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Investments (Tables)
 9 Months Ended
Sep. 30, 2022
Investments [Abstract]  
Summary Of Amortized Cost, Allowance For Credit Losses, Gross Unrealized Appreciation/(Depreciation) And Fair Value Of Fixed Maturity Securities
At September 30, 2022
Amortized
Allowances for
 
Unrealized
Unrealized
Fair
(Dollars in millions)
Cost
Credit Losses
Appreciation
Depreciation
Value
Fixed maturity securities – available for sale
U.S. Treasury securities and obligations of
 
U.S. government agencies and corporations
 
$
602
$
-
$
-
$
(40)
$
562
Obligations of U.S. states and political
 
subdivisions
519
-
1
(38)
481
Corporate securities
3,962
(29)
13
(382)
3,564
Asset-backed securities
3,801
-
1
(157)
3,645
Mortgage-backed securities
Commercial
556
-
-
(61)
495
Agency residential
1,562
-
-
(195)
1,367
Non-agency residential
3
-
-
-
3
Foreign government securities
688
-
4
(65)
626
Foreign corporate securities
1,515
(1)
4
(192)
1,326
Total fixed maturity securities - available for sale
$
13,207
$
(30)
$
23
$
(1,130)
$
12,070
(Some amounts may not reconcile due to rounding.)
At December 31, 2021
Amortized
Allowances for
Unrealized
Unrealized
Fair
(Dollars in millions)
Cost
Credit Losses
Appreciation
Depreciation
Value
Fixed maturity securities – available for sale
U.S. Treasury securities and obligations of
 
U.S. government agencies and corporations
 
$
657
$
-
$
9
$
(3)
$
663
Obligations of U.S. states and political
 
subdivisions
559
-
29
(1)
587
Corporate securities
4,036
(19)
89
(31)
4,075
Asset-backed securities
3,464
(8)
21
(11)
3,466
Mortgage-backed securities
Commercial
586
-
21
(4)
603
Agency residential
1,255
-
16
(10)
1,261
Non-agency residential
4
-
-
-
4
Foreign government securities
677
-
22
(7)
692
Foreign corporate securities
1,494
-
34
(18)
1,510
Total fixed maturity securities - available for sale
$
12,733
$
(27)
$
241
$
(86)
$
12,860
(Some amounts may not reconcile due to rounding.)
At September 30, 2022
Amortized
Allowances for
Unrealized
Unrealized
Fair
(Dollars in millions)
Cost
Credit Loss
Appreciation
Depreciation
Value
Fixed maturity securities – held to maturity
Corporate securities
$
159
$
(2)
$
-
$
(11)
$
147
Asset-backed securities
625
(6)
1
(10)
611
Mortgage-backed securities
Commercial
6
-
-
-
6
Foreign corporate securities
28
(1)
-
(1)
26
Total fixed maturity securities - held to maturity
$
818
$
(9)
$
1
$
(21)
$
789
(Some amounts may not reconcile due to rounding.)
Summary Of Amortized Cost And Market Value Of Fixed Maturity Securities, By Contractual Maturity
At September 30, 2022
At December 31, 2021
Amortized
Fair
Amortized
Fair
(Dollars in millions)
Cost
Value
Cost
Value
Fixed maturity securities – available for sale:
 
Due in one year or less
$
554
$
537
$
586
$
584
 
Due after one year through five years
3,730
3,455
3,488
3,527
 
Due after five years through ten years
2,034
1,752
2,260
2,310
 
Due after ten years
967
815
1,088
1,106
Asset-backed securities
3,801
3,645
3,464
3,466
Mortgage-backed securities
Commercial
556
495
586
603
Agency residential
1,562
1,367
1,255
1,261
Non-agency residential
3
3
4
4
Total fixed maturity securities - available for sale
$
13,207
$
12,070
$
12,733
$
12,860
(Some amounts may not reconcile due to rounding.)
At September 30, 2022
Amortized
Fair
(Dollars in millions)
Cost
Value
Fixed maturity securities – held to maturity:
 
Due after one year through five years
$
61
$
58
 
Due after five years through ten years
46
41
 
Due after ten years
80
74
Asset-backed securities
625
611
Mortgage-backed securities
Commercial
6
6
Total fixed maturity securities - held to maturity
$
818
$
789
(Some amounts may not reconcile due to rounding.)
Summary Of Changes In Net Unrealized Appreciation (Depreciation) For The Company's Investments
Three Months Ended
Nine Months Ended
September 30,
September 30,
(Dollars in millions)
2022
2021
2022
2021
Increase (decrease) during the period between the fair value and cost of
 
 
investments carried at fair value, and deferred taxes thereon:
Fixed maturity securities - short-term investments
$
(307)
$
(52)
$
(1,315)
$
(126)
Change in unrealized appreciation (depreciation), pre-tax
(307)
(52)
(1,315)
(126)
Deferred tax benefit (expense)
 
65
11
276
27
Change in unrealized appreciation (depreciation), net of deferred taxes,
 
 
included in stockholder's equity
 
$
(242)
$
(41)
$
(1,039)
$
(100)
(Some amounts may not reconcile due to rounding.)
Summary Of Aggregate Market Value And Gross Unrealized Depreciation Of Fixed Maturity And Equity Securities, By Security Type
Duration of Unrealized Loss at September 30, 2022 By Security Type
Less than 12 months
Greater than 12 months
Total
Gross
Gross
Gross
Fair
Unrealized
Fair
Unrealized
Fair
Unrealized
(Dollars in millions)
Value
Depreciation
Value
Depreciation
Value
Depreciation
Fixed maturity securities -available for sale
U.S. Treasury securities and obligations of
 
 
U.S. government agencies and corporations
$
395
$
(22)
$
143
$
(18)
$
538
$
(40)
Obligations of U.S. states and political subdivisions
327
(30)
25
(8)
351
(38)
Corporate securities
2,447
(260)
550
(104)
2,997
(365)
Asset-backed securities
2,718
(153)
39
(4)
2,757
(157)
Mortgage-backed securities
Commercial
489
(61)
6
(1)
495
(61)
Agency residential
1,060
(133)
306
(62)
1,365
(195)
Non-agency residential
2
-
1
-
3
-
Foreign government securities
457
(43)
116
(22)
573
(65)
Foreign corporate securities
907
(112)
314
(80)
1,222
(192)
Total
 
8,802
(812)
1,499
(301)
10,302
(1,113)
Securities where an allowance for credit losses
 
 
was recorded
20
(17)
-
-
20
(17)
Total fixed maturity securities
$
8,822
$
(830)
$
1,499
$
(301)
$
10,322
$
(1,130)
(Some amounts may not reconcile due to rounding.)
Duration of Unrealized Loss at December 31, 2021 By Security Type
Less than 12 months
Greater than 12 months
Total
Gross
Gross
Gross
Fair
Unrealized
Fair
Unrealized
Fair
Unrealized
(Dollars in millions)
Value
Depreciation
Value
Depreciation
Value
Depreciation
Fixed maturity securities -available for sale
U.S. Treasury securities and obligations of
 
 
U.S. government agencies and corporations
$
267
$
(3)
$
-
$
-
$
267
$
(3)
Obligations of U.S. states and political subdivisions
51
(1)
3
-
54
(1)
Corporate securities
1,465
(25)
201
(6)
1,666
(31)
Asset-backed securities
1,891
(11)
38
-
1,929
(11)
Mortgage-backed securities
Commercial
139
(2)
35
(2)
174
(4)
Agency residential
699
(7)
168
(3)
867
(10)
Non-agency residential
1
-
-
-
2
-
Foreign government securities
200
(5)
15
(2)
215
(7)
Foreign corporate securities
677
(17)
33
(2)
710
(18)
Total fixed maturity securities
$
5,390
$
(71)
$
492
$
(15)
$
5,882
$
(86)
(Some amounts may not reconcile due to rounding.)
Summary Of Aggregate Market Value And Gross Unrealized Depreciation Of Fixed Maturity And Equity Securities, By Contractual Maturity
Duration of Unrealized Loss at September 30, 2022 By Maturity
Less than 12 months
Greater than 12 months
Total
Gross
Gross
Gross
Fair
Unrealized
Fair
Unrealized
Fair
Unrealized
(Dollars in millions)
Value
Depreciation
Value
Depreciation
Value
Depreciation
Fixed maturity securities - available for sale
Due in one year or less
$
399
$
(7)
$
40
$
(3)
$
440
$
(10)
Due in one year through five years
2,377
(184)
602
(88)
2,978
(272)
Due in five years through ten years
1,211
(182)
360
(101)
1,570
(283)
Due after ten years
546
(93)
146
(41)
692
(134)
Asset-backed securities
2,718
(153)
39
(4)
2,757
(157)
Mortgage-backed securities
1,551
(194)
313
(63)
1,864
(256)
Total
 
8,802
(812)
1,499
(301)
10,302
(1,113)
Securities where an allowance for credit losses
 
 
was recorded
20
(17)
-
-
20
(17)
Total fixed maturity securities
$
8,822
$
(830)
$
1,499
$
(301)
$
10,322
$
(1,130)
(Some amounts may not reconcile due to rounding.)
Duration of Unrealized Loss at December 31, 2021 By Maturity
Less than 12 months
Greater than 12 months
Total
Gross
Gross
Gross
Fair
Unrealized
Fair
Unrealized
Fair
Unrealized
(Dollars in millions)
Value
Depreciatio
n
Value
Depreciatio
n
Value
Depreciatio
n
Fixed maturity securities - available for sale
Due in one year or less
$
81
$
(2)
$
36
$
(4)
$
117
$
(6)
Due in one year through five years
1,209
(19)
154
(3)
1,364
(22)
Due in five years through ten years
853
(21)
34
(2)
887
(23)
Due after ten years
517
(10)
27
(1)
543
(11)
Asset-backed securities
1,891
(11)
38
-
1,929
(11)
Mortgage-backed securities
839
(9)
203
(5)
1,042
(14)
Total fixed maturity securities
$
5,390
$
(71)
$
492
$
(15)
$
5,882
$
(86)
(Some amounts may not reconcile due to rounding.)
Summary Of Components Of Net Investment Income
Three Months Ended
Nine Months Ended
September 30,
September 30,
(Dollars in millions)
2022
2021
2022
2021
Fixed maturities
$
129
$
83
$
339
$
260
Equity securities
7
4
15
10
Short-term investments and cash
4
-
4
-
Other invested assets
Limited partnerships
(25)
82
63
260
Dividends from preferred shares of affiliate
8
8
23
23
Other
 
11
31
37
63
Gross investment income before adjustments
132
208
482
617
Funds held interest income (expense)
1
1
5
7
Interest income from Parent
3
2
7
4
Gross investment income
 
137
210
494
629
Investment expenses
(13)
(13)
(37)
(36)
Net investment income
$
124
$
197
$
457
$
593
(Some amounts may not reconcile due to rounding.)
Summary Of Components Of Net Realized Capital Gains (Losses)
Three Months Ended
Nine Months Ended
September 30,
September 30,
(Dollars in millions)
2022
2021
2022
2021
Fixed maturity securities:
Allowances for credit losses
$
(12)
$
(7)
$
(12)
$
(30)
Net realized gains (losses) from dispositions
(45)
3
(60)
11
Equity securities, fair value:
Net realized gains (losses) from dispositions
57
-
19
6
Gains (losses) from fair value adjustments
(134)
(4)
(451)
137
Other invested assets
6
2
10
6
Other invested assets, fair value:
Gains (losses) from fair value adjustments
(111)
(44)
(350)
137
Short-term investment gains (losses)
1
-
1
-
Total net gains (losses) on investments
$
(237)
$
(51)
$
(842)
$
267
(Some amounts may not reconcile due to rounding.)
Roll Forward of Allowance for Credit Losses – Fixed maturities
Three Months Ended September 30, 2022
Nine Months Ended September 30, 2022
Asset Backed
Securities
Foreign
Corporate
Securities
Asset Backed
Securities
Foreign
Corporate
Securities
Corporate
Securities
Corporate
Securities
Total
Total
(Dollars in millions)
Beginning Balance
$
(26)
$
-
$
(2)
$
(28)
$
(19)
$
(8)
$
-
$
(27)
Credit losses on securities where credit
losses were not previously recorded
(2)
(6)
(1)
(9)
(9)
(6)
(2)
(17)
Increases in allowance on previously
impaired securities
(3)
-
-
(3)
(4)
-
-
(4)
Decreases in allowance on previously
 
impaired securities
-
-
-
-
-
-
-
-
Reduction in allowance due to disposals
-
-
-
-
1
8
1
9
Balance as of September 30, 2022
$
(31)
$
(6)
$
(2)
$
(39)
$
(31)
$
(6)
$
(2)
$
(39)
(Some amounts may not reconcile due to rounding.)
Roll Forward of Allowance for Credit Losses – Fixed maturities
Three Months Ended September 30, 2021
Nine Months Ended September 30, 2021
Asset
Asset
Corporate
Backed
Corporate
Backed
Securities
Securities
Total
Securities
Securities
Total
(Dollars in millions)
Beginning Balance
$
(18)
$
(5)
$
(24)
$
(1)
$
-
$
(2)
Credit losses on securities where credit
losses were not previously recorded
(5)
-
(5)
(21)
(5)
(26)
Increases in allowance on previously
impaired securities
(1)
(3)
(4)
(2)
(3)
(5)
Decreases in allowance on previously
 
impaired securities
-
-
-
-
-
-
Reduction in allowance due to disposals
1
-
1
2
-
2
Balance as of September 30, 2021
$
(23)
$
(8)
$
(31)
$
(23)
$
(8)
$
(31)
(Some amounts may not reconcile due to rounding.)
Summary Of Gross Gains (Losses) From Sales Of Fixed Maturity And Equity Securities
Three Months Ended
Nine Months Ended
September 30,
September 30,
(Dollars in millions)
2022
2021
2022
2021
Proceeds from sales of fixed maturity securities, available for sale
$
301
$
152
$
812
$
394
Gross gains from dispositions
1
9
7
24
Gross losses from dispositions
(46)
(6)
(67)
(13)
Proceeds from sales of equity securities
$
591
$
104
$
1,016
$
450
Gross gains from dispositions
59
3
67
18
Gross losses from dispositions
(2)
(3)
(48)
(11)
(Some amounts may not reconcile due to rounding.)