Investment Contracts, Insurance Liabilities and Insurance Annuity Benefits

12 Months Ended

Dec. 31, 2011

Investment Contracts Insurance Liabilities And Insurance Annuity Benefits [Abstract]

Investment Contracts, Insurance Liabilities and Insurance Annuity Benefits

NOTE 9. INVESTMENT CONTRACTS, INSURANCE LIABILITIES AND INSURANCE ANNUITY BENEFITS

Investment contracts, insurance liabilities and insurance annuity benefits comprise mainly obligations to holders of guaranteed investment contracts.

December 31 (In millions)	2011		2010
Guaranteed investment contracts	$	4,226	$	5,502
Unpaid claims and claims adjustment expenses		46		64
Unearned premiums		171		213
Total	$	4,443	$	5,779

When insurance affiliates cede insurance to third parties, such as reinsurers, they are not relieved of their primary obligation to policyholders. Losses on ceded risks give rise to claims for recovery; we establish allowances for probable losses on such receivables from reinsurers as required. Reinsurance recoverables are included in the caption “Other receivables” on our Statement of Financial Position, and amounted to $29 million and $39 million atDecember 31, 2011 and 2010, respectively.

We recognize reinsurance recoveries, as a reduction of the Statement of Earnings caption “Investment contracts, insurance losses and insurance annuity benefits”. We had no reinsurance recoveries for the years ended December 31, 2011, 2010 and 2009.