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Consolidating Financial Statements (Unaudited) (Tables)
 9 Months Ended
Sep. 30, 2019
Consolidating Financial Statements of The Travelers Companies, Inc. and Subsidiaries (Unaudited) disclosure  
Consolidating Statement of Income (Unaudited) [Table Text Block]
CONSOLIDATING STATEMENT OF INCOME (Unaudited)
For the three months ended September 30, 2019
 
(in millions)
 
TPC
 
Other
Subsidiaries
 
TRV
 
Eliminations
 
Consolidated
Revenues
 
 

 
 

 
 

 
 

 
 

Premiums
 
$
4,923

 
$
2,256

 
$
—

 
$
—

 
$
7,179

Net investment income
 
428

 
185

 
9

 
—

 
622

Fee income
 
120

 
1

 
—

 
—

 
121

Net realized investment gains (1)
 
7

 
16

 
—

 
—

 
23

Other revenues
 
36

 
32

 
—

 
—

 
68

Total revenues
 
5,514

 
2,490

 
9

 
—

 
8,013

 
 
 
 
 
 
 
 
 
 
 
Claims and expenses
 
 

 
 

 
 

 
 

 
 

Claims and claim adjustment expenses
 
3,555

 
1,675

 
—

 
—

 
5,230

Amortization of deferred acquisition costs
 
791

 
378

 
—

 
—

 
1,169

General and administrative expenses
 
752

 
341

 
5

 
—

 
1,098

Interest expense
 
12

 
—

 
72

 
—

 
84

Total claims and expenses
 
5,110

 
2,394

 
77

 
—

 
7,581

Income (loss) before income taxes
 
404

 
96

 
(68
)
 
—

 
432

Income tax expense (benefit)
 
42

 
12

 
(18
)
 
—

 
36

Net income of subsidiaries
 
—

 
—

 
446

 
(446
)
 
—

Net income
 
$
362

 
$
84

 
$
396

 
$
(446
)
 
$
396

____________________________________________________
(1)
Total other-than-temporary impairments (OTTI) for the three months ended September 30, 2019, and the amounts comprising total OTTI that were recognized in net realized investment gains and in other comprehensive income (OCI) were as follows:
 
(in millions)
 
TPC
 
Other
Subsidiaries
 
TRV
 
Eliminations
 
Consolidated
Total OTTI losses
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

OTTI losses recognized in net realized investment gains
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

OTTI losses recognized in OCI
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
CONSOLIDATING STATEMENT OF INCOME (Unaudited)
For the three months ended September 30, 2018
 
(in millions)
 
TPC
 
Other
Subsidiaries
 
TRV
 
Eliminations
 
Consolidated
Revenues
 
 

 
 

 
 

 
 

 
 

Premiums
 
$
4,715

 
$
2,167

 
$
—

 
$
—

 
$
6,882

Net investment income
 
444

 
193

 
9

 
—

 
646

Fee income
 
108

 
1

 
—

 
—

 
109

Net realized investment gains (1)
 
13

 
9

 
7

 
—

 
29

Other revenues
 
29

 
30

 
—

 
(2
)
 
57

Total revenues
 
5,309

 
2,400

 
16

 
(2
)
 
7,723

 
 
 
 
 
 
 
 
 
 
 
Claims and expenses
 
 

 
 

 
 

 
 

 
 

Claims and claim adjustment expenses
 
3,149

 
1,506

 
—

 
—

 
4,655

Amortization of deferred acquisition costs
 
757

 
360

 
—

 
—

 
1,117

General and administrative expenses
 
728

 
326

 
7

 
(2
)
 
1,059

Interest expense
 
12

 
—

 
74

 
—

 
86

Total claims and expenses
 
4,646

 
2,192

 
81

 
(2
)
 
6,917

Income (loss) before income taxes
 
663

 
208

 
(65
)
 
—

 
806

Income tax expense (benefit)
 
104

 
36

 
(43
)
 
—

 
97

Net income of subsidiaries
 
—

 
—

 
731

 
(731
)
 
—

Net income
 
$
559

 
$
172

 
$
709

 
$
(731
)
 
$
709

 
_________________________________________________________
(1)
Total other-than-temporary impairments (OTTI) for the three months ended September 30, 2018, and the amounts comprising total OTTI that were recognized in net realized investment gains and in other comprehensive income (loss) (OCI) were as follows:
 
(in millions)
 
TPC
 
Other
Subsidiaries
 
TRV
 
Eliminations
 
Consolidated
Total OTTI losses
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

OTTI losses recognized in net realized investment gains
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

OTTI losses recognized in OCI
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 


CONSOLIDATING STATEMENT OF INCOME (Unaudited)
For the nine months ended September 30, 2019
 
(in millions)
 
TPC
 
Other
Subsidiaries
 
TRV
 
Eliminations
 
Consolidated
Revenues
 
 

 
 

 
 

 
 

 
 

Premiums
 
$
14,398

 
$
6,624

 
$
—

 
$
—

 
$
21,022

Net investment income
 
1,299

 
521

 
32

 
—

 
1,852

Fee income
 
345

 
1

 
—

 
—

 
346

Net realized investment gains (1)
 
43

 
37

 
21

 
—

 
101

Other revenues
 
105

 
92

 
—

 
—

 
197

Total revenues
 
16,190

 
7,275

 
53

 
—

 
23,518

Claims and expenses
 
 

 
 

 
 

 
 

 
 

Claims and claim adjustment expenses
 
9,827

 
4,666

 
—

 
—

 
14,493

Amortization of deferred acquisition costs
 
2,276

 
1,144

 
—

 
—

 
3,420

General and administrative expenses
 
2,242

 
1,023

 
15

 
—

 
3,280

Interest expense
 
36

 
—

 
225

 
—

 
261

Total claims and expenses
 
14,381

 
6,833

 
240

 
—

 
21,454

Income (loss) before income taxes
 
1,809

 
442

 
(187
)
 
—

 
2,064

Income tax expense (benefit)
 
310

 
66

 
(61
)
 
—

 
315

Net income of subsidiaries
 
—

 
—

 
1,875

 
(1,875
)
 
—

Net income
 
$
1,499

 
$
376

 
$
1,749

 
$
(1,875
)
 
$
1,749

_________________________________________________________ 
(1)
Total other-than-temporary impairments (OTTI) for the nine months ended September 30, 2019, and the amounts comprising total OTTI that were recognized in net realized investment gains and in other comprehensive income (OCI) were as follows:
 
(in millions)
 
TPC
 
Other
Subsidiaries
 
TRV
 
Eliminations
 
Consolidated
Total OTTI losses
 
$
(1
)
 
$
(1
)
 
$
—

 
$
—

 
$
(2
)
OTTI losses recognized in net realized investment gains
 
$
(1
)
 
$
(1
)
 
$
—

 
$
—

 
$
(2
)
OTTI losses recognized in OCI
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
CONSOLIDATING STATEMENT OF INCOME (Unaudited)
For the nine months ended September 30, 2018
 
(in millions)
 
TPC
 
Other
Subsidiaries
 
TRV
 
Eliminations
 
Consolidated
Revenues
 
 

 
 

 
 

 
 

 
 

Premiums
 
$
13,760

 
$
6,354

 
$
—

 
$
—

 
$
20,114

Net investment income
 
1,268

 
553

 
23

 
—

 
1,844

Fee income
 
323

 
1

 
—

 
—

 
324

Net realized investment gains (1)
 
33

 
13

 
8

 
—

 
54

Other revenues
 
69

 
85

 
—

 
(4
)
 
150

Total revenues
 
15,453

 
7,006

 
31

 
(4
)
 
22,486

Claims and expenses
 
 

 
 

 
 

 
 

 
 

Claims and claim adjustment expenses
 
9,123

 
4,390

 
—

 
—

 
13,513

Amortization of deferred acquisition costs
 
2,189

 
1,070

 
—

 
—

 
3,259

General and administrative expenses
 
2,223

 
997

 
18

 
(4
)
 
3,234

Interest expense
 
36

 
—

 
229

 
—

 
265

Total claims and expenses
 
13,571

 
6,457

 
247

 
(4
)
 
20,271

Income (loss) before income taxes
 
1,882

 
549

 
(216
)
 
—

 
2,215

Income tax expense (benefit)
 
314

 
89

 
(90
)
 
—

 
313

Net income of subsidiaries
 
—

 
—

 
2,028

 
(2,028
)
 
—

Net income
 
$
1,568

 
$
460

 
$
1,902

 
$
(2,028
)
 
$
1,902

_________________________________________________________
(1)
Total other-than-temporary impairments (OTTI) for the nine months ended September 30, 2018, and the amounts comprising total OTTI that were recognized in net realized investment gains and in other comprehensive income (loss) (OCI) were as follows:
 
(in millions)
 
TPC
 
Other
Subsidiaries
 
TRV
 
Eliminations
 
Consolidated
Total OTTI losses
 
$
(1
)
 
$
—

 
$
—

 
$
—

 
$
(1
)
OTTI losses recognized in net realized investment gains
 
$
(1
)
 
$
—

 
$
—

 
$
—

 
$
(1
)
OTTI gains (losses) recognized in OCI
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—
Consolidating Statement of Comprehensive Income (Loss) (Unaudited) [Table Text Block]
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (Unaudited)
For the three months ended September 30, 2019
 
(in millions)
 
TPC
 
Other
Subsidiaries
 
TRV
 
Eliminations
 
Consolidated
Net income
 
$
362

 
$
84

 
$
396

 
$
(446
)
 
$
396

 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income:
 
 

 
 

 
 

 
 

 
 

Changes in net unrealized gains on investment securities:
 
 

 
 

 
 

 
 

 
 

Having no credit losses recognized in the consolidated statement of income
 
427

 
177

 
1

 
—

 
605

Having credit losses recognized in the consolidated statement of income
 
(3
)
 
—

 
—

 
—

 
(3
)
Net changes in benefit plan assets and obligations
 
—

 
2

 
12

 
—

 
14

Net changes in unrealized foreign currency translation
 
(33
)
 
(42
)
 
—

 
—

 
(75
)
Other comprehensive income before income taxes and other comprehensive income of subsidiaries
 
391

 
137

 
13

 
—

 
541

Income tax expense
 
85

 
37

 
—

 
—

 
122

Other comprehensive income, net of taxes, before other comprehensive income of subsidiaries
 
306

 
100

 
13

 
—

 
419

Other comprehensive income of subsidiaries
 
—

 
—

 
406

 
(406
)
 
—

Other comprehensive income
 
306

 
100

 
419

 
(406
)
 
419

Comprehensive income
 
$
668

 
$
184

 
$
815

 
$
(852
)
 
$
815

 
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (Unaudited)
For the three months ended September 30, 2018
 
(in millions)
 
TPC
 
Other
Subsidiaries
 
TRV
 
Eliminations
 
Consolidated
Net income
 
$
559

 
$
172

 
$
709

 
$
(731
)
 
$
709

 
 
 
 
 
 
 
 
 
 
 
Other comprehensive income (loss):
 
 

 
 

 
 

 
 

 
 

Changes in net unrealized gains (losses) on investment securities:
 
 

 
 

 
 

 
 

 
 

Having no credit losses recognized in the consolidated statement of income
 
(299
)
 
(115
)
 
—

 
—

 
(414
)
Having credit losses recognized in the consolidated statement of income
 
(8
)
 
(3
)
 
—

 
—

 
(11
)
Net changes in benefit plan assets and obligations
 
—

 
1

 
21

 
—

 
22

Net changes in unrealized foreign currency translation
 
6

 
(6
)
 
—

 
—

 
—

Other comprehensive income (loss) before income taxes and other comprehensive loss of subsidiaries
 
(301
)
 
(123
)
 
21

 
—

 
(403
)
Income tax expense (benefit)
 
(67
)
 
(24
)
 
3

 
—

 
(88
)
Other comprehensive income (loss), net of taxes, before other comprehensive loss of subsidiaries
 
(234
)
 
(99
)
 
18

 
—

 
(315
)
Other comprehensive loss of subsidiaries
 
—

 
—

 
(333
)
 
333

 
—

Other comprehensive loss
 
(234
)
 
(99
)
 
(315
)
 
333

 
(315
)
Comprehensive income
 
$
325

 
$
73

 
$
394

 
$
(398
)
 
$
394

 


CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (Unaudited)
For the nine months ended September 30, 2019
 
(in millions)
 
TPC
 
Other
Subsidiaries
 
TRV
 
Eliminations
 
Consolidated
Net income
 
$
1,499

 
$
376

 
$
1,749

 
$
(1,875
)
 
$
1,749

Other comprehensive income:
 
 

 
 

 
 

 
 

 
 

Changes in net unrealized gains on investment securities:
 
 

 
 

 
 

 
 

 
 

Having no credit losses recognized in the consolidated statement of income
 
2,192

 
933

 
4

 
—

 
3,129

Having credit losses recognized in the consolidated statement of income
 
(2
)
 
—

 
—

 
—

 
(2
)
Net changes in benefit plan assets and obligations
 
—

 
2

 
38

 
—

 
40

Net changes in unrealized foreign currency translation
 
9

 
(29
)
 
—

 
—

 
(20
)
Other comprehensive income before income taxes and other comprehensive income of subsidiaries
 
2,199

 
906

 
42

 
—

 
3,147

Income tax expense
 
460

 
197

 
6

 
—

 
663

Other comprehensive income, net of taxes, before other comprehensive income of subsidiaries
 
1,739

 
709

 
36

 
—

 
2,484

Other comprehensive income of subsidiaries
 
—

 
—

 
2,448

 
(2,448
)
 
—

Other comprehensive income
 
1,739

 
709

 
2,484

 
(2,448
)
 
2,484

Comprehensive income
 
$
3,238

 
$
1,085

 
$
4,233

 
$
(4,323
)
 
$
4,233

 
CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS) (Unaudited)
For the nine months ended September 30, 2018
 
(in millions)
 
TPC
 
Other
Subsidiaries
 
TRV
 
Eliminations
 
Consolidated
Net income
 
$
1,568

 
$
460

 
$
1,902

 
$
(2,028
)
 
$
1,902

Other comprehensive income (loss):
 
 

 
 

 
 

 
 

 
 

Changes in net unrealized gains (losses) on investment securities:
 
 

 
 

 
 

 
 

 
 

Having no credit losses recognized in the consolidated statement of income
 
(1,346
)
 
(568
)
 
(1
)
 
—

 
(1,915
)
Having credit losses recognized in the consolidated statement of income
 
(19
)
 
(6
)
 
—

 
—

 
(25
)
Net changes in benefit plan assets and obligations
 
—

 
1

 
64

 
—

 
65

Net changes in unrealized foreign currency translation
 
(96
)
 
(56
)
 
—

 
—

 
(152
)
Other comprehensive income (loss) before income taxes and other comprehensive loss of subsidiaries
 
(1,461
)
 
(629
)
 
63

 
—

 
(2,027
)
Income tax expense (benefit)
 
(300
)
 
(122
)
 
9

 
—

 
(413
)
Other comprehensive income (loss), net of taxes, before other comprehensive loss of subsidiaries
 
(1,161
)
 
(507
)
 
54

 
—

 
(1,614
)
Other comprehensive loss of subsidiaries
 
—

 
—

 
(1,668
)
 
1,668

 
—

Other comprehensive loss
 
(1,161
)
 
(507
)
 
(1,614
)
 
1,668

 
(1,614
)
Comprehensive income (loss)
 
$
407

 
$
(47
)
 
$
288

 
$
(360
)
 
$
288
Consolidating Balance Sheet (Unaudited) [Table Text Block]
CONSOLIDATING BALANCE SHEET (Unaudited)
At September 30, 2019
(in millions)
 
TPC
 
Other
Subsidiaries
 
TRV
 
Eliminations
 
Consolidated
Assets
 
 

 
 

 
 

 
 

 
 

Fixed maturities, available for sale, at fair value (amortized cost $65,021)
 
$
46,887

 
$
21,033

 
$
91

 
$
—

 
$
68,011

Equity securities, at fair value (cost $375)
 
103

 
114

 
195

 
—

 
412

Real estate investments
 
1

 
962

 
—

 
—

 
963

Short-term securities
 
2,485

 
653

 
1,459

 
—

 
4,597

Other investments
 
2,682

 
754

 
1

 
—

 
3,437

Total investments
 
52,158

 
23,516

 
1,746

 
—

 
77,420

Cash
 
220

 
288

 
—

 
—

 
508

Investment income accrued
 
397

 
176

 
2

 
—

 
575

Premiums receivable
 
5,491

 
2,631

 
—

 
—

 
8,122

Reinsurance recoverables
 
6,416

 
1,746

 
—

 
—

 
8,162

Ceded unearned premiums
 
746

 
111

 
—

 
—

 
857

Deferred acquisition costs
 
2,133

 
188

 
—

 
—

 
2,321

Contractholder receivables
 
4,792

 
10

 
—

 
—

 
4,802

Goodwill
 
2,580

 
1,358

 
—

 
(9
)
 
3,929

Other intangible assets
 
219

 
110

 
—

 
—

 
329

Investment in subsidiaries
 
—

 
—

 
29,665

 
(29,665
)
 
—

Other assets
 
2,332

 
252

 
632

 
—

 
3,216

Total assets
 
$
77,484

 
$
30,386

 
$
32,045

 
$
(29,674
)
 
$
110,241

 
 
 
 
 
 
 
 
 
 
 
Liabilities
 
 

 
 

 
 

 
 

 
 

Claims and claim adjustment expense reserves
 
$
35,445

 
$
16,167

 
$
—

 
$
—

 
$
51,612

Unearned premium reserves
 
10,412

 
4,500

 
—

 
—

 
14,912

Contractholder payables
 
4,792

 
10

 
—

 
—

 
4,802

Payables for reinsurance premiums
 
342

 
231

 
—

 
—

 
573

Deferred taxes
 
306

 
(147
)
 
29

 
—

 
188

Debt
 
693

 
—

 
5,865

 
—

 
6,558

Other liabilities
 
4,497

 
956

 
536

 
—

 
5,989

Total liabilities
 
56,487

 
21,717

 
6,430

 
—

 
84,634

 
 
 
 
 
 
 
 
 
 
 
Shareholders’ equity
 
 

 
 

 
 

 
 

 
 

Common stock (1,750.0 shares authorized; 258.1 shares issued and outstanding)
 
—

 
584

 
23,432

 
(584
)
 
23,432

Additional paid-in capital
 
11,634

 
7,046

 
—

 
(18,680
)
 
—

Retained earnings
 
8,185

 
776

 
36,325

 
(8,969
)
 
36,317

Accumulated other comprehensive income
 
1,178

 
263

 
625

 
(1,441
)
 
625

Treasury stock, at cost (519.3 shares)
 
—

 
—

 
(34,767
)
 
—

 
(34,767
)
Total shareholders’ equity
 
20,997

 
8,669

 
25,615

 
(29,674
)
 
25,607

Total liabilities and shareholders’ equity
 
$
77,484

 
$
30,386

 
$
32,045

 
$
(29,674
)
 
$
110,241



CONSOLIDATING BALANCE SHEET (Unaudited)
At December 31, 2018
(in millions)
 
TPC
 
Other
Subsidiaries
 
TRV
 
Eliminations
 
Consolidated
Assets
 
 

 
 

 
 

 
 

 
 

Fixed maturities, available for sale, at fair value (amortized cost $63,601)
 
$
43,683

 
$
19,697

 
$
84

 
$
—

 
$
63,464

Equity securities, at fair value (cost $382)
 
105

 
92

 
171

 
—

 
368

Real estate investments
 
2

 
902

 
—

 
—

 
904

Short-term securities
 
1,855

 
759

 
1,371

 
—

 
3,985

Other investments
 
2,746

 
810

 
1

 
—

 
3,557

Total investments
 
48,391

 
22,260

 
1,627

 
—

 
72,278

Cash
 
181

 
192

 
—

 
—

 
373

Investment income accrued
 
434

 
187

 
3

 
—

 
624

Premiums receivable
 
5,089

 
2,417

 
—

 
—

 
7,506

Reinsurance recoverables
 
5,904

 
2,466

 
—

 
—

 
8,370

Ceded unearned premiums
 
522

 
56

 
—

 
—

 
578

Deferred acquisition costs
 
1,930

 
190

 
—

 
—

 
2,120

Deferred taxes
 
167

 
302

 
(24
)
 
—

 
445

Contractholder receivables
 
3,867

 
918

 
—

 
—

 
4,785

Goodwill
 
2,578

 
1,368

 
—

 
(9
)
 
3,937

Other intangible assets
 
224

 
121

 
—

 
—

 
345

Investment in subsidiaries
 
—

 
—

 
26,993

 
(26,993
)
 
—

Other assets
 
2,220

 
15

 
669

 
(32
)
 
2,872

Total assets
 
$
71,507

 
$
30,492

 
$
29,268

 
$
(27,034
)
 
$
104,233

 
 
 
 
 
 
 
 
 
 
 
Liabilities
 
 

 
 

 
 

 
 

 
 

Claims and claim adjustment expense reserves
 
$
34,093

 
$
16,575

 
$
—

 
$
—

 
$
50,668

Unearned premium reserves
 
9,414

 
4,141

 
—

 
—

 
13,555

Contractholder payables
 
3,867

 
918

 
—

 
—

 
4,785

Payables for reinsurance premiums
 
169

 
120

 
—

 
—

 
289

Debt
 
693

 
32

 
5,871

 
(32
)
 
6,564

Other liabilities
 
4,133

 
849

 
496

 
—

 
5,478

Total liabilities
 
52,369

 
22,635

 
6,367

 
(32
)
 
81,339

 
 
 
 
 
 
 
 
 
 
 
Shareholders’ equity
 
 

 
 

 
 

 
 

 
 

Common stock (1,750.0 shares authorized; 263.7 shares issued and 263.6 shares outstanding)
 
—

 
401

 
23,144

 
(401
)
 
23,144

Additional paid-in capital
 
11,634

 
7,023

 
—

 
(18,657
)
 
—

Retained earnings
 
8,065

 
879

 
35,211

 
(8,951
)
 
35,204

Accumulated other comprehensive loss
 
(561
)
 
(446
)
 
(1,859
)
 
1,007

 
(1,859
)
Treasury stock, at cost (510.9 shares)
 
—

 
—

 
(33,595
)
 
—

 
(33,595
)
Total shareholders’ equity
 
19,138

 
7,857

 
22,901

 
(27,002
)
 
22,894

Total liabilities and shareholders’ equity
 
$
71,507

 
$
30,492

 
$
29,268

 
$
(27,034
)
 
$
104,233
Consolidating Statement of Cash Flows (Unaudited) [Table Text Block]
CONSOLIDATING STATEMENT OF CASH FLOWS (Unaudited)
For the nine months ended September 30, 2019
(in millions)
 
TPC
 
Other
Subsidiaries
 
TRV
 
Eliminations
 
Consolidated
Cash flows from operating activities
 
 
 
 
 
 
 
 
 
 
Net income
 
$
1,499

 
$
376

 
$
1,749

 
$
(1,875
)
 
$
1,749

Net adjustments to reconcile net income to net cash provided by operating activities
 
1,502

 
604

 
(47
)
 
(15
)
 
2,044

Net cash provided by operating activities
 
3,001

 
980

 
1,702

 
(1,890
)
 
3,793

Cash flows from investing activities
 
 
 
 
 
 
 
 
 
 
Proceeds from maturities of fixed maturities
 
3,404

 
1,482

 
9

 
—

 
4,895

Proceeds from sales of investments:
 
 
 
 
 
 
 
 
 
 
Fixed maturities
 
1,142

 
658

 
1

 
—

 
1,801

Equity securities
 
42

 
57

 
—

 
—

 
99

Other investments
 
261

 
85

 
—

 
—

 
346

Purchases of investments:
 
 
 
 
 
 
 
 
 
 
Fixed maturities
 
(5,551
)
 
(2,670
)
 
(13
)
 
—

 
(8,234
)
Equity securities
 
(1
)
 
(57
)
 
(4
)
 
—

 
(62
)
Real estate investments
 
—

 
(95
)
 
—

 
—

 
(95
)
Other investments
 
(323
)
 
(46
)
 
—

 
—

 
(369
)
Net sales (purchases) of short-term securities
 
(630
)
 
101

 
(88
)
 
—

 
(617
)
Securities transactions in course of settlement
 
312

 
120

 
—

 
—

 
432

Other
 
(239
)
 
(4
)
 
—

 
—

 
(243
)
Net cash used in investing activities
 
(1,583
)
 
(369
)
 
(95
)
 
—

 
(2,047
)
Cash flows from financing activities
 
 
 
 
 
 
 
 
 
 
Treasury stock acquired — share repurchase authorization
 
—

 
—

 
(1,125
)
 
—

 
(1,125
)
Treasury stock acquired — net employee share-based compensation
 
—

 
—

 
(47
)
 
—

 
(47
)
Dividends paid to shareholders
 
—

 
—

 
(633
)
 
—

 
(633
)
Payment of debt
 
—

 
(32
)
 
(500
)
 
32

 
(500
)
Issuance of debt
 
—

 
—

 
492

 
—

 
492

Issuance of common stock — employee share options
 
—

 
—

 
206

 
—

 
206

Dividends paid to parent company
 
(1,379
)
 
(479
)
 
—

 
1,858

 
—

Net cash used in financing activities
 
(1,379
)
 
(511
)
 
(1,607
)
 
1,890

 
(1,607
)
Effect of exchange rate changes on cash
 
—

 
(4
)
 
—

 
—

 
(4
)
Net increase in cash
 
39

 
96

 
—

 
—

 
135

Cash at beginning of year
 
181

 
192

 
—

 
—

 
373

Cash at end of period
 
$
220

 
$
288

 
$
—

 
$
—

 
$
508

Supplemental disclosure of cash flow information
 
 
 
 
 
 
 
 
 
 
Income taxes paid (received)
 
$
333

 
$
118

 
$
(84
)
 
$
—

 
$
367

Interest paid
 
$
40

 
$
—

 
$
191

 
$
—

 
$
231




CONSOLIDATING STATEMENT OF CASH FLOWS (Unaudited)
For the nine months ended September 30, 2018
(in millions)
 
TPC
 
Other
Subsidiaries
 
TRV
 
Eliminations
 
Consolidated
Cash flows from operating activities
 
 
 
 
 
 
 
 
 
 
Net income
 
$
1,568

 
$
460

 
$
1,902

 
$
(2,028
)
 
$
1,902

Net adjustments to reconcile net income to net cash provided by operating activities
 
1,156

 
373

 
(126
)
 
127

 
1,530

Net cash provided by operating activities
 
2,724

 
833

 
1,776

 
(1,901
)
 
3,432

Cash flows from investing activities
 
 
 
 
 
 
 
 
 
 
Proceeds from maturities of fixed maturities
 
4,197

 
1,439

 
19

 
—

 
5,655

Proceeds from sales of investments:
 
 
 
 
 
 
 
 
 
 
Fixed maturities
 
2,219

 
965

 
1

 
—

 
3,185

Equity securities
 
39

 
82

 
6

 
—

 
127

Real estate investments
 
—

 
8

 
—

 
—

 
8

Other investments
 
198

 
72

 
—

 
—

 
270

Purchases of investments:
 
 
 
 
 
 
 
 
 
 
Fixed maturities
 
(7,625
)
 
(3,215
)
 
(22
)
 
—

 
(10,862
)
Equity securities
 
(3
)
 
(74
)
 
(9
)
 
—

 
(86
)
Real estate investments
 
(1
)
 
(56
)
 
—

 
—

 
(57
)
Other investments
 
(329
)
 
(63
)
 
—

 
—

 
(392
)
Net sales (purchases) of short-term securities
 
364

 
209

 
(117
)
 
—

 
456

Securities transactions in course of settlement
 
113

 
60

 
—

 
—

 
173

Acquisition, net of cash acquired
 
—

 
(4
)
 
—

 
—

 
(4
)
Other
 
(225
)
 
(7
)
 
—

 
—

 
(232
)
Net cash used in investing activities
 
(1,053
)
 
(584
)
 
(122
)
 
—

 
(1,759
)
Cash flows from financing activities
 
 
 
 
 
 
 
 
 
 
Treasury stock acquired — share repurchase authorization
 
—

 
—

 
(1,100
)
 
—

 
(1,100
)
Treasury stock acquired — net employee share-based compensation
 
—

 
—

 
(51
)
 
—

 
(51
)
Dividends paid to shareholders
 
—

 
—

 
(611
)
 
—

 
(611
)
Payment of debt
 
—

 
—

 
(600
)
 
—

 
(600
)
Issuance of debt
 
—

 
7

 
591

 
(7
)
 
591

Issuance of common stock — employee share options
 
—

 
—

 
117

 
—

 
117

Dividends paid to parent company
 
(1,653
)
 
(255
)
 
—

 
1,908

 
—

Net cash used in financing activities
 
(1,653
)
 
(248
)
 
(1,654
)
 
1,901

 
(1,654
)
Effect of exchange rate changes on cash
 
(1
)
 
(3
)
 
—

 
—

 
(4
)
Net increase (decrease) in cash
 
17

 
(2
)
 
—

 
—

 
15

Cash at beginning of year
 
157

 
187

 
—

 
—

 
344

Cash at end of period
 
$
174

 
$
185

 
$
—

 
$
—

 
$
359

Supplemental disclosure of cash flow information
 
 
 
 
 
 
 
 
 
 
Income taxes paid (received)
 
$
198

 
$
172

 
$
(126
)
 
$
—

 
$
244

Interest paid
 
$
40

 
$
—

 
$
185

 
$
—

 
$
225