Proceeds from the sales of fixed maturities, AFS totaled $15.9 billion, $15.1 billion, and $14.4 billion for the years ended December 31, 2021, 2020, and 2019, respectively. Sales of AFS securities in 2021 were primarily a result of tactical changes to the portfolio driven by changing market conditions, in addition to duration and liquidity management.

Accrued Interest Receivable on Fixed Maturities, AFS and Mortgage Loans

As of December 31, 2021 and December 31, 2020, the Company reported accrued interest receivable related to fixed maturities, AFS of $299 and $327, respectively, and accrued interest receivable related to mortgage loans of $16 and $14, respectively. These amounts are recorded in other assets on the Consolidated Balance Sheets and are not included in the carrying value of the fixed maturities or mortgage loans. The

Company does not include the current accrued interest receivable balance when estimating the ACL. The Company has a policy to write-off accrued interest receivable balances that are more than 90 days past due. Write-offs of accrued interest receivable are recorded as a credit loss component of net realized gains and losses.

Interest income on fixed maturities and mortgage loans is accrued unless it is past due over 90 days or management deems the interest uncollectible.

Recognition and Presentation of Intent-to-Sell Impairments and ACL on Fixed Maturities, AFS

The Company will record an "intent-to-sell impairment" as a reduction to the amortized cost of fixed maturities, AFS in an unrealized loss position if the Company intends to sell or it is more likely than not that the Company will be required to sell the fixed maturity before a recovery in value. A corresponding charge is recorded in net realized losses equal to the difference between the fair value on the impairment date and the amortized cost basis of the fixed maturity before recognizing the impairment.

When fixed maturities are in an unrealized loss position and the Company does not record an intent-to-sell impairment, the Company will record an ACL for the portion of the unrealized loss due to a credit loss. Any remaining unrealized loss on a fixed maturity after recording an ACL is the non-credit amount and is recorded in OCI. The ACL is the excess of the amortized cost over the greater of the Company's best estimate of the present value of expected future cash flows or the security's fair value. Cash flows are discounted at the effective yield that is used to record interest income. The ACL cannot exceed the unrealized loss and, therefore, it may fluctuate with changes in the fair value of the fixed maturity if the fair value is greater than the Company's best estimate of the present value of expected future cash flows. The initial ACL and any subsequent changes are recorded in net realized gains and losses. The ACL is written off against the amortized cost in the period in which all or a portion of the related fixed maturity is determined to be uncollectible.

Developing the Company’s best estimate of expected future cash flows is a quantitative and qualitative process that incorporates information received from third-party sources along with certain internal assumptions regarding the future performance. The Company's considerations include, but are not limited to, (a) changes in the financial condition of the issuer and/or the underlying collateral, (b) whether the issuer is current on contractually obligated interest and principal payments, (c) credit ratings, (d) payment structure of the security and (e) the extent to which the fair value has been less than the amortized cost of the security.

For non-structured securities, assumptions include, but are not limited to, economic and industry-specific trends and fundamentals, instrument-specific developments including changes in credit ratings, industry earnings multiples and the issuer’s ability to restructure, access capital markets, and execute asset sales.

For structured securities, assumptions include, but are not limited to, various performance indicators such as historical and projected default and recovery rates, credit ratings, current and projected delinquency rates, loan-to-value ratios ("LTVs"), average cumulative collateral loss rates that vary by vintage year, prepayment speeds, and property value declines. These assumptions require the use of significant management judgment and include the probability of issuer default and estimates regarding timing and amount of expected recoveries which may include estimating the underlying collateral value.

Prior to January 1, 2020, the Company recorded an OTTI loss on fixed maturities for which the Company did not expect to recover the entire amortized cost basis. For these securities, the excess of the amortized cost basis over its fair value was separated into the portion representing a credit OTTI, which was recorded in net realized losses, and the remaining non-credit amount, which was recorded in OCI. The Company’s best estimate of discounted expected future cash flows became the new cost basis and accreted prospectively into net investment income over the estimated remaining life of the security.


ACL on Fixed Maturities, AFS by Type
	For the years ended December 31,
	2021		2020
(Before tax)	Corporate		Total		Corporate		Municipal		Total
Balance as of beginning of period	$	23	$	23	$	—	$	—	$	—
Credit losses on fixed maturities where an allowance was not previously recorded	2		2		36		3		39

Reduction due to sales	(18)		(18)		(4)		(3)		(7)

Net increases (decreases) on fixed maturities where an allowance was previously recorded	(6)		(6)		(9)		—		(9)


Balance as of end of period	$	1	$	1	$	23	$	—	$	23


Cumulative Credit Impairments on Fixed Maturities, AFS
(Before tax)	For the year ended December 31, 2019
Balance as of beginning of period	$	(19)
Additions for credit impairments recognized on [1]:
Fixed maturities not previously impaired	(3)

Reductions for credit impairments previously recognized on:
Fixed maturities that matured or were sold during the period	3


Balance as of end of period	$	(19)

[1]These additions are included in the net OTTI losses recognized in earnings in the Consolidated Statements of Operations.

Fixed Maturities, AFS


Fixed Maturities, AFS, by Type
	December 31, 2021										December 31, 2020
	Amortized Cost		ACL		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value		Amortized Cost		ACL		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
ABS	$	1,125	$	—	$	13	$	(3)	$	1,135	$	1,525	$	—	$	39	$	—	$	1,564
CLOs	3,019		—		8		(2)		3,025		2,780		—		7		(7)		2,780
CMBS	3,955		—		179		(15)		4,119		4,219		—		286		(21)		4,484
Corporate	17,744		(1)		1,038		(74)		18,707		18,401		(23)		1,926		(31)		20,273
Foreign govt./govt. agencies	883		—		33		(6)		910		842		—		77		—		919
Municipal	7,473		—		787		(3)		8,257		8,564		—		940		(1)		9,503
RMBS	3,610		—		60		(27)		3,643		3,966		—		144		(3)		4,107
U.S. Treasuries	2,979		—		86		(14)		3,051		1,264		—		141		—		1,405
Total fixed maturities, AFS	$	40,788	$	(1)	$	2,204	$	(144)	$	42,847	$	41,561	$	(23)	$	3,560	$	(63)	$	45,035

Fixed Maturities, AFS, by Contractual Maturity Year


	December 31, 2021				December 31, 2020
	Amortized Cost		Fair Value		Amortized Cost		Fair Value
One year or less	$	1,400	$	1,419	$	1,411	$	1,432
Over one year through five years	8,615		8,894		7,832		8,286
Over five years through ten years	8,303		8,633		7,622		8,354
Over ten years	10,761		11,979		12,206		14,028
Subtotal	29,079		30,925		29,071		32,100
Mortgage-backed and asset-backed securities	11,709		11,922		12,490		12,935
Total fixed maturities, AFS	$	40,788	$	42,847	$	41,561	$	45,035

Estimated maturities may differ from contractual maturities due to call or prepayment provisions. Due to the potential for variability in payment speeds (i.e. prepayments or extensions), mortgage-backed and asset-backed securities are not categorized by contractual maturity.

Concentration of Credit Risk

The Company aims to maintain a diversified investment portfolio including issuer, sector and geographic stratification, where applicable, and has established certain exposure limits, diversification standards and review procedures to mitigate credit risk. The Company had no investment exposure to any credit concentration risk of a single issuer greater than 10% of the

Company's stockholders' equity as of December 31, 2021 or December 31, 2020, other than the U.S. government and certain U.S. government agencies.

As of December 31, 2021, other than U.S. government and certain U.S. government agencies, the Company’s three largest exposures by issuer were the Government of Canada, Apple Inc., and the IBM Corporation each of which comprised less than 1% of total invested assets. As of December 31, 2020, other than U.S. government and certain U.S. government agencies, the Company’s three largest exposures by issuer were Apple Inc., the IBM Corporation, and the New York State Dormitory Authority each of which comprised less than 1% of total invested

assets. The Company’s three largest exposures by sector as of December 31, 2021 were the municipal sector, the financial services sector, and the CMBS sector which comprised approximately 14%, 8%, and 7%, respectively, of total invested assets. The Company’s three largest exposures by sector as of

December 31, 2020 were the municipal sector, the financial services sector, and CMBS sector which comprised approximately 17%, 9%, and 8%, respectively, of total invested assets.

Unrealized Losses on Fixed Maturities, AFS


Unrealized Loss Aging for Fixed Maturities, AFS by Type and Length of Time as of December 31, 2021
	Less Than 12 Months				12 Months or More				Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
ABS	$	396	$	(3)	$	—	$	—	$	396	$	(3)
CLOs	1,434		(2)		147		—		1,581		(2)
CMBS	594		(7)		82		(8)		676		(15)
Corporate	3,698		(65)		234		(9)		3,932		(74)
Foreign govt./govt. agencies	340		(5)		16		(1)		356		(6)
Municipal	301		(3)		12		—		313		(3)
RMBS	1,869		(23)		94		(4)		1,963		(27)
U.S. Treasuries	2,301		(13)		23		(1)		2,324		(14)
Total fixed maturities, AFS in an unrealized loss position	$	10,933	$	(121)	$	608	$	(23)	$	11,541	$	(144)


Unrealized Loss Aging for Fixed Maturities, AFS by Type and Length of Time as of December 31, 2020
	Less Than 12 Months				12 Months or More				Total
	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
ABS	$	44	$	—	$	—	$	—	$	44	$	—
CLOs	758		(2)		715		(5)		1,473		(7)
CMBS	410		(17)		19		(4)		429		(21)
Corporate	466		(13)		212		(18)		678		(31)
Foreign govt./govt. agencies	24		—		—		—		24		—
Municipal	34		(1)		—		—		34		(1)
RMBS	461		(3)		21		—		482		(3)
U.S. Treasuries	39		—		—		—		39		—
Total fixed maturities, AFS in an unrealized loss position	$	2,236	$	(36)	$	967	$	(27)	$	3,203	$	(63)

As of December 31, 2021, fixed maturities, AFS in an unrealized loss position consisted of 1,500 instruments, primarily in the corporate sectors, most notably financial services and technology and communications, as well as RMBS, CMBS, and U.S. Treasuries which were depressed largely due to higher interest rates and/or wider credit spreads since the purchase date. As of December 31, 2021, 99% of these fixed maturities were depressed less than 20% of cost or amortized cost. The increase in gross unrealized losses during 2021 was primarily attributable to higher interest rates, partially offset by tighter credit spreads.

Most of the fixed maturities depressed for twelve months or more relate to the corporate and CMBS sectors which were primarily depressed because current market spreads are wider than at the respective purchase dates. Additionally, certain corporate fixed maturities were also depressed because of their variable-rate coupons and long-dated maturities. The Company neither has an intention to sell nor does it expect to be required to sell the fixed maturities outlined in the preceding discussion. The decision to record credit losses on fixed maturities, AFS in the form of an ACL requires us to make qualitative and quantitative estimates of expected future cash flows.

Mortgage Loans

ACL on Mortgage Loans

The Company reviews mortgage loans on a quarterly basis to estimate the ACL with changes in the ACL recorded in net realized gains and losses. Apart from an ACL recorded on individual mortgage loans where the borrower is experiencing financial difficulties, the Company records an ACL on the pool of mortgage loans based on lifetime expected credit losses. The Company utilizes a third-party forecasting model to estimate lifetime expected credit losses at a loan level under multiple economic scenarios. The scenarios use macroeconomic data provided by an internationally recognized economics firm that generates forecasts of varying economic factors such as GDP growth, unemployment and interest rates. The economic scenarios are projected over 10 years. The first two to four years of the 10-year period assume a specific modeled economic scenario (including moderate upside, moderate recession and severe recession scenarios) and then revert to historical long-term assumptions over the remaining period. Using these economic scenarios, the forecasting model projects property-specific operating income and capitalization rates used to estimate the value of a future operating income stream. The operating income and the property valuations derived from capitalization rates are compared to loan payment and principal amounts to create debt service coverage ratios ("DSCRs") and LTVs over the forecast period. The model overlays historical data about mortgage loan performance based on DSCRs and LTVs and projects the probability of default, amount of loss given a default and resulting expected loss through maturity for each loan under each economic scenario. Economic scenarios are probability-weighted based on a statistical analysis of the forecasted economic factors and qualitative analysis. The Company records the change in the ACL on mortgage loans based on the weighted-average expected credit losses across the selected economic scenarios.

When a borrower is experiencing financial difficulty, including when foreclosure is probable, the Company measures an ACL on individual mortgage loans. The ACL is established for any shortfall between the amortized cost of the loan and the fair value of the collateral less costs to sell. Estimates of collectibility from an individual borrower require the use of significant management judgment and include the probability and timing of borrower default and loss severity estimates. In addition, cash flow projections may change based upon new information about the borrower's ability to pay and/or the value of underlying collateral such as changes in projected property value estimates. As of December 31, 2021, the Company did not have any mortgage loans for which an ACL was established on an individual basis.

There were no mortgage loans held-for-sale as of December 31, 2021 or December 31, 2020. In addition, as of December 31, 2021 and December 31, 2020, the Company had no mortgage loans that have had extensions or restructurings other than what is allowable under the original terms of the contract.

Prior to January 1, 2020, for mortgage loans that were deemed impaired, a valuation allowance was established for the difference between the carrying amount and estimated fair value, which was generally the Company's share of the fair value of the collateral. A valuation allowance also may have been recorded

for an individual loan or for a group of loans that had an LTV ratio of 90% or greater, a low DSCR or other lower credit quality characteristics. Changes in valuation allowances were recognized as net realized losses.


ACL on Mortgage Loans
	For the years ended December 31,
	2021		2020		2019
ACL as of beginning of period	$	38	$	—	$	1
Cumulative effect of accounting changes [1]			19
Adjusted beginning ACL	38		19		1
Current period provision (release)	(9)		19		(1)



ACL as of December 31,	$	29	$	38	$	—

[1]Represents the adjustment to the ACL recorded on adoption of accounting guidance for credit losses on January 1, 2020. For further information refer to Note 1 - Basis of Presentation and Significant Accounting Policies.

The decrease in the allowance for the year ended December 31, 2021, is the result of improved economic scenarios, including improved GDP growth and unemployment, and higher property valuations as compared to the prior periods, partially offset by an increase driven by net additions of new loans. We continue to monitor the impact on our mortgage loan portfolio from borrower behavior in response to the economic stress caused by the pandemic. Borrowers with lower LTVs have an incentive to continue to make payments of principal and/or interest in order to preserve the equity they have in the underlying commercial real estate properties. During 2020, the Company increased the estimate of the ACL in response to significant economic stress experienced as a result of the COVID-19 pandemic.

The weighted-average LTV ratio of the Company’s mortgage loan portfolio was 51% as of December 31, 2021, while the weighted-average LTV ratio at origination of these loans was 60%. LTV ratios compare the loan amount to the value of the underlying property collateralizing the loan with property values based on appraisals updated no less than annually. Factors considered in estimating property values include, among other things, actual and expected property cash flows, geographic market data and the ratio of the property's net operating income to its value. DSCR compares a property’s net operating income to the borrower’s principal and interest payments and are updated no less than annually through reviews of underlying properties.


Mortgage Loans LTV & DSCR by Origination Year as of December 31, 2021
	2021			2020			2019			2018			2017			2016 & Prior			Total
Loan-to-value	Amortized Cost		Avg. DSCR	Amortized Cost		Avg. DSCR	Amortized Cost		Avg. DSCR	Amortized Cost		Avg. DSCR	Amortized Cost		Avg. DSCR	Amortized Cost		Avg. DSCR	Amortized Cost [1]		Avg. DSCR

65% - 80%	$	7	2.37x	$	50	2.63x	$	91	1.57x	$	100	1.00x	$	45	1.37x	$	97	1.80x	$	390	1.61x
Less than 65%	1,481		2.70x	645		2.78x	722		2.78x	472		2.23x	417		1.91x	1,285		2.45x	5,022		2.55x
Total mortgage loans	$	1,488	2.70x	$	695	2.77x	$	813	2.64x	$	572	2.02x	$	462	1.86x	$	1,382	2.41x	$	5,412	2.48x

[1] Amortized cost of mortgage loans excludes ACL of $29.


Mortgage Loans LTV & DSCR by Origination Year as of December 31, 2020
	2020			2019			2018			2017			2016			2015 & Prior			Total
Loan-to-value	Amortized Cost		Avg. DSCR	Amortized Cost		Avg. DSCR	Amortized Cost		Avg. DSCR	Amortized Cost		Avg. DSCR	Amortized Cost		Avg. DSCR	Amortized Cost		Avg. DSCR	Amortized Cost [1]		Avg. DSCR

65% - 80%	$	28	1.62x	$	243	1.58x	$	212	1.33x	$	45	2.02x	$	51	1.92x	$	115	1.74x	$	694	1.59x
Less than 65%	659		2.56x	676		2.85x	410		2.25x	446		1.89x	235		2.99x	1,411		3.01x	3,837		2.69x
Total mortgage loans	$	687	2.52x	$	919	2.51x	$	622	1.94x	$	491	1.90x	$	286	2.80x	$	1,526	2.92x	$	4,531	2.52x

[1] Amortized cost of mortgage loans excludes ACL of $38.


Mortgage Loans by Region
	December 31, 2021				December 31, 2020
	Amortized Cost		Percent of Total		Amortized Cost		Percent of Total
East North Central	$	284	5.2	%	$	290	6.4	%

Middle Atlantic	303		5.6	%	291		6.4	%
Mountain	450		8.3	%	254		5.6	%
New England	393		7.3	%	397		8.8	%
Pacific	1,245		23.0	%	1,001		22.1	%
South Atlantic	1,556		28.8	%	1,038		22.9	%
West North Central	85		1.6	%	44		1.0	%
West South Central	424		7.8	%	433		9.5	%
Other [1]	672		12.4	%	783		17.3	%
Total mortgage loans	$	5,412	100.0	%	$	4,531	100.0	%
ACL	(29)				(38)
Total mortgage loans, net of ACL	$	5,383			$	4,493

[1]Primarily represents loans collateralized by multiple properties in various regions.


Mortgage Loans by Property Type
	December 31, 2021				December 31, 2020
	Amortized Cost		Percent of Total		Amortized Cost		Percent of Total
Commercial

Industrial	$	1,931	35.7	%	$	1,339	29.5	%

Multifamily	1,833		33.9	%	1,498		33.1	%
Office	627		11.6	%	774		17.1	%
Retail [1]	951		17.6	%	788		17.4	%
Single Family	30		0.5	%	92		2.0	%
Other	40		0.7	%	40		0.9	%
Total mortgage loans	$	5,412	100.0	%	$	4,531	100.0	%
ACL	(29)				(38)
Total mortgage loans, net of ACL	$	5,383			$	4,493

[1] Primarily comprised of grocery-anchored retail centers, with no exposure to regional shopping malls.

Past-Due Mortgage Loans

Mortgage loans are considered past due if a payment of principal or interest is not received according to the contractual terms of the loan agreement, which typically includes a grace period. As of December 31, 2021 and December 31, 2020, the Company held no mortgage loans considered past due.

Mortgage Servicing

The Company originates, sells, and services commercial mortgage loans on behalf of third parties and recognizes servicing fee income over the period that services are performed. As of December 31, 2021, under this program, the Company serviced mortgage loans with a total outstanding principal of $8.2 billion, of which $3.9 billion was serviced on

behalf of third parties and $4.3 billion was retained and reported in total investments on the Company's Consolidated Balance Sheets. As of December 31, 2020, the Company serviced mortgage loans with a total outstanding principal balance of $6.9 billion, of which $3.7 billion was serviced on behalf of third parties and $3.2 billion was retained and reported in total investments on the Company's Consolidated Balance Sheets. Servicing rights are carried at the lower of cost or fair value and were $0 as of December 31, 2021 and December 31, 2020, because servicing fees were market-level fees at origination and remain adequate to compensate the Company for servicing the loans.

Variable Interest Entities

The Company is engaged with various special purpose entities and other entities that are deemed to be VIEs primarily as an investor through normal investment activities but also as an investment manager.

A VIE is an entity that either has investors that lack certain essential characteristics of a controlling financial interest, such as simple majority kick-out rights, or lacks sufficient funds to finance its own activities without financial support provided by other entities. The Company performs ongoing qualitative assessments of its VIEs to determine whether the Company has a controlling financial interest in the VIE and therefore is the primary beneficiary. The Company is deemed to have a controlling financial interest when it has both the ability to direct the activities that most significantly impact the economic performance of the VIE and the obligation to absorb losses or right to receive benefits from the VIE that could potentially be significant to the VIE. Based on the Company’s assessment, if it determines it is the primary beneficiary, the Company consolidates the VIE in the Company’s Consolidated Financial Statements.

Consolidated VIEs

As of December 31, 2021 and 2020, the Company did not hold any securities for which it is the primary beneficiary.

Non-Consolidated VIEs

The Company, through normal investment activities, makes passive investments in limited partnerships and other alternative investments. For these non-consolidated VIEs, the Company has determined it is not the primary beneficiary as it has no ability to direct activities that could significantly affect the economic performance of the investments. The Company’s maximum exposure to loss as of December 31, 2021 and 2020 is limited to the total carrying value of $1.9 billion and $1.3 billion, respectively, which are a portion of the investments in limited partnerships and other alternative investments in the Company's Consolidated Balance Sheets that are primarily recorded using the equity method of accounting. As of December 31, 2021 and 2020, the Company has outstanding commitments totaling $1.4 billion and $768, respectively, whereby the Company is committed to fund these investments and may be called by the partnership during the commitment period to fund the purchase of new investments and partnership expenses. These investments are generally of a passive nature in that the Company does not take an active role in management.

In addition, the Company makes passive investments in structured securities issued by VIEs for which the Company is not the manager. These investments are included in ABS, CLOs, CMBS, and RMBS and are reported in fixed maturities, AFS, and, for assets where the Company has elected the fair value option, in other investments. The Company has not provided financial or other support with respect to these investments other than its original investment. For these investments, the Company determined it is not the primary beneficiary due to the relative size of the Company’s investment in comparison to the principal amount of the structured securities issued by the VIEs, the Company’s inability to direct the activities that most significantly impact the economic performance of the VIEs, and, where applicable, the level of credit subordination which reduces the Company’s obligation to absorb losses or right to receive benefits. The Company’s maximum exposure to loss on these investments is limited to the amount of the Company’s investment.

Securities Lending, Reverse Repurchase Agreements, Other Collateral Transactions and Restricted Investments

Securities Lending

Under a securities lending program, the Company lends certain fixed maturities within the corporate, foreign government/government agencies, and municipal sectors as well as equity securities to qualifying third-party borrowers in return for collateral in the form of cash or securities. For domestic and non-domestic loaned securities, respectively, borrowers provide collateral of 102% and 105% of the fair value of the securities lent at the time of the loan. Borrowers will return the securities to the Company for cash or securities collateral at maturity dates generally of 90 days or less. Security collateral on deposit from counterparties in connection with securities lending transactions may not be sold or re-pledged, except in the event of default by the counterparty, and is not reflected on the Company’s Consolidated Balance Sheets. Additional collateral is obtained if the fair value of the collateral falls below 100% of the fair value of the loaned securities. The agreements are continuous and do not have stated maturity dates and provide the counterparty the right to sell or re-pledge the securities loaned. If cash, rather than securities, is received as collateral, the cash is typically invested in short-term investments or fixed maturities and is reported as an asset on the Company's Consolidated Balance Sheets. Income associated with securities lending transactions is reported as a component of net investment income in the Company’s Consolidated Statements of Operations. While the Company had securities on loan as part of a securities lending program during 2020, as of December 31, 2021 and December 31, 2020, the Company did not have any securities on loan as part of a securities lending program.

Reverse Repurchase Agreements

From time to time, the Company enters into reverse repurchase agreements where the Company purchases securities and simultaneously agrees to resell the same or substantially the same securities. The maturity of these transactions is generally within one year. The agreements require additional collateral to

be transferred to the Company under specified conditions and the Company has the right to sell or re-pledge the securities received. The Company accounts for reverse repurchase agreements as collateralized financing. As of December 31, 2021 and December 31, 2020, the Company reported $30 and $30, respectively, within short-term investments on the Consolidated Balance Sheets representing a receivable for the amount of cash transferred to purchase the securities.

Other Collateral Transactions

As of December 31, 2021 and December 31, 2020, the Company pledged collateral of $9 and $34, respectively, of U.S. government securities or cash primarily related to certain bank loan participations committed to through a limited partnership agreement. Amounts also include collateral related to letters of credit.

For disclosure of collateral in support of derivative transactions, refer to the Derivative Collateral Arrangements section in Note 7 - Derivatives.

Other Restricted Investments

The Company is required by law to deposit securities with government agencies in certain states in which it conducts business. In addition, the Company is required to hold fixed maturities and short-term investments in trust for the benefit of syndicate policyholders, hold fixed maturities in a Lloyd's of London ("Lloyd's") trust account to provide a portion of the required capital, and maintain other investments primarily consisting of overseas deposits in various countries with Lloyd's to support underwriting activities in those countries. Lloyd's is an insurance market-place operating worldwide. Lloyd's does not underwrite risks. The Company accepts risks as the sole member of Lloyd's Syndicate 1221 ("Lloyd's Syndicate").

The following table presents the components of the Company’s exposure to other restricted investments.



	December 31, 2021		December 31, 2020
	Fair Value		Fair Value
Securities on deposit with government agencies	$	2,376	$	2,600
Fixed maturities in trust for benefit of syndicate policyholders	712		661
Short-term investments in trust for benefit of syndicate policyholders	7		26
Fixed maturities in Lloyd's's trust account	160		175
Other investments	65		54


Total Other Restricted Investments	$	3,320	$	3,516

Equity Method Investments

The majority of the Company's investments in limited partnerships and other alternative investments, including hedge funds, real estate funds, and private equity funds (collectively, “limited partnerships”), are accounted for under the equity method of accounting. The remainder of investments in limited partnerships and other alternative investments consists of investments in insurer-owned life insurance accounted for at cash surrender value. Prior to June 30, 2021, the Company also had a retained 9.7% investment in Hopmeadow Holdings LP, the legal entity that acquired Talcott Resolution in May 2018

(collectively referred to as "Talcott Resolution"), which was accounted for under the equity method of accounting and was reported in other assets on the Company's Consolidated Balance Sheets. On June 30, 2021, the Company sold its 9.7% ownership interest in Talcott Resolution and received a total $217 in connection with the sale, resulting in a realized gain on sale of $46 before tax during 2021.

The Company recognized total equity method income of $630, $244, and $267 for the years ended December 31, 2021, 2020 and 2019, respectively. Equity method income is reported in net investment income, except amounts related to strategic investments classified in other assets which are reported in other revenues. For investments accounted for under the equity method, the Company’s maximum exposure to loss as of December 31, 2021 is limited to the total carrying value of $2.9 billion. In addition, the Company has outstanding commitments totaling $1.6 billion to fund limited partnership investments as of December 31, 2021. The Company’s investments accounted for under the equity method are generally of a passive nature in that the Company does not take an active role in the management.

In 2021, aggregate investment income from investments accounted for under the equity method exceeded 10% of the Company’s before tax consolidated net income (loss). Accordingly, the Company is disclosing aggregated, summarized financial data for the Company’s investments accounted for under the equity method. This aggregated, summarized financial data does not represent the Company’s proportionate share of investees' assets or earnings. Aggregate total assets of the investees totaled $249.8 billion and $339.6 billion as of December 31, 2021 and 2020, respectively. Aggregate total liabilities of the investees totaled $41.0 billion and $181.5 billion as of December 31, 2021 and 2020, respectively. Aggregate net investment income of the investees totaled $2.1 billion, $954, and $618 for the periods ended December 31, 2021, 2020 and 2019, respectively. Aggregate net income excluding net investment income of the investees totaled $46.7 billion, $7.4 billion and $13.4 billion for the periods ended December 31, 2021, 2020 and 2019, respectively. As of, and for the period ended, December 31, 2021, the aggregated summarized financial data reflects the latest available financial information.