Disposition

3 Months Ended

Mar. 31, 2021

Discontinued Operations and Disposal Groups [Abstract]

Acquisitions and Dispositions

3. Dispositions

Disposition of Metropolitan Property and Casualty Insurance Company

In December 2020, the Company entered into a definitive agreement to sell its wholly-owned subsidiary, Metropolitan Property and Casualty Insurance Company and certain of its wholly-owned subsidiaries (collectively, “MetLife P&C”) to Farmers Group, Inc. for $3.9 billion in cash. In addition, the Company and the Farmers Exchanges agreed to establish a 10-year strategic partnership through which the Farmers Insurance Group will offer its personal line products on MetLife’s U.S. Group Benefits platform which will commence when the transaction closes. MetLife P&C results of operations are reported in the U.S. segment adjusted earnings through December 31, 2020. See Note 2 for more information on divested businesses. In April 2021, the Company completed the sale of MetLife P&C. As a result of the sale, the Company expects to recognize a gain of approximately $1 billion, net of income tax, subject to certain closing adjustments, in the second quarter of 2021.

The disposition meets the criteria for held-for-sale accounting but does not meet the criteria to be classified as discontinued operations. As a result, the related assets and liabilities are included in the separate held-for-sale line items of the asset and liability sections of the interim condensed consolidated balance sheets.

The following table summarizes the assets and liabilities held-for-sale:

	March 31, 2021		December 31, 2020
	(In millions)
Assets:
Fixed maturity securities available-for-sale	$	3,544	$	4,096
Equity securities	52		57
Mortgage loans	287		355
Other invested assets	2		29
Total investments	3,885		4,537
Cash and cash equivalents	611		765
Accrued investment income	38		38
Premiums, reinsurance and other receivables	1,398		1,411
Deferred policy acquisition costs	186		196
Goodwill	328		328
Other assets	153		143
Total assets held-for-sale	$	6,599	$	7,418
Liabilities:
Future policy benefits	$	3,507	$	3,506
Other policy-related balances	48		33
Payables for collateral under securities loaned and other transactions	—		862
Current income tax payable	59		—
Deferred income tax liability	5		—
Other liabilities	246		249
Total liabilities held-for-sale	$	3,865	$	4,650

MetLife P&C income (loss) before provision for income tax as reflected in the interim condensed consolidated statements of operations was $121 million and $115 million for the three months ended March 31, 2021 and 2020, respectively.

Disposition of Joint-stock Company MetLife Insurance Company

In January 2021, the Company completed the sale of its wholly-owned Russian subsidiary, the Joint-stock Company MetLife Insurance Company (“MetLife Russia”). See Note 3 of the Notes to the Consolidated Financial Statements included in the 2020 Annual Report for further information.