, 2025 | Carrying Amount |  | Estimated Fair Value
(In millions) |  | Level 1 |  | Level 2 |  | Level 3 |  | Total
Assets |  |  |  |  |  |  |  |  |
Mortgage loans | $ | 1,049 |  |  | $ | — |  |  | $ | — |  |  | $ | 1,035 |  |  | $ | 1,035 |
Liabilities |  |  |  |  |  |  |  |  |
Short-term debt | $ | 500 |  |  | $ | — |  |  | $ | 499 |  |  | $ | — |  |  | $ | 499 |
Long-term debt | 2,474 |  |  | — |  |  | 2,410 |  |  | — |  |  | 2,410 |
December 31, 2024 | Carrying Amount |  | Estimated Fair Value
(In millions) |  | Level 1 |  | Level 2 |  | Level 3 |  | Total
Assets |  |  |  |  |  |  |  |  |
Mortgage loans | $ | 1,019 |  |  | $ | — |  |  | $ | — |  |  | $ | 987 |  |  | $ | 987 |
Liabilities |  |  |  |  |  |  |  |  |
Short-term debt | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |
Long-term debt | 2,973 |  |  | — |  |  | 2,885 |  |  | — |  |  | 2,885 |

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- 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 Reference 1: http://www.xbrl.org/2003/role/exampleRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 103 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482078/820-10-55-103 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (bbb)(2) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (bbb)(1) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 + Details
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- Definition 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. + References Reference 1: http://www.xbrl.org/2003/role/exampleRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 101 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482078/820-10-55-101 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-3 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 + Details
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- Definition Tabular disclosure of the fair value of financial instruments, including financial assets and financial liabilities, and the measurements of those instruments, assets, and liabilities. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 11 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482907/825-10-50-11 + Details
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- Definition 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/2009/role/commonPracticeRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 + Details
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