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Reinsurance (Tables)
 3 Months Ended
Mar. 31, 2024
Insurance [Abstract]  
Components of Reinsurance Recoverable, and Premiums and Benefits
Components of the Company’s reinsurance recoverable excluding MRBs were as follows (in millions):

March 31,December 31,
20242023
Reserves:
Life$5,293 $5,370 
Accident and health486 510 
Annuity benefits (1)
18,120 18,873 
Claims liability and other659 669 
Total$24,558 $25,422 
Schedule of Market Risk Benefit, Activity
Components of the Company’s reinsurance recoverable on market risk benefits were as follows (in millions):

March 31,December 31,
20242023
Variable annuity$72 $90 
Other product lines54 59 
Total$126 $149 
The following table presents a roll-forward of Closed Block Life additional liabilities for annuitization, death and other insurance benefits (in millions):

Three Months Ended March 31, 2024Year Ended December 31, 2023
Balance, beginning of period$1,153 $1,131 
Beginning of period cumulative effect of changes in shadow adjustments17 41 
Beginning balance excluding shadow1,170 1,172 
Effect of changes in cash flow assumptions— 44 
Effect of actual variances from expected experience10 46 
Interest accrual14 56 
Net assessments collected(47)(148)
Ending balance excluding shadow1,147 1,170 
End of period cumulative effect of changes in shadow adjustments(22)(17)
Balance, end of period$1,125 $1,153 

The following table presents the weighted average duration of Closed Block Life additional liabilities for annuitization, death and other insurance benefits. The weighted average duration represents average cohort-level duration weighted by the benefit reserves amount:

March 31, 2024December 31, 2023
Weighted average duration (years)9.59.7

The following table presents assessments and interest expense of Closed Block Life additional liabilities for annuitization, death and other insurance benefits recognized in the Condensed Consolidated Income Statements (in millions):

AssessmentsInterest Expense
Three Months Ended March 31, 2024Year Ended December 31, 2023Three Months Ended March 31, 2024Year Ended December 31, 2023
Additional liability for annuitization, death and other insurance benefits$(47)$(148)$14 $56 

The following table presents the weighted average current discount rate of Closed Block Life additional liabilities for annuitization, death and other insurance benefits, applied at the cohort level weighted by reserve benefit amount:

March 31, 2024December 31, 2023
Weighted average current discount rate4.97 %4.97 %
The following table presents the reconciliation of the market risk benefits balance in the Condensed Consolidated Balance Sheets (in millions):

March 31, 2024December 31, 2023
VariableOtherVariableOther
AnnuitiesProduct LinesTotalAnnuitiesProduct LinesTotal
Market risk benefit - (assets)$(8,020)$(5)$(8,025)$(6,732)$(5)$(6,737)
Market risk benefit - liabilities3,794 49 3,843 4,732 53 4,785 
Market risk benefit - net (asset) liability$(4,226)$44 $(4,182)$(2,000)$48 $(1,952)
Assets and Liabilities Held in Support of Reserves Associated with Funds Withheld Reinsurance Agreements
The following assets and liabilities were held in support of reserves associated with the Company’s funds withheld reinsurance agreements and were reported in the respective financial statement line items in the Condensed Consolidated Balance Sheets (in millions):

March 31,December 31,
20242023
Assets
Debt securities, available-for-sale$11,070 $11,526 
Debt securities, at fair value under the fair value option91 116 
Equity securities159 151 
Mortgage loans2,916 3,067 
Mortgage loans, at fair value under the fair value option
455 481 
Policy loans3,461 3,471 
Freestanding derivative instruments, net34 15 
Other invested assets718 709 
Cash and cash equivalents497 543 
Accrued investment income136 146 
Other assets and liabilities, net (13)1 
Total assets (1)
$19,524 $20,226 
Liabilities
Funds held under reinsurance treaties (2)
$19,244 $19,952 
Total liabilities$19,244 $19,952 
(1)     Certain assets are reported at amortized cost while the fair value of those assets is reported in the embedded derivative in the funds withheld liability.
(2) Includes funds withheld embedded derivative asset (liability) of $2,496 million and $2,468 million at March 31, 2024 and December 31, 2023, respectively.
Schedule of Sources of Income Related to Funds Withheld Under Reinsurance Treaties
The sources of net investment income were as follows (in millions):

Three Months Ended March 31,
20242023
Debt securities (1)
$404 $382 
Equity securities 2 (10)
Mortgage loans 83 76 
Policy loans 17 17 
Limited partnerships 41 37 
Other investment income 39 28 
Total investment income excluding funds withheld assets586 530 
Investment expenses (2)
(122)(130)
Net investment income excluding funds withheld assets464 400 
Net investment income on funds withheld assets (see Note 8)270 307 
Net investment income $734 $707 
(1) Includes changes in fair value gains (losses) on trading securities and includes $25 million and $27 million for the three months ended March 31, 2024, and 2023, respectively, related to the change in fair value for securities carried under the fair value option.
(2) In the first quarter of 2024, interest costs principally associated with repurchase agreements and cash collateral were reclassified from interest expense to net investment income. All prior period amounts have been conformed to current period presentation.
The sources of income related to funds withheld under reinsurance treaties reported in net investment income in the Condensed Consolidated Income Statements were as follows (in millions):

Three Months Ended March 31,
20242023
Debt securities (1)
$145 $172 
Equity securities 9 (1)
Mortgage loans (2)
49 66 
Policy loans 82 81 
Limited partnerships (4)8 
Other investment income 5 — 
     Total investment income on funds withheld assets 286 326 
Other investment expenses on funds withheld assets (3)
(16)(19)
        Total net investment income on funds withheld reinsurance treaties $270 $307 
    
(1)    Includes $1 million and $2 million for the three months ended March 31, 2024 and 2023, respectively, related to the change in fair value for securities carried under the fair value option.
(2)    Includes $(2) million and $(2) million for the three months ended March 31, 2024 and 2023, respectively, related to the change in fair value for mortgage loans carried under the fair value option.
(3)    Includes management fees.
Gains And Losses On Funds Withheld Reinsurance Treaties
The gains and losses on funds withheld reinsurance treaties as a component of net gains (losses) on derivatives and investments in the Condensed Consolidated Income Statements were as follows (in millions):

Three Months Ended March 31,
20242023
Available-for-sale securities
      Realized gains on sale $2 $5 
      Realized losses on sale (19)(38)
      Credit loss expense 1 (11)
Credit loss expense on mortgage loans 7 (3)
Other (7)9 
Net gains (losses) on non-derivative investments (16)(38)
Net gains (losses) on derivative instruments 14 (9)
Net gains (losses) on funds withheld payable under reinsurance treaties (1)
(199)(626)
     Total net gains (losses) on derivatives and investments $(201)$(673)
(1) Includes the Athene embedded derivative gain (loss) of $29 million and $(370) million for the three months ended March 31, 2024 and 2023, respectively.