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Derivatives (Tables)
 6 Months Ended
Jun. 30, 2018
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivatives included in Balance Sheet at fair value
The following derivatives that do not qualify for hedge accounting under GAAP are included in AFG’s Balance Sheet at fair value (in millions):
 
 
 
 
June 30, 2018
 
December 31, 2017
Derivative
 
Balance Sheet Line
 
Asset
 
Liability
 
Asset
 
Liability
MBS with embedded derivatives
 
Fixed maturities
 
$
115

 
$
—

 
$
105

 
$
—

Public company warrants
 
Equity securities
 
3

 
—

 
4

 
—

Fixed-indexed and variable-indexed annuities (embedded derivative)
 
Annuity benefits accumulated
 
—

 
2,776

 
—

 
2,542

Equity index call options
 
Equity index call options
 
615

 
—

 
701

 
—

Equity index put options
 
Other liabilities
 
—

 
—

 
—

 
—

Reinsurance contracts (embedded derivative)
 
Other liabilities
 
—

 
2

 
—

 
4

 
 
 
 
$
733

 
$
2,778

 
$
810

 
$
2,546
Summary of gain (loss) included in the Statement of Earnings for changes in the fair value of derivatives
The following table summarizes the gains (losses) included in AFG’s Statement of Earnings for changes in the fair value of derivatives that do not qualify for hedge accounting for the second quarter and first six months of 2018 and 2017 (in millions): 
 
 
 
 
Three months ended June 30,
 
Six months ended June 30,
Derivative
 
Statement of Earnings Line
 
2018
 
2017
 
2018
 
2017
MBS with embedded derivatives
 
Realized gains (losses) on securities
 
$
(1
)
 
$
(3
)
 
$
(5
)
 
$
(3
)
Public company warrants
 
Realized gains (losses) on securities
 
—

 
—

 
(1
)
 
—

Fixed-indexed and variable-indexed annuities (embedded derivative) (*)
 
Annuity benefits
 
(126
)
 
(112
)
 
(63
)
 
(259
)
Equity index call options
 
Annuity benefits
 
90

 
81

 
52

 
222

Equity index put options
 
Annuity benefits
 
—

 
—

 
—

 
—

Reinsurance contract (embedded derivative)
 
Net investment income
 
1

 
(1
)
 
2

 
(2
)
 
 
 
 
$
(36
)
 
$
(35
)
 
$
(15
)
 
$
(42
)


(*)
The change in fair value of the embedded derivative includes losses related to unlocking of actuarial assumptions of $44 million in both the second quarter and first six months of 2018.