Segments of Operations (Tables)

12 Months Ended

Dec. 31, 2016

Segment Reporting Information, by Segment

The following tables (in millions) show AFG’s assets, revenues and earnings before income taxes by segment and sub-segment.



	2016		2015		2014
Assets
Property and casualty insurance (a)	$	15,574	$	14,689	$	14,069
Annuity	33,409		29,865		27,317
Run-off long-term care and life (b)	752		772		2,489
Other	5,337		4,511		3,638
Total assets	$	55,072	$	49,837	$	47,513



Revenues
Property and casualty insurance:
Premiums earned:
Specialty
Property and transportation	$	1,662	$	1,599		$	1,544
Specialty casualty	2,006		2,011			1,765
Specialty financial	557		517			469
Other specialty	103		97			100
Total premiums earned	4,328		4,224			3,878
Net investment income	350		319			294
Other income (c)	51		78			9
Total property and casualty insurance	4,729		4,621			4,181
Annuity:
Net investment income	1,356		1,224			1,136
Other income	103		98			97
Total annuity	1,459		1,322			1,233
Run-off long-term care and life (b)	49		188			195
Other	240		194			72
Total revenues before realized gains (losses)	6,477		6,325			5,681
Realized gains (losses) on securities	19		(19		)	52
Realized gains (losses) on subsidiaries	2		(161		)	—
Total revenues	$	6,498	$	6,145		$	5,733


(a)	Not allocable to sub-segments.


(b)	AFG sold substantially all of its run-off long-term care insurance business in December 2015.


(c)	Includes pretax income of $32 million (before noncontrolling interest) from the sale of an apartment property in the second quarter of 2016, $51 million (before noncontrolling interest) from the sale of a hotel in the second quarter of 2015 and $15 million from the sale of an apartment property in the fourth quarter of 2015.



	2016			2015			2014
Earnings Before Income Taxes
Property and casualty insurance:
Underwriting:
Specialty
Property and transportation	$	166		$	48		$	21
Specialty casualty	78			146			136
Specialty financial	84			87			64
Other specialty	9			14			16
Other lines (a)	(101		)	(70		)	(25		)
Total underwriting	236			225			212
Investment and other income, net (b)	341			351			244
Total property and casualty insurance	577			576			456
Annuity	368			331			328
Run-off long-term care and life (c)	2			14			(10		)
Other (d)	(181		)	(176		)	(200		)
Total earnings before realized gains (losses) and income taxes	766			745			574
Realized gains (losses) on securities	19			(19		)	52
Realized gains (losses) on subsidiaries	2			(161		)	—
Total earnings before income taxes	$	787		$	565		$	626


(a)	Includes a special charge of $65 million related to the exit of certain lines of business within AFG’s Lloyd’s-based insurer, Neon, in the second quarter of 2016 and special charges to increase asbestos and environmental (“A&E”) reserves of $36 million, $67 million and $24 million in 2016, 2015 and 2014, respectively.


(b)	Includes pretax income of $32 million (before noncontrolling interest) from the sale of an apartment property in the second quarter of 2016, $51 million (before noncontrolling interest) from the sale of a hotel in the second quarter of 2015 and $15 million from the sale of an apartment property in the fourth quarter of 2015.


(c)	AFG sold substantially all of its run-off long-term care insurance business in December 2015.

(d)

Primarily holding company interest and expenses, including a $4 million loss on retirement of debt in the third quarter of 2015, and special charges to increase A&E reserves related to AFG’s former railroad and manufacturing operations ($5 million in 2016, $12 million in 2015 and $6 million in 2014) and losses of managed investment entities attributable to noncontrolling interests ($51 million in 2014). Following the adoption of new guidance in the first quarter of 2015, there are no longer earnings (losses) of managed investment entities that are attributable to noncontrolling interests. See Note A — “Accounting Policies — Managed Investment Entities.”