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Variable Interest Entities and Equity Method Investments
 12 Months Ended
Dec. 31, 2024
Equity Method Investments and Joint Ventures [Abstract]  
Variable Interest Entities and Equity Method Investments
8. Variable Interest Entities and Equity Method Investments
Through our investment activities, we regularly invest in various entities including limited partnerships (“LPs”) and limited liability companies (“LLCs”) and frequently participates in the design with their sponsor, but in most cases, our involvement is limited to financing. Some of these investments have been determined to be variable interest entities (“VIEs”). In certain instances, in addition to an economic interest in the entity, the Company holds the power to direct the most significant activities of the entity and is deemed the primary beneficiary. The Company consolidates all VIEs for which it is the primary beneficiary. The assets of consolidated VIEs are restricted and must first be used to settle their liabilities. Creditors or beneficial interest holders of these VIEs have no recourse to the general credit of the Company, as the Company’s obligation is limited to the amount of its committed investment. The Company has not provided financial or other support to these consolidated VIEs in the form of liquidity arrangements, guarantees or other commitments to third-parties that may affect the fair value or risk of its variable interest in these VIEs as of December 31, 2024 and 2023.
Consolidated Variable Interest Entities
The assets and liabilities relating to the consolidated VIEs from our investment activities included in the financial statements are as follows:
December 31,
20242023
(Dollars in millions)
Available-for-sale fixed maturity securities$107 $63 
Equity securities93 15 
Mortgage loans on real estate, net of allowance206 — 
Private loans, net of allowance1,373 188 
Investment real estate2,046 172 
Real estate partnerships1,398 — 
Investment funds2,331 4 
Short-term investments75 4 
Other invested assets
337 — 
Cash and cash equivalents223 26 
Other assets327 61 
Total assets of consolidated VIEs$8,516 $533 
Notes payable$189 $174 
Other liabilities587 14 
Total liabilities of consolidated VIEs$776 $188 
Unconsolidated Variable Interest Entities
For certain of the Company’s investments in various entities that are determined to be VIEs, the Company is not the primary beneficiary as it does not take an active role in the management of these investments. Such investments are reported in certain investment line items on the statements of financial position, including “Available-for-sale fixed maturity securities, fair value”, “Equity securities, at fair value”, “Mortgage loans on real estate, at amortized cost”, “Investment funds”, “Short-term investments, at estimated fair value” and “Other invested assets”. In some instances, a consolidated VIE involves one or more underlying entities for which the Company is not the primary beneficiary because it does not have the power to direct the most significant activities of these entities. These unconsolidated VIEs that are part of consolidated VIEs are reported primarily in “Real estate and real estate partnerships” on the statements of financial position. Creditors or beneficial interest holders of these VIEs have no recourse to the general credit of the Company, as the Company’s obligation is limited to the amount of its committed investment. The Company has not provided financial or other support to these unconsolidated VIEs in the form of liquidity arrangements, guarantees or other commitments to third-parties that may affect the fair value or risk of its variable interest in these VIEs as of December 31, 2024 and 2023.
The carrying amount and maximum exposure to loss relating to these unconsolidated VIEs are as follows:
December 31,
20242023
Carrying
Amount		Maximum
Exposure to Loss		Carrying
Amount		Maximum
Exposure to Loss
(Dollars in millions)
Available-for-sale fixed maturity securities$2,146 $3,007 $— $— 
Equity securities291 291 — — 
Mortgage loans on real estate, net of allowance716 731 632 632 
Private loans, net of allowance1,160 1,160 — — 
Investment real estate— — — — 
Real estate partnerships2,689 2,720 301 301 
Investment funds— — — — 
Short-term investments99 99 — — 
Other invested assets2,084 2,100 — — 
Cash and cash equivalents7 7 — — 
Total$9,192 $10,115 $933 $933 
Equity Method Investments
The Company’s investments in investment funds, real estate partnerships, and other partnerships, of which substantially all are limited liability companies (“LLCs”) or limited partnerships, are accounted for using the equity method of accounting. As of December 31, 2024 and 2023, the Company’s equity accounted investments totaled $5.3 billion and $4.4 billion, respectively.
As described in Note 2 - Summary of Significant Accounting Policies, the Company generally recognizes its share of earnings in its equity method investments within “Net investment income” using a three-month lag in instances where the investee’s financial information is not sufficiently timely or when the investee’s reporting period differs from the Company’s reporting period.