Benefit Plans

3 Months Ended

Mar. 31, 2023

Retirement Benefits [Abstract]

Benefit Plans

Note 15 Benefit Plans

Components of net cost (benefit) for pension and other postretirement plans
	Three months ended March 31,
($ in millions)	2023		2022
Pension benefits
Service cost	$	33	$	29
Interest cost	60		46
Expected return on plan assets	(77)		(110)
Amortization of prior service credit	—		(13)
Costs and expenses	16		(48)
Remeasurement of projected benefit obligation	123		(752)
Remeasurement of plan assets	(180)		529
Remeasurement (gains) losses	(57)		(223)
Pension net benefit	$	(41)	$	(271)
Postretirement benefits
Service cost	$	—	$	—
Interest cost	3		2
Amortization of prior service credit	(6)		(6)
Costs and expenses	(3)		(4)
Remeasurement of projected benefit obligation	4		(24)
Remeasurement of plan assets	—		—
Remeasurement (gains) losses	4		(24)
Postretirement net cost (benefit)	$	1	$	(28)
Pension and postretirement benefits
Costs and expenses	$	13	$	(52)
Remeasurement (gains) losses	(53)		(247)
Total net benefit	$	(40)	$	(299)

Differences in actual experience and changes in other assumptions affect our pension and other postretirement obligations and expenses. Differences between expected and actual returns on plan assets affect remeasurement (gains) losses.

Pension and other postretirement service cost, interest cost, expected return on plan assets and amortization of prior service credit are reported in property and casualty insurance claims and claims expense, operating costs and expenses, net investment income and (if applicable) restructuring and related charges on the Condensed Consolidated Statements of Operations.

Pension and postretirement benefits remeasurement gains and losses
	Three months ended March 31,
($ in millions)	2023		2022
Remeasurement of projected benefit obligation (gains) losses:
Discount rate	$	124	$	(585)
Other assumptions	3		(191)
Remeasurement of plan assets (gains) losses	(180)		529
Remeasurement (gains) losses	$	(53)	$	(247)

Remeasurement gains for the first quarter of 2023 are primarily related to favorable asset performance compared to expected return on plan assets, partially offset by a decrease in the liability discount rate.

The weighted average discount rate used to measure the pension benefit obligation decreased to 5.33% at March 31, 2023 compared to 5.64% at December 31, 2022, resulting in losses for the first quarter of 2023.

For the first quarter of 2023, the actual return on plan assets was higher than the expected return due to higher fixed income valuations from lower market yields and positive equity returns.