Employee and Agent Benefits (Tables)

12 Months Ended

Dec. 31, 2011

Defined Benefit Plans and Other Postretirement Benefit Plans

Obligations and Funded Status (Table)

	Pension benefits						Other postretirement benefits
	December 31,						December 31,
	2011			2010			2011			2010
	(in millions)
Change in benefit obligation
Benefit obligation at beginning of year	$	(1,933.8	)	$	(1,797.4	)	$	(162.6	)	$	(360.1	)
Service cost		(44.0	)		(45.6	)		(1.2	)		(8.8	)
Interest cost		(108.5	)		(105.7	)		(8.9	)		(18.1	)
Actuarial gain (loss)		(151.3	)		(59.6	)		2.6			62.5
Participant contributions		—			—			(6.4	)		(6.0	)
Benefits paid		73.6			70.2			13.9			15.3
Amount recognized due to special events		—			—			(0.4	)		(0.2	)
Plan amendment		—			—			—			153.6
Early retiree reinsurance program reimbursement		—			—			(1.2	)		—
Other		5.6			4.3			(0.9	)		(0.8	)
Benefit obligation at end of year	$	(2,158.4	)	$	(1,933.8	)	$	(165.1	)	$	(162.6	)
Change in plan assets
Fair value of plan assets at beginning of year	$	1,417.7		$	1,250.3		$	471.7		$	421.5
Actual return on plan assets		4.1			181.1			1.3			58.1
Employer contribution		80.8			56.5			1.1			1.4
Participant contributions		—			—			6.4			6.0
Benefits paid		(73.6	)		(70.2	)		(13.9	)		(15.3	)
Fair value of plan assets at end of year	$	1,429.0		$	1,417.7		$	466.6		$	471.7
Amount recognized in statement of financial position
Other assets	$	—		$	—		$	301.7		$	309.4
Other liabilities		(729.4	)		(516.1	)		(0.2	)		(0.3	)
Total	$	(729.4	)	$	(516.1	)	$	301.5		$	309.1
Amount recognized in accumulated other comprehensive (income) loss
Total net actuarial loss	$	660.0		$	469.7		$	40.1		$	10.2
Prior service benefit		(30.5	)		(41.6	)		(114.1	)		(148.8	)
Pre-tax accumulated other comprehensive (income) loss	$	629.5		$	428.1		$	(74.0	)	$	(138.6	)

Components of Net Periodic Benefit Cost (Income) (Table)

	Pension benefits									Other postretirement benefits
	For the year ended December 31,
	2011			2010			2009			2011			2010			2009
	(in millions)
Service cost	$	44.0		$	45.6		$	51.4		$	1.2		$	8.8		$	11.3
Interest cost		108.5			105.7			100.8			8.9			18.1			19.7
Expected return on plan assets		(114.4	)		(98.4	)		(79.5	)		(34.1	)		(30.6	)		(25.9	)
Amortization of prior service benefit		(9.7	)		(10.1	)		(7.7	)		(29.3	)		(9.1	)		(2.1	)
Recognized net actuarial loss		65.7			67.6			92.6			0.4			4.1			9.3
Amount recognized due to special events		(1.4	)		(0.9	)		—			(5.1	)		(2.6	)		—
Net periodic benefit cost (income)	$	92.7		$	109.5		$	157.6		$	(58.0	)	$	(11.3	)	$	12.3

Amounts Recognized in Net Periodic Benefit Cost and Accumulated Other Comprehensive (Income) Loss (Table)

	Pension benefits						Other postretirement benefits
	For the year ended December 31,
	2011			2010			2011			2010
	(in millions)
Other changes recognized in accumulated other comprehensive (income) loss
Net actuarial (gain) loss	$	256.0		$	(27.5	)	$	30.6		$	(89.8	)
Prior service benefit		—			—			—			(153.7	)
Amortization of net loss		(65.7	)		(67.6	)		(0.7	)		(4.1	)
Amortization of prior service benefit		11.1			11.0			34.7			11.7
Total recognized in pre-tax accumulated other comprehensive (income) loss	$	201.4		$	(84.1	)	$	64.6		$	(235.9	)
Total recognized in net periodic benefit cost and pre-tax accumulated other comprehensive (income) loss	$	294.1		$	25.4		$	6.6		$	(247.2	)

Weighted-Average Assumptions Used to Determine Benefit Obligations (Table)

	Pension benefits						Other postretirement benefits
	For the year ended December 31,
	2011			2010			2011			2010
Discount rate		5.15	%		5.65	%		5.15	%		5.65	%
Rate of compensation increase		5.00	%		5.00	%		5.00	%		5.00	%

Weighted-Average Assumptions Used to Determine Net Periodic Benefit Cost (Table)

	Pension benefits									Other postretirement benefits
	For the year ended December 31,
	2011			2010			2009			2011			2010			2009
Discount rate		5.65	%		6.00	%		6.00	%		5.65	%		6.00	%		6.00	%
Expected long-term return on plan assets		8.00	%		8.00	%		8.00	%		7.30	%		7.30	%		7.30	%
Rate of compensation increase		5.00	%		5.00	%		5.00	%		5.00	%		5.00	%		5.00	%

Assumed Health Care Cost Trend Rates (Table)

	December 31,
	2011			2010
Health care cost trend rate assumed for next year under age 65		9.5	%		9.5	%
Health care cost trend rate assumed for next year age 65 and over		9.0	%		9.0	%
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate)		5.0	%		5.0	%
Year that the rate reaches the ultimate trend rate		2023			2022

Effects of One-Percentage-Point Change in Assumed Health Care Cost Trend Rates (Table)

	1-percentage- point increase			1-percentage- point decrease
	(in millions)
Effect on total of service cost and interest cost components	$	0.6		$	(0.6	)
Effect on accumulated postretirement benefit obligation		(9.4	)		8.2

Estimated Future Benefit Payments (Table)

	Pension benefits		Other postretirement benefits (gross benefit payments, including prescription drug benefits)		Amount of Medicare Part D subsidy receipts
	(in millions)
Year ending December 31:
2012	$	83.2	$	20.1	$	0.9
2013		92.0		21.1		1.0
2014		96.0		22.2		1.1
2015		101.4		23.0		1.1
2016		107.4		23.9		1.2
2017-2021		632.5		127.9		6.6

Defined Benefit Pension Plans Supplemental Information (Table)

	For the year ended December 31,
	2011									2010
	Qualified plan			Nonqualified plans			Total			Qualified plan			Nonqualified plans			Total
	(in millions)
Amount recognized in statement of financial position
Other assets	$	—		$	—		$	—		$	—		$	—		$	—
Other liabilities		(405.9	)		(323.5	)		(729.4	)		(210.8	)		(305.3	)		(516.1	)
Total	$	(405.9	)	$	(323.5	)	$	(729.4	)	$	(210.8	)	$	(305.3	)	$	(516.1	)
Amount recognized in accumulated other comprehensive loss
Total net actuarial loss	$	586.3		$	73.7		$	660.0		$	404.1		$	65.6		$	469.7
Prior service cost benefit		(19.2	)		(11.3	)		(30.5	)		(26.6	)		(15.0	)		(41.6	)
Total pre-tax accumulated other comprehensive loss	$	567.1		$	62.4		$	629.5		$	377.5		$	50.6		$	428.1
Components of net periodic benefit cost
Service cost	$	39.3		$	4.7		$	44.0		$	39.3		$	6.3		$	45.6
Interest cost		91.7			16.8			108.5			88.2			17.5			105.7
Expected return on plan assets		(114.4	)		—			(114.4	)		(98.4	)		—			(98.4	)
Amortization of prior service cost benefit		(6.5	)		(3.2	)		(9.7	)		(6.6	)		(3.5	)		(10.1	)
Recognized net actuarial loss		61.1			4.6			65.7			62.5			5.1			67.6
Amount recognized due to special events		(0.9	)		(0.5	)		(1.4	)		(0.6	)		(0.3	)		(0.9	)
Net periodic benefit cost	$	70.3		$	22.4		$	92.7		$	84.4		$	25.1		$	109.5
Other changes recognized in accumulated other comprehensive (income) loss
Net actuarial (gain) loss	$	243.3		$	12.7		$	256.0		$	(28.4	)	$	0.9		$	(27.5	)
Prior service benefit		—			—			—			—			—			—
Amortization of net loss		(61.1	)		(4.6	)		(65.7	)		(62.5	)		(5.1	)		(67.6	)
Amortization of prior service cost benefit		7.3			3.8			11.1			7.3			3.7			11.0
Total recognized in pre-tax accumulated other comprehensive (income) loss	$	189.5		$	11.9		$	201.4		$	(83.6	)	$	(0.5	)	$	(84.1	)
Total recognized in net periodic benefit cost and pre-tax accumulated other comprehensive loss	$	259.8		$	34.3		$	294.1		$	0.8		$	24.6		$	25.4

Pension benefits

Defined Benefit Plans and Other Postretirement Benefit Plans

Accumulated Benefit Obligation in Excess of Plan Assets (Table)

	December 31,
	2011		2010
	(in millions)
Projected benefit obligation	$	2,158.4	$	1,933.8
Accumulated benefit obligation		2,027.8		1,811.7
Fair value of plan assets		1,429.0		1,417.7

Fair Value of Plan Assets (Table)

	As of December 31, 2011
	Assets/ (liabilities) measured at fair value		Fair value hierarchy level
			Level 1		Level 2		Level 3
	(in millions)
Asset category
U.S. large cap equity portfolios (1)	$	593.6	$	—	$	593.6	$	—
U.S. small/mid cap equity portfolios (2)		139.0		—		139.0		—
International equity portfolios (3)		216.5		—		216.5		—
Fixed income security portfolios (4)		347.8		—		347.8		—
Real estate investment portfolios:
Real estate investment trusts (5)		37.4		—		37.4		—
Direct real estate investments (6)		94.7		—		94.7		—
Total	$	1,429.0	$	—	$	1,429.0	$	—

	As of December 31, 2010
			Fair value hierarchy level
	Assets/(liabilities) measured at fair value
			Level 1		Level 2		Level 3
	(in millions)
Asset category
U.S. large cap equity portfolios (1)	$	580.9	$	—	$	580.9	$	—
U.S. small/mid cap equity portfolios (2)		143.5		—		143.5		—
International equity portfolios (3)		241.7		—		241.7		—
Fixed income security portfolios (4)		331.5		—		331.5		—
Real estate investment portfolios:
Real estate investment trusts (5)		35.4		—		35.4		—
Direct real estate investments (6)		84.7		—		—		84.7
Total	$	1,417.7	$	—	$	1,333.0	$	84.7

(1)

The portfolios invest primarily in publicly traded equity securities of large U.S. companies.

(2)

The portfolios invest primarily in publicly traded equity securities of mid-sized and small U.S. companies.

(3)

The portfolios invest primarily in publicly traded equity securities of non-U.S. companies.

(4)

The portfolios invest in various fixed income securities, primarily of U.S. origin. These include, but are not limited to, corporate bonds, mortgage-backed securities, commercial mortgage-backed securities, U.S. Treasury securities, agency securities, asset-backed securities and collateralized mortgage obligations.

(5)

The portfolio invests primarily in publicly traded securities of U.S. equity real estate investment trusts.

(6)

The portfolio invests primarily in U.S. commercial real estate properties.

Reconciliation of Plan Assets Measured at Fair Value Using Significant Unobservable Inputs (Table)

	For the year ended December 31, 2011
			Actual return gains (losses) on plan assets
	Beginning asset balance as of December 31, 2010		Relating to assets still held at the reporting date		Relating to assets sold during the period		Purchases, sales and settlements		Transfers into Level 3		Transfers out of Level 3			Ending asset balance as of December 31, 2011
			(in millions)
Asset category
Direct real estate investments	$	84.7	$	1.6	$	—	$	1.0	$	—	$	(87.3	)	$	—
Total	$	84.7	$	1.6	$	—	$	1.0	$	—	$	(87.3	)	$	—

	For the year ended December 31, 2010
			Actual return gains (losses) on plan assets
	Beginning asset balance as of December 31, 2009		Relating to assets still held at the reporting date		Relating to assets sold during the period		Purchases, sales and settlements		Transfers in (out) of Level 3		Ending asset balance as of December 31, 2010
	(in millions)
Asset category
Direct real estate investments	$	54.0	$	10.7	$	—	$	20.0	$	—	$	84.7
Total	$	54.0	$	10.7	$	—	$	20.0	$	—	$	84.7

Target Asset Allocation (Table)

Asset category	Target allocation
U.S. equity portfolios		35% – 60%
International equity portfolios		5% – 20%
Fixed income security portfolios		20% – 40%
Real estate investment portfolios		3% – 10%

Other postretirement benefits

Defined Benefit Plans and Other Postretirement Benefit Plans

Accumulated Benefit Obligation in Excess of Plan Assets (Table)

	December 31,
	2011		2010
	(in millions)
Accumulated postretirement benefit obligation	$	1.5	$	1.5
Fair value of plan assets		1.3		1.4

Fair Value of Plan Assets (Table)

	As of December 31, 2011
	Assets/ (liabilities) measured at fair value		Fair value hierarchy level
			Level 1		Level 2		Level 3
	(in millions)
Asset category
Cash and cash equivalents	$	1.8	$	1.8	$	—	$	—
Fixed income security portfolios:
Fixed income investment funds (1)		153.0		153.0		—		—
Principal Life general account investment (2)		42.5		—		—		42.5
U.S. equity portfolios (3)		225.3		184.1		41.2		—
International equity portfolios (4)		44.0		33.6		10.4		—
Total	$	466.6	$	372.5	$	51.6	$	42.5

	As of December 31, 2010
	Assets/ (liabilities) measured at fair value		Fair value hierarchy level
			Level 1		Level 2		Level 3
	(in millions)
Asset category
Cash and cash equivalents	$	1.3	$	1.3	$	—	$	—
Fixed income security portfolios:
Fixed income investment funds (1)		143.5		143.5		—		—
Principal Life general account investment (2)		44.5		—		—		44.5
U.S. equity portfolios (3)		232.2		190.0		42.2		—
International equity portfolios (4)		50.2		38.3		11.9		—
Total	$	471.7	$	373.1	$	54.1	$	44.5

(1)

The portfolios invest in various fixed income securities, primarily of U.S. origin. These include, but are not limited to, corporate bonds, mortgage-backed securities, commercial mortgage-backed securities, U.S. Treasury securities, agency securities, asset-backed securities and collateralized mortgage obligations.

(2)

The general account is invested in various fixed income securities.

(3)

The portfolios invest primarily in publicly traded equity securities of large U.S. companies.

(4)

The portfolios invest primarily in publicly traded equity securities of non-U.S. companies.

Reconciliation of Plan Assets Measured at Fair Value Using Significant Unobservable Inputs (Table)

	For the year ended December 31, 2011
			Actual return gains (losses) on plan assets
	Beginning asset balance as of December 31, 2010
			Relating to assets still held at the reporting date		Relating to assets sold during the period		Purchases, sales and settlements			Transfers into Level 3		Transfers out of Level 3		Ending asset balance as of December 31, 2011
			(in millions)
Asset category
Principal Life general account investment	$	44.5	$	3.0	$	—	$	(5.0	)	$	—	$	—	$	42.5
Total	$	44.5	$	3.0	$	—	$	(5.0	)	$	—	$	—	$	42.5

	For the year ended December 31, 2010
			Actual return gains (losses) on plan assets
	Beginning asset balance as of December 31, 2009
			Relating to assets still held at the reporting date		Relating to assets sold during the period		Purchases, sales and settlements			Transfers in (out) of Level 3		Ending asset balance as of December 31, 2010
	(in millions)
Asset category
Principal Life general account investment	$	45.5	$	4.3	$	—	$	(5.3	)	$	—	$	44.5
Total	$	45.5	$	4.3	$	—	$	(5.3	)	$	—	$	44.5

Target Asset Allocation (Table)

Asset category	Target allocation
U.S. equity portfolios		45% – 65%
International equity portfolios		5% – 15%
Fixed income security portfolios		30% – 50%