Income Taxes (Tables)

9 Months Ended

Sep. 30, 2013

Income Tax Disclosure [Abstract]

Effective Tax Rate Reconciliation

Effective Tax Rate Reconciliation

	Third Quarter						Nine Months
	2013			2012			2013			2012
	(in millions)
Expected tax provision (benefit) at statutory rates in taxable jurisdictions	$	165		$	51		$	241		$	43
Tax-exempt interest	(14		)	(15		)	(43		)	(46		)
Change in liability for uncertain tax positions	4			0			(3		)	1
Other	(3		)	1			(1		)	3
Total provision (benefit) for income taxes	$	152		$	37		$	194		$	1
Effective tax rate	28.2		%	20.6		%	29.7		%	3.7		%

Pretax Income (Loss) by Tax Jurisdiction

Pretax Income (Loss) by Tax Jurisdiction

	Third Quarter				Nine Months
	2013		2012		2013			2012
	(in millions)
United States	$	469	$	145	$	688		$	123
Bermuda	67		34		(35		)	(86		)
UK	0		0		0			0
Total	$	536	$	179	$	653		$	37

Revenue by Tax Jurisdiction

Revenue by Tax Jurisdiction

	Third Quarter				Nine Months
	2013		2012		2013		2012
	(in millions)
United States	$	548	$	284	$	846	$	675
Bermuda	122		54		113		56
UK	0		0		0		0
Total	$	670	$	338	$	959	$	731

Reconciliation of Uncertain Tax Positions

The following table provides a reconciliation of the beginning and ending balances of the total liability for unrecognized tax benefits. The balance of unrecognized tax benefits has been reduced due to the closing of an IRS audit.

	Unrecognized Tax Benefits Rollforward
	Nine Months 2013			Year Ended 2012
	(in millions)
Balance at the beginning of the period	$	22		$	20
Decrease due to closing of IRS audit	(9		)	—
Increase in unrecognized tax benefits as a result of position taken during the current period	6			2
Balance, end of period	$	19		$	22