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Investment Income And Gains And Losses (Tables)
9 Months Ended
Sep. 30, 2011
Investment Income And Gains And Losses [Abstract] 
Total Investment Income From All Operations
     Three Months Ended September 30,     Nine Months Ended September 30,  

In millions

    2011     2010     2011     2010  

Net investment income:

         

Fixed-maturity

    $ 87      $ 104      $ 279      $ 313   

Held-to-maturity

      1        2        5        5   

Short-term investments

      1        3        5        8   

Other investments

      3        5        10        17   

Consolidated VIEs

      17        21        53        51   
  

 

 

    

 

 

    

 

 

    

 

 

  

Gross investment income

      109        135        352        394   

Investment expenses

      -        2        -        4   
  

 

 

    

 

 

    

 

 

    

 

 

  

Net investment income

      109        133        352        390   

Realized gains and losses:

         

Fixed-maturity:

         

Gains

      46 (1)      55        117 (1)      90   

Losses

      (56 )      (5 )      (133 )      (84 ) 
  

 

 

    

 

 

    

 

 

    

 

 

  

Net

      (10 )      50        (16 )      6   

Other investments:

         

Gains

      -        -        9        1   

Losses

      (1 )      -        (1 )      (1 ) 
  

 

 

    

 

 

    

 

 

    

 

 

  

Net

      (1 )      -        8        -   
  

 

 

    

 

 

    

 

 

    

 

 

  

Total net realized gains (losses)(2)

     (11 )      50        (8 )      6   
  

 

 

    

 

 

    

 

 

    

 

 

  

Total investment income

    $ 98      $ 183      $ 344      $ 396   
  

 

 

    

 

 

    

 

 

    

 

 

  

(1) - Includes net trading gains of $2 million and $5 million for the three and nine months ended September 30, 2011, respectively.
(2) - Reported within the "Net gains (losses) on financial instruments at fair value and foreign exchange" and "Net investment losses related to other-than-temporary impairments" line items on MBIA's consolidated statements of operations.
Credit Losses Recognized In Earnings Related To OTTI Losses For Which A Portion Is Recognized In Accumulated Other Comprehensive Income (Loss)
In millions    Three Months Ended
September 30,		     Nine Months Ended
September 30,		  

Credit Losses Recognized in Earnings Related to Other-Than-Temporary Impairments

    2011     2010     2011     2010  

Beginning balance

    $ 283      $ 265      $ 262      $ 389   

Accounting transition adjustment(1)

     -        -        -        (148 ) 
Additions for credit loss impairments recognized in the current period on securities not previously impaired      5        -        5        23   
Additions for credit loss impairments recognized in the current period on securities previously impaired      6        -        32        17   
Reductions for credit loss impairments previously recognized on securities sold during the period      (5 )      (3 )      (10 )      (14 ) 
Reductions for credit loss impairments previously recognized on securities impaired to fair value during the period(2)      -        -        -        (4 ) 
Reductions for increases in cash flows expected to be collected over the remaining life of the security      -        -        -        (1 ) 
  

 

 

    

 

 

    

 

 

    

 

 

  

Ending balance

    $ 289      $ 262      $ 289      $ 262   
  

 

 

    

 

 

    

 

 

    

 

 

  

(1)  - Reflects the adoption of the accounting principles for the consolidation of VIEs.
(2)  - Represents circumstances where the Company determined in the current period that it intends to sell the security or it is more likely than not that it will be required to sell the security before recovery of the security's amortized cost.
Significant Inputs Used In Measurement Of Credit Loss Component Recognized In Earnings For Each Significant Class Of ABS

 

     Nine Months Ended September 30,  

Asset-backed Securities

    2011      2010  

Expected size of losses(1):

      

Range(2)

     1.59% to 100%         0.21% to 100%   

Weighted average(3)

     64.58%         44.90%   

Current subordination levels(4):

      

Range(2)

     0.00% to 29.46%         0.00% to 42.16%   

Weighted average(3)

     0.00%         5.18%   

Prepayment speed (annual CPR)(5):

      

Range(2)

     0.00 to 100         0.00 to 38.13   

Weighted average(3)

     15.62         9.08   

(1)  - Represents future expected credit losses on impaired assets expressed as a percentage of total outstanding balance.

(2) - Represents the range of inputs/assumptions based upon the individual securities within each category.

(3) - Calculated by weighting the relevant input/assumption for each individual security by the outstanding notional of the security.

(4) - Represents current level of credit protection (subordination) for the securities, expressed as a percentage of the balance of the collateral group backing the bond.

(5) - Values represent high and low points of lifetime vectors of constant prepayment rates.

 

Net Unrealized Gains (Losses), Including Portion Of Other-Than-Temporary Impairments Included In Other Comprehensive Income (Loss), Reported Within Shareholders' Equity

In millions

    As of September 30,
2011		     As of December 31,
2010		  

Fixed-maturity:

     

Gains

    $ 373      $ 208   

Losses

      (536 )      (782 ) 

Foreign exchange

      9        (14 ) 
  

 

 

    

 

 

  

Net

      (154 )      (588 ) 

Other investments:

     

Gains

      2        10   

Losses

      (31 )      (22 ) 
  

 

 

    

 

 

  

Net

      (29 )      (12 ) 
  

 

 

    

 

 

  

Total

      (183 )      (600 ) 

Deferred income tax provision (benefit)

      (76 )      (208 ) 
  

 

 

    

 

 

  

Unrealized gains (losses), net

    $ (107 )    $ (392 ) 
  

 

 

    

 

 

  
Change In Net Unrealized Gains (Losses)

In millions

    As of September 30,
2011		     As of December 31,
2010		  

Fixed-maturity

    $ 434      $ 749   

Other investments

      (17 )      47   
  

 

 

    

 

 

  

Total

      417        796   

Deferred income tax charged (credited)

      132        213   
  

 

 

    

 

 

  

Change in unrealized gains (losses), net (1)

   $ 285      $ 583   
  

 

 

    

 

 

  

  (1)   - The annual change as of December 31, 2010 included $266 million of net unrealized gains due to the transition adjustment for the adoption of the accounting principles for consolidation of VIEs.