Fair value measurements (Tables)

12 Months Ended

Dec. 31, 2016

Fair Value Disclosures [Abstract]

GMIB Annuitization Experience [Table Text Block]

% of total GMIB guaranteed value	Year of GMIB eligibility	Maximum annuitization rate(s) (per year)	Maximum annuitization rates based on
67%	First year	2% - 41%	Actual Experience
	Subsequent years	1% - 78%
4%	First year	N/A	N/A (1)
	Subsequent years	12%, 78%	Weighted average(2)
29%	First year	19%, 44%	Weighted average(2)
	Subsequent years	12%, 31%

⁽¹⁾ Because all policies in this bracket are past the first year of eligibility, first year annuitization assumptions are no longer modeled.

⁽²⁾ Weighted average of two different annuitization rates

Financial Instruments Measured At Fair Value On A Recurring Basis

Financial instruments measured at fair value on a recurring basis, by valuation hierarchy 

December 31, 2016	Level 1		Level 2		Level 3		Total
(in millions of U.S. dollars)
Assets:
Fixed maturities available for sale
U.S. Treasury and agency	$	2,175	$	695	$	—	$	2,870
Foreign	—		21,366		74		21,440
Corporate securities	—		23,468		681		24,149
Mortgage-backed securities	—		13,962		45		14,007
States, municipalities, and political subdivisions	—		17,649		—		17,649
	2,175		77,140		800		80,115
Equity securities	773		—		41		814
Short-term investments	1,757		1,220		25		3,002
Other investments (1)	384		259		225		868
Securities lending collateral	—		1,092		—		1,092
Investment derivative instruments	31		—		—		31
Other derivative instruments	3		—		—		3
Separate account assets	1,784		95		—		1,879
Total assets measured at fair value (1)	$	6,907	$	79,806	$	1,091	$	87,804
Liabilities:
Investment derivative instruments	$	54	$	—	$	—	$	54
Other derivative instruments	—		—		13		13
GLB (2)	—		—		559		559
Total liabilities measured at fair value	$	54	$	—	$	572	$	626

⁽¹⁾  Excluded from the table above are partially-owned investments, investment funds, and limited partnerships of $3,626 million and other investments of $25 million at December 31, 2016 measured using NAV as a practical expedient.

⁽²⁾  Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. Refer to Note 5c) for additional information.

December 31, 2015	Level 1		Level 2		Level 3		Total
(in millions of U.S. dollars)
Assets:
Fixed maturities available for sale
U.S. Treasury and agency	$	1,712	$	816	$	—	$	2,528
Foreign	—		13,388		57		13,445
Corporate securities	—		14,755		174		14,929
Mortgage-backed securities	—		9,905		53		9,958
States, municipalities, and political subdivisions	—		2,727		—		2,727
	1,712		41,591		284		43,587
Equity securities	481		—		16		497
Short-term investments	7,171		3,275		—		10,446
Other investments (1)	347		230		212		789
Securities lending collateral	—		1,046		—		1,046
Investment derivative instruments	12		—		—		12
Separate account assets	1,464		88		—		1,552
Total assets measured at fair value (1)	$	11,187	$	46,230	$	512	$	57,929
Liabilities:
Investment derivative instruments	$	13	$	—	$	—	$	13
Other derivative instruments	4		—		6		10
GLB (2)	—		—		609		609
Total liabilities measured at fair value	$	17	$	—	$	615	$	632

⁽¹⁾  Excluded from the table above are partially-owned investments, investment funds, and limited partnerships of$2,477 million and other investments of $25 million at December 31, 2015 measured using NAV as a practical expedient.

⁽²⁾  Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. Refer to Note 5c) for additional information.

Fair Value And Maximum Future Funding Commitments Related To Investments

The following table presents, by investment category, the expected liquidation period, fair value, and maximum future funding commitments of alternative investments: 

		December 31				December 31
		2016				2015
(in millions of U.S. dollars)	Expected Liquidation Period of Underlying Assets	Fair Value		Maximum Future Funding Commitments		Fair Value		Maximum Future Funding Commitments
Financial	5 to 9 Years	$	548	$	428	$	300	$	105
Real Assets	3 to 7 Years	536		230		474		140
Distressed	5 to 9 Years	485		179		261		218
Private Credit	3 to 7 Years	236		259		265		209
Traditional	3 to 9 Years	1,550		930		895		152
Vintage	1 to 2 Years	21		14		13		—
Investment funds	Not Applicable	251		—		269		—
		$	3,627	$	2,040	$	2,477	$	824

Schedule Of Significant Unobservable Inputs Used In Level 3 Liability Valuations

The following table presents the significant unobservable inputs used in the Level 3 liability valuations. Excluded from the table below are inputs used to determine the fair value of Level 3 assets which are based on single broker quotes and contain no quantitative unobservable inputs developed by management.

(in millions of U.S. dollars, except for percentages)	Fair Value at December 31, 2016		Valuation Technique	Significant Unobservable Inputs	Ranges
GLB(1)	$	559	Actuarial model	Lapse rate	3% – 34%
				Annuitization rate	0% – 78%

⁽¹⁾  Discussion of the most significant inputs used in the fair value measurement of GLB and the sensitivity of those assumptions is included within Note 4 a) Guaranteed living benefits.

Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation

The following tables present a reconciliation of the beginning and ending balances of financial instruments measured at fair value using significant unobservable inputs (Level 3): 

																Assets					Liabilities
	Available-for-Sale Debt Securities									Equity securities			Short-term investments			Other investments			Other derivative instruments		GLB(1)
Year Ended December 31, 2016	Foreign			Corporate securities			MBS
(in millions of U.S. dollars)
Balance, beginning of year	$	57		$	174		$	53		$	16		$	—		$	212		$	6	$	609
Transfers into Level 3	9			53			—			—			—			—			—		—
Transfers out of Level 3	(24		)	(10		)	—			—			(50		)	—			—		—
Change in Net Unrealized Gains (Losses) included in OCI	1			15			(1		)	2			—			(2		)	—		—
Net Realized Gains/Losses	(6		)	(13		)	—			1			—			1			5		(50		)
Purchases (2)	70			566			1			27			75			33			2		—
Sales	(17		)	(59		)	(8		)	(5		)	—			—			—		—
Settlements	(16		)	(45		)	—			—			—			(19		)	—		—
Balance, end of year	$	74		$	681		$	45		$	41		$	25		$	225		$	13	$	559
Net Realized Gains/Losses Attributable to Changes in Fair Value at the Balance Sheet Date	$	(5	)	$	(11	)	$	—		$	—		$	—		$	1		$	5	$	(50	)

⁽¹⁾  Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. Refer to Note 5c) for additional information.

⁽²⁾  Includes acquired invested assets as a result of the Chubb Corp acquisition.

	Assets																	Liabilities
	Available-for-Sale Debt Securities									Equity securities			Other investments			Other derivative instruments		GLB(1)
Year Ended December 31, 2015	Foreign			Corporate securities			MBS
(in millions of U.S. dollars)
Balance, beginning of year	$	22		$	187		$	15		$	2		$	204		$	4	$	406
Transfers into Level 3	34			16			—			—			—			—		—
Change in Net Unrealized Gains (Losses) included in OCI	(2		)	(1		)	—			3			(6		)	—		—
Net Realized Gains/Losses	(1		)	(4		)	—			(2		)	—			2		203
Purchases	15			52			41			13			33			—		—
Sales	(3		)	(28		)	(2		)	—			—			—		—
Settlements	(8		)	(48		)	(1		)	—			(19		)	—		—
Balance, end of year	$	57		$	174		$	53		$	16		$	212		$	6	$	609
Net Realized Gains/Losses Attributable to Changes in Fair Value at the Balance Sheet Date	$	(1	)	$	(2	)	$	—		$	(2	)	$	—		$	2	$	203

⁽¹⁾  Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. The liability for GLB reinsurance was $888 million at December 31, 2015 and $663 million at December 31, 2014, which includes a fair value derivative adjustment of $609 million and $406 million, respectively. 

	Assets																		Liabilities
	Available-for-Sale Debt Securities																		Other derivative instruments		GLB(1)
Year Ended December 31, 2014	Foreign			Corporate securities			MBS			Equity securities			Short-term investments			Other investments
(in millions of U.S. dollars)
Balance, beginning of year	$	44		$	166		$	8		$	4		$	7		$	196		$	—	$	193
Transfers into Level 3	10			37			—			—			—			—			2		—
Transfers out of Level 3	(34		)	(23		)	—			(2		)	(7		)	—			—		—
Change in Net Unrealized Gains (Losses) included in OCI	(1		)	(1		)	—			—			—			(1		)	—		—
Net Realized Gains/Losses	(3		)	(5		)	—			—			—			—			2		213
Purchases	15			73			8			2			—			20			—		—
Sales	(4		)	(38		)	—			(2		)	—			—			—		—
Settlements	(5		)	(22		)	(1		)	—			—			(11		)	—		—
Balance, end of year	$	22		$	187		$	15		$	2		$	—		$	204		$	4	$	406
Net Realized Gains/Losses Attributable to Changes in Fair Value at the Balance Sheet Date	$	(4	)	$	(5	)	$	—		$	—		$	—		$	—		$	2	$	213

⁽¹⁾  Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. The liability for GLB reinsurance was $663 million at December 31, 2014 and $427 million at December 31, 2013, which includes a fair value derivative adjustment of $406 million and $193 million, respectively. 

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]

																Assets					Liabilities
	Available-for-Sale Debt Securities									Equity securities			Short-term investments			Other investments			Other derivative instruments		GLB(1)
Year Ended December 31, 2016	Foreign			Corporate securities			MBS
(in millions of U.S. dollars)
Balance, beginning of year	$	57		$	174		$	53		$	16		$	—		$	212		$	6	$	609
Transfers into Level 3	9			53			—			—			—			—			—		—
Transfers out of Level 3	(24		)	(10		)	—			—			(50		)	—			—		—
Change in Net Unrealized Gains (Losses) included in OCI	1			15			(1		)	2			—			(2		)	—		—
Net Realized Gains/Losses	(6		)	(13		)	—			1			—			1			5		(50		)
Purchases (2)	70			566			1			27			75			33			2		—
Sales	(17		)	(59		)	(8		)	(5		)	—			—			—		—
Settlements	(16		)	(45		)	—			—			—			(19		)	—		—
Balance, end of year	$	74		$	681		$	45		$	41		$	25		$	225		$	13	$	559
Net Realized Gains/Losses Attributable to Changes in Fair Value at the Balance Sheet Date	$	(5	)	$	(11	)	$	—		$	—		$	—		$	1		$	5	$	(50	)

⁽¹⁾  Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. Refer to Note 5c) for additional information.

⁽²⁾  Includes acquired invested assets as a result of the Chubb Corp acquisition.

	Assets																	Liabilities
	Available-for-Sale Debt Securities									Equity securities			Other investments			Other derivative instruments		GLB(1)
Year Ended December 31, 2015	Foreign			Corporate securities			MBS
(in millions of U.S. dollars)
Balance, beginning of year	$	22		$	187		$	15		$	2		$	204		$	4	$	406
Transfers into Level 3	34			16			—			—			—			—		—
Change in Net Unrealized Gains (Losses) included in OCI	(2		)	(1		)	—			3			(6		)	—		—
Net Realized Gains/Losses	(1		)	(4		)	—			(2		)	—			2		203
Purchases	15			52			41			13			33			—		—
Sales	(3		)	(28		)	(2		)	—			—			—		—
Settlements	(8		)	(48		)	(1		)	—			(19		)	—		—
Balance, end of year	$	57		$	174		$	53		$	16		$	212		$	6	$	609
Net Realized Gains/Losses Attributable to Changes in Fair Value at the Balance Sheet Date	$	(1	)	$	(2	)	$	—		$	(2	)	$	—		$	2	$	203

⁽¹⁾  Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. The liability for GLB reinsurance was $888 million at December 31, 2015 and $663 million at December 31, 2014, which includes a fair value derivative adjustment of $609 million and $406 million, respectively. 

	Assets																		Liabilities
	Available-for-Sale Debt Securities																		Other derivative instruments		GLB(1)
Year Ended December 31, 2014	Foreign			Corporate securities			MBS			Equity securities			Short-term investments			Other investments
(in millions of U.S. dollars)
Balance, beginning of year	$	44		$	166		$	8		$	4		$	7		$	196		$	—	$	193
Transfers into Level 3	10			37			—			—			—			—			2		—
Transfers out of Level 3	(34		)	(23		)	—			(2		)	(7		)	—			—		—
Change in Net Unrealized Gains (Losses) included in OCI	(1		)	(1		)	—			—			—			(1		)	—		—
Net Realized Gains/Losses	(3		)	(5		)	—			—			—			—			2		213
Purchases	15			73			8			2			—			20			—		—
Sales	(4		)	(38		)	—			(2		)	—			—			—		—
Settlements	(5		)	(22		)	(1		)	—			—			(11		)	—		—
Balance, end of year	$	22		$	187		$	15		$	2		$	—		$	204		$	4	$	406
Net Realized Gains/Losses Attributable to Changes in Fair Value at the Balance Sheet Date	$	(4	)	$	(5	)	$	—		$	—		$	—		$	—		$	2	$	213

⁽¹⁾  Our GLB reinsurance product meets the definition of a derivative instrument for accounting purposes and is accordingly carried at fair value. Excluded from the table above is the portion of the GLB derivative liability classified as Future policy benefits in the Consolidated balance sheets. The liability for GLB reinsurance was $663 million at December 31, 2014 and $427 million at December 31, 2013, which includes a fair value derivative adjustment of $406 million and $193 million, respectively. 

Carrying Values And Fair Values Of Financial Instruments Not Measured At Fair Value

December 31, 2016	Fair Value								Carrying Value
(in millions of U.S. dollars)	Level 1		Level 2		Level 3		Total
Assets:
Fixed maturities held to maturity
U.S. Treasury and agency	$	555	$	106	$	—	$	661	$	655
Foreign	—		667		—		667		640
Corporate securities	—		2,782		13		2,795		2,771
Mortgage-backed securities	—		1,428		—		1,428		1,393
States, municipalities, and political subdivisions	—		5,119		—		5,119		5,185
Total assets	$	555	$	10,102	$	13	$	10,670	$	10,644
Liabilities:
Repurchase agreements	$	—	$	1,403	$	—	$	1,403	$	1,403
Short-term debt	—		503		—		503		500
Long-term debt	—		12,998		—		12,998		12,610
Trust preferred securities	—		456		—		456		308
Total liabilities	$	—	$	15,360	$	—	$	15,360	$	14,821

December 31, 2015	Fair Value								Carrying Value
(in millions of U.S. dollars)	Level 1		Level 2		Level 3		Total
Assets:
Fixed maturities held to maturity
U.S. Treasury and agency	$	583	$	162	$	—	$	745	$	733
Foreign	—		785		—		785		763
Corporate securities	—		3,042		14		3,056		3,054
Mortgage-backed securities	—		1,743		—		1,743		1,707
States, municipalities, and political subdivisions	—		2,223		—		2,223		2,173
Total assets	$	583	$	7,955	$	14	$	8,552	$	8,430
Liabilities:
Repurchase agreements	$	—	$	1,404	$	—	$	1,404	$	1,404
Long-term debt	—		9,678		—		9,678		9,389
Trust preferred securities	—		446		—		446		307
Total liabilities	$	—	$	11,528	$	—	$	11,528	$	11,100