INVESTMENTS (Tables)

										Other-Than-
		Amortized		Gross		Gross				Temporary
		Cost or		Unrealized		Unrealized		Fair		Impairments
(in millions)		Cost		Gains		Losses		Value		in AOCI^(a)
March 31, 2014
Bonds available for sale:
U.S. government and government sponsored entities	$	2,779	$	170	$	(27)	$	2,922	$	-
Obligations of states, municipalities and political subdivisions		29,402		1,384		(197)		30,589		(15)
Non-U.S. governments		21,317		826		(259)		21,884		-
Corporate debt		139,063		9,505		(1,577)		146,991		81
Mortgage-backed, asset-backed and collateralized:
RMBS		34,340		3,354		(390)		37,304		1,779
CMBS		11,661		637		(203)		12,095		168
CDO/ABS		10,638		649		(135)		11,152		40
Total mortgage-backed, asset-backed and collateralized		56,639		4,640		(728)		60,551		1,987
Total bonds available for sale^(b)		249,200		16,525		(2,788)		262,937		2,053
Equity securities available for sale:
Common stock		1,287		1,806		(14)		3,079		-
Preferred stock		25		4		(1)		28		-
Mutual funds		764		22		(15)		771		-
Total equity securities available for sale		2,076		1,832		(30)		3,878		-
Total	$	251,276	$	18,357	$	(2,818)	$	266,815	$	2,053
December 31, 2013
Bonds available for sale:
U.S. government and government sponsored entities	$	3,084	$	150	$	(39)	$	3,195	$	-
Obligations of states, municipalities and political subdivisions		28,704		1,122		(446)		29,380		(15)
Non-U.S. governments		22,045		822		(358)		22,509		-
Corporate debt		139,461		7,989		(2,898)		144,552		74
Mortgage-backed, asset-backed and collateralized:
RMBS		33,520		3,101		(473)		36,148		1,670
CMBS		11,216		558		(292)		11,482		125
CDO/ABS		10,501		649		(142)		11,008		62
Total mortgage-backed, asset-backed and collateralized		55,237		4,308		(907)		58,638		1,857
Total bonds available for sale^(b)		248,531		14,391		(4,648)		258,274		1,916
Equity securities available for sale:
Common stock		1,280		1,953		(14)		3,219		-
Preferred stock		24		4		(1)		27		-
Mutual funds		422		12		(24)		410		-
Total equity securities available for sale		1,726		1,969		(39)		3,656		-
Total	$	250,257	$	16,360	$	(4,687)	$	261,930	$	1,916

(a) Represents the amount of other-than-temporary impairments recognized in Accumulated other comprehensive income. Amount includes unrealized gains and losses on impaired securities relating to changes in the value of such securities subsequent to the impairment measurement date.

(b) At March 31, 2014 and December 31, 2013, bonds available for sale held by us that were below investment grade or not rated totaled $34.1 billion and $32.6 billion, respectively.

	Less than 12 Months				12 Months or More				Total
				Gross				Gross				Gross
		Fair		Unrealized		Fair		Unrealized		Fair		Unrealized
(in millions)		Value		Losses		Value		Losses		Value		Losses
March 31, 2014
Bonds available for sale:
U.S. government and government sponsored entities	$	683	$	21	$	75	$	6	$	758	$	27
Obligations of states, municipalities and political
subdivisions		3,806		131		562		66		4,368		197
Non-U.S. governments		4,049		144		796		115		4,845		259
Corporate debt		25,341		938		6,649		639		31,990		1,577
RMBS		8,100		283		1,391		107		9,491		390
CMBS		2,447		115		1,115		88		3,562		203
CDO/ABS		2,426		56		1,096		79		3,522		135
Total bonds available for sale		46,852		1,688		11,684		1,100		58,536		2,788
Equity securities available for sale:
Common stock		102		14		-		-		102		14
Preferred stock		4		1		-		-		4		1
Mutual funds		317		15		-		-		317		15
Total equity securities available for sale		423		30		-		-		423		30
Total	$	47,275	$	1,718	$	11,684	$	1,100	$	58,959	$	2,818
December 31, 2013
Bonds available for sale:
U.S. government and government sponsored entities	$	1,101	$	34	$	42	$	5	$	1,143	$	39
Obligations of states, municipalities and political
subdivisions		6,134		379		376		67		6,510		446
Non-U.S. governments		4,102		217		710		141		4,812		358
Corporate debt		38,495		2,251		4,926		647		43,421		2,898
RMBS		8,543		349		1,217		124		9,760		473
CMBS		3,191		176		1,215		116		4,406		292
CDO/ABS		2,845		62		915		80		3,760		142
Total bonds available for sale		64,411		3,468		9,401		1,180		73,812		4,648
Equity securities available for sale:
Common stock		96		14		-		-		96		14
Preferred stock		5		1		-		-		5		1
Mutual funds		369		24		-		-		369		24
Total equity securities available for sale		470		39		-		-		470		39
Total	$	64,881	$	3,507	$	9,401	$	1,180	$	74,282	$	4,687

	Total Fixed Maturity Securities				Fixed Maturity Securities in a Loss
March 31, 2014	Available for Sale				Position Available for Sale
(in millions)		Amortized Cost		Fair Value		Amortized Cost		Fair Value
Due in one year or less	$	10,275	$	10,455	$	830	$	817
Due after one year through five years		50,565		53,380		6,918		6,799
Due after five years through ten years		68,663		71,911		15,703		15,099
Due after ten years		63,058		66,640		20,570		19,246
Mortgage-backed, asset-backed and collateralized		56,639		60,551		17,303		16,575
Total	$	249,200	$	262,937	$	61,324	$	58,536

		2014				2013
		Gross		Gross		Gross		Gross
Three Months Ended March 31,	Realized		Realized		Realized		Realized
(in millions)		Gains		Losses		Gains		Losses
Fixed maturity securities	$	216	$	31	$	371	$	71
Equity securities		30		2		37		3
Total	$	246	$	33	$	408	$	74

		March 31, 2014				December 31, 2013
		Fair	Percent			Fair	Percent
(in millions)		Value	of Total			Value	of Total
Fixed maturity securities:
U.S. government and government sponsored entities	$	5,394	24	%	$	5,723	24	%
Obligations of states, municipalities and political subdivisions		122	1			121	1
Non-U.S. governments		2	-			2	-
Corporate debt		1,108	5			1,169	5
Mortgage-backed, asset-backed and collateralized:
RMBS		2,351	10			2,263	10
CMBS		1,278	6			1,353	6
CDO/ABS and other collateralized^*		11,456	51			11,985	51
Total mortgage-backed, asset-backed and collateralized		15,085	67			15,601	67
Other		7	-			7	-
Total fixed maturity securities		21,718	97			22,623	97
Equity securities		725	3			834	3
Total	$	22,443	100	%	$	23,457	100	%

* Includes $1.0 billion of U.S. Government agency backed ABS at both March 31, 2014 and December 31, 2013.

Three Months Ended March 31,
(in millions)		2014		2013
Fixed maturity securities, including short-term investments	$	3,131	$	3,045
Equity securities		(85)		37
Interest on mortgage and other loans		318		280
Alternative investments^*		925		866
Real estate		28		31
Other investments		11		53
Total investment income		4,328		4,312
Investment expenses		132		148
Net investment income	$	4,196	$	4,164

* Includes hedge funds, private equity funds, affordable housing partnerships, investments in life settlements and other investment partnerships.

Three Months Ended March 31,
(in millions)		2014		2013
Sales of fixed maturity securities	$	185	$	300
Sales of equity securities		28		34
Other-than-temporary impairments:
Severity		-		(2)
Change in intent		(5)		(3)
Foreign currency declines		(4)		-
Issuer-specific credit events		(68)		(63)
Adverse projected cash flows		(1)		(6)
Provision for loan losses		5		(3)
Foreign exchange transactions		26		329
Derivative instruments		(350)		(271)
Impairments on investments in life settlements		(42)		(43)
Other		13		28
Net realized capital gains (losses)	$	(213)	$	300

Three Months Ended March 31,
(in millions)		2014		2013
Increase (decrease) in unrealized appreciation (depreciation) of investments:
Fixed maturity securities	$	3,994	$	(1,152)
Equity securities		(128)		7
Other investments		73		(48)
Total increase (decrease) in unrealized appreciation (depreciation) of investments^*	$	3,939	$	(1,193)

* Excludes net unrealized gains attributable to businesses held for sale.

Three Months Ended March 31,
(in millions)		2014		2013
Balance, beginning of year	$	3,872	$	5,164
Increases due to:
Credit impairments on new securities subject to impairment losses		8		17
Additional credit impairments on previously impaired securities		36		18
Reductions due to:
Credit impaired securities fully disposed for which there was no
prior intent or requirement to sell		(330)		(391)
Accretion on securities previously impaired due to credit^*		(188)		(205)
Other		(9)		-
Balance, end of period	$	3,389	$	4,603

* Represents both accretion recognized due to changes in cash flows expected to be collected over the remaining expected term of the credit impaired securities and the accretion due to the passage of time.

(in millions)	At Date of Acquisition
Contractually required payments (principal and interest)	$	27,484
Cash flows expected to be collected^*		21,919
Recorded investment in acquired securities		14,437

* Represents undiscounted expected cash flows, including both principal and interest.

(in millions)	March 31, 2014		December 31, 2013
Outstanding principal balance	$	15,923	$	14,741
Amortized cost		11,235		10,110
Fair value		12,547		11,338

Three Months Ended March 31,
(in millions)		2014		2013
Balance, beginning of period	$	6,940	$	4,766
Newly purchased PCI securities		522		345
Disposals		-		(60)
Accretion		(212)		(160)
Effect of changes in interest rate indices		(59)		84
Net reclassification from non-accretable difference,
including effects of prepayments		(21)		139
Balance, end of period	$	7,170	$	5,114

(in millions)		March 31, 2014		December 31, 2013
Securities available for sale	$	2,402	$	3,907
Other securities		2,722		2,766

(in millions)		March 31, 2014		December 31, 2013
Securities collateral pledged to us	$	8,166	$	8,878
Amount repledged by us		66		71