Investments (Tables)

6 Months Ended

Jun. 30, 2011

Investments

Net Investment Income And Investment Gains (Losses)

	Three Months Ended June 30,						Six Months Ended June 30,
	2011			2010			2011			2010
(In millions)
Net investment income consists of:
Fixed maturity securities	$	505		$	519		$	1,011		$	1,029
Short term investments		4			7			7			14
Limited partnerships		22			7			156			87
Equity securities		6			9			12			19
Income (loss) from trading portfolio (a)		(8	)		(5	)		15			16
Other		5			2			9			5
Total investment income		534			539			1,210			1,170
Investment expenses		(15	)		(13	)		(30	)		(27	)
Net investment income	$	519		$	526		$	1,180		$	1,143
(a)     Includes net unrealized gains/(losses) related to changes in fair value on trading securities still held of $(17), $21, $1 and $41 for the three and six months ended June 30, 2011 and 2010.
Investment gains (losses) are as follows:
Fixed maturity securities	$	20		$	66		$	40		$	93
Equity securities		(2	)		(28	)		(2	)		(25	)
Derivative instruments					(18	)		(1	)		(31	)
Short term investments		1			1			3			4
Other					(10	)		2			(9	)
Investment gains (a)	$	19		$	11		$	42		$	32
(a)     Includes gross realized gains of $90, $133, $183 and $235 and gross realized losses of $72, $95, $145 and $167 on available-for-sale securities for the three and six months ended June 30, 2011 and 2010.

Components Of Other-Than-Temporary Impairment ("OTTI") (Losses) Recognized In Earnings By Asset Type

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011		2010
(In millions)
Fixed maturity securities available-for-sale:
Corporate and other bonds	$	15	$	24	$	24	$	42
States, municipalities and political subdivisions				6				20
Asset-backed:
Residential mortgage-backed		46		11		74		37
Commercial mortgage-backed								2
Other asset-backed				2				2
Total fixed maturities available-for-sale		61		43		98		103
Equity securities available-for-sale:
Common stock		1		5		4		5
Preferred stock				9		1		9
Total equity securities available-for-sale		1		14		5		14
Net OTTI losses recognized in earnings	$	62	$	57	$	103	$	117

Amortized Cost And Fair Values Of Securities

June 30, 2011	Cost or Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Estimated Fair Value		Unrealized OTTI Losses (Gains)
(In millions)
Fixed maturity securities:
Corporate and other bonds	$	19,213	$	1,705	$	39	$	20,879
States, municipalities and political subdivisions		8,628		357		268		8,717
Asset-backed:
Residential mortgage-backed		6,076		103		166		6,013	$	61
Commercial mortgage-backed		1,011		62		36		1,037		(9	)
Other asset-backed		925		17		9		933
Total asset-backed		8,012		182		211		7,983		52
U.S. Treasury and obligations of government-sponsored enterprises		231		14		1		244
Foreign government		659		18				677
Redeemable preferred stock		48		6				54
Fixed maturities available-for-sale		36,791		2,282		519		38,554		52
Fixed maturities, trading		305				6		299
Total fixed maturities		37,096		2,282		525		38,853		52
Equity securities:
Common stock		107		26				133
Preferred stock		213		2		2		213
Equity securities available-for-sale		320		28		2		346		—
Equity securities, trading		588		102		40		650
Total equity securities		908		130		42		996		—
Total	$	38,004	$	2,412	$	567	$	39,849	$	52
December 31, 2010
Fixed maturity securities:
Corporate and other bonds	$	19,503	$	1,603	$	70	$	21,036
States, municipalities and political subdivisions		8,157		142		410		7,889
Asset-backed:
Residential mortgage-backed		6,255		101		265		6,091	$	114
Commercial mortgage-backed		994		40		41		993		(2	)
Other asset-backed		753		18		8		763
Total asset-backed		8,002		159		314		7,847		112
U.S. Treasury and obligations of government-sponsored enterprises		122		16		1		137
Foreign government		602		18				620
Redeemable preferred stock		47		7				54
Fixed maturities available-for-sale		36,433		1,945		795		37,583		112
Fixed maturities, trading		244				13		231
Total fixed maturities		36,677		1,945		808		37,814		112
Equity securities:
Common stock		90		25				115
Preferred stock		332		2		9		325
Equity securities available-for-sale		422		27		9		440		—
Equity securities, trading		557		123		34		646
Total equity securities		979		150		43		1,086		—
Total	$	37,656	$	2,095	$	851	$	38,900	$	112

Securities Available-For-Sale In A Gross Unrealized Loss Position

	Less than 12 Months				Greater than 12 Months				Total
June 30, 2011	Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses		Estimated Fair Value		Gross Unrealized Losses
(In millions)
Fixed maturity securities:
Corporate and other bonds	$	1,321	$	23	$	197	$	16	$	1,518	$	39
States, municipalities and political subdivisions		1,331		62		663		206		1,994		268
Asset-backed:
Residential mortgage-backed		2,131		42		1,016		124		3,147		166
Commercial mortgage-backed		317		15		194		21		511		36
Other asset-backed		168		4		61		5		229		9
Total asset-backed		2,616		61		1,271		150		3,887		211
U.S. Treasury and obligations of government-sponsored enterprises		118		1						118		1
Total fixed maturities available-for-sale		5,386		147		2,131		372		7,517		519
Equity securities available-for-sale:
Preferred stock		90		1		19		1		109		2
Total	$	5,476	$	148	$	2,150	$	373	$	7,626	$	521
December 31, 2010
Fixed maturity securities:
Corporate and other bonds	$	1,719	$	34	$	405	$	36	$	2,124	$	70
States, municipalities and political subdivisions		3,339		164		745		246		4,084		410
Asset-backed:
Residential mortgage-backed		1,800		52		1,801		213		3,601		265
Commercial mortgage-backed		164		3		333		38		497		41
Other asset-backed		122		1		60		7		182		8
Total asset-backed		2,086		56		2,194		258		4,280		314
U.S. Treasury and obligations of government-sponsored enterprises		8		1						8		1
Total fixed maturities available-for-sale		7,152		255		3,344		540		10,496		795
Equity securities available-for-sale:
Preferred stock		175		5		70		4		245		9
Total	$	7,327	$	260	$	3,414	$	544	$	10,741	$	804

Pretax Fixed Maturity Credit Loss Component Reflected Within Retained Earnings

	Three Months Ended June 30,						Six Months Ended June 30,
	2011			2010			2011			2010
(In millions)
Beginning balance of credit losses on fixed maturity securities	$	113		$	171		$	141		$	164
Additional credit losses for which an OTTI loss was previously recognized		8			11			18			22
Credit losses for which an OTTI loss was not previously recognized					3			1			8
Reductions for securities sold during the period		(21	)		(14	)		(46	)		(23	)
Reductions for securities the Company intends to sell or more likely than not will be required to sell		(18	)					(32	)
Ending balance of credit losses on fixed maturity securities	$	82		$	171		$	82		$	171

States, Municipalities And Political Subdivisions Securities In A Gross Unrealized Loss Position By Ratings Distribution

June 30, 2011	Amortized Cost		Estimated Fair Value		Gross Unrealized Losses
(In millions)
AAA	$	412	$	387	$	25
AA		1,050		877		173
A		713		650		63
BBB		71		65		6
Non-investment grade		16		15		1
Total	$	2,262	$	1,994	$	268

Asset-Backed Securities In Gross Unrealized Loss Position By Ratings Distribution

June 30, 2011	Amortized Cost		Estimated Fair Value		Gross Unrealized Losses
(In millions)
U.S. Government, Government Agencies and Government-Sponsored Enterprises	$	1,881	$	1,852	$	29
AAA		688		660		28
AA		318		295		23
A		173		164		9
BBB		296		256		40
Non-investment grade and equity tranches		742		660		82
Total	$	4,098	$	3,887	$	211

Contractual Maturity

	June 30, 2011				December 31, 2010
	Amortized Cost		Estimated Fair Value		Amortized Cost		Estimated Fair Value
(In millions)
Due in one year or less	$	1,641	$	1,649	$	1,515	$	1,506
Due after one year through five years		11,352		11,882		11,198		11,653
Due after five years through ten years		9,778		10,274		10,034		10,437
Due after ten years		14,020		14,749		13,686		13,987
Total	$	36,791	$	38,554	$	36,433	$	37,583