OTHER POSTRETIREMENT BENEFIT PLANS (Tables)

12 Months Ended

Dec. 31, 2013

Weighted-average assumptions used to determine pension benefit obligations are as follows:


DECEMBER 31	2013			2012			2011
U.S.:
Discount rate—qualified plan		5.00	%		4.25	%		5.13	%
Discount rate—non-qualified plan		5.00	%		4.13	%		5.00	%
Cash balance interest crediting rate		3.50	%		3.50	%		4.00	%
Chaucer:
Discount rate		4.50	%		4.80	%		4.90	%
Rate of increase in future compensation		3.15	%		4.20	%		4.30	%

The following table reflects the estimated amortization to be recognized in net periodic benefit cost in 2014:

Postretirement Benefits

Weighted-average discount rate assumptions used to determine postretirement benefit obligations and periodic postretirement costs are as follows:


YEARS ENDED DECEMBER 31	2013			2012
Postretirement benefit obligations discount rate		5.00	%		4.25	%
Postretirement benefit cost discount rate		4.25	%		5.00	%

The following table reflects the funded status of these plans:


DECEMBER 31	2013			2012
*(in millions)*
Change in benefit obligation:
Accumulated postretirement benefit obligation, beginning of year	$	45.2		$	46.0
Service cost		0.1			0.1
Interest cost		1.2			2.1
Net actuarial gains		(1.0	)		(0.2	)
Benefits paid		(2.8	)		(2.8	)
Plan amendment		(8.4	)		—
Settlement of death benefits		(17.2	)		—

Accumulated postretirement benefit obligation, end of year		17.1			45.2
Fair value of plan assets, end of year		—			—

Funded status of plans	$	(17.1	)	$	(45.2	)

The components of net periodic postretirement expense (benefit) were as follows:


YEARS ENDED DECEMBER 31	2013			2012			2011
*(in millions)*
Service cost	$	0.1		$	0.1		$	0.1
Interest cost		1.2			2.1			2.4
Recognized net actuarial loss		0.2			0.2			0.4
Amortization of prior service cost		(3.7	)		(3.8	)		(5.3	)
Net settlement gain		(1.6	)		—			—

Net periodic postretirement benefit	$	(3.8	)	$	(1.4	)	$	(2.4	)

The following table reflects the balances in accumulated other comprehensive income relating to the Company’s postretirement benefit plans:

The Company estimates that benefit payments over the next 10 years will be as follows:

Assumed health care cost trend rates are as follows:


DECEMBER 31	2013			2012
Health care cost trend rate assumed for next year		7.00	%		7.00	%
Rate to which the cost trend is assumed to decline (ultimate trend rate)		5.00	%		5.00	%
Year the rate reaches the ultimate trend rate		2020			2017

Pension Benefits

The following table reflects the benefit obligations, fair value of plan assets and funded status of the plans at December 31, 2013 and 2012.


	U.S. Qualified Pension						U.S. Non-Qualified						Chaucer Pension
DECEMBER 31	Plans						Pension Plans						Plan
*(in millions)*	2013			2012			2013			2012			2013			2012
Accumulated benefit obligation	$	548.8		$	607.0		$	37.4		$	41.2		$	128.5		$	116.6

Change in benefit obligation:
Projected benefit obligation, beginning of period	$	607.0		$	570.8		$	41.2		$	39.2		$	116.6		$	104.4
Employee contributions		—			—			—			—			0.4			0.4
Service cost – benefits earned during the period		—			—			—			—			1.5			1.6
Interest cost		24.8			28.1			1.6			1.9			5.4			5.2
Actuarial losses (gains)		(36.5	)		49.0			(2.3	)		3.3			3.6			1.8
Benefits paid		(46.5	)		(40.9	)		(3.1	)		(3.2	)		(1.5	)		(2.4	)
Foreign currency translation		—			—			—			—			2.5			5.6

Projected benefit obligation, end of year		548.8			607.0			37.4			41.2			128.5			116.6

Change in plan assets:
Fair value of plan assets, beginning of period		591.6			574.7			—			—			90.9			74.3
Actual return on plan assets		(3.1	)		57.8			—			—			17.1			9.9
Contributions		—			—			3.1			3.2			10.6			4.9
Benefits paid		(46.5	)		(40.9	)		(3.1	)		(3.2	)		(1.5	)		(2.4	)
Foreign currency translation		—			—			—			—			3.1			4.2

Fair value of plan assets, end of year		542.0			591.6			—			—			120.2			90.9

Funded status of the plans	$	(6.8	)	$	(15.4	)	$	(37.4	)	$	(41.2	)	$	(8.3	)	$	(25.7	)

The components of total net periodic pension cost are as follows:


YEARS ENDED DECEMBER 31	2013			2012			2011
*(in millions)*
Service cost - benefits earned during the period	$	1.5		$	1.6		$	0.7
Interest cost		31.9			35.2			34.3
Expected return on plan assets		(35.9	)		(38.7	)		(37.1	)
Recognized net actuarial loss		14.7			12.8			15.0
Amortization of prior service cost		—			0.1			0.1
Settlement loss		0.4			—			—

Net periodic pension cost	$	12.6		$	11.0		$	13.0

The following table reflects the total amounts recognized in accumulated other comprehensive income relating to both the U.S.

defined benefit pension plans and the Chaucer pension plan as of December 31, 2013 and 2012.

The Company estimates that benefit payments over the next 10 years will be as follows:


YEARS ENDED DECEMBER 31	2014		2015		2016		2017		2018		2019-2023
*(in millions)*
U.S. qualified pension plans	$	43.9	$	40.6	$	40.1	$	41.8	$	41.7	$	205.2
U.S. non-qualified pension plans	$	3.3	$	3.4	$	3.1	$	3.1	$	3.0	$	14.2
Chaucer pension plan	$	1.6	$	1.7	$	1.7	$	1.8	$	1.9	$	10.3