Investments (Tables)

12 Months Ended

Dec. 31, 2023

Amortized Cost, Gross Unrealized Gains, Gross Unrealized Losses and Fair Value of Fixed-maturity securities

The following table provides amortized cost, gross unrealized gains, gross unrealized losses and fair value for our fixed-maturity securities:


(Dollars in millions)	Amortized cost		Gross unrealized				Fair value
At December 31, 2023			gains		losses
Fixed-maturity securities:
Corporate	$	7,836	$	70	$	454	$	7,452
States, municipalities and political subdivisions	4,867		44		208		4,703
Government-sponsored enterprises	1,227		3		6		1,224
United States government	203		—		3		200
Mortgage-backed	203		—		16		187
Foreign government	25		—		—		25

Total	$	14,361	$	117	$	687	$	13,791






At December 31, 2022
Fixed-maturity securities:
Corporate	$	7,412	$	37	$	580	$	6,869
States, municipalities and political subdivisions	4,901		24		303		4,622
Government-sponsored enterprises	186		—		3		183
United States government	196		—		5		191
Mortgage-backed	250		—		16		234
Foreign government	34		—		1		33

Total	$	12,979	$	61	$	908	$	12,132

Fair Values And Unrealized Losses by Investment Category And By The Duration Of The Securities' Continuous Unrealized Loss Position

The table below provides fair values and unrealized losses by investment category and by the duration of the securities’ continuous unrealized loss positions:


(Dollars in millions)	Less than 12 months				12 months or more				Total
At December 31, 2023	Fair value		Unrealized losses		Fair value		Unrealized losses		Fair value		Unrealized losses
Fixed-maturity securities:
Corporate	$	379	$	13	$	5,560	$	441	$	5,939	$	454
States, municipalities and political subdivisions	313		2		1,932		206		2,245		208
Government-sponsored enterprises	652		3		113		3		765		6
United States government	32		—		129		3		161		3
Mortgage-backed	5		—		172		16		177		16
Foreign government	3		—		6		—		9		—
Total	$	1,384	$	18	$	7,912	$	669	$	9,296	$	687





At December 31, 2022
Fixed-maturity securities:
Corporate	$	5,651	$	412	$	661	$	168	$	6,312	$	580
States, municipalities and political subdivisions	2,600		274		77		29		2,677		303
Government-sponsored enterprises	123		3		3		—		126		3
United States government	146		3		41		2		187		5
Mortgage-backed	215		13		14		3		229		16
Foreign government	25		1		4		—		29		1
Total	$	8,760	$	706	$	800	$	202	$	9,560	$	908

Contractual Maturity Dates For Fixed-Maturity And Short-Term Investments

Contractual maturity dates for fixed-maturity securities were:


(Dollars in millions)	Amortized cost		Fair value		% of fair value
At December 31, 2023
Maturity dates:
Due in one year or less	$	973	$	964	7.0	%
Due after one year through five years	4,407		4,304		31.2
Due after five years through ten years	3,592		3,474		25.2
Due after ten years	5,389		5,049		36.6
Total	$	14,361	$	13,791	100.0	%

Investment Income, Realized Investment Gains And Losses And Change In Unrealized Investment Gains And Losses

The following table provides investment income and investment gains and losses:


(Dollars in millions)	Years ended December 31,
	2023		2022		2021
Investment income:
Interest	$	600	$	510	$	477
Dividends	282		275		246
Other	25		11		5
Total	907		796		728
Less investment expenses	13		15		14
Total	$	894	$	781	$	714

Investment gains and losses, net:
Equity securities:
Investment gains and losses on securities sold, net	$	(17)	$	16	$	4
Unrealized gains and losses on securities still held, net	1,168		(1,526)		2,278



Subtotal	1,151		(1,510)		2,282
Fixed-maturity securities:
Gross realized gains	4		6		36
Gross realized losses	(5)		(4)		(5)
Change in allowance for credit losses, net	(17)		—		—
Write-down of impaired securities with intent to sell	(4)		(5)		(1)
Subtotal	(22)		(3)		30

Other	(2)		46		97
Total	$	1,127	$	(1,467)	$	2,409