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Fair Value Measurements (Tables)
6 Months Ended
Jun. 30, 2023
Fair Value Disclosures [Abstract]  
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis
The following table presents information about assets and liabilities measured at fair value on a recurring basis and indicates the level of the fair value measurement based on the observability of the inputs used:
June 30, 2023Level 1Level 2Level 3
Counterparty
Netting(a)
Cash
Collateral
Total
(in millions)
Assets:
Bonds available for sale:
U.S. government and government sponsored entities
$82 $6,087 $ $ $ $6,169 
Obligations of states, municipalities and political subdivisions
 10,277 869   11,146 
Non-U.S. governments204 12,298 6   12,508 
Corporate debt 131,582 1,721   133,303 
RMBS 11,277 7,617   18,894 
CMBS 13,196 553   13,749 
CLO/ABS 12,547 14,214   26,761 
Total bonds available for sale
286 197,264 24,980   222,530 
Other bond securities:
U.S. government and government sponsored entities      
Obligations of states, municipalities and political subdivisions 108 3   111 
Non-U.S. governments 46    46 
Corporate debt 2,422 155   2,577 
RMBS 194 164   358 
CMBS 283 26   309 
CLO/ABS 496 1,044   1,540 
Total other bond securities
 3,549 1,392   4,941 
Equity securities
465 123 72   660 
Other invested assets(b)
 153 2,140   2,293 
Derivative assets(c):
Interest rate contracts 2,122 339   2,461 
Foreign exchange contracts
 1,426 1   1,427 
Equity contracts
11 603 666   1,280 
Commodity contracts
      
Credit contracts
  33   33 
Other contracts  15   15 
Counterparty netting and cash collateral
   (2,826)(1,980)(4,806)
Total derivative assets
11 4,151 1,054 (2,826)(1,980)410 
Short-term investments
1,881 2,397    4,278 
Market risk benefit assets  954   954 
Other assets(c)
  111   111 
Separate account assets
86,579 3,139    89,718 
Total(d)
$89,222 $210,776 $29,749 $(2,826)$(1,980)$324,941 
Liabilities:
Policyholder contract deposits$ $51 $6,813 $ $ $6,864 
Market risk benefit liabilities  4,977   4,977 
Derivative liabilities(c):
Interest rate contracts
 3,108    3,108 
Foreign exchange contracts
 796 3   799 
Equity contracts
23 303 21   347 
Credit contracts
 6 33   39 
Counterparty netting and cash collateral
   (2,826)(1,182)(4,008)
Total derivative liabilities
23 4,213 57 (2,826)(1,182)285 
Fortitude Re funds withheld payable
  (2,118)  (2,118)
Other liabilities
  98   98 
Long-term debt
 50    50 
Total$23 $4,314 $9,827 $(2,826)$(1,182)$10,156 
December 31, 2022Level 1Level 2Level 3
Counterparty
Netting(a)
Cash
Collateral
Total
(in millions)
Assets:
Bonds available for sale:
U.S. government and government sponsored entities
$25 $6,594 $— $— $— $6,619 
Obligations of states, municipalities and political subdivisions
— 11,275 824 — — 12,099 
Non-U.S. governments158 13,326 — — 13,485 
Corporate debt— 134,992 2,847 — — 137,839 
RMBS— 11,264 7,553 — — 18,817 
CMBS— 13,267 926 — — 14,193 
CLO/ABS— 10,356 12,748 — — 23,104 
Total bonds available for sale
183 201,074 24,899 — — 226,156 
Other bond securities:
Obligations of states, municipalities and political subdivisions— 111 — — — 111 
Non-U.S. governments— 66 — — — 66 
Corporate debt— 1,976 416 — — 2,392 
RMBS— 113 173 — — 286 
CMBS— 303 28 — — 331 
CLO/ABS— 389 910 — — 1,299 
Total other bond securities
— 2,958 1,527 — — 4,485 
Equity securities
518 18 39 — — 575 
Other invested assets (b)
— 145 2,075 — — 2,220 
Derivative assets(c):
Interest rate contracts3,410 311 — — 3,722 
Foreign exchange contracts
— 1,844 — — — 1,844 
Equity contracts
11 132 285 — — 428 
Commodity contracts— — — — 
Credit contracts
— — 32 — — 32 
Other contracts— — 14 — — 14 
Counterparty netting and cash collateral
— — — (3,895)(1,640)(5,535)
Total derivative assets
12 5,395 642 (3,895)(1,640)514 
Short-term investments
2,821 2,887 — — — 5,708 
Market risk benefit assets— — 796 — — 796 
Other assets(c)
— — 107 — — 107 
Separate account assets
81,655 3,198 — — — 84,853 
Total$85,189 $215,675 $29,289 $(3,895)$(1,640)$324,618 
Liabilities:
Policyholder contract deposits$— $41 $5,367 $— $— $5,408 
Market risk benefit liabilities— — 4,736 — — 4,736 
Derivative liabilities(c):
Interest rate contracts
— 4,838 — — — 4,838 
Foreign exchange contracts
— 1,138 — — — 1,138 
Equity contracts
10 14 — — 26 
Credit contracts
— 32 — — 41 
Counterparty netting and cash collateral
— — — (3,895)(1,917)(5,812)
Total derivative liabilities
5,995 46 (3,895)(1,917)231 
Fortitude Re funds withheld payable
— — (2,235)— — (2,235)
Other liabilities— — 112 — — 112 
Long-term debt
— 56 — — — 56 
Total$$6,092 $8,026 $(3,895)$(1,917)$8,308 
(a)Represents netting of derivative exposures covered by qualifying master netting agreements.
(b)Excludes investments that are measured at fair value using the net asset value (NAV) per share (or its equivalent), which totaled $9.8 billion and $9.8 billion as of June 30, 2023 and December 31, 2022, respectively.
(c)Presented as part of Other assets and Other liabilities on the Condensed Consolidated Balance Sheets.
(d)Excludes $5.0 billion of assets reclassified to Assets held for sale on the Condensed Consolidated Balance Sheets.
(in millions)Fair Value
Beginning
of Year
MRBs and
Net Realized
and
Unrealized
Gains
(Losses)
Included
in Income
Other
Comprehensive
Income (Loss)
Purchases,
Sales,
Issuances
and
Settlements,
Net
Gross
Transfers
In
Gross
Transfers
Out
OtherFair
Value
End of
Period
Changes in
Unrealized
Gains
(Losses)
Included in
Income on
Instruments
Held at End
of Period
Changes in
Unrealized Gains
(Losses)
Included in Other
Comprehensive
Income (Loss) for
Recurring Level 3
Instruments Held
at End of Period
Six Months Ended June 30, 2023
Assets:
Bonds available for sale:
Obligations of states, municipalities and political subdivisions$824 $1 $52 $(8)$ $ $ $869 $ $28 
Non-U.S. governments1 1 1 (2)7 (2) 6  1 
Corporate debt2,847 (96)59 (374)320 (1,019)(16)1,721  59 
RMBS7,553 214 119 (201)31 (64)(35)7,617  89 
CMBS926 (22)(42)(39)33 (303) 553  (83)
CLO/ABS12,748 61 177 1,230 113 (200)85 14,214  97 
Total bonds available for sale24,899 159 366 606 504 (1,588)34 24,980  191 
Other bond securities:
Obligations of states, municipalities and political subdivisions  — 3   — 3   
Corporate debt416 2 — (72) (191)— 155 2  
RMBS173 7 — (16)— — — 164 (5) 
CMBS28 (2)     26 (2) 
CLO/ABS910 28  94 4 (45)53 1,044 (19) 
Total other bond securities1,527 35  9 4 (236)53 1,392 (24) 
Equity securities39 2  29 10 (8) 72 2  
Other invested assets2,075 (71)7 129    2,140 (73) 
Other assets107   4    111   
Total(a)
$28,647 $125 $373 $777 $518 $(1,832)$87 $28,695 $(95)$191 
(in millions)Fair Value
Beginning
of Year
MRBs and
Net
Realized
and
Unrealized
(Gains)
Losses
Included
in Income
Other
Comprehensive
Income (Loss)
Purchases,
Sales,
Issuances
and
Settlements,
Net
Gross
Transfers
In
Gross
Transfers
Out
OtherFair
Value
End of
Period
Changes in
Unrealized
Gains
(Losses)
Included in
Income on
Instruments
Held at End
of Period
Changes in
Unrealized Gains
(Losses)
Included in Other
Comprehensive
Income (Loss) for
Recurring Level 3
Instruments Held
at End of Period
Liabilities:
Policyholder contract deposits$5,367 $810 $ $636 $ $ $ $6,813 $(676)$ 
Derivative liabilities, net:
Interest rate contracts(311)84  (112)   (339) (29)
Foreign exchange contracts 2      2  (2)
Equity contracts(271)(49) (325)   (645)131 66 
Credit contracts (1) 1      1 
Other contracts(14)(33) 32    (15)31 1 
Total derivative liabilities, net(b)
(596)3  (404)   (997)162 37 
Fortitude Re funds withheld payable(2,235)985  (868)   (2,118)(468) 
Other Liabilities112 (14)     98   
Total(c)
$2,648 $1,784 $ $(636)$ $ $ $3,796 $(982)$37 
(in millions)Fair Value
Beginning
of Year
MRBs and
Net Realized
and
Unrealized
Gains
(Losses)
Included
in Income
Other
Comprehensive
Income (Loss)
Purchases,
Sales,
Issuances
and
Settlements,
Net
Gross
Transfers
In
Gross
Transfers
Out
OtherFair
Value
End of
Period
Changes in
Unrealized
Gains
(Losses)
Included in
Income on
Instruments
Held at End
of Period
Changes in
Unrealized Gains
(Losses)
Included in Other
Comprehensive
Income (Loss) for
Recurring Level 3
Instruments Held
at End of Period
Six Months Ended June 30, 2022
Assets:
Bonds available for sale:
Obligations of states, municipalities and political subdivisions$1,431 $$(428)$(65)$17 $— $— $957 $— $(410)
Non-U.S. governments— — — — — — — 
Corporate debt2,641 (26)(151)(37)382 (326)— 2,483 — (137)
RMBS10,378 222 (943)(874)— (431)— 8,352 — (925)
CMBS1,190 13 (113)117 — (336)— 871 — (108)
CLO/ABS11,215 19 (1,003)1,651 1,464 (1,650)— 11,696 — (1,003)
Total bonds available for sale26,862 230 (2,638)792 1,865 (2,743)— 24,368 — (2,583)
Other bond securities:
Corporate debt134 (4)— 124 222 (15)— 461 (4)— 
RMBS196 (18)— 14 — — — 192 (21)— 
CMBS35 (3)— — — — — 32 (3)— 
CLO/ABS2,332 (249)— 352 63 (56)— 2,442 (162)— 
Total other bond securities2,697 (274)— 490 285 (71)— 3,127 (190)— 
Equity securities— — — — — 12 — — 
Other invested assets1,948 245 (27)(38)47 (167)— 2,008 295 — 
Other assets114 — — (7)— — — 107 — — 
Total(a)
$31,627 $201 $(2,665)$1,243 $2,197 $(2,981)$— $29,622 $105 $(2,583)
(in millions)Fair Value
Beginning
of Year
MRBs and
Net
Realized
and
Unrealized
(Gains)
Losses
Included
in Income
Other
Comprehensive
Income (Loss)
Purchases,
Sales,
Issuances
and
Settlements,
Net
Gross
Transfers
In
Gross
Transfers
Out
OtherFair
Value
End of
Period
Changes in
Unrealized
Gains
(Losses)
Included in
Income on
Instruments
Held at End
of Period
Changes in
Unrealized Gains
(Losses)
Included in Other
Comprehensive
Income (Loss) for
Recurring Level 3
Instruments Held
at End of Period
Liabilities:
Policyholder contract deposits$5,572 $(1,203)$— $359 $— $— $— $4,728 $1,437 $— 
Derivative liabilities, net:
Interest rate contracts— 11 — (73)(81)— — (143)(10)— 
Foreign exchange contracts(1)— — — — (1)— 
Equity contracts(444)390 — (94)— (1)— (149)(247)— 
Credit contracts30 — — — — — 32 (1)— 
Other contracts(13)(32)— 29 — — — (16)32 — 
Total derivative liabilities, net(b)
(428)372 — (137)(81)(1)— (275)(227)— 
Fortitude Re funds withheld payable5,922 (6,094)— (466)— — — (638)6,316 — 
Total(c)
$11,066 $(6,925)$— $(244)$(81)$(1)$— $3,815 $7,526 $— 
(a)Excludes MRB assets of $954 million at June 30, 2023 and $642 million at June 30, 2022, For additional information, see Note 13.
(b)Total Level 3 derivative exposures have been netted in these tables for presentation purposes only.
(c)Excludes MRB liabilities of $5.0 billion at June 30, 2023 and $5.3 billion at June 30, 2022. For additional information, see Note 13.
Schedule of Assets Measured on a Recurring Basis
(in millions)Fair Value
Beginning
of Period
MRBs and
Net Realized
and
Unrealized
Gains
(Losses)
Included
in Income
Other
Comprehensive
Income (Loss)
Purchases,
Sales,
Issuances
and
Settlements,
Net
Gross
Transfers
In
Gross
Transfers
Out
OtherFair
Value
End of
Period
Changes in
Unrealized
Gains
(Losses)
Included in
Income on
Instruments
Held at End
of Period
Changes in
Unrealized Gains
(Losses)
Included in Other
Comprehensive
Income (Loss) for
Recurring Level 3
Instruments Held
at End of Period
Three Months Ended June 30, 2023
Assets:
Bonds available for sale:
Obligations of states, municipalities and political subdivisions$873 $ $(3)$(1)$ $ $ $869 $ $(13)
Non-U.S. governments
9  1 (2) (2) 6  1 
Corporate debt
2,432 6 8 (173)46 (598) 1,721  5 
RMBS
7,581 105 189 (211)31 (43)(35)7,617  187 
CMBS
938 (29)(39)(40)(1)(276) 553  (49)
CLO/ABS13,889 11 (94)390 55 (98)61 14,214  (126)
Total bonds available for sale
25,722 93 62 (37)131 (1,017)26 24,980  5 
Other bond securities:
Obligations of states, municipalities and political subdivisions1   2    3   
Corporate Debt130 1  24    155 3  
RMBS166 2  (4)   164 (3) 
CMBS
27 (1)     26 (1) 
CLO/ABS1,010 (8) 76 3 (38)1 1,044 (38) 
Total other bond securities
1,334 (6) 98 3 (38)1 1,392 (39) 
Equity securities
74 2  2 2 (8) 72 2  
Other invested assets
2,086 (19)2 71    2,140   
Other assets
110   1    111   
Total(a)
$29,326 $70 $64 $135 $136 $(1,063)$27 $28,695 $(37)$5 
(in millions)
Fair Value
Beginning
of Period
MRBs and
Net
Realized
and
Unrealized
(Gains)
Losses
Included
in Income
Other
Comprehensive
Income (Loss)
Purchases,
Sales,
Issuances
and
Settlements,
Net
Gross
Transfers
In
Gross
Transfers
Out
OtherFair
Value
End of
Period
Changes in
Unrealized
Gains
(Losses)
Included in
Income on
Instruments
Held at End
of Period
Changes in
Unrealized Gains
(Losses)
Included in Other
Comprehensive
Income (Loss) for
Recurring Level 3
Instruments Held
at End of Period
Liabilities:
Policyholder contract deposits
$6,064 $429 $ $320 $ $ $ $6,813 $(308)$ 
Derivative liabilities, net:
Interest rate contracts
(356)27  (10)   (339) (21)
Foreign exchange contracts
 2      2  (2)
Equity contracts
(502)7  (150)   (645)(1)6 
Credit contracts
 (1) 1      1 
Other contracts
(14)(17) 16    (15)15 1 
Total derivative liabilities, net(b)
(872)18  (143)   (997)14 (15)
Fortitude Re funds withheld payable(1,863)(180) (75)   (2,118)291  
Other Liabilities112 (14)     98   
Total(c)
$3,441 $253 $ $102 $ $ $ $3,796 $(3)$(15)
(in millions)Fair Value
Beginning
of Period
MRBs and
Net Realized
and
Unrealized
Gains
(Losses)
Included
in Income
Other
Comprehensive
Income (Loss)
Purchases,
Sales,
Issuances
and
Settlements,
Net
Gross
Transfers
In
Gross
Transfers
Out
OtherFair
Value
End of
Period
Changes in
Unrealized
Gains
(Losses)
Included in
Income on
Instruments
Held at End
of Period
Changes in
Unrealized Gains
(Losses)
Included in Other
Comprehensive
Income (Loss) for
Recurring Level 3
Instruments Held
at End of Period
Three Months Ended June 30, 2022
Assets:
Bonds available for sale:
Obligations of states, municipalities and political subdivisions$1,087 $— $(143)$(4)$17 $— $— $957 $— $(151)
Non-U.S. governments— — — — — — — 
Corporate debt2,744 (15)(78)(214)252 (206)— 2,483 — (49)
RMBS8,925 92 (390)(266)— (9)— 8,352 — (390)
CMBS864 (46)85 — (37)— 871 — (47)
CLO/ABS11,776 (502)1,106 349 (1,036)— 11,696 — (513)
Total bonds available for sale25,404 85 (1,159)707 619 (1,288)— 24,368 — (1,150)
Other bond securities:
Corporate debt260 (4)— 47 161 (3)— 461 (4)— 
RMBS199 (13)— — — 192 (13)— 
CMBS33 (1)— — — — — 32 (1)— 
CLO/ABS2,468 (135)— 157 (54)— 2,442 — — 
Total other bond securities2,960 (153)209 167 (57)— 3,127 (18)— 
Equity securities— — — — 12 — — 
Other invested assets1,935 133 (23)(23)— (14)— 2,008 174 — 
Other assets108 — — (1)— — — 107 — — 
Total(a)
$30,413 $65 $(1,180)$897 $786 $(1,359)$— $29,622 $156 $(1,150)
(in millions)Fair Value
Beginning
of Period
MRBs and
Net
Realized
and
Unrealized
(Gains)
Losses
Included
in Income
Other
Comprehensive
Income (Loss)
Purchases,
Sales,
Issuances
and
Settlements,
Net
Gross
Transfers
In
Gross
Transfers
Out
OtherFair
Value
End of
Period
Changes in
Unrealized
Gains
(Losses)
Included in
Income on
Instruments
Held at End
of Period
Changes in
Unrealized Gains
(Losses)
Included in Other
Comprehensive
Income (Loss) for
Recurring Level 3
Instruments Held
at End of Period
Liabilities:
Policyholder contract deposits$5,035 $(545)$— $238 $— $— $— $4,728 $592 $— 
Derivative liabilities, net:
Interest rate contracts(4)12 — (70)(81)— — (143)(10)— 
Foreign exchange contracts— — — — — — (1)— 
Equity contracts(178)89 — (59)— (1)— (149)(95)— 
Credit contracts31 — — — — — 32 (1)— 
Other contracts(14)(14)— 12 — — — (16)15 — 
Total derivative liabilities, net(b)
(165)89 — (117)(81)(1)— (275)(92)— 
Fortitude Re funds withheld payable2,206 (2,776)— (68)— — — (638)2,836 — 
Total(c)
$7,076 $(3,232)$— $53 $(81)$(1)$— $3,815 $3,336 $— 
The following table presents the gross components of purchases, sales, issuances and settlements, net, shown above, for the three and six months ended June 30, 2023 and 2022 related to Level 3 assets and liabilities in the Condensed Consolidated Balance Sheets:
(in millions)PurchasesSales
Issuances
and
Settlements(a)
Purchases, Sales,
 Issuances and
 Settlements, Net(a)
Three Months Ended June 30, 2023
Assets:
Bonds available for sale:
Obligations of states, municipalities and political subdivisions$ $ $(1)$(1)
Corporate debt1  (174)(173)
RMBS111 (42)(280)(211)
CMBS (26)(14)(40)
CLO/ABS495 (148)43 390 
Total bonds available for sale607 (216)(428)(37)
Other bond securities:
Obligations of states, municipalities and political subdivisions2   2 
Corporate debt87  (63)24 
RMBS1  (5)(4)
CLO/ABS81 4 (9)76 
Total other bond securities171 4 (77)98 
Equity securities2   2 
Other invested assets80  (9)71 
Other assets  1 1 
Total$860 $(212)$(513)$135 
Liabilities:
Policyholder contract deposits$ $402 $(82)$320 
Derivative liabilities, net(190)4 43 (143)
Fortitude Re funds withheld payable  (75)(75)
Total$(190)$406 $(114)$102 
Three Months Ended June 30, 2022
Assets:
Bonds available for sale:
Obligations of states, municipalities and political subdivisions$— $(4)$— $(4)
Corporate debt14 — (228)(214)
RMBS176 — (442)(266)
CMBS76 — 85 
CLO/ABS1,245 — (139)1,106 
Total bonds available for sale1,511 (4)(800)707 
Other bond securities:
Corporate debt— 42 47 
RMBS14 — (9)
CLO/ABS293 — (136)157 
Total other bond securities312 — (103)209 
Equity securities— — 
Other invested assets259 — (282)(23)
Other assets— — (1)(1)
Total$2,087 $(4)$(1,186)$897 
Liabilities:
Policyholder contract deposits$— $222 $16 $238 
Derivative liabilities, net(164)46 (117)
Fortitude Re funds withheld payable— — (68)(68)
Total$(164)$223 $(6)$53 
(in millions)PurchasesSales
Issuances
and
 Settlements(a)
Purchases, Sales,
 Issuances and
Settlements, Net(a)
Six Months Ended June 30, 2023
Assets:
Bonds available for sale:
Obligations of states, municipalities and political subdivisions$1 $(4)$(5)$(8)
Corporate debt22  (396)(374)
RMBS401 (61)(541)(201)
CMBS10 (32)(17)(39)
CLO/ABS1,392 (151)(11)1,230 
Total bonds available for sale1,826 (248)(972)606 
Other bond securities:
Obligations of states, municipalities and political subdivisions3   3 
Corporate debt87  (159)(72)
RMBS6  (22)(16)
CLO/ABS127  (33)94 
Total other bond securities223  (214)9 
Equity securities31  (2)29 
Other invested assets152  (23)129 
Other assets  4 4 
Total$2,232 $(248)$(1,207)$777 
Liabilities:
Policyholder contract deposits$ $728 $(92)$636 
Derivative liabilities, net(450)9 37 (404)
Fortitude Re funds withheld payable  (868)(868)
Total$(450)$737 $(923)$(636)
Six Months Ended June 30, 2022
Assets:
Bonds available for sale:
Obligations of states, municipalities and political subdivisions$$(64)$(2)$(65)
Corporate Debt23 — (60)(37)
RMBS285 — (1,159)(874)
CMBS146 — (29)117 
CLO/ABS2,131 — (480)1,651 
Total bonds available for sale2,586 (64)(1,730)792 
Other bond securities:
Corporate debt24 — 100 124 
RMBS31 — (17)14 
CLO/ABS616 — (264)352 
Total other bond securities671 — (181)490 
Equity securities— 
Other invested assets517 — (555)(38)
Other assets— — (7)(7)
Total$3,779 $(64)$(2,472)$1,243 
Liabilities:
Policyholder contract deposits
$— $417 $(58)$359 
Derivative liabilities, net(249)109 (137)
Fortitude Re funds withheld payable— — (466)(466)
Total$(249)$420 $(415)$(244)
(a)There were no issuances during the three and six months ended June 30, 2023 and 2022.
Fair Value, Measured on Recurring Basis, Gain (Loss) Included in Earnings
Market risk benefits and net realized and unrealized gains and losses included in income related to Level 3 assets and liabilities shown above are reported in the Condensed Consolidated Statements of Income (Loss) as follows:
(in millions)Net
Investment
Income
Net Realized
Gains (Losses)
Change in the fair
value of market
risk benefits, net(c)
Other
Income
Total
Three Months Ended June 30, 2023
Assets:
Bonds available for sale$121 $(28)$ $ $93 
Other bond securities(6)  (6)
Equity securities2   2 
Other invested assets(20)1  (19)
Three Months Ended June 30, 2022
Assets:
Bonds available for sale$142 $(57)$— $— $85 
Other bond securities(153)— — — (153)
Other invested assets133 — — — 133 
Six Months Ended June 30, 2023
Assets:
Bonds available for sale$183 $(24)$ $ $159 
Other bond securities35    35 
Other invested assets(71)   (71)
Six Months Ended June 30, 2022
Assets:
Bonds available for sale$306 $(76)$— $— $230 
Other bond securities(274)— — — (274)
Other invested assets245 — — — 245 
(in millions)Net
Investment
Income
Net Realized
(Gains) Losses
Change in the fair
value of market
risk benefits, net(c)
Other
Income
Total
Three Months Ended June 30, 2023
Liabilities:
Policyholder contract deposits(a)
$ $429 $ $ $429 
Market risk benefit liabilities, net(b)
 (3)(884) (887)
Derivative liabilities, net 65 (31)(16)18 
Fortitude Re funds withheld payable (180)  (180)
Three Months Ended June 30, 2022
Liabilities:
Policyholder contract deposits(a)
$— $(545)$— $— $(545)
Market risk benefit liabilities, net(b)
— (5)(258)— (263)
Derivative liabilities, net— 120 (18)(13)89 
Fortitude Re funds withheld payable— (2,776)— — (2,776)
Six Months Ended June 30, 2023
Liabilities:
Policyholder contract deposits(a)
$ $810 $ $ $810 
Market risk benefit liabilities, net(b)
 (3)(797) (800)
Derivative liabilities, net (23)58 (32)3 
Fortitude Re funds withheld payable 985   985 
Six Months Ended June 30, 2022
Liabilities:
Policyholder contract deposits(a)
$— $(1,203)$— $— $(1,203)
Market risk benefit liabilities, net(b)
— (8)(957)— (965)
Derivative liabilities, net— 447 (47)(28)372 
Fortitude Re funds withheld payable— (6,094)— — (6,094)
(a)Primarily embedded derivatives.
(b)Market risk benefit assets and liabilities have been netted in the above table for presentation purposes only.
(c)The portion of the fair value change attributable to own credit risk is recognized in OCI.
Fair Value, Liabilities Measured on Recurring Basis, Liabilities
(in millions)Fair Value
Beginning
of Period
MRBs and
Net Realized
and
Unrealized
Gains
(Losses)
Included
in Income
Other
Comprehensive
Income (Loss)
Purchases,
Sales,
Issuances
and
Settlements,
Net
Gross
Transfers
In
Gross
Transfers
Out
OtherFair
Value
End of
Period
Changes in
Unrealized
Gains
(Losses)
Included in
Income on
Instruments
Held at End
of Period
Changes in
Unrealized Gains
(Losses)
Included in Other
Comprehensive
Income (Loss) for
Recurring Level 3
Instruments Held
at End of Period
Three Months Ended June 30, 2023
Assets:
Bonds available for sale:
Obligations of states, municipalities and political subdivisions$873 $ $(3)$(1)$ $ $ $869 $ $(13)
Non-U.S. governments
9  1 (2) (2) 6  1 
Corporate debt
2,432 6 8 (173)46 (598) 1,721  5 
RMBS
7,581 105 189 (211)31 (43)(35)7,617  187 
CMBS
938 (29)(39)(40)(1)(276) 553  (49)
CLO/ABS13,889 11 (94)390 55 (98)61 14,214  (126)
Total bonds available for sale
25,722 93 62 (37)131 (1,017)26 24,980  5 
Other bond securities:
Obligations of states, municipalities and political subdivisions1   2    3   
Corporate Debt130 1  24    155 3  
RMBS166 2  (4)   164 (3) 
CMBS
27 (1)     26 (1) 
CLO/ABS1,010 (8) 76 3 (38)1 1,044 (38) 
Total other bond securities
1,334 (6) 98 3 (38)1 1,392 (39) 
Equity securities
74 2  2 2 (8) 72 2  
Other invested assets
2,086 (19)2 71    2,140   
Other assets
110   1    111   
Total(a)
$29,326 $70 $64 $135 $136 $(1,063)$27 $28,695 $(37)$5 
(in millions)
Fair Value
Beginning
of Period
MRBs and
Net
Realized
and
Unrealized
(Gains)
Losses
Included
in Income
Other
Comprehensive
Income (Loss)
Purchases,
Sales,
Issuances
and
Settlements,
Net
Gross
Transfers
In
Gross
Transfers
Out
OtherFair
Value
End of
Period
Changes in
Unrealized
Gains
(Losses)
Included in
Income on
Instruments
Held at End
of Period
Changes in
Unrealized Gains
(Losses)
Included in Other
Comprehensive
Income (Loss) for
Recurring Level 3
Instruments Held
at End of Period
Liabilities:
Policyholder contract deposits
$6,064 $429 $ $320 $ $ $ $6,813 $(308)$ 
Derivative liabilities, net:
Interest rate contracts
(356)27  (10)   (339) (21)
Foreign exchange contracts
 2      2  (2)
Equity contracts
(502)7  (150)   (645)(1)6 
Credit contracts
 (1) 1      1 
Other contracts
(14)(17) 16    (15)15 1 
Total derivative liabilities, net(b)
(872)18  (143)   (997)14 (15)
Fortitude Re funds withheld payable(1,863)(180) (75)   (2,118)291  
Other Liabilities112 (14)     98   
Total(c)
$3,441 $253 $ $102 $ $ $ $3,796 $(3)$(15)
(in millions)Fair Value
Beginning
of Period
MRBs and
Net Realized
and
Unrealized
Gains
(Losses)
Included
in Income
Other
Comprehensive
Income (Loss)
Purchases,
Sales,
Issuances
and
Settlements,
Net
Gross
Transfers
In
Gross
Transfers
Out
OtherFair
Value
End of
Period
Changes in
Unrealized
Gains
(Losses)
Included in
Income on
Instruments
Held at End
of Period
Changes in
Unrealized Gains
(Losses)
Included in Other
Comprehensive
Income (Loss) for
Recurring Level 3
Instruments Held
at End of Period
Three Months Ended June 30, 2022
Assets:
Bonds available for sale:
Obligations of states, municipalities and political subdivisions$1,087 $— $(143)$(4)$17 $— $— $957 $— $(151)
Non-U.S. governments— — — — — — — 
Corporate debt2,744 (15)(78)(214)252 (206)— 2,483 — (49)
RMBS8,925 92 (390)(266)— (9)— 8,352 — (390)
CMBS864 (46)85 — (37)— 871 — (47)
CLO/ABS11,776 (502)1,106 349 (1,036)— 11,696 — (513)
Total bonds available for sale25,404 85 (1,159)707 619 (1,288)— 24,368 — (1,150)
Other bond securities:
Corporate debt260 (4)— 47 161 (3)— 461 (4)— 
RMBS199 (13)— — — 192 (13)— 
CMBS33 (1)— — — — — 32 (1)— 
CLO/ABS2,468 (135)— 157 (54)— 2,442 — — 
Total other bond securities2,960 (153)209 167 (57)— 3,127 (18)— 
Equity securities— — — — 12 — — 
Other invested assets1,935 133 (23)(23)— (14)— 2,008 174 — 
Other assets108 — — (1)— — — 107 — — 
Total(a)
$30,413 $65 $(1,180)$897 $786 $(1,359)$— $29,622 $156 $(1,150)
(in millions)Fair Value
Beginning
of Period
MRBs and
Net
Realized
and
Unrealized
(Gains)
Losses
Included
in Income
Other
Comprehensive
Income (Loss)
Purchases,
Sales,
Issuances
and
Settlements,
Net
Gross
Transfers
In
Gross
Transfers
Out
OtherFair
Value
End of
Period
Changes in
Unrealized
Gains
(Losses)
Included in
Income on
Instruments
Held at End
of Period
Changes in
Unrealized Gains
(Losses)
Included in Other
Comprehensive
Income (Loss) for
Recurring Level 3
Instruments Held
at End of Period
Liabilities:
Policyholder contract deposits$5,035 $(545)$— $238 $— $— $— $4,728 $592 $— 
Derivative liabilities, net:
Interest rate contracts(4)12 — (70)(81)— — (143)(10)— 
Foreign exchange contracts— — — — — — (1)— 
Equity contracts(178)89 — (59)— (1)— (149)(95)— 
Credit contracts31 — — — — — 32 (1)— 
Other contracts(14)(14)— 12 — — — (16)15 — 
Total derivative liabilities, net(b)
(165)89 — (117)(81)(1)— (275)(92)— 
Fortitude Re funds withheld payable2,206 (2,776)— (68)— — — (638)2,836 — 
Total(c)
$7,076 $(3,232)$— $53 $(81)$(1)$— $3,815 $3,336 $— 
The following table presents the gross components of purchases, sales, issuances and settlements, net, shown above, for the three and six months ended June 30, 2023 and 2022 related to Level 3 assets and liabilities in the Condensed Consolidated Balance Sheets:
Fair Value Measurement Inputs and Valuation Techniques
The table below presents information about the significant unobservable inputs used for recurring fair value measurements for certain Level 3 instruments, and includes only those instruments for which information about the inputs is reasonably available to us, such as data from independent third-party valuation service providers. Because input information from third-parties with respect to certain Level 3 instruments (primarily CLO/ABS) may not be reasonably available to us, balances shown below may not equal total amounts reported for such Level 3 assets and liabilities:
(in millions)Fair Value at
June 30, 2023
Valuation
 Technique
Unobservable Input(b)
Range
(Weighted Average)(c)
Assets:
Obligations of states, municipalities and political subdivisions$846 Discounted cash flowYield
5.02% - 5.46% (5.24%)
Corporate debt1,570 Discounted cash flowYield
5.57% - 8.14% (6.85%)
RMBS(a)
5,107 Discounted cash flowConstant prepayment rate
4.76% - 10.21% (7.48%)
Loss severity
44.40% - 77.42% (60.91%)
Constant default rate
0.84% - 2.71% (1.77%)
Yield
4.37% - 8.40% (6.26%)
CLO/ABS(a)
11,234 Discounted cash flowYield
6.05% - 7.81% (6.93%)
CMBS533 Discounted cash flowYield
4.86% - 32.35% (14.68%)
Market risk benefit assets954 Discounted cash flowEquity volatility
6.45% - 50.75%
Base lapse rate
0.16% - 28.80%
Dynamic lapse multiplier
20.00% - 186.18%
Mortality multiplier(e)
38.25% - 160.01%
Utilization(g)
80.00% - 100.00%
Equity / interest rate correlation
0.00% - 30.00%
NPA(f)
0.34% - 2.23%
(in millions)Fair Value at
June 30, 2023
Valuation
 Technique
Unobservable Input(b)
Range
(Weighted Average)(c)
Liabilities(d):
Market risk benefit liabilities:
Variable annuities guaranteed benefits2,044 Discounted cash flowEquity volatility
6.45% - 50.75%
Base lapse rate
0.16% - 28.80%
Dynamic lapse multiplier
20.00% - 186.18%
Mortality multiplier(e)
38.25% - 160.01%
Utilization(g)
80.00% - 100.00%
Equity / interest rate correlation
0.00% - 30.00%
NPA(f)
0.34% - 2.23%
Fixed annuities guaranteed benefits886 Discounted cash flowBase lapse rate
0.20% - 15.75%
Dynamic lapse multiplier
20.00% - 186.18%
Mortality multiplier(e)
40.26% - 168.43%
Utilization(g)
90.00% - 97.50%
NPA(f)
0.34% - 2.23%
Fixed index annuities guaranteed benefits2,047 Discounted cash flowEquity volatility
6.45% - 50.75%
Base lapse rate
0.20% - 50.00%
Dynamic lapse multiplier
20.00% - 186.18%
Mortality multiplier(e)
24.00% - 180.00%
Utilization(g)
60.00% - 97.50%
Option budget
0.00% - 6.00%
Equity / interest rate correlation
0.00% - 30.00%
NPA(f)
0.34% - 2.23%
Embedded derivatives within Policyholder contract deposits:
Index credits on fixed index annuities(h)
5,973 Discounted cash flowEquity volatility
6.45% - 50.75%
Base lapse rate
0.20% - 50.00%
Dynamic lapse multiplier
20.00% - 186.18%
Mortality multiplier(e)
24.00% - 180.00%
Utilization(g)
60.00% - 97.50%
Option budget
0.00% - 6.00%
Equity / interest rate correlation
0.00% - 30.00%
NPA(f)
0.34% - 2.23%
Index life840 Discounted cash flowBase lapse rate
0.00% - 37.97%
Mortality rate
0.00% - 100.00%
Equity volatility
5.75% - 20.82%
NPA(f)
0.34% - 2.23%

(in millions)Fair Value at
December 31, 2022
Valuation
 Technique
Unobservable Input(b)
Range
(Weighted Average)(c)
Assets:
Obligations of states, municipalities and political subdivisions$799 Discounted cash flowYield
5.28% - 5.94% (5.61%)
Corporate debt2,527 Discounted cash flowYield
4.98% - 9.36% (7.17%)
RMBS(a)
5,235 Discounted cash flowConstant prepayment rate
4.89% - 10.49% (7.69%)
Loss severity
45.06% - 76.87% (60.97%)
Constant default rate
0.82% - 2.72% (1.77%)
Yield
5.98% - 7.75% (6.87%)
CLO/ABS(a)
7,503 Discounted cash flowYield
6.00% - 7.97% (6.99%)
CMBS587 Discounted cash flowYield
4.06% - 13.14% (8.60%)
Market risk benefit assets796 Discounted cash flowEquity volatility
6.45% - 50.75%
Base lapse rate
0.16% - 28.80%
Dynamic lapse multiplier
20.00% - 186.18%
Mortality multiplier(e)
38.25% - 160.01%
Utilization(g)
80.00% - 100.00%
Equity / interest rate correlation
0.00% - 30.00%
NPA(f)
0.00% - 2.03%
(in millions)Fair Value at
December 31, 2022
Valuation
 Technique
Unobservable Input(b)
Range
(Weighted Average)(c)
Liabilities(d):
Market risk benefit liabilities:
Variable annuities guaranteed benefits2,358 Discounted cash flowEquity volatility
6.45% - 50.75%
Base lapse rate
0.16% - 28.80%
Dynamic lapse multiplier
20.00% - 186.18%
Mortality multiplier(e)
38.25% - 160.01%
Utilization(g)
80.00% - 100.00%
Equity / interest rate correlation
0.00% - 30.00%
NPA(f)
0.00% - 2.03%
Fixed annuities guaranteed benefits680 Discounted cash flowBase lapse rate
0.20% - 15.75%
Dynamic lapse multiplier
20.00% - 186.16%
Mortality multiplier(e)
40.26% - 168.43%
Utilization(g)
90.00% - 97.50%
NPA(f)
0.00% - 2.03%
Fixed index annuities guaranteed benefits1,698 Discounted cash flowEquity volatility
6.45% - 50.75%
Base lapse rate
0.20% - 50.00%
Dynamic lapse multiplier
20.00% - 186.18%
Mortality multiplier(e)
24.00% - 180.00%
Utilization(g)
60.00% - 97.50%
Option budget
0.00% - 5.00%
Equity / interest rate correlation
0.00% - 30.00%
NPA(f)
0.00% - 2.03%
Embedded derivatives within Policyholder contract deposits:
Index credits on fixed index annuities(h)
4,657 Discounted cash flowEquity volatility
6.45% - 50.75%
Base lapse rate
0.20% - 50.00%
Dynamic lapse multiplier
20.00% - 186.18%
Mortality multiplier(e)
24.00% - 180.00%
Utilization(g)
60.00% - 97.50%
Option budget
0.00% - 5.00%
Equity / interest rate correlation
0.00% - 30.00%
NPA(f)
0.00% - 2.03%
Index life710 Discounted cash flowBase lapse rate
0.00% - 37.97%
Mortality rate
0.00% - 100.00%
Equity volatility
5.75% - 23.63%
NPA(f)
0.00% - 2.03%
(a)Information received from third-party valuation service providers. The ranges of the unobservable inputs for constant prepayment rate, loss severity and constant default rate relate to each of the individual underlying mortgage loans that comprise the entire portfolio of securities in the RMBS and CLO securitization vehicles and not necessarily to the securitization vehicle bonds (tranches) purchased by us. The ranges of these inputs do not directly correlate to changes in the fair values of the tranches purchased by us, because there are other factors relevant to the fair values of specific tranches owned by us including, but not limited to, purchase price, position in the waterfall, senior versus subordinated position and attachment points.
(b)Represents discount rates, estimates and assumptions that we believe would be used by market participants when valuing these assets and liabilities.
(c)The weighted averaging for fixed maturity securities is based on the estimated fair value of the securities. Because the valuation methodology for embedded derivatives with policyholder contract deposits and market risk benefits uses a range of inputs that vary at the contract level over the cash flow projection period, management believes that presenting a range, rather than weighted average, is a more meaningful representation of the unobservable inputs used in the valuation.
(d)The Fortitude Re funds withheld payable has been excluded from the above table. As discussed in Note 8, the Fortitude Re funds withheld payable is created through modco and funds withheld reinsurance arrangements where the investments supporting the reinsurance agreements are withheld by, and continue to reside on AIG’s balance sheet. This embedded derivative is valued as a total return swap with reference to the fair value of the invested assets held by AIG. Accordingly, the unobservable inputs utilized in the valuation of the embedded derivative are a component of the invested assets supporting the reinsurance agreements that are held on AIG’s balance sheet.
(e)Mortality inputs are shown as multipliers of the 2012 Individual Annuity Mortality Basic table.
(f)The NPA applied as a spread over risk-free curve for discounting.
(g)The partial withdrawal utilization unobservable input range shown applies only to policies with guaranteed minimum withdrawal benefit riders. The total embedded derivative liability at June 30, 2023 and December 31, 2022 was approximately $1.5 billion and $1.1 billion, respectively.
(h)The fixed index annuities embedded derivative associated with index credits related to the contracts with guaranteed product features included in policyholder contract deposits was $1.5 billion and $1.1 billion at June 30, 2023 and December 31, 2022, respectively.
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share
The following table includes information related to our investments in certain other invested assets, including private equity funds, hedge funds and other alternative investments that calculate net asset value per share (or its equivalent). For these investments, which are measured at fair value on a recurring basis, we use the net asset value per share to measure fair value.
June 30, 2023December 31, 2022
(in millions)Investment Category IncludesFair Value Using NAV Per Share (or its equivalent)Unfunded CommitmentsFair Value Using NAV Per Share (or its equivalent)Unfunded Commitments
Investment Category
Private equity funds:
Leveraged buyoutDebt and/or equity investments made as part of a transaction in which assets of mature companies are acquired from the current shareholders, typically with the use of financial leverage$3,423 $2,185 $3,146 $2,448 
Real assetsInvestments in real estate properties, agricultural and infrastructure assets, including power plants and other energy producing assets1,855 844 1,851 840 
Venture capitalEarly-stage, high-potential, growth companies expected to generate a return through an eventual realization event, such as an initial public offering or sale of the company269 161 272 183 
Growth equityFunds that make investments in established companies for the purpose of growing their businesses703 45 732 60 
MezzanineFunds that make investments in the junior debt and equity securities of leveraged companies579 149 598 142 
OtherIncludes distressed funds that invest in securities of companies that are in default or under bankruptcy protection, as well as funds that have multi- strategy, and other strategies1,954 272 1,829 391 
Total private equity funds8,783 3,656 8,428 4,064 
Hedge funds:
Event-drivenSecurities of companies undergoing material structural changes, including mergers, acquisitions and other reorganizations19  92 — 
Long-shortSecurities that the manager believes are undervalued, with corresponding short positions to hedge market risk670  696 — 
MacroInvestments that take long and short positions in financial instruments based on a top-down view of certain economic and capital market conditions191  414 — 
OtherIncludes investments held in funds that are less liquid, as well as other strategies which allow for broader allocation between public and private investments149  192 — 
Total hedge funds1,029  1,394 — 
Total$9,812 $3,656 $9,822 $4,064 
Fair Value Option
The following table presents the gains or losses recorded related to the eligible instruments for which we elected the fair value option:
Gain (Loss) Three Months
Ended June 30,
Gain (Loss) Six Months
Ended June 30,
(in millions)2023202220232022
Assets:
Other bond securities(a)
$(1)$(355)$135 $(674)
Alternative investments(b)
134 (167)211 231 
Liabilities:
Long-term debt(c)
3 68 2 171 
Total gain (loss)$136 $(454)$348 $(272)
(a)Includes certain securities supporting the funds withheld arrangements with Fortitude Re. For additional information regarding the gains and losses for Other bond securities, see Note 6. For additional information regarding the funds withheld arrangements with Fortitude Re, see Note 8.
(b)Includes certain hedge funds, private equity funds and other investment partnerships.
(c)Includes guaranteed investment agreements (GIAs), notes, bonds and mortgages payable.
The following table presents the difference between fair value and the aggregate contractual principal amount of long-term debt for which the fair value option was elected:
June 30, 2023December 31, 2022
(in millions)Fair ValueOutstanding Principal AmountDifferenceFair ValueOutstanding Principal AmountDifference
Liabilities:
Long-term debt*$50 $41 $9 $56 $45 $11 
*Includes GIAs, notes, bonds, loans and mortgages payable.
Fair Value Measurements, Nonrecurring
The following table presents assets measured at fair value on a non-recurring basis at the time of impairment and the related impairment charges recorded during the periods presented:
Assets at Fair ValueImpairment Charges
Non-Recurring BasisThree Months Ended
June 30,
Six Months Ended
June 30,
(in millions)Level 1Level 2Level 3Total2023202220232022
June 30, 2023
Other assets$— $ $12 $12 8 — $17 $— 
Total$ $ $12 $12 $8 $— $17 $— 
December 31, 2022
Other investments$— $— $12 $12 
Total$— $— $12 $12 
Fair Value, by Balance Sheet Grouping
FAIR VALUE INFORMATION ABOUT FINANCIAL INSTRUMENTS NOT MEASURED AT FAIR VALUE
The following table presents the carrying amounts and estimated fair values of our financial instruments not measured at fair value and indicates the level in the fair value hierarchy of the estimated fair value measurement based on the observability of the inputs used:
Estimated Fair ValueCarrying
Value
(in millions)Level 1Level 2Level 3Total
June 30, 2023
Assets:
Mortgage and other loans receivable$ $273 $47,727 $48,000 $51,569 
Other invested assets 853 6 859 858 
Short-term investments 6,677  6,677 6,677 
Cash2,283   2,283 2,283 
Other assets35 2  37 37 
Liabilities:
Policyholder contract deposits associated with investment-type contracts 106 136,027 136,133 139,239 
Fortitude Re funds withheld payable  31,706 31,706 31,706 
Other liabilities 532  532 532 
Short-term and long-term debt* 19,395 261 19,656 21,302 
Debt of consolidated investment entities 89 2,676 2,765 2,793 
Separate account liabilities - investment contracts 85,761  85,761 85,761 
December 31, 2022
Assets:
Mortgage and other loans receivable$— $89 $45,755 $45,844 $49,442 
Other invested assets— 848 854 854 
Short-term investments— 6,668 — 6,668 6,668 
Cash2,043 — — 2,043 2,043 
Other assets24 — 33 33 
Liabilities:
Policyholder contract deposits associated with investment-type contracts— 119 129,174 129,293 137,086 
Fortitude Re funds withheld payable— — 32,618 32,618 32,618 
Other liabilities— 3,101 — 3,101 3,101 
Short-term and long-term debt— 19,328 275 19,603 21,243 
Debt of consolidated investment entities— 3,055 2,478 5,533 5,880 
Separate account liabilities - investment contracts— 80,649 — 80,649 80,649 
*Excludes $267 million reclassified to Liabilities held for sale on the Condensed Consolidated Balance Sheets.