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Shareholders' Equity (Tables) | 12 Months Ended
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Dec. 31, 2019
Stockholders' Equity Note [Abstract] |
Summary of restricted stock awards activity | The restricted Common Stock that AFG has granted generally vests over a four-year period. Data relating to grants of restricted stock is presented below:
| Shares |  | Average Grant Date Fair Value
Outstanding at January 1, 2019 | 865,930 |  |  | $ | 84.06 |
Granted | 232,635 |  |  | $ | 99.28 |
Vested | (167,326 | ) |  | $ | 66.10 |
Forfeited | (11,304 | ) |  | $ | 90.26 |
Outstanding at December 31, 2019 | 919,935 |  |  | $ | 91.10 |
Summary of stock options activity | Data for stock options issued under AFG’s stock incentive plans is presented below:
| Shares |  | Average Exercise Price |  | Average Remaining Contractual Term |  | Aggregate Intrinsic Value (in millions)
Outstanding at January 1, 2019 | 2,667,442 |  |  | $ | 48.20 |  |  |  |  |
Exercised | (747,167 | ) |  | $ | 41.13 |  |  |  |  |
Forfeited/Cancelled | (2,485 | ) |  | $ | 61.88 |  |  |  |  |
Outstanding at December 31, 2019 | 1,917,790 |  |  | $ | 50.93 |  |  | 3.7 years |  | $ | 113 |
Options exercisable at December 31, 2019 | 1,779,941 |  |  | $ | 50.13 |  |  | 3.6 years |  | $ | 107 |
Components of accumulated other comprehensive income (loss) | The progression of the components of accumulated other comprehensive income follows (in millions):
|  |  | Other Comprehensive Income (Loss) |  |  |  |
| AOCI Beginning Balance |  | Pretax |  | Tax |  | Net of tax |  | Attributable to noncontrolling interests |  | Attributable to shareholders |  | Other (c) |  | AOCI Ending Balance
Year ended December 31, 2019 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net unrealized gains on securities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Unrealized holding gains on securities arising during the period |  |  | $ | 997 |  |  | $ | (209 | ) |  | $ | 788 |  |  | $ | — |  |  | $ | 788 |  |  |  |  |
Reclassification adjustment for realized (gains) losses included in net earnings (a) |  |  | (11 | ) |  | 2 |  |  | (9 | ) |  | — |  |  | (9 | ) |  |  |  |
Total net unrealized gains on securities (b) | $ | 83 |  |  | 986 |  |  | (207 | ) |  | 779 |  |  | — |  |  | 779 |  |  | $ | — |  |  | $ | 862 |
Net unrealized gains (losses) on cash flow hedges | (11 | ) |  | 36 |  |  | (8 | ) |  | 28 |  |  | — |  |  | 28 |  |  | — |  |  | 17 |
Foreign currency translation adjustments | (16 | ) |  | 7 |  |  | — |  |  | 7 |  |  | — |  |  | 7 |  |  | — |  |  | (9 | )
Pension and other postretirement plans adjustments | (8 | ) |  | 1 |  |  | — |  |  | 1 |  |  | — |  |  | 1 |  |  | — |  |  | (7 | )
Total | $ | 48 |  |  | $ | 1,030 |  |  | $ | (215 | ) |  | $ | 815 |  |  | $ | — |  |  | $ | 815 |  |  | $ | — |  |  | $ | 863 |
Year ended December 31, 2018 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net unrealized gains (losses) on securities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Unrealized holding losses on securities arising during the period |  |  | $ | (689 | ) |  | $ | 145 |  |  | $ | (544 | ) |  | $ | — |  |  | $ | (544 | ) |  |  |  |
Reclassification adjustment for realized (gains) losses included in net earnings (a) |  |  | 10 |  |  | (2 | ) |  | 8 |  |  | — |  |  | 8 |  |  |  |  |
Total net unrealized gains (losses) on securities (b) | $ | 840 |  |  | (679 | ) |  | 143 |  |  | (536 | ) |  | — |  |  | (536 | ) |  | $ | (221 | ) |  | $ | 83 |
Net unrealized gains (losses) on cash flow hedges | (13 | ) |  | 2 |  |  | — |  |  | 2 |  |  | — |  |  | 2 |  |  | — |  |  | (11 | )
Foreign currency translation adjustments | (6 | ) |  | (9 | ) |  | (1 | ) |  | (10 | ) |  | — |  |  | (10 | ) |  | — |  |  | (16 | )
Pension and other postretirement plans adjustments | (8 | ) |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | (8 | )
Total | $ | 813 |  |  | $ | (686 | ) |  | $ | 142 |  |  | $ | (544 | ) |  | $ | — |  |  | $ | (544 | ) |  | $ | (221 | ) |  | $ | 48 |
Year ended December 31, 2017 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net unrealized gains on securities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Unrealized holding gains on securities arising during the period |  |  | $ | 456 |  |  | $ | (159 | ) |  | $ | 297 |  |  | $ | — |  |  | $ | 297 |  |  |  |  |
Reclassification adjustment for realized (gains) losses included in net earnings (a) |  |  | (15 | ) |  | 5 |  |  | (10 | ) |  | — |  |  | (10 | ) |  |  |  |
Total net unrealized gains on securities (b) | $ | 404 |  |  | 441 |  |  | (154 | ) |  | 287 |  |  | — |  |  | 287 |  |  | $ | 149 |  |  | $ | 840 |
Net unrealized losses on cash flow hedges | (7 | ) |  | (6 | ) |  | 2 |  |  | (4 | ) |  | — |  |  | (4 | ) |  | (2 | ) |  | (13 | )
Foreign currency translation adjustments | (15 | ) |  | 9 |  |  | 3 |  |  | 12 |  |  | — |  |  | 12 |  |  | (3 | ) |  | (6 | )
Pension and other postretirement plans adjustments | (7 | ) |  | 1 |  |  | — |  |  | 1 |  |  | — |  |  | 1 |  |  | (2 | ) |  | (8 | )
Total | $ | 375 |  |  | $ | 445 |  |  | $ | (149 | ) |  | $ | 296 |  |  | $ | — |  |  | $ | 296 |  |  | $ | 142 |  |  | $ | 813 |
(a) The reclassification adjustment out of net unrealized gains (losses) on securities affected the following lines in AFG’s Statement of Earnings:
| OCI component |  | Affected line in the statement of earnings |
| Pretax |  | Realized gains (losses) on securities |
| Tax |  | Provision for income taxes |
(b) | Includes net unrealized gains of $55 million at December 31, 2019 compared to $58 million and $68 million at December 31, 2018 and 2017, related to securities for which only the credit portion of an other-than-temporary impairment has been recorded in earnings.
(c) On January 1, 2018, AFG adopted new guidance that requires all equity securities other than those accounted for under the equity method to be reported at fair value with holding gains and losses recognized in net earnings. At the date of adoption, the $221 million net unrealized gain on equity securities classified as available for sale (with unrealized holding gains and losses reported in AOCI) under the prior guidance was reclassified from AOCI to retained earnings as the cumulative effect of an accounting change. Other also includes the December 2017 reclassification of $145 million stranded in AOCI from accounting for the Tax Cuts and Jobs Act of 2017 to retained earnings (see Note A — “Accounting Policies — Income Taxes”) and the impact on AOCI of the December 2017 sale of redeemable noncontrolling interests in Neon.

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