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Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2024

Fair Value and Carrying Value of Financial Instruments

The following table summarizes the fair value and carrying value of the Company’s financial instruments (in millions):


		June 30, 2024				December 31, 2023
		Carrying Value		Fair Value		Carrying Value		Fair Value
Assets
	Debt securities (1)	$	42,991	$	42,991	$	42,643	$	42,643
	Equity securities	212		212		394		394
	Mortgage loans (1)	10,129		9,530		10,563		9,994
	Limited partnerships	2,333		2,333		2,132		2,132
	Policy loans (1)	4,439		4,439		4,399		4,399
	Freestanding derivative instruments	226		226		390		390
	FHLBI capital stock	115		115		108		108
	Cash and cash equivalents	1,736		1,736		2,688		2,688
	Reinsurance recoverable on market risk benefits	121		121		149		149
	Market risk benefit assets	8,556		8,556		6,737		6,737
	Separate account assets	229,088		229,088		219,656		219,656

Liabilities
	Annuity reserves (2)	36,035		36,187		35,251		33,678
	Market risk benefit liabilities	3,890		3,890		4,785		4,785
	Reserves for guaranteed investment contracts (3)	643		621		700		674
	Trust instruments supported by funding agreements (3)	4,644		4,517		5,756		5,601
	FHLB funding agreements (3)	2,012		1,974		1,950		1,893
	Funds withheld payable under reinsurance treaties (1)	18,465		18,465		19,952		19,952
	Long-term debt	2,034		1,827		2,037		1,851
	Securities lending payable	15		15		19		19
	Freestanding derivative instruments	900		900		1,210		1,210
	Notes issued by consolidated VIEs	2,041		2,041		1,988		1,988
	Repurchase agreements	1,782		1,782		—		—
	FHLB advances	500		500		250		250
	Separate account liabilities	229,088		229,088		219,656		219,656

(1) Includes items carried at fair value under the fair value option and trading securities included as a component of debt securities. (2) Annuity reserves represent only the components of other contract holder funds and reserves for future policy benefits and claims payable that are considered to be financial instruments. (3) Included as a component of other contract holder funds on the Condensed Consolidated Balance Sheets.

Fair Value Option

The fair value and aggregate contractual principal for mortgage loans where the fair value option was elected after December 31, 2021, were as follows (in millions):


	June 30,		December 31,
	2024		2023
Fair value	$	430	$	481
Aggregate contractual principal	443		491

Assets and Liabilities Carried at Fair Value by Hierarchy Levels

The following tables summarize the Company’s assets and liabilities that are carried at fair value by hierarchy levels (in millions):


		June 30, 2024
		Total		Level 1		Level 2		Level 3
Assets
	Debt securities
	U.S. government securities	$	3,846	$	3,846	$	—	$	—
	Other government securities	1,316		—		1,165		151
	Public utilities	5,105		—		5,061		44
	Corporate securities	26,585		—		26,512		73
	Residential mortgage-backed	361		—		361		—
	Commercial mortgage-backed	1,518		—		1,518		—
	Other asset-backed securities	4,260		—		3,341		919
	Equity securities	212		—		205		7
	Mortgage loans	430		—		—		430
	Limited partnerships (1)	152		—		—		152
	Policy loans	3,511		—		—		3,511
	Freestanding derivative instruments	226		—		226		—

	Cash and cash equivalents	1,736		1,736		—		—
	Reinsurance recoverable on market risk benefits	121		—		—		121
	Market risk benefit assets	8,556		—		—		8,556
	Separate account assets	229,088		—		229,088		—
	Total	$	287,023	$	5,582	$	267,477	$	13,964

Liabilities
	Embedded derivative liabilities (2)	$	2,982	$	—	$	2,982	$	—
	Funds withheld payable under reinsurance treaties (3)	1,161		—		—		1,161
	Freestanding derivative instruments	900		—		900		—
	Notes issued by consolidated VIEs	2,041		—		2,041		—
	Market risk benefit liabilities	3,890		—		—		3,890
	Total	$	10,974	$	—	$	5,923	$	5,051

	(1) Excludes $2,181 million of limited partnership investments measured at NAV.
	(2) Includes the embedded derivative liabilities of $2,124 million related to RILA and $858 million liability of fixed index annuities, both included in other contract holder funds on the Condensed Consolidated Balance Sheets.
	(3) Includes the Athene embedded derivative asset of $2,522 million and funds withheld payable under reinsurance treaties at fair value under the fair value option.


		December 31, 2023
		Total		Level 1		Level 2		Level 3
Assets
	Debt securities
	U.S. government securities	$	4,312	$	4,312	$	—	$	—
	Other government securities	1,402		—		1,252		150
	Public utilities	5,127		—		5,086		41
	Corporate securities	25,477		—		25,394		83
	Residential mortgage-backed	375		—		375		—
	Commercial mortgage-backed	1,423		—		1,423		—
	Other asset-backed securities	4,527		—		3,552		975
	Equity securities	394		182		204		8
	Mortgage loans	481		—		—		481
	Limited partnerships (1)	135		—		—		135
	Policy loans	3,457		—		—		3,457
	Freestanding derivative instruments	390		—		390		—
	Cash and cash equivalents	2,688		2,688		—		—
	Reinsurance recoverable on market risk benefits	149		—		—		149
	Market risk benefit assets	6,737		—		—		6,737
	Separate account assets	219,656		—		219,656		—
	Total	$	276,730	$	7,182	$	257,332	$	12,216

Liabilities
	Embedded derivative liabilities (2)	$	2,090	$	—	$	2,090	$	—
	Funds withheld payable under reinsurance treaties (3)	1,158		—		—		1,158
	Freestanding derivative instruments	1,210		—		1,210		—
	Notes issued by consolidated VIEs	1,988		—		1,988		—
	Market risk benefit liabilities	4,785		—		—		4,785
	Total	$	11,231	$	—	$	5,288	$	5,943

	(1) Excludes $1,997 million of limited partnership investments measured at NAV.
	(2) Includes the embedded derivative liabilities of $1,224 million related to RILA and $866 million of fixed index annuities, both included in other contract holder funds on the Condensed Consolidated Balance Sheets.
	(3) Includes the Athene embedded derivative asset of $2,468 million and funds withheld payable under reinsurance treaties at fair value under the fair value option.

Balances of Level 3 Assets and Liabilities Measured at Fair Value with Corresponding Pricing Sources

The table below presents the balances of Level 3 assets and liabilities measured at fair value with their corresponding pricing sources (in millions):


	June 30, 2024
Assets	Total		Internal		External
Debt securities:
Other government securities	$	151	$	—	$	151
Public utilities	44		44		—
Corporate	73		—		73
Other asset-backed securities	919		28		891
Equity securities	7		1		6
Mortgage loans	430		—		430
Limited partnerships	152		1		151
Policy loans	3,511		3,511		—
Reinsurance recoverable on market risk benefits	121		121		—
Market risk benefit assets	8,556		8,556		—
Total	$	13,964	$	12,262	$	1,702

Liabilities
Funds withheld payable under reinsurance treaties (1)	1,161		1,161		—
Market risk benefit liabilities	3,890		3,890		—
Total	$	5,051	$	5,051	$	—

(1) Includes the Athene Embedded Derivative asset of $2,522 million and funds withheld payable under reinsurance treaties at fair value under the fair value option.

	December 31, 2023
Assets	Total		Internal		External
Debt securities:
Other government securities	$	150	$	—	$	150
Public utilities	41		41		—
Corporate	83		—		83
Other asset-backed securities	975		50		925
Equity securities	8		1		7
Mortgage loans	481		—		481
Limited partnerships	135		1		134
Policy loans	3,457		3,457		—
Reinsurance recoverable on market risk benefits	149		149		—
Market risk benefit assets	6,737		6,737		—
Total	$	12,216	$	10,436	$	1,780

Liabilities
Funds withheld payable under reinsurance treaties (1)	1,158		1,158		—
Market risk benefit liabilities	4,785		4,785		—
Total	$	5,943	$	5,943	$	—

(1) Includes the Athene Embedded Derivative asset of $2,468 million and funds withheld payable under reinsurance treaties at fair value under the fair value option.

Quantitative Information on Significant Internally-Priced Level 3 Assets and Liabilities

The table below presents quantitative information on internally-priced Level 3 assets and liabilities that use significant unobservable inputs (in millions):

As of June 30, 2024

Fair
Value

Valuation Technique(s)

Significant Unobservable Input(s)

Assumption or Input Range

Impact of Increase in Input on Fair Value

Assets

Reinsurance recoverable on market risk benefits

121

Discounted cash
flow

Mortality(1)

0.01% - 20.71%

Increase

Lapse(2)

1.47% - 8.55%

Increase

Utilization(3)

0.00% - 50.00%

Decrease

Withdrawal(4)

47.50% - 50.00%

Decrease

Non-performance risk adjustment(5)

0.27% - 1.43%

Increase

Long-term Equity Volatility(6)

18.50%

Decrease

Market risk benefit assets

8,556

Discounted cash flow

Mortality(1)

0.01% - 23.46%

Increase

Lapse(2)

0.05% - 37.06%

Increase

Utilization(3)

0.00% - 100.00%

Decrease

Withdrawal(4)

11.25% - 100.00%

Decrease

Non-performance risk adjustment(5)

0.49% - 1.91%

Increase

Long-term Equity Volatility(6)

18.50%

Decrease

Liabilities

Market risk benefit liabilities

3,890

Discounted cash flow

Mortality(1)

0.01% - 23.46%

Decrease

Lapse(2)

0.05% - 37.06%

Decrease

Utilization(3)

0.00% - 100.00%

Increase

Withdrawal(4)

11.25% - 100.00%

Increase

Non-performance risk adjustment(5)

0.49% - 1.91%

Decrease

Long-term Equity Volatility(6)

18.50%

Increase

(1) Mortality rates vary by attained age, tax qualification status, guaranteed benefit election, and duration. The range displayed reflects ages from the minimum issue age for the benefit through age 95, which corresponds to the typical maturity age. A mortality improvement assumption is also applied.

(2) Base lapse rates vary by contract-level factors, such as product type, surrender charge schedule and optional benefits election. Lapse rates are further adjusted based on the degree to which a guaranteed benefit is in-the-money, with lower lapse applying when benefits are more in-the-money. Lapse rates are also adjusted to reflect lower lapse expectations when guaranteed benefits are utilized.

(3) The utilization rate represents the expected percentage of contracts that will utilize the benefit through annuitization (GMIB) or commencement of withdrawals (GMWB). Utilization may vary by benefit type, attained age, duration, tax qualification status, benefit provision, and degree to which the guaranteed benefit is in-the-money.

(4) The withdrawal rate represents the percentage of annual withdrawal assumed relative to the maximum allowable withdrawal amount under the free partial withdrawal provision or the GMWB, as applicable. Free partial withdrawal rates vary based on the product type and duration. Withdrawal rates on contracts with a GMWB vary based on attained age, tax qualification status, GMWB type and GMWB benefit provisions.

(5) Non-performance risk adjustment is applied as a spread over the risk-free rate to determine the rate used to discount the related cash flows and varies by projection year.

(6) Long-term equity volatility represents the equity volatility beyond the period for which observable equity volatilities are available.

As of December 31, 2023

Fair
Value

Valuation Technique(s)

Significant Unobservable Input(s)

Assumption or Input Range

Impact of Increase in Input on Fair Value

Assets

Reinsurance recoverable on market risk benefits

149

Discounted cash flow

Mortality(1)

0.01% - 20.71%

Increase

Lapse(2)

1.47% - 8.55%

Increase

Utilization(3)

0.00% - 50.00%

Decrease

Withdrawal(4)

47.50% - 50.00%

Decrease

Non-performance risk adjustment(5)

0.10% - 1.50%

Increase

Long-term Equity Volatility(6)

18.50%

Decrease

Market risk benefit assets

6,737

Discounted cash flow

Mortality(1)

0.01% - 23.46%

Increase

Lapse(2)

0.05% - 37.06%

Increase

Utilization(3)

0.00% - 100.00%

Decrease

Withdrawal(4)

11.25% - 100.00%

Decrease

Non-performance risk adjustment(5)

0.70% - 2.11%

Increase

Long-term Equity Volatility(6)

18.50%

Decrease

Liabilities

Market risk benefit liabilities

4,785

Discounted cash flow

Mortality(1)

0.01% - 23.46%

Decrease

Lapse(2)

0.05% - 37.06%

Decrease

Utilization(3)

0.00% - 100.00%

Increase

Withdrawal(4)

11.25% - 100.00%

Increase

Non-performance risk adjustment(5)

0.70% - 2.11%

Decrease

Long-term Equity Volatility(6)

18.50%

Increase

(5) Non-performance risk adjustment is applied as a spread over the risk-free rate to determine the rate used to discount the related cash flows and varies by projection year.

(6) Long-term equity volatility represents the equity volatility beyond the period for which observable equity volatilities are available.

Rollforwards of Financial Instruments for Which Significant Unobservable Inputs (Level 3) are Used - Assets

The tables below provide roll-forwards for the three and six months ended June 30, 2024 and 2023 of the financial instruments for which significant unobservable inputs (Level 3) are used in the fair value measurement. Gains and losses in the tables below include changes in fair value due partly to observable and unobservable factors. The Company utilizes derivative instruments to manage the risk associated with certain assets and liabilities. However, the derivative instruments hedging the related risks may not be classified within the same fair value hierarchy level as the associated assets and liabilities. Therefore, the impact of the derivative instruments reported in Level 3 may vary significantly from the total income effect of the hedged instruments.


				Total Realized/Unrealized Gains (Losses) Included in
								Purchases,
		Fair Value						Sales,		Transfers		Fair Value
		as of		Net		Other		Issuances		in and/or		as of
		April 1,		Income		Comprehensive		and		(out of)		June 30,
Three Months Ended June 30, 2024		2024		(Loss)		Income (Loss)		Settlements		Level 3		2024
Assets
	Debt securities
	Other government securities	$	152	$	—	$	(1)	$	—	$	—	$	151
	Public utilities	44		(1)		1		—		—		44
	Corporate securities	94		5		(1)		(7)		(18)		73
	Other asset-backed securities	988		1		—		(70)		—		919
	Equity securities	8		(1)		—		—		—		7
	Mortgage loans	455		(1)		—		(24)		—		430
	Limited partnerships	137		5		—		10		—		152
	Policy loans	3,448		82		—		(19)		—		3,511
	Reinsurance recoverable on market risk benefits	126		(5)		—		—		—		121
	Market risk benefit assets	8,025		531		—		—		—		8,556

Liabilities
	Funds withheld payable under reinsurance treaties	(1,122)		(55)		—		16		—		(1,161)
	Market risk benefit liabilities	(3,843)		(8)		(39)		—		—		(3,890)


				Total Realized/Unrealized Gains (Losses) Included in
								Purchases,
		Fair Value						Sales,		Transfers		Fair Value
		as of		Net		Other		Issuances		in and/or		as of
		April 1,		Income		Comprehensive		and		(out of)		June 30,
Three Months Ended June 30, 2023		2023		(Loss)		Income (Loss)		Settlements		Level 3		2023
Assets
	Debt securities
	Corporate securities	$	26	$	(9)	$	1	$	(1)	$	4	$	21

	Equity securities	111		(25)		—		1		(1)		86
	Mortgage loans	480		—		—		29		—		509
	Limited partnerships	448		(26)		—		—		—		422
	Policy loans	3,427		78		—		(67)		—		3,438
	Reinsurance recoverable on market risk benefits	238		(44)		—		—		—		194
	Market risk benefit assets	5,204		753		—		—		—		5,957

Liabilities
	Funds withheld payable under reinsurance treaties	(803)		37		—		65		—		(701)
	Market risk benefit liabilities	(5,560)		1,861		(764)		—		—		(4,463)


				Total Realized/Unrealized Gains (Losses) Included in
								Purchases,
		Fair Value						Sales,		Transfers		Fair Value
		as of		Net		Other		Issuances		in and/or		as of
		January 1,		Income		Comprehensive		and		(out of)		June 30,
Six Months Ended June 30, 2024		2024		(Loss)		Income (Loss)		Settlements		Level 3		2024
Assets
	Debt securities
	Other government securities	$	150	$	—	$	1	$	—	$	—	$	151
	Public utilities	41		(1)		1		3		—		44
	Corporate securities	83		5		(1)		(2)		(12)		73
	Other asset-backed securities	975		—		—		(56)		—		919
	Equity securities	8		(1)		—		—		—		7
	Mortgage loans	481		(3)		—		(48)		—		430
	Limited partnerships	135		7		—		10		—		152
	Policy loans	3,457		111		—		(57)		—		3,511
	Reinsurance recoverable on market risk benefits	149		(28)		—		—		—		121
	Market risk benefit assets	6,737		1,819		—		—		—		8,556

Liabilities
	Funds withheld payable under reinsurance treaties	(1,158)		(56)		—		53		—		(1,161)
	Market risk benefit liabilities	(4,785)		1,444		(549)		—		—		(3,890)


				Total Realized/Unrealized Gains (Losses) Included in
								Purchases,
		Fair Value						Sales,		Transfers		Fair Value
		as of		Net		Other		Issuances		in and/or		as of
		January 1,		Income		Comprehensive		and		(out of)		June 30,
Six Months Ended June 30, 2023		2023		(Loss)		Income (Loss)		Settlements		Level 3		2023
Assets
	Debt securities
	Corporate securities	$	56	$	(9)	$	—	$	(4)	$	(22)	$	21

	Equity securities	122		(35)		—		—		(1)		86
	Mortgage loans	582		(2)		—		(71)		—		509
	Limited partnerships	440		(22)		—		11		(7)		422
	Policy loans	3,419		107		—		(88)		—		3,438
	Reinsurance recoverable on market risk benefits	221		(27)		—		—		—		194
	Market risk benefit assets	4,865		1,092		—		—		—		5,957

Liabilities
	Funds withheld payable under reinsurance treaties	(424)		(362)		—		85		—		(701)
	Market risk benefit liabilities	(5,662)		1,679		(480)		—		—		(4,463)

Rollforwards of Financial Instruments for Which Significant Unobservable Inputs (Level 3) are Used - Liabilities


				Total Realized/Unrealized Gains (Losses) Included in
								Purchases,
		Fair Value						Sales,		Transfers		Fair Value
		as of		Net		Other		Issuances		in and/or		as of
		April 1,		Income		Comprehensive		and		(out of)		June 30,
Three Months Ended June 30, 2024		2024		(Loss)		Income (Loss)		Settlements		Level 3		2024
Assets
	Debt securities
	Other government securities	$	152	$	—	$	(1)	$	—	$	—	$	151
	Public utilities	44		(1)		1		—		—		44
	Corporate securities	94		5		(1)		(7)		(18)		73
	Other asset-backed securities	988		1		—		(70)		—		919
	Equity securities	8		(1)		—		—		—		7
	Mortgage loans	455		(1)		—		(24)		—		430
	Limited partnerships	137		5		—		10		—		152
	Policy loans	3,448		82		—		(19)		—		3,511
	Reinsurance recoverable on market risk benefits	126		(5)		—		—		—		121
	Market risk benefit assets	8,025		531		—		—		—		8,556

Liabilities
	Funds withheld payable under reinsurance treaties	(1,122)		(55)		—		16		—		(1,161)
	Market risk benefit liabilities	(3,843)		(8)		(39)		—		—		(3,890)


				Total Realized/Unrealized Gains (Losses) Included in
								Purchases,
		Fair Value						Sales,		Transfers		Fair Value
		as of		Net		Other		Issuances		in and/or		as of
		April 1,		Income		Comprehensive		and		(out of)		June 30,
Three Months Ended June 30, 2023		2023		(Loss)		Income (Loss)		Settlements		Level 3		2023
Assets
	Debt securities
	Corporate securities	$	26	$	(9)	$	1	$	(1)	$	4	$	21

	Equity securities	111		(25)		—		1		(1)		86
	Mortgage loans	480		—		—		29		—		509
	Limited partnerships	448		(26)		—		—		—		422
	Policy loans	3,427		78		—		(67)		—		3,438
	Reinsurance recoverable on market risk benefits	238		(44)		—		—		—		194
	Market risk benefit assets	5,204		753		—		—		—		5,957

Liabilities
	Funds withheld payable under reinsurance treaties	(803)		37		—		65		—		(701)
	Market risk benefit liabilities	(5,560)		1,861		(764)		—		—		(4,463)


				Total Realized/Unrealized Gains (Losses) Included in
								Purchases,
		Fair Value						Sales,		Transfers		Fair Value
		as of		Net		Other		Issuances		in and/or		as of
		January 1,		Income		Comprehensive		and		(out of)		June 30,
Six Months Ended June 30, 2024		2024		(Loss)		Income (Loss)		Settlements		Level 3		2024
Assets
	Debt securities
	Other government securities	$	150	$	—	$	1	$	—	$	—	$	151
	Public utilities	41		(1)		1		3		—		44
	Corporate securities	83		5		(1)		(2)		(12)		73
	Other asset-backed securities	975		—		—		(56)		—		919
	Equity securities	8		(1)		—		—		—		7
	Mortgage loans	481		(3)		—		(48)		—		430
	Limited partnerships	135		7		—		10		—		152
	Policy loans	3,457		111		—		(57)		—		3,511
	Reinsurance recoverable on market risk benefits	149		(28)		—		—		—		121
	Market risk benefit assets	6,737		1,819		—		—		—		8,556

Liabilities
	Funds withheld payable under reinsurance treaties	(1,158)		(56)		—		53		—		(1,161)
	Market risk benefit liabilities	(4,785)		1,444		(549)		—		—		(3,890)


				Total Realized/Unrealized Gains (Losses) Included in
								Purchases,
		Fair Value						Sales,		Transfers		Fair Value
		as of		Net		Other		Issuances		in and/or		as of
		January 1,		Income		Comprehensive		and		(out of)		June 30,
Six Months Ended June 30, 2023		2023		(Loss)		Income (Loss)		Settlements		Level 3		2023
Assets
	Debt securities
	Corporate securities	$	56	$	(9)	$	—	$	(4)	$	(22)	$	21

	Equity securities	122		(35)		—		—		(1)		86
	Mortgage loans	582		(2)		—		(71)		—		509
	Limited partnerships	440		(22)		—		11		(7)		422
	Policy loans	3,419		107		—		(88)		—		3,438
	Reinsurance recoverable on market risk benefits	221		(27)		—		—		—		194
	Market risk benefit assets	4,865		1,092		—		—		—		5,957

Liabilities
	Funds withheld payable under reinsurance treaties	(424)		(362)		—		85		—		(701)
	Market risk benefit liabilities	(5,662)		1,679		(480)		—		—		(4,463)

Components of Amounts Included in Purchases, Sales, Issuances and Settlements

The components of the amounts included in purchases, sales, issuances and settlements for the three and six months ended June 30, 2024 and 2023 shown above are as follows (in millions):


Three Months Ended June 30, 2024		Purchases		Sales		Issuances		Settlements		Total
Assets
	Debt securities

	Corporate securities	$	—	$	(7)	$	—	$	—	$	(7)
	Other asset-backed securities	33		(103)		—		—		(70)

	Mortgage loans	43		(67)		—		—		(24)
	Limited partnerships	10		—		—		—		10
	Policy loans	—		—		—		(19)		(19)
	Total	$	86	$	(177)	$	—	$	(19)	$	(110)

Liabilities
	Funds withheld payable under reinsurance treaties	$	—	$	—	$	(184)	$	200	$	16

Three Months Ended June 30, 2023		Purchases		Sales		Issuances		Settlements		Total
Assets
	Debt securities
	Corporate securities	$	(1)	$	—	$	—	$	—	$	(1)
	Equity securities	—		1		—		—		1
	Mortgage loans	99		(70)		—		—		29

	Policy loans	—		—		—		(67)		(67)
	Total	$	98	$	(69)	$	—	$	(67)	$	(38)

Liabilities
	Funds withheld payable under reinsurance treaties	$	—	$	—	$	(1)	$	66	$	65


Six Months Ended June 30, 2024		Purchases		Sales		Issuances		Settlements		Total
Assets
	Debt securities
	Public utilities	$	3	$	—	$	—	$	—	$	3
	Corporate securities	13		(15)		—		—		(2)
	Other asset-backed securities	107		(163)		—		—		(56)

	Mortgage loans	91		(139)		—		—		(48)
	Limited partnerships	10		—		—		—		10
	Policy loans	—		—		63		(120)		(57)
	Total	$	224	$	(317)	$	63	$	(120)	$	(150)

Liabilities
	Funds withheld payable under reinsurance treaties	$	—	$	—	$	(344)	$	397	$	53

Six Months Ended June 30, 2023		Purchases		Sales		Issuances		Settlements		Total
Assets
	Debt securities
	Corporate securities	$	—	$	(4)	$	—	$	—	$	(4)

	Mortgage loans	135		(206)		—		—		(71)
	Limited partnerships	18		(7)		—		—		11
	Policy loans	—		—		35		(123)		(88)
	Total	$	153	$	(217)	$	35	$	(123)	$	(152)

Liabilities
	Funds withheld payable under reinsurance treaties	$	—	$	—	$	(36)	$	121	$	85

Portion of Gains (Losses) Included in Net Income or Other Comprehensive Income

The portion of gains (losses) included in net income (loss) or OCI attributable to the change in unrealized gains and losses on Level 3 financial instruments still held was as follows (in millions):


	Three Months Ended June 30,
	2024				2023
	Included in Net Income		Included in OCI		Included in Net Income		Included in OCI
Assets
Debt securities
Other government securities	$	—	$	(1)	$	—	$	—
Public utilities	(1)		1		—		—
Corporate securities	2		(1)		(9)		1
Other asset-backed securities	—		—		—		—
Equity securities	—		—		(25)		—
Mortgage loans	(1)		—		—		—
Limited partnerships	1		—		(32)		—
Policy loans	82		—		78		—
Reinsurance recoverable on market risk benefits	(5)		—		(44)		—
Market risk benefit assets	531		—		753		—

Liabilities
Funds withheld payable under reinsurance treaties	(55)		—		37		—
Market risk benefit liabilities	(8)		(39)		1,861		(764)


	Six Months Ended June 30,
	2024				2023
	Included in Net Income		Included in OCI		Included in Net Income		Included in OCI
Assets
Debt securities
Other government securities	$	—	$	1	$	—	$	—
Public utilities	(1)		1		—		—
Corporate securities	1		(1)		(9)		—
Other asset-backed securities	(1)		—		—		—
Equity securities	—		—		(35)		—
Mortgage loans	(3)		—		(2)		—
Limited partnerships	1		—		(22)		—
Policy loans	111		—		107		—
Reinsurance recoverable on market risk benefits	(28)		—		(27)		—
Market risk benefit assets	1,819		—		1,092		—

Liabilities
Funds withheld payable under reinsurance treaties	(56)		—		(362)		—
Market risk benefit liabilities	1,444		(549)		1,679		(480)

Carrying Amount and Fair Value by Hierarchy of Certain Financial Instruments Not Reported at Fair Value

The table below presents the carrying amount and fair value by fair value hierarchy level of certain financial instruments that are not reported at fair value (in millions):


	June 30, 2024
			Fair Value
	Carrying Value		Total		Level 1		Level 2		Level 3
Assets
Mortgage loans	$	9,699	$	9,100	$	—	$	—	$	9,100
Policy loans	928		928		—		—		928
FHLBI capital stock	115		115		115		—		—

Liabilities
Annuity reserves (1)	$	33,053	$	33,205	$	—	$	—	$	33,205
Reserves for guaranteed investment contracts (2)	643		621		—		—		621
Trust instruments supported by funding agreements (2)	4,644		4,517		—		—		4,517
FHLB funding agreements (2)	2,012		1,974		—		—		1,974
Funds withheld payable under reinsurance treaties	17,304		17,304		—		—		17,304
Long-term debt	2,034		1,827		—		1,827		—
Securities lending payable (3)	15		15		—		15		—
FHLB advances (4)	500		500		—		500		—
Repurchase agreements (3)	1,782		1,782		—		1,782		—
Separate account liabilities (5)	229,088		229,088		—		229,088		—

	December 31, 2023
			Fair Value
	Carrying Value		Total		Level 1		Level 2		Level 3
Assets
Mortgage loans	$	10,082	$	9,513	$	—	$	—	$	9,513
Policy loans	942		942		—		—		942
FHLBI capital stock	108		108		108		—		—

Liabilities
Annuity reserves (1)	$	33,161	$	31,588	$	—	$	—	$	31,588
Reserves for guaranteed investment contracts (2)	700		674		—		—		674
Trust instruments supported by funding agreements (2)	5,756		5,601		—		—		5,601
FHLB funding agreements (2)	1,950		1,893		—		—		1,893
Funds withheld payable under reinsurance treaties	18,794		18,794		—		—		18,794
Long-term debt	2,037		1,851		—		1,851		—
Securities lending payable (3)	19		19		—		19		—
FHLB advances (4)	250		250		—		250		—

Separate account liabilities (5)	219,656		219,656		—		219,656		—

(1) Annuity reserves represent only the components of other contract holder funds that are considered to be financial instruments.
(2) Included as a component of other contract holder funds on the Condensed Consolidated Balance Sheets.
(3) Included as a component of repurchase agreements and securities lending payable on the Condensed Consolidated Balance Sheets.
(4) Included as a component of other liabilities on the Condensed Consolidated Balance Sheets.
(5) The values of separate account liabilities are set equal to the values of separate account assets.