Derivative Instruments (Tables)

9 Months Ended

Sep. 30, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Notional Amount and Fair Value of Derivative Instruments

The following table presents the notional amount and fair value of derivative instruments:

	September 30, 2023					December 31, 2022
	Notional Amount	Fair Value				Notional Amount	Fair Value
(In millions)		Assets		Liabilities			Assets		Liabilities
Derivatives designated as hedges
Foreign currency hedges
Swaps	8,240	$	647	$	167	6,677	$	747	$	154
Forwards	6,381	437		40		6,283	406		52
Interest rate swaps	4,468	—		809		4,468	—		803
Forwards on net investments	219	3		—		216	2		—
Interest rate swaps	10,031	14		203		9,332	9		150
Total derivatives designated as hedges		1,101		1,219			1,164		1,159
Derivatives not designated as hedges
Equity options	71,579	2,530		101		65,089	1,374		114
Futures	30	69		8		18	33		—
Foreign currency swaps	4,549	278		108		3,563	251		112
Interest rate swaps	482	79		—		488	74		—
Other swaps	180	—		3		89	—		4
Foreign currency forwards	22,322	514		453		16,376	413		257
Embedded derivatives
Funds withheld including related parties		(5,953)		(89)			(6,272)		(77)
Interest sensitive contract liabilities		—		7,345			—		5,841
Total derivatives not designated as hedges		(2,483)		7,929			(4,127)		6,251
Total derivatives		$	(1,382)	$	9,148		$	(2,963)	$	7,410

Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block]

The following represents the carrying amount and the cumulative fair value hedging adjustments included in the hedged assets or liabilities:

	September 30, 2023				December 31, 2022
(In millions)	Carrying amount of the hedged assets or liabilities1		Cumulative amount of fair value hedging gains (losses)		Carrying amount of the hedged assets or liabilities1		Cumulative amount of fair value hedging gains (losses)
AFS securities
Foreign currency forwards	$	5,372	$	(245)	$	5,259	$	(217)
Foreign currency swaps	5,448		(452)		4,797		(398)
Interest sensitive contract liabilities
Foreign currency swaps	1,369		90		1,081		88
Foreign currency interest rate swaps	3,724		647		4,348		632
Interest rate swaps	6,711		386		6,577		323
1 The carrying amount disclosed for AFS securities is amortized cost.

The following is a summary of the gains (losses) related to the derivatives and related hedged items in fair value hedge relationships:

							Amount Excluded
(In millions)	Derivatives		Hedged Items		Net		Recognized in income through amortization approach		Recognized in income through changes in fair value
Three months ended September 30, 2023
Investment related gains (losses)
Foreign currency forwards	$	179	$	(187)	$	(8)	$	21	$	5
Foreign currency swaps	161		(166)		(5)		—		—
Foreign currency interest rate swaps	(90)		95		5		—		—
Interest rate swaps	(74)		63		(11)		—		—
Interest sensitive contract benefits
Foreign currency interest rate swaps	16		(14)		2		—		—
Three months ended September 30, 2022
Investment related gains (losses)
Foreign currency forwards	$	288	$	(290)	$	(2)	$	18	$	—
Foreign currency swaps	256		(283)		(27)		—		—
Foreign currency interest rate swaps	(379)		384		5		—		—
Interest rate swaps	(268)		264		(4)		—		—
Interest sensitive contract benefits
Foreign currency interest rate swaps	12		(14)		(2)		—		—

							Amount Excluded
(In millions)	Derivatives		Hedged Items		Net		Recognized in income through amortization approach		Recognized in income through changes in fair value
Nine months ended September 30, 2023
Investment related gains (losses)
Foreign currency forwards	$	74	$	(77)	$	(3)	$	66	$	12
Foreign currency swaps	59		(57)		2		—		—
Foreign currency interest rate swaps	(5)		15		10		—		—
Interest rate swaps	(92)		79		(13)		—		—
Interest sensitive contract benefits
Foreign currency interest rate swaps	44		(44)		—		—		—
Nine months ended September 30, 2022
Investment related gains (losses)
Foreign currency forwards	$	616	$	(648)	$	(32)	$	48	$	1
Foreign currency swaps	589		(630)		(41)		—		—
Foreign currency interest rate swaps	(873)		879		6		—		—
Interest rate swaps	(345)		357		12		—		—
Interest sensitive contract benefits
Foreign currency interest rate swaps	37		(37)		—		—		—

The following is a summary of the gains (losses) excluded from the assessment of hedge effectiveness that were recognized in OCI:

	Three months ended September 30,				Nine months ended September 30,
(In millions)	2023		2022		2023		2022
Foreign currency forwards	$	(65)	$	(20)	$	(63)	$	(77)
Foreign currency swaps	(239)		51		(182)		60

Gains (Losses) Related to Derivatives Not Designated as Hedges

The following is a summary of the gains (losses) related to derivatives not designated as hedges:

	Three months ended September 30,				Nine months ended September 30,
(In millions)	2023		2022		2023		2022
Equity options	$	(951)	$	(449)	$	390	$	(2,728)
Futures	(73)		(34)		22		(153)
Swaps	(24)		132		38		121
Foreign currency forwards	146		454		(191)		971
Embedded derivatives on funds withheld	(780)		(1,839)		(439)		(7,041)
Amounts recognized in investment related gains (losses)	(1,682)		(1,736)		(180)		(8,830)
Embedded derivatives in indexed annuity products1	1,251		526		(277)		3,079
Total gains (losses) on derivatives not designated as hedges	$	(431)	$	(1,210)	$	(457)	$	(5,751)
1 Included in interest sensitive contract benefits on the condensed consolidated statements of income (loss).

Estimated Fair Value of Net Derivative and Other Financial Assets

The estimated fair value of our net derivative and other financial assets and liabilities after the application of master netting agreements and collateral were as follows:

			Gross amounts not offset on the condensed consolidated balance sheets
(In millions)	Gross amount recognized1		Financial instruments2		Collateral (received)/pledged		Net amount		Off-balance sheet securities collateral3		Net amount after securities collateral
September 30, 2023
Derivative assets	$	4,571	$	(1,665)	$	(3,140)	$	(234)	$	—	$	(234)
Derivative liabilities	(1,892)		1,665		655		428		—		428
December 31, 2022
Derivative assets	$	3,309	$	(1,477)	$	(1,952)	$	(120)	$	—	$	(120)
Derivative liabilities	(1,646)		1,477		478		309		—		309
1 The gross amounts of recognized derivative assets and derivative liabilities are reported on the condensed consolidated balance sheets. As of September 30, 2023 and December 31, 2022, amounts not subject to master netting or similar agreements were immaterial.
2 Represents amounts offsetting derivative assets and derivative liabilities that are subject to an enforceable master netting agreement or similar agreement that are not netted against the gross derivative assets or gross derivative liabilities for presentation on the condensed consolidated balance sheets.
3 For non-cash collateral received, we do not recognize the collateral on our balance sheet unless the obligor (transferor) has defaulted under the terms of the secured contract and is no longer entitled to redeem the pledged asset. Amounts do not include any excess of collateral pledged or received.

Estimated Fair Value of Net Derivative and Other Financial Liabilities

The estimated fair value of our net derivative and other financial assets and liabilities after the application of master netting agreements and collateral were as follows:

			Gross amounts not offset on the condensed consolidated balance sheets
(In millions)	Gross amount recognized1		Financial instruments2		Collateral (received)/pledged		Net amount		Off-balance sheet securities collateral3		Net amount after securities collateral
September 30, 2023
Derivative assets	$	4,571	$	(1,665)	$	(3,140)	$	(234)	$	—	$	(234)
Derivative liabilities	(1,892)		1,665		655		428		—		428
December 31, 2022
Derivative assets	$	3,309	$	(1,477)	$	(1,952)	$	(120)	$	—	$	(120)
Derivative liabilities	(1,646)		1,477		478		309		—		309
1 The gross amounts of recognized derivative assets and derivative liabilities are reported on the condensed consolidated balance sheets. As of September 30, 2023 and December 31, 2022, amounts not subject to master netting or similar agreements were immaterial.
2 Represents amounts offsetting derivative assets and derivative liabilities that are subject to an enforceable master netting agreement or similar agreement that are not netted against the gross derivative assets or gross derivative liabilities for presentation on the condensed consolidated balance sheets.
3 For non-cash collateral received, we do not recognize the collateral on our balance sheet unless the obligor (transferor) has defaulted under the terms of the secured contract and is no longer entitled to redeem the pledged asset. Amounts do not include any excess of collateral pledged or received.