Shareholders' Equity (Tables)

9 Months Ended

Sep. 30, 2021

Stockholders' Equity Note [Abstract]

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		AOCI Ending Balance
Quarter ended September 30, 2021
Net unrealized gains (losses) on securities:
Unrealized holding losses on securities arising during the period			$	(37)	$	8	$	(29)	$	—	$	(29)
Reclassification adjustment for realized (gains) losses included in net earnings (*)			2		—		2		—		2
Total net unrealized gains (losses) on securities	$	205	(35)		8		(27)		—		(27)		$	—	$	178
Foreign currency translation adjustments	(16)		(3)		—		(3)		—		(3)		—		(19)
Pension and other postretirement plans adjustments (“OPRP”)	1		—		—		—		—		—		—		1
Total	$	190	$	(38)	$	8	$	(30)	$	—	$	(30)	$	—	$	160
Quarter ended September 30, 2020
Net unrealized gains on securities:
Unrealized holding gains on securities arising during the period			$	245	$	(51)	$	194	$	—	$	194
Reclassification adjustment for realized (gains) losses included in net earnings (*)			(15)		3		(12)		—		(12)
Total net unrealized gains on securities	$	1,030	230		(48)		182		—		182		$	—	$	1,212
Net unrealized gains (losses) on cash flow hedges:
Unrealized holding gains on cash flow hedges arising during the period			1		—		1		—		1
Reclassification adjustment for investment income included in net earnings from discontinued operations			(8)		1		(7)		—		(7)
Total net unrealized gains (losses) on cash flow hedges	47		(7)		1		(6)		—		(6)		—		41
Foreign currency translation adjustments	(17)		—		—		—		—		—		4		(13)
Pension and other postretirement plans adjustments	(7)		—		—		—		—		—		—		(7)
Total	$	1,053	$	223	$	(47)	$	176	$	—	$	176	$	4	$	1,233

			Other Comprehensive Income (Loss)
	AOCI Beginning Balance		Pretax		Tax		Net of tax		Attributable to noncontrolling interests		Attributable to shareholders		Other		AOCI Ending Balance
Nine months ended September 30, 2021
Net unrealized gains (losses) on securities:
Unrealized holding losses on securities arising during the period			$	(224)	$	47	$	(177)	$	—	$	(177)
Reclassification adjustment for realized (gains) losses included in net earnings (*)			(21)		5		(16)		—		(16)
Reclassification for unrealized gains of subsidiaries sold			(1,119)		235		(884)		—		(884)
Total net unrealized gains (losses) on securities	$	1,255	(1,364)		287		(1,077)		—		(1,077)		$	—	$	178
Net unrealized gains (losses) on cash flow hedges:
Unrealized holding losses on cash flow hedges arising during the period			(1)		—		(1)		—		(1)
Reclassification adjustment for investment income included in net earnings from discontinued operations			(14)		3		(11)		—		(11)
Reclassification for unrealized gains on cash flow hedges of subsidiaries sold			(37)		8		(29)		—		(29)
Total net unrealized gains (losses) on cash flow hedges	41		(52)		11		(41)		—		(41)		—		—
Foreign currency translation adjustments	(16)		(3)		—		(3)		—		(3)		—		(19)
Pension and OPRP adjustments:
Unrealized holding losses on pension and OPRP arising during the period			(1)		—		(1)		—		(1)
Reclassification adjustment for pension settlement loss included in other expense in net earnings			11		(2)		9		—		9
Total pension and OPRP adjustments	(7)		10		(2)		8		—		8		—		1
Total	$	1,273	$	(1,409)	$	296	$	(1,113)	$	—	$	(1,113)	$	—	$	160
Nine months ended September 30, 2020
Net unrealized gains on securities:
Unrealized holding gains on securities arising during the period			$	443	$	(93)	$	350	$	—	$	350
Reclassification adjustment for realized (gains) losses included in net earnings (*)			—		—		—		—		—
Total net unrealized gains on securities	$	862	443		(93)		350		—		350		$	—	$	1,212
Net unrealized gains on cash flow hedges:
Unrealized holding gains on cash flow hedges arising during the period			62		(13)		49		—		49
Reclassification adjustment for investment income included in net earnings from discontinued operations			(31)		6		(25)		—		(25)
Total net unrealized gains on cash flow hedges	17		31		(7)		24		—		24		—		41
Foreign currency translation adjustments	(9)		(6)		—		(6)		(2)		(8)		4		(13)
Pension and other postretirement plans adjustments	(7)		—		—		—		—		—		—		(7)
Total	$	863	$	468	$	(100)	$	368	$	(2)	$	366	$	4	$	1,233

(*)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 - continuing operations	Realized gains (losses) on securities
Pretax - discontinued operations	Net earnings (loss) from discontinued operations
Tax - continuing operations	Provision (credit) for income taxes
Tax - discontinued operations	Net earnings (loss) from discontinued operations