Insurance Liabilities (Tables)

3 Months Ended

Mar. 31, 2024

Insurance [Abstract]

Rollforward of Activity in Loss Reserves

The following table presents the rollforward of activity in loss reserves:

Three Months Ended March 31,
(in millions)		2024		2023
Liability for unpaid loss and loss adjustment expenses, beginning of year	$	70,393	$	75,167
Reinsurance recoverable		(30,289)		(32,102)
Net Liability for unpaid loss and loss adjustment expenses, beginning of year		40,104		43,065
Losses and loss adjustment expenses incurred:
Current year		3,365		3,784
Prior years, excluding discount and amortization of deferred gain		—		(27)
Prior years, discount charge (benefit)		106		94
Prior years, amortization of deferred gain on retroactive reinsurance(a)		(32)		(60)
Total losses and loss adjustment expenses incurred		3,439		3,791
Losses and loss adjustment expenses paid:
Current year		(286)		(289)
Prior years		(2,857)		(3,549)
Total losses and loss adjustment expenses paid		(3,143)		(3,838)
Other changes:
Foreign exchange effect		(496)		397
Retroactive reinsurance adjustment (net of discount)(b)		(8)		12
Reclassified to held for sale, net of reinsurance recoverables(c)		(5)		—
Total other changes		(509)		409
Liability for unpaid loss and loss adjustment expenses, end of period:
Net liability for unpaid losses and loss adjustment expenses		39,891		43,427
Reinsurance recoverable		30,169		32,366
Total	$	70,060	$	75,793

(a)Includes $5 million and $7 million for the retroactive reinsurance agreement with National Indemnity Company (NICO), a subsidiary of Berkshire Hathaway Inc. (Berkshire), covering U.S. asbestos exposures for the three months ended March 31, 2024 and 2023, respectively.

(b)Includes benefit (charge) from change in discount on retroactive reinsurance in the amount of $55 million and $70 million for the three months ended March 31, 2024 and 2023, respectively.

(c)Represents change in loss reserves included in Liabilities held for sale. For additional information, see Note 4.

Schedule of Components of Loss Reserve Discount

The following table presents the components of the loss reserve discount discussed above:

(in millions)		March 31, 2024		December 31, 2023
U.S. workers' compensation	$	2,261	$	2,337
Retroactive reinsurance		(1,049)		(1,104)
Total reserve discount(a)(b)	$	1,212	$	1,233

(a)Excludes $194 million and $196 million of discount related to certain long-tail liabilities in the UK at March 31, 2024 and December 31, 2023, respectively.

(b)Includes gross discount of $680 million and $687 million, which was 100 percent ceded to Fortitude Re at March 31, 2024 and December 31, 2023, respectively.

Schedule of Loss Reserve Discount

The following table presents the net loss reserve discount benefit (charge):

Three Months Ended March 31,
(in millions)		2024		2023
Current accident year	$	30	$	30
Accretion and other adjustments to prior year discount		(106)		(94)
Net reserve discount benefit (charge)		(76)		(64)
Change in discount on loss reserves ceded under retroactive reinsurance		55		70
Net change in total reserve discount*	$	(21)	$	6

*Excludes $(2) million and $4 million of discount related to certain long-tail liabilities in the UK for the three months ended March 31, 2024 and 2023, respectively.

Schedule of Activity for Future Policy Benefits Liability

The following tables present the balances and changes in the liability for future policy benefits and a reconciliation of the net liability for future policy benefits to the liability for future policy benefits in the Condensed Consolidated Balance Sheets:

Three Months Ended March 31, 2024	General Insurance		Individual Retirement		Group Retirement		Life Insurance		Institutional Markets		Other(f)		Total
(in millions, except for liability durations)
Present value of expected net premiums
Balance, beginning of year	$	1,702	$	—	$	—	$	8,379	$	—	$	973	$	11,054
Effect of changes in discount rate assumptions (AOCI)	339		—		—		1,482		—		44		1,865
Reclassified to Liabilities held for sale	—		—		—		4,287		—		—		4,287
Beginning balance at original discount rate	2,041		—		—		14,148		—		1,017		17,206
Effect of actual variances from expected experience	(2)		—		—		(13)		—		—		(15)
Adjusted beginning of year balance	2,039		—		—		14,135		—		1,017		17,191
Issuances	31		—		—		353		—		—		384
Interest accrual	11		—		—		117		—		11		139
Net premium collected	(138)		—		—		(381)		—		(29)		(548)
Foreign exchange impact	(91)		—		—		(46)		—		—		(137)
Other	—		—		—		(4)		—		—		(4)
Ending balance at original discount rate	1,852		—		—		14,174		—		999		17,025
Effect of changes in discount rate assumptions (AOCI)	(283)		—		—		(1,621)		—		(57)		(1,961)
Reclassified to Liabilities held for sale	—		—		—		(4,247)		—		—		(4,247)
Balance, end of period	$	1,569	$	—	$	—	$	8,306	$	—	$	942	$	10,817
Present value of expected future policy benefits
Balance, beginning of year	$	2,149	$	1,353	$	217	$	17,531	$	18,482	$	20,654	$	60,386
Effect of changes in discount rate assumptions (AOCI)	441		132		(3)		2,745		1,906		437		5,658
Reclassified to Liabilities held for sale	—		—		—		5,119		—		—		5,119
Beginning balance at original discount rate	2,590		1,485		214		25,395		20,388		21,091		71,163
Effect of actual variances from expected experience(a)	(2)		(6)		(1)		(7)		—		(9)		(25)
Adjusted beginning of year balance	2,588		1,479		213		25,388		20,388		21,082		71,138
Issuances	32		34		5		350		1,726		2		2,149
Interest accrual	13		16		3		236		217		252		737
Benefit payments	(141)		(33)		(7)		(458)		(283)		(370)		(1,292)
Foreign exchange impact	(119)		—		—		(61)		(82)		—		(262)
Other	—		—		—		(3)		—		(3)		(6)
Ending balance at original discount rate	2,373		1,496		214		25,452		21,966		20,963		72,464
Effect of changes in discount rate assumptions (AOCI)	(374)		(153)		—		(3,149)		(2,347)		(959)		(6,982)
Reclassified to Liabilities held for sale	—		—		—		(5,078)		—		—		(5,078)
Balance, end of period	$	1,999	$	1,343	$	214	$	17,225	$	19,619	$	20,004	$	60,404
Net liability for future policy benefits, end of period	$	430	$	1,343	$	214	$	8,919	$	19,619	$	19,062	$	49,587
Liability for future policy benefits for certain participating contracts													1,302
Liability for universal life policies with secondary guarantees and similar features(b)													3,972
Deferred profit liability													2,553
Other reconciling items(c)													1,571
Future policy benefits for life and accident and health insurance contracts													58,985
Less: Reinsurance recoverable													(22,898)
Net liability for future policy benefits after reinsurance recoverable													$	36,087
Weighted average liability duration of the liability for future policy benefits(d)(e)	9.1		7.7		6.7		12.6		12.2		11.2

Three Months Ended March 31, 2023	General Insurance		Individual Retirement		Group Retirement		Life Insurance		Institutional Markets		Other(f)		Total
(in millions, except for liability durations)
Present value of expected net premiums
Balance, beginning of year	$	1,929	$	—	$	—	$	11,654	$	—	$	991	$	14,574
Effect of changes in discount rate assumptions (AOCI)	262		—		—		1,872		—		66		2,200
Beginning balance at original discount rate	2,191		—		—		13,526		—		1,057		16,774
Effect of actual variances from expected experience	(10)		1		—		12		—		3		6
Adjusted beginning of year balance	2,181		1		—		13,538		—		1,060		16,780
Issuances	36		6		—		322		—		—		364
Interest accrual	11		—		—		106		—		12		129
Net premium collected	(57)		(7)		—		(352)		—		(30)		(446)
Foreign exchange impact	(8)		—		—		96		—		—		88
Other	—		—		—		3		—		—		3
Ending balance at original discount rate	2,163		—		—		13,713		—		1,042		16,918
Effect of changes in discount rate assumptions (AOCI)	(353)		—		—		(1,648)		—		(48)		(2,049)
Balance, end of period	$	1,810	$	—	$	—	$	12,065	$	—	$	994	$	14,869
Present value of expected future policy benefits
Balance, beginning of year	$	2,380	$	1,223	$	211	$	21,179	$	12,464	$	20,429	$	57,886
Effect of changes in discount rate assumptions (AOCI)	362		167		2		3,424		2,634		1,083		7,672
Beginning balance at original discount rate	2,742		1,390		213		24,603		15,098		21,512		65,558
Effect of actual variances from expected experience(a)	(2)		(3)		(1)		26		(5)		—		15
Adjusted beginning of year balance	2,740		1,387		212		24,629		15,093		21,512		65,573
Issuances	36		70		2		318		1,450		3		1,879
Interest accrual	13		12		3		224		139		257		648
Benefit payments	(60)		(32)		(7)		(476)		(228)		(379)		(1,182)
Foreign exchange impact	(10)		—		—		277		125		—		392
Other	—		—		—		1		—		(3)		(2)
Ending balance at original discount rate	2,719		1,437		210		24,973		16,579		21,390		67,308
Effect of changes in discount rate assumptions (AOCI)	(457)		(141)		3		(3,081)		(2,302)		(492)		(6,470)
Balance, end of period	$	2,262	$	1,296	$	213	$	21,892	$	14,277	$	20,898	$	60,838
Net liability for future policy benefits, end of period	$	452	$	1,296	$	213	$	9,827	$	14,277	$	19,904	$	45,969
Liability for future policy benefits for certain participating contracts													1,340
Liability for universal life policies with secondary guarantees and similar features(b)													3,512
Deferred profit liability													2,396
Other reconciling items(c)													1,629
Future policy benefits for life and accident and health insurance contracts													54,846
Less: Reinsurance recoverable													(24,266)
Net liability for future policy benefits after reinsurance recoverable													$	30,580
Weighted average liability duration of the liability for future policy benefits(d)	10.0		7.7		7.1		12.4		11.5		11.6

(a)Effect of changes in cash flow assumptions and variances from actual experience are partially offset by changes in the deferred profit liability.

(b)Additional details can be found in the table that presents the balances and changes in the liability for universal life policies with secondary guarantees and similar features.

(c)Other reconciling items primarily include the Accident and Health as well as Group Benefits (short-duration) contracts.

(d)The weighted average liability durations are calculated as the modified duration using projected future net liability cash flows that are aggregated at the segment level, utilizing the segment level weighted average interest rates and current discount rate, which can be found in the table below.

(e)Includes balances that were reclassified to Liabilities held for sale in the Condensed Consolidated Balance sheets. For additional information, see Note 4.

(f)Represents Life and Retirement legacy insurance lines ceded to Fortitude Re.

The following table presents the amount of undiscounted expected future benefit payments and undiscounted and discounted expected gross premiums for future policy benefits for nonparticipating contracts:

Three Months Ended March 31,
(in millions)		2024		2023
General Insurance(a)	Undiscounted expected future benefits and expense	$	2,911	$	3,350
	Undiscounted expected future gross premiums	4,002		4,616
Individual Retirement	Undiscounted expected future benefits and expense	$	2,156	$	2,048
	Undiscounted expected future gross premiums	—		—
Group Retirement	Undiscounted expected future benefits and expense	$	309	$	317
	Undiscounted expected future gross premiums	—		—
Life Insurance(b)	Undiscounted expected future benefits and expense	$	40,741	$	39,028
	Undiscounted expected future gross premiums	30,656		28,964
Institutional Markets	Undiscounted expected future benefits and expense	$	42,519	$	29,029
	Undiscounted expected future gross premiums	—		—
Other(c)	Undiscounted expected future benefits and expense	$	42,701	$	44,148
	Undiscounted expected future gross premiums	2,106		2,225

(a)General Insurance discounted expected future gross premiums (at current discount rate) for the three months ended March 31, 2024 were $2.9 billion.

(b)Includes balances reclassified to Liabilities held for sale at March 31, 2024. Life Insurance discounted expected future gross premiums (at current discount rate) for the three months ended March 31, 2024 were $20.0 billion.

(c)Represents Life and Retirement legacy insurance lines ceded to Fortitude Re. Other discounted expected future gross premiums (at current discount rate) for the three months ended March 31, 2024 were $1.4 billion.

The following table presents the amount of revenue and interest recognized in the Condensed Consolidated Statements of Income (Loss) for future policy benefits for nonparticipating contracts:

Three Months Ended March 31,	Gross Premiums				Interest Accretion
(in millions)	2024		2023		2024		2023
General Insurance	$	110	$	95	$	2	$	1
Individual Retirement	39		75		16		12
Group Retirement	5		6		3		3
Life Insurance	618		575		119		118
Institutional Markets	1,805		1,581		217		139
Other*	52		54		241		245
Total	$	2,629	$	2,386	$	598	$	518

*Represents Life and Retirement legacy insurance lines ceded to Fortitude Re.

The following table presents the weighted-average interest rate for future policy benefits for nonparticipating contracts:

Three Months Ended March 31, 2024	General Insurance		Individual Retirement		Group Retirement		Life Insurance(a)			Institutional Markets		Other(b)
Weighted-average interest rate, original discount rate	1.84	%	3.79	%	5.13	%		4.12	%	4.25	%	4.86	%
Weighted-average interest rate, current discount rate	3.70	%	5.27	%	5.24	%		5.28	%	5.19	%	5.32	%
Three Months Ended March 31, 2023
Weighted-average interest rate, original discount rate	1.78	%	3.65	%	5.19	%		4.11	%	3.76	%	4.88	%
Weighted-average interest rate, current discount rate	3.64	%	5.33	%	4.91	%		5.08	%	5.04	%	5.10	%

(a)Weighted-average interest rates for Life Insurance include balances that have been reclassified to Liabilities held-for-sale at March 31, 2024.

(b)Represents Life and Retirement legacy insurance lines ceded to Fortitude Re.

The following table presents the balances and changes in the liability for universal life policies with secondary guarantees and similar features:

Three Months Ended March 31,	2024						2023
(in millions, except duration of liability)	Life Insurance		Other(b)		Total		Life Insurance		Other(b)		Total
Balance, beginning of year	$	3,731	$	55	$	3,786	$	3,300	$	55	$	3,355
Effect of changes in experience	109		(1)		108		74		(1)		73
Adjusted beginning balance	3,840		54		3,894		3,374		54		3,428
Assessments	145		—		145		179		—		179
Excess benefits paid	(232)		—		(232)		(238)		—		(238)
Interest accrual	38		1		39		28		1		29
Other	—		—		—		(5)		—		(5)
Changes related to unrealized appreciation (depreciation) of investments	126		—		126		119		—		119
Balance, end of period	3,917		55		3,972		3,457		55		3,512
Less: Reinsurance recoverable	(172)		(55)		(227)		(192)		—		(192)
Balance, end of period, net of Reinsurance recoverable	$	3,745	$	—	$	3,745	$	3,265	$	55	$	3,320
Weighted average duration of liability(a)	25.3		9.1				26.4		9.4

(a)The weighted average duration of liabilities is calculated as the modified duration using projected future net liability cash flows that are aggregated at the segment level, utilizing the segment level weighted average interest rates, which can be found in the table below.

(b)Represents Life and Retirement legacy insurance lines ceded to Fortitude Re.

The following table presents the amount of revenue and interest recognized in the Condensed Consolidated Statements of Income (Loss) for the liability for universal life policies with secondary guarantees and similar features:

Three Months Ended March 31,	Gross Assessments				Interest Accretion
(in millions)	2024		2023		2024		2023
Life Insurance	$	248	$	299	$	38	$	28
Other*	10		10		1		1
Total	$	258	$	309	$	39	$	29

*Represents Life and Retirement legacy insurance lines ceded to Fortitude Re.

The following table presents the calculation of weighted average interest rate for the liability for universal life policies with secondary guarantees and similar features:

Three Months Ended March 31,	2024				2023
	Life Insurance		Other*		Life Insurance		Other*
Weighted-average interest rate	3.92	%	4.20	%	3.76	%	4.24	%

*Represents Life and Retirement legacy insurance lines ceded to Fortitude Re.

The following table presents a rollforward of URR:

	Life Insurance		Institutional Markets		Other*		Total
(in millions)
Three Months Ended March 31, 2024
Balance, beginning of year	$	1,770	$	1	$	94	$	1,865
Revenue deferred	40		—		—		40
Amortization	(28)		—		(2)		(30)
Balance, end of period	$	1,782	$	1	$	92	$	1,875
Three Months Ended March 31, 2023
Balance, beginning of year	$	1,727	$	2	$	105	$	1,834
Revenue deferred	38		—		—		38
Amortization	(27)		(1)		(2)		(30)
Balance, end of period	$	1,738	$	1	$	103	$	1,842

*Represents Life and Retirement legacy insurance lines ceded to Fortitude Re. At March 31, 2024 and 2023, Other policyholder funds, excluding URR, totaled $1.4 billion and $1.6 billion, respectively.

Schedule of Details Concerning Universal Life Policies with Secondary Guarantees

The following table presents details concerning our universal life policies with secondary guarantees and similar features:

Three Months Ended March 31,
(dollars in millions)		2024		2023
Account value	$	3,773	$	3,556
Net amount at risk	$	73,092	$	70,014
Average attained age of contract holders		53		53

Policyholder Account Balance

The following table presents the balances and changes in Policyholder contract deposits account balances(a):

Three Months Ended March 31, 2024	Individual Retirement			Group Retirement			Life Insurance			Institutional Markets			Other(d)			Total
(in millions, except for average crediting rate)
Policyholder contract deposits account balance, beginning of year	$	94,896		$	41,299		$	10,231		$	13,649		$	3,333		$	163,408
Deposits	4,878			1,349			407			798			11			7,443
Policy charges	(186)			(122)			(377)			(17)			(15)			(717)
Surrenders and withdrawals	(4,600)			(2,466)			(73)			(31)			(21)			(7,191)
Benefit payments	(761)			(494)			(79)			(181)			(79)			(1,594)
Net transfers from (to) separate account	1,248			1,024			5			(27)			—			2,250
Interest credited	816			303			121			157			40			1,437
Other	(3)			2			6			(11)			3			(3)
Policyholder contract deposits account balance, end of period	96,288			40,895			10,241			14,337			3,272			165,033
Other reconciling items(b)	(1,225)			(192)			134			33			(85)			(1,335)
Policyholder contract deposits	$	95,063		$	40,703		$	10,375		$	14,370		$	3,187		$	163,698
Weighted average crediting rate	2.86		%	3.05		%	4.39		%	4.59		%	4.98		%
Cash surrender value(c)	$	89,795		$	39,746		$	9,042		$	2,585		$	1,696		$	142,864

Three Months Ended March 31, 2023	Individual Retirement			Group Retirement			Life Insurance			Institutional Markets			Other(d)			Total
(in millions, except for average crediting rate)
Policyholder contract deposits account balance, beginning of year	$	89,554		$	43,395		$	10,224		$	11,734		$	3,587		$	158,494
Deposits	4,864			1,326			414			595			11			7,210
Policy charges	(244)			(110)			(384)			(17)			(16)			(771)
Surrenders and withdrawals	(3,171)			(2,016)			(56)			(403)			(20)			(5,666)
Benefit payments	(1,036)			(557)			(49)			(167)			(88)			(1,897)
Net transfers from (to) separate account	728			592			(1)			443			—			1,762
Interest credited	377			270			88			105			43			883
Other	(2)			3			(16)			4			(1)			(12)
Policyholder contract deposits account balance, end of period	91,070			42,903			10,220			12,294			3,516			160,003
Other reconciling items(b)	(1,889)			(279)			116			74			(129)			(2,107)
Policyholder contract deposits	$	89,181		$	42,624		$	10,336		$	12,368		$	3,387		$	157,896
Weighted average crediting rate	2.52		%	2.78		%	4.24		%	3.55		%	4.95		%
Cash surrender value(c)	$	84,906		$	41,361		$	8,874		$	2,545		$	1,781		$	139,467

(a)Transactions between the general account and the separate account are presented in this table on a gross basis (e.g., a policyholder's funds are initially deposited into the general account and then simultaneously transferred to the separate account), thus, did not impact the ending balance of policyholder contract deposits.

(b)Includes MRBs that are bifurcated and reported separately, net of embedded derivatives recorded in Policyholder contract deposits. Other also includes amounts related to Other Operations of $(85) million and $(129) million at March 31, 2024 and 2023, respectively.

(c)Cash surrender value is related to the portion of policyholder contract deposits that have a defined cash surrender value (e.g. GICs, do not have a cash surrender value).

(d)Primarily represents Life and Retirement legacy insurance lines ceded to Fortitude Re.

For information related to net amount at risk, see Note 13.

The following table presents Policyholder contract deposits account balance by range of guaranteed minimum crediting rates and the related range of difference, in basis points, between rates being credited to policyholders and the respective guaranteed minimums:

March 31, 2024		At Guaranteed Minimum			1 Basis Point - 50 Basis Points Above			More than 50 Basis Points Above Minimum Guarantee			Total
(in millions, except percentage of total)
Individual Retirement	Range of Guaranteed Minimum Credited Rate
	<=1%	$	6,251		$	1,917		$	28,202		$	36,370
	> 1% - 2%	3,556			21			1,490			5,067
	> 2% - 3%	7,653			11			1,407			9,071
	> 3% - 4%	6,342			36			5			6,383
	> 4% - 5%	424			—			4			428
	> 5%	32			—			3			35
	Total	$	24,258		$	1,985		$	31,111		$	57,354
Group Retirement	Range of Guaranteed Minimum Credited Rate
	<=1%	$	2,133		$	1,895		$	7,672		$	11,700
	> 1% - 2%	3,597			1,126			670			5,393
	> 2% - 3%	11,686			215			110			12,011
	> 3% - 4%	603			—			—			603
	> 4% - 5%	6,579			—			—			6,579
	> 5%	141			—			—			141
	Total	$	24,739		$	3,236		$	8,452		$	36,427
Life Insurance	Range of Guaranteed Minimum Credited Rate
	<=1%	$	—		$	—		$	—		$	—
	> 1% - 2%	—			110			365			475
	> 2% - 3%	9			1,072			856			1,937
	> 3% - 4%	1,190			482			7			1,679
	> 4% - 5%	2,820			—			—			2,820
	> 5%	214			—			—			214
	Total	$	4,233		$	1,664		$	1,228		$	7,125
Total*		$	53,230		$	6,885		$	40,791		$	100,906
Percentage of total		53		%	7		%	40		%	100		%

March 31, 2023		At Guaranteed Minimum			1 Basis Point - 50 Basis Points Above			More than 50 Basis Points Above Minimum Guarantee			Total
(in millions, except percentage of total)
Individual Retirement	Range of Guaranteed Minimum Credited Rate
	<=1%	$	7,776		$	2,562		$	23,263		$	33,601
	> 1% - 2%	3,994			24			2,163			6,181
	> 2% - 3%	9,155			1			390			9,546
	> 3% - 4%	7,359			40			6			7,405
	> 4% - 5%	452			—			4			456
	> 5%	32			—			4			36
	Total	$	28,768		$	2,627		$	25,830		$	57,225
Group Retirement	Range of Guaranteed Minimum Credited Rate
	<=1%	$	2,063		$	2,713		$	6,049		$	10,825
	> 1% - 2%	5,005			908			353			6,266
	> 2% - 3%	13,561			40			—			13,601
	> 3% - 4%	658			—			—			658
	> 4% - 5%	6,821			—			—			6,821
	> 5%	153			—			—			153
	Total	$	28,261		$	3,661		$	6,402		$	38,324
Life Insurance	Range of Guaranteed Minimum Credited Rate
	<=1%	$	—		$	—		$	—		$	—
	> 1% - 2%	—			131			349			480
	> 2% - 3%	28			862			1,079			1,969
	> 3% - 4%	1,417			118			198			1,733
	> 4% - 5%	2,946			—			—			2,946
	> 5%	222			—			—			222
	Total	$	4,613		$	1,111		$	1,626		$	7,350
Total*		$	61,642		$	7,399		$	33,858		$	102,899
Percentage of total		60		%	7		%	33		%	100		%

*Excludes policyholder contract deposits account balances that are not subject to guaranteed minimum crediting rates.