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Retirement Benefits (Tables)
 12 Months Ended
Dec. 31, 2019
Defined Benefit Plan [Abstract]  
Schedule of weighted average actuarial assumptions utilized defined benefit plans
The weighted average actuarial assumptions utilized in determining expense during the year and benefit obligation at the end of the year for the U.S. defined benefit and other U.S. post-retirement plans are as follows:
 
U.S. Pension
Benefits
 
U.S. Post-retirement Benefits
 
2019

 
2018

 
2019

 
2018

Weighted average assumptions:
 
 
 
 
 
 
 
Discount rate (for expense)
4.45
%
 
3.86
%
 
4.24
%
 
3.67
%
Expected return on plan assets
7.95
%
 
7.95
%
 
—

 
—

Discount rate (for benefit obligation)
3.44
%
 
4.45
%
 
3.10
%
 
4.24
%

 
Non-U.S. Pension
Benefits
 
Non-U.S.
Post-retirement Benefits
 
2019

 
2018

 
2019

 
2018

Weighted average assumptions:
 
 
 
 
 
 
 
Discount rate (for expense)
2.89
%
 
2.58
%
 
3.32
%
 
2.97
%
Expected return on plan assets
4.87
%
 
4.94
%
 
—

 
—

Rate of compensation increase (for expense)
2.82
%
 
2.80
%
 
—

 
—

Discount rate (for benefit obligation)
2.09
%
 
2.89
%
 
2.53
%
 
3.32
%
Rate of compensation increase (for benefit obligation)
2.75
%
 
2.82
%
 
—

 
—


The weighted average actuarial assumptions utilized for the U.S. and significant non-U.S. defined benefit plans and post-retirement benefit plans are as follows:
  
Pension 
Benefits
 
Post-retirement
Benefits
 
2019

 
2018

 
2019

 
2018

Weighted average assumptions:
 
 
 
 
 
 
 
Discount rate (for expense)
3.48
%
 
3.07
%
 
3.65
%
 
3.21
%
Expected return on plan assets
5.74
%
 
5.83
%
 
—

 
—

Rate of compensation increase (for expense)*
1.74
%
 
1.73
%
 
—

 
—

Discount rate (for benefit obligation)
2.57
%
 
3.48
%
 
2.72
%
 
3.65
%
Rate of compensation increase (for benefit obligation)*
1.76
%
 
1.74
%
 
—

 
—
Schedule of components of net periodic benefit cost for U.S. defined benefit and other postretirement benefit plans
The following chart provides the amounts reported in the consolidated statements of income:
Combined U.S. and significant non-U.S. Plans
Pension
Benefits
 
Post-retirement
Benefits
For the Years Ended December 31,
 
(In millions)
2019

 
2018

2017

 
2019

 
2018

2017

Compensation and benefits expense (Operating income)
$
31

 
$
34

$
76

 
$
—

 
$
1

$
1

Other net benefit (credit) cost
(265
)
 
(215
)
(206
)
 
—

 
—

5

Total (credit) cost
$
(234
)
 
$
(181
)
$
(130
)
 
$
—

 
$
1

$
6


The components of the net periodic benefit cost for defined benefit and other post-retirement plans are as follows:
Combined U.S. and significant non-U.S. Plans
Pension
 
Post-retirement
For the Years Ended December 31,
Benefits
 
Benefits
(In millions of dollars)
2019

 
2018

 
2017

 
2019

 
2018

 
2017

Service cost
$
31

 
$
34

 
$
76

 
$
—

 
$
1

 
$
1

Interest cost
487

 
463

 
497

 
3

 
3

 
4

Expected return on plan assets
(863
)
 
(864
)
 
(921
)
 
—

 
—

 
—

Amortization of prior service (credit) cost
—

 
(2
)
 
(2
)
 
(2
)
 
(2
)
 
1

Recognized actuarial loss (gain)
104

 
146

 
167

 
(1
)
 
(1
)
 
—

Net periodic benefit (credit) cost
$
(241
)
 
$
(223
)
 
$
(183
)
 
$
—

 
$
1

 
$
6

Curtailment (loss) gain
—

 
—

 
(1
)
 
—

 
—

 
—

Settlement loss
7

 
42

 
54

 
—

 
—

 
—

Total (credit) cost
$
(234
)
 
$
(181
)
 
$
(130
)
 
$
—

 
$
1

 
$
6


The components of the net periodic benefit cost for the non-U.S. defined benefit and other post-retirement benefit plans and the curtailment, settlement and termination expenses are as follows:
For the Years Ended December 31,
Non-U.S. Pension
Benefits
 
Non-U.S. Post-retirement
Benefits
(In millions of dollars)
2019

 
2018

 
2017

 
2019

 
2018

 
2017

Service cost
$
31

 
$
34

 
$
76

 
$
—

 
$
1

 
$
1

Interest cost
246

 
228

 
233

 
2

 
2

 
2

Expected return on plan assets
(520
)
 
(507
)
 
(564
)
 
—

 
—

 
—

Amortization of prior service credit
—

 
(2
)
 
(2
)
 
(2
)
 
(2
)
 
(2
)
Recognized actuarial loss
60

 
91

 
130

 
—

 
—

 
1

Net periodic benefit (credit) cost
(183
)
 
(156
)
 
(127
)
 
—

 
1

 
2

Settlement loss
7

 
42

 
54

 
—

 
—

 
—

Curtailment (gain) loss
—

 
—

 
(1
)
 
—

 
—

 
—

Total (credit) cost
$
(176
)
 
$
(114
)
 
$
(74
)
 
$
—

 
$
1

 
$
2


The components of the net periodic benefit cost (credit) for the U.S. defined benefit and other post-retirement benefit plans are as follows:
U.S. Plans only
Pension
Benefits
 
Post-retirement
Benefits
For the Years Ended December 31,
 
(In millions of dollars)
2019

 
2018

 
2017

 
2019

 
2018

 
2017

Interest cost
241

 
235

 
264

 
1

 
1

 
2

Expected return on plan assets
(343
)
 
(357
)
 
(357
)
 
—

 
—

 
—

Amortization of prior service cost
—

 
—

 
—

 
—

 
—

 
3

Recognized actuarial loss (gain)
44

 
55

 
37

 
(1
)
 
(1
)
 
(1
)
Net periodic benefit (credit) cost
$
(58
)
 
$
(67
)
 
$
(56
)
 
$
—

 
$
—

 
$
4
Schedule of MMC's defined benefit plans and postretirement plans
The following schedules provide information concerning the Company’s non-U.S. defined benefit pension plans and non-U.S. post-retirement benefit plans:
 
Non-U.S. Pension
Benefits
 
Non-U.S.
Post-retirement Benefits
(In millions of dollars)
2019

 
2018

 
2019

 
2018

Change in benefit obligation:
 
 
 
 
 
 
 
Benefit obligation at beginning of year
$
8,969

 
$
10,053

 
$
57

 
$
68

Service cost
31

 
34

 
—

 
1

Interest cost
246

 
228

 
2

 
2

Employee contributions
2

 
2

 
—

 
—

Plan combination
915

 
—

 
—

 
—

Actuarial loss (gain)
1,339

 
(450
)
 
3

 
(8
)
Plan amendments
(1
)
 
44

 
—

 
—

Effect of settlement
(25
)
 
(162
)
 
—

 
—

Benefits paid
(364
)
 
(290
)
 
(3
)
 
(3
)
Foreign currency changes
209

 
(491
)
 
2

 
(3
)
Other
—

 
1

 
—

 
—

Benefit obligation, December 31
$
11,321

 
$
8,969

 
$
61

 
$
57

Change in plan assets:
 
 
 
 
 
 
 
Fair value of plan assets at beginning of year
$
10,306

 
$
11,388

 
$
—

 
$
—

Plan combination
683

 
—

 
—

 
—

Actual return on plan assets
1,367

 
(141
)
 
—

 
—

Effect of settlement
(25
)
 
(162
)
 
—

 
—

Company contributions
87

 
82

 
3

 
3

Employee contributions
2

 
2

 
—

 
—

Benefits paid
(364
)
 
(290
)
 
(3
)
 
(3
)
Foreign currency changes
257

 
(573
)
 
—

 
—

Fair value of plan assets, December 31
$
12,313

 
$
10,306

 
$
—

 
$
—

Net funded status, December 31
$
992

 
$
1,337

 
$
(61
)
 
$
(57
)
Amounts recognized in the consolidated balance sheets:
 
 
 
 
 
 
 
Non-current assets
$
1,632

 
$
1,687

 
$
—

 
$
—

Current liabilities
(6
)
 
(5
)
 
(3
)
 
(3
)
Non-current liabilities
(634
)
 
(345
)
 
(58
)
 
(54
)
Net asset (liability) recognized, December 31
$
992

 
$
1,337

 
$
(61
)
 
$
(57
)
Amounts recognized in other comprehensive (loss) income:
 
 
 
 
 
 
 
Prior service credit
$
(2
)
 
$
(2
)
 
$
11

 
$
12

Net actuarial loss
(3,055
)
 
(2,568
)
 
(5
)
 
(1
)
Total recognized accumulated other comprehensive (loss) income, December 31
$
(3,057
)
 
$
(2,570
)
 
$
6

 
$
11

Cumulative employer contributions in excess of (less than) net periodic cost
4,049

 
3,907

 
(67
)
 
(68
)
Net asset (liability) recognized in consolidated balance sheets, December 31
$
992

 
$
1,337

 
$
(61
)
 
$
(57
)
Accumulated benefit obligation, December 31
$
11,079

 
$
8,752

 
$
—

 
$
—

 
Non-U.S. Pension
Benefits
 
Non-U.S.
Post-retirement Benefits
(In millions of dollars)
2019

 
2018

 
2019

 
2018

Reconciliation of prior service credit (cost) recognized in accumulated other comprehensive income (loss):
 
 
 
 
 
 
 
Beginning balance
$
(2
)
 
$
43

 
$
12

 
$
15

Recognized as component of net periodic benefit credit:
 
 
 
 
 
 
 
Amortization of prior service credit
—

 
(2
)
 
(2
)
 
(2
)
Total recognized as component of net periodic benefit credit
—

 
(2
)
 
(2
)
 
(2
)
Changes in plan assets and benefit obligations recognized in other comprehensive income:
 
 
 
 
 
 
 
Plan amendments
1

 
(44
)
 
—

 
—

Exchange rate adjustments
(1
)
 
1

 
1

 
(1
)
Prior service credit, December 31
$
(2
)
 
$
(2
)
 
$
11

 
$
12

 
Non-U.S. Pension
Benefits
 
Non-U.S.
Post-retirement Benefits
(In millions of dollars)
2019

 
2018

 
2019

 
2018

Reconciliation of net actuarial (loss) gain recognized in accumulated other comprehensive (loss) income:
 
 
 
 
 
 
 
Beginning balance
$
(2,568
)
 
$
(2,646
)
 
$
(1
)
 
$
(10
)
Recognized as component of net periodic benefit cost:
 
 
 
 
 
 
 
Amortization of net loss
60

 
91

 
—

 
—

Effect of settlement
7

 
42

 
—

 
—

Total recognized as component of net periodic benefit credit
67

 
133

 
—

 
—

Changes in plan assets and benefit obligations recognized in other comprehensive income (loss):
 
 
 
 
 
 
 
Liability experience
(1,339
)
 
450

 
(3
)
 
8

Asset experience
847

 
(648
)
 
—

 
—

Other
—

 
3

 
—

 
—

Total amount recognized as change in plan assets and benefit obligations
(492
)
 
(195
)
 
(3
)
 
8

Exchange rate adjustments
(62
)
 
140

 
(1
)
 
1

Net actuarial loss, December 31
$
(3,055
)
 
$
(2,568
)
 
$
(5
)
 
$
(1
)
For the Years Ended December 31,
Non-U.S. Pension
Benefits
 
Non-U.S. Post-retirement
Benefits
(In millions of dollars)
2019

 
2018

 
2017

 
2019

 
2018

 
2017

Total recognized in net periodic benefit cost and other comprehensive loss (income)
$
311

 
$
(147
)
 
$
(513
)
 
$
5

 
$
(5
)
 
$
(14
)

The following schedules provide information concerning the Company’s U.S. defined benefit pension plans and post-retirement benefit plans:
 
U.S. Pension
Benefits
 
U.S. Post-retirement
Benefits
(In millions of dollars)
2019

 
2018

 
2019

 
2018

Change in benefit obligation:
 
 
 
 
 
 
 
Benefit obligation at beginning of year
$
5,529

 
$
6,221

 
$
32

 
$
36

Interest cost
241

 
235

 
1

 
1

Employee contributions
—

 
—

 
4

 
4

Plan combination
64

 
—

 
—

 
—

Actuarial (gain) loss
753

 
(502
)
 
1

 
(1
)
Benefits paid
(265
)
 
(425
)
 
(7
)
 
(8
)
Benefit obligation, December 31
$
6,322

 
$
5,529

 
$
31

 
$
32

Change in plan assets:
 
 
 
 
 
 
 
Fair value of plan assets at beginning of year
$
4,062

 
$
4,787

 
$
1

 
$
2

Actual return on plan assets
834

 
(330
)
 
—

 
—

Employer contributions
35

 
30

 
4

 
3

Employee contributions
—

 
—

 
4

 
4

Benefits paid
(265
)
 
(425
)
 
(7
)
 
(8
)
Other
49

 
—

 
—

 
—

Fair value of plan assets, December 31
$
4,715

 
$
4,062

 
$
2

 
$
1

Net funded status, December 31
$
(1,607
)
 
$
(1,467
)
 
$
(29
)
 
$
(31
)
Amounts recognized in the consolidated balance sheets:
 
 
 
 
 
 
 
Current liabilities
$
(29
)
 
$
(28
)
 
$
(1
)
 
$
(2
)
Non-current liabilities
(1,578
)
 
(1,439
)
 
(28
)
 
(29
)
Net liability recognized, December 31
$
(1,607
)
 
$
(1,467
)
 
$
(29
)
 
$
(31
)
Amounts recognized in other comprehensive income (loss):
 
 
 
 
 
 
 
Net actuarial (loss) gain
(2,114
)
 
(1,896
)
 
4

 
6

Total recognized accumulated other comprehensive (loss) income, December 31
$
(2,114
)
 
$
(1,896
)
 
$
4

 
$
6

Cumulative employer contributions in excess of (less than) net periodic cost
507

 
429

 
(33
)
 
(37
)
Net amount recognized in consolidated balance sheet
$
(1,607
)
 
$
(1,467
)
 
$
(29
)
 
$
(31
)
Accumulated benefit obligation at December 31
$
6,322

 
$
5,529

 
$
—

 
$
—

 
 
 
 
 
 
 
 
Schedule of total recognized in net periodic benefit cost and other comprehensive income (loss)
 
 
 
 
 
 
 
 

 
U.S. Pension
Benefits
 
U.S. Post-retirement
Benefits
(In millions of dollars)
2019

 
2018

 
2019

 
2018

Reconciliation of net actuarial (loss) gain recognized in accumulated other comprehensive income (loss):
 
 
 
 
 
 
 
Beginning balance
$
(1,896
)
 
$
(1,766
)
 
$
6

 
$
6

Recognized as component of net periodic benefit cost (credit)
44

 
55

 
(1
)
 
(1
)
Changes in plan assets and benefit obligations recognized in other comprehensive income (loss):
 
 
 
 
 
 
 
Liability experience
(753
)
 
502

 
(1
)
 
1

Asset experience
491

 
(687
)
 
—

 
—

Total (loss) gain recognized as change in plan assets and benefit obligations
(262
)
 
(185
)
 
(1
)
 
1

Net actuarial (loss) gain, December 31
$
(2,114
)
 
$
(1,896
)
 
$
4

 
$
6


 
Non-U.S. Pension
Benefits
 
Non-U.S.
Post-retirement Benefits
(In millions of dollars)
2019

 
2018

 
2019

 
2018

Reconciliation of prior service credit (cost) recognized in accumulated other comprehensive income (loss):
 
 
 
 
 
 
 
Beginning balance
$
(2
)
 
$
43

 
$
12

 
$
15

Recognized as component of net periodic benefit credit:
 
 
 
 
 
 
 
Amortization of prior service credit
—

 
(2
)
 
(2
)
 
(2
)
Total recognized as component of net periodic benefit credit
—

 
(2
)
 
(2
)
 
(2
)
Changes in plan assets and benefit obligations recognized in other comprehensive income:
 
 
 
 
 
 
 
Plan amendments
1

 
(44
)
 
—

 
—

Exchange rate adjustments
(1
)
 
1

 
1

 
(1
)
Prior service credit, December 31
$
(2
)
 
$
(2
)
 
$
11

 
$
12

 
Non-U.S. Pension
Benefits
 
Non-U.S.
Post-retirement Benefits
(In millions of dollars)
2019

 
2018

 
2019

 
2018

Reconciliation of net actuarial (loss) gain recognized in accumulated other comprehensive (loss) income:
 
 
 
 
 
 
 
Beginning balance
$
(2,568
)
 
$
(2,646
)
 
$
(1
)
 
$
(10
)
Recognized as component of net periodic benefit cost:
 
 
 
 
 
 
 
Amortization of net loss
60

 
91

 
—

 
—

Effect of settlement
7

 
42

 
—

 
—

Total recognized as component of net periodic benefit credit
67

 
133

 
—

 
—

Changes in plan assets and benefit obligations recognized in other comprehensive income (loss):
 
 
 
 
 
 
 
Liability experience
(1,339
)
 
450

 
(3
)
 
8

Asset experience
847

 
(648
)
 
—

 
—

Other
—

 
3

 
—

 
—

Total amount recognized as change in plan assets and benefit obligations
(492
)
 
(195
)
 
(3
)
 
8

Exchange rate adjustments
(62
)
 
140

 
(1
)
 
1

Net actuarial loss, December 31
$
(3,055
)
 
$
(2,568
)
 
$
(5
)
 
$
(1
)
Schedule of amounts recognized in other comprehensive income (loss)
For the Years Ended December 31,
Non-U.S. Pension
Benefits
 
Non-U.S. Post-retirement
Benefits
(In millions of dollars)
2019

 
2018

 
2017

 
2019

 
2018

 
2017

Total recognized in net periodic benefit cost and other comprehensive loss (income)
$
311

 
$
(147
)
 
$
(513
)
 
$
5

 
$
(5
)
 
$
(14
)

For the Years Ended December 31,
U.S. Pension
Benefits
 
U.S. Post-retirement
Benefits
(In millions of dollars)
2019

 
2018

 
2017

 
2019

 
2018

 
2017

Total recognized in net periodic benefit cost and other comprehensive loss (income)
$
160

 
$
63

 
$
(10
)
 
$
2

 
$
—

 
$
5
Schedule of estimated amounts that will be amortized from accumulated other comprehensive in the next fiscal year
Estimated amounts that will be amortized from accumulated other comprehensive loss to net periodic pension cost in the next fiscal year:
 
U.S. Pension
Benefits
 
U.S. Post-retirement
Benefits
(In millions of dollars)
2020

 
2020

Net actuarial loss
$
72

 
$
1


Estimated amounts that will be amortized from accumulated other comprehensive loss to net periodic pension cost in the next fiscal year:
  
Non-U.S. Pension
Benefits
 
Non-U.S.
Post-retirement Benefits
(In millions of dollars)
2020

 
2020

Prior service credit
$
—

 
$
(2
)
Net actuarial loss
90

 
—

Projected cost
$
90

 
$
(2
)
Schedule of change in assumed health care cost trend rates A one percentage point change in assumed health care cost trend rates would have the following effects:
(In millions of dollars)
1 Percentage
Point Increase
 
1 Percentage
Point Decrease
Effect on total of service and interest cost components
$
—

 
$
—

Effect on post-retirement benefit obligation
$
6

 
$
(5
)
Schedule of estimated future benefit payments for its pension and postretirement benefits
The estimated future benefit payments for the Company's pension and post-retirement benefit plans are as follows:
For the Years Ended December 31,
Pension
Benefits
 
Post-retirement
Benefits
(In millions of dollars)
U.S.
 
Non-U.S.
 
U.S.
 
Non-U.S.
2020
$
281

 
$
322

 
$
4

 
$
3

2021
$
293

 
$
328

 
$
4

 
$
3

2022
$
305

 
$
338

 
$
3

 
$
3

2023
$
312

 
$
358

 
$
3

 
$
3

2024
$
318

 
$
368

 
$
3

 
$
3

2025-2029
$
1,675

 
$
2,019

 
$
11

 
$
15
Summary of the U.S. and non-U.S. plans investments measured at fair value on a recurring basis
The following table sets forth, by level within the fair value hierarchy, a summary of the U.S. and non-U.S. plans' investments measured at fair value on a recurring basis at December 31, 2019 and 2018:
 
Fair Value Measurements at December 31, 2019
Assets
(In millions of dollars)
Quoted Prices in
Active Markets
for Identical
Assets
(Level 1)
 
Significant
Other
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
 
NAV
 
Total
Common/collective trusts
$
492

 
$
—

 
$
—

 
$
5,959

 
$
6,451

Corporate obligations
—

 
4,063

 
—

 
—

 
4,063

Corporate stocks
2,871

 
34

 
1

 
—

 
2,906

Private equity/partnerships
—

 
—

 
—

 
1,055

 
1,055

Government securities
20

 
679

 
—

 
—

 
699

Real estate
—

 
—

 
—

 
660

 
660

Short-term investment funds
309

 
3

 
—

 
—

 
312

Company common stock
223

 
—

 
—

 
—

 
223

Other investments
15

 
17

 
682

 
2

 
716

Total investments
$
3,930

 
$
4,796

 
$
683

 
$
7,676

 
$
17,085

  
Fair Value Measurements at December 31, 2018
Assets
(In millions of dollars)
Quoted Prices in
Active Markets
for Identical
Assets
(Level 1)
 
Significant
Other
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
 
NAV
 
Total
Common/collective trusts
$
291

 
$
—

 
$
—

 
$
5,329

 
$
5,620

Corporate obligations
—

 
3,673

 
—

 
—

 
3,673

Corporate stocks
2,046

 
33

 
1

 
—

 
2,080

Private equity/partnerships
—

 
—

 
—

 
921

 
921

Government securities
15

 
535

 
—

 
—

 
550

Real estate
—

 
—

 
—

 
563

 
563

Short-term investment funds
286

 
—

 
—

 
—

 
286

Company common stock
319

 
—

 
—

 
—

 
319

Other investments
13

 
20

 
333

 
—

 
366

Total investments
$
2,970

 
$
4,261

 
$
334

 
$
6,813

 
$
14,378
Summary of changes in the fair value of the plans' Level 3 assets
The tables below set forth a summary of changes in the fair value of the plans’ Level 3 assets for the years ended December 31, 2019 and December 31, 2018:
Assets
(In millions)
Fair Value,
January 1, 2019
 
Purchases
 
Sales
 
Unrealized
Gain/
(Loss)
 
Realized
Gain/
(Loss)
 
Exchange
Rate
Impact
 
Transfers
in/(out)
and
Other (a)
 
Fair
Value, December 31, 2019
Other investments
$
333

 
$
17

 
$
(14
)
 
$
72

 
$
1

 
$
(9
)
 
$
282

 
$
682

Corporate stocks
1

 
—

 
—

 
—

 
—

 
—

 
—

 
1

Total assets
$
334

 
$
17

 
$
(14
)
 
$
72

 
$
1

 
$
(9
)
 
$
282

 
$
683

(a) Transfers in during 2019 are primarily related to the inclusion of JLT plan assets.
Assets
(In millions)
Fair Value,
January 1, 2018
 
Purchases
 
Sales
 
Unrealized
Gain/
(Loss)
 
Realized
Gain/
(Loss)
 
Exchange
Rate
Impact
 
Transfers
in/(out)
and
Other
 
Fair
Value, December 31, 2018
Other investments
$
350

 
$
20

 
$
(19
)
 
$
(5
)
 
$
1

 
$
(14
)
 
$
—

 
$
333

Corporate stocks
2

 
—

 
—

 
—

 
—

 
—

 
(1
)
 
1

Corporate obligations
20

 
—

 
—

 
—

 
—

 
—

 
(20
)
 
—

Total assets
$
372

 
$
20

 
$
(19
)
 
$
(5
)
 
$
1

 
$
(14
)
 
$
(21
)
 
$
334