Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2011

Fair Value Measurements [Abstract]

Assets and liabilities measured at fair value

	Level 1		Level 2		Level 3		Total
2011
Assets:
Available for sale (“AFS”) fixed maturities:
U.S. Government and government agencies	$	248	$	134	$	—	$	382
States, municipalities and political subdivisions		—		3,794		83		3,877
Foreign government		—		254		—		254
Residential MBS		—		3,487		361		3,848
Commercial MBS		—		2,821		19		2,840
All other corporate		9		10,078		519		10,606
Total AFS fixed maturities		257		20,568		982		21,807
Trading fixed maturities		—		439		1		440
Equity securities		888		29		11		928
Assets of managed investment entities (“MIE”)		290		2,724		44		3,058
Variable annuity assets (separate accounts) (a)		—		548		—		548
Other investments		—		71		—		71
Total assets accounted for at fair value	$	1,435	$	24,379	$	1,038	$	26,852
Liabilities:
Liabilities of managed investment entities	$	194	$	—	$	2,593	$	2,787
Derivatives in annuity benefits accumulated		—		—		395		395
Total liabilities accounted for at fair value	$	194	$	—	$	2,988	$	3,182
2010
Assets:
Available for sale fixed maturities:
U.S. Government and government agencies	$	251	$	216	$	—	$	467
States, municipalities and political subdivisions		—		2,919		20		2,939
Foreign government		—		278		—		278
Residential MBS		—		3,563		312		3,875
Commercial MBS		—		2,117		6		2,123
All other corporate		9		9,201		436		9,646
Total AFS fixed maturities		260		18,294		774		19,328
Trading fixed maturities		—		390		3		393
Equity securities		461		208		21		690
Assets of managed investment entities		96		2,393		48		2,537
Variable annuity assets (separate accounts) (a)		—		616		—		616
Other investments		—		98		—		98
Total assets accounted for at fair value	$	817	$	21,999	$	846	$	23,662
Liabilities:
Liabilities of managed investment entities	$	65	$	—	$	2,258	$	2,323
Derivatives in annuity benefits accumulated		—		—		190		190
Total liabilities accounted for at fair value	$	65	$	—	$	2,448	$	2,513

(a) Variable annuity liabilities equal the fair value of variable annuity assets.

Changes in balances of Level 3 financial assets and liabilities

				Total
				realized/unrealized
				gains (losses)
				included in
							Other
	Balance at						comp.			Purchases						Transfer		Transfer			Balance at
	December 31,			Net			income			and			Sales and			into		out of			December 31,
	2010			income			(loss)			issuances			settlements			Level 3		Level 3			2011
AFS fixed maturities:
State and municipal	$	20		$	—		$	4		$	58			(4	)	$	17	$	(12	)	$	83
Residential MBS		312			3			(9	)		42			(38	)		127		(76	)		361
Commercial MBS		6			1			—			9			—			13		(10	)		19
All other corporate		436			2			15			236			(72	)		90		(188	)		519
Trading fixed maturities		3			—			—			—			—			—		(2	)		1
Equity securities		21			—			1			2			(2	)		2		(13	)		11
Assets of MIE		48			(8	)		—			32			(18	)		9		(19	)		44
Liabilities of MIE (*)		(2,258	)		—			—			(401	)		66			—		—			(2,593	)
Embedded derivatives		(190	)		(29	)		—			(200	)		24			—		—			(395	)

(*) Total realized/unrealized loss included in net income includes losses of $3 million related to liabilities outstanding as of December 31, 2011. See Note H — “Managed Investment Entities.”

							Total
							realized/unrealized
							gains (losses)
							included in
				Consolidate						Other			Purchases,
	Balance at			Managed						comp.			sales,			Transfer		Transfer			Balance at
	December 31,			Inv.			Net			income			issuances and			into		out of			December 31,
	2009			Entities			income			(loss)			settlements			Level 3		Level 3			2010
AFS fixed maturities:
State and municipal	$	23		$	—		$	—		$	1		$	(4	)	$	17	$	(17	)	$	20
Residential MBS		435			—			7			26			17			27		(200	)		312
Commercial MBS		—			—			—			—			6			—		—			6
All other corporate		311			(6	)		(10	)		10			100			118		(87	)		436
Trading fixed maturities		1			—			—			—			4			2		(4	)		3
Equity securities		25			—			—			(1	)		—			—		(3	)		21
Assets of MIE		—			90			8			—			(16	)		26		(60	)		48
Liabilities of MIE (*)		—			(2,084	)		(220	)		—			46			—		—			(2,258	)
Embedded derivatives		(113	)		—			(20	)		—			(57	)		—		—			(190	)

(*) Total realized/unrealized loss included in net income includes losses of $213 million related to liabilities outstanding as of December 31, 2010. See Note H — “Managed Investment Entities.”

				Total
				realized/unrealized
				gains (losses)					Purchases,		Net
	Balance at			included in					sales,		Transfer			Balance at
	December 31,						Other comp.		issuances and		out of			December 31,
	2008			Net income			income (loss)		settlements		Level 3			2009
AFS fixed maturities	$	706		$	7		$	89	$	292	$	(325	)	$	769
Trading fixed maturities		1			—			—		—		—			1
Equity securities		44			(13	)		1		1		(8	)		25
Other assets		5			—			—		—		(5	)		—
Embedded derivatives		(96	)		(29	)		—		12		—			(113	)

Fair value of financial instruments

	2011				2010
	Carrying		Fair		Carrying		Fair
	Value		Value		Value		Value
Assets:
Cash and cash equivalents	$	1,324	$	1,324	$	1,099	$	1,099
Fixed maturities		22,247		22,247		19,721		19,721
Equity securities		928		928		690		690
Mortgage loans		401		401		468		469
Policy loans		252		252		264		264
Other investments — derivatives		71		71		98		98
Assets of managed investment entities		3,058		3,058		2,537		2,537
Variable annuity assets (separate accounts)		548		548		616		616
Liabilities:
Annuity benefits accumulated (*)	$	15,219	$	15,314	$	12,696	$	12,233
Long-term debt		934		1,010		952		1,023
Liabilities of managed investment entities		2,787		2,787		2,323		2,323
Variable annuity liabilities (separate accounts)		548		548		616		616
Other liabilities — derivatives		23		23		14		14

(*) Excludes life contingent annuities in the payout phase.