Financial Guaranty Insurance Premiums (Tables)

12 Months Ended

Dec. 31, 2014

Insurance [Abstract]

Net Earned Premiums

Net Earned Premiums

	Year Ended December 31,
	2014		2013		2012
	(in millions)
Scheduled net earned premiums	$	415	$	470	$	581
Acceleration of net earned premiums	136		263		249
Accretion of discount on net premiums receivable	16		17		22
Financial guaranty insurance net earned premiums	567		750		852
Other	3		2		1
Net earned premiums (1)	$	570	$	752	$	853

 ___________________

(1) Excludes $32 million, $60 million and $153 million for the year ended December 31, 2014, 2013 and 2012, respectively, related to consolidated FG VIEs.

Components of Unearned Premium Reserve

Components of

Unearned Premium Reserve

	As of December 31, 2014							As of December 31, 2013
	Gross		Ceded			Net(1)		Gross			Ceded			Net(1)
	(in millions)
Deferred premium revenue:
Financial guaranty insurance	$	4,167	$	387		$	3,780	$	4,647		$	470		$	4,177
Other	0		—			0		5			—			5
Deferred premium revenue	$	4,167	$	387		$	3,780	$	4,652		$	470		$	4,182
Contra-paid(2)	94		(6		)	100		(57		)	(18		)	(39		)
Unearned premium reserve	$	4,261	$	381		$	3,880	$	4,595		$	452		$	4,143

 ____________________

(1) Excludes $125 million and $187 million deferred premium revenue and $42 million and $55 million of contra-paid related to FG VIEs as of December 31, 2014 and December 31, 2013, respectively.

(2) See Note 7, "Financial Guaranty Insurance Losses– Insurance Contracts' Loss Information" for an explanation of "contra-paid".

Gross Premium Receivable, Net of Commissions on Assumed Business Roll Forward

Gross Premium Receivable,

Net of Commissions on Assumed Business

Roll Forward

	Year Ended December 31,
	2014			2013			2012
	(in millions)
Beginning of period, December 31	$	876		$	1,005		$	1,003
Gross premium written, net of commissions on assumed business	171			145			211
Gross premiums received, net of commissions on assumed business	(230		)	(259		)	(294		)
Adjustments:
Changes in the expected term	(66		)	(28		)	44
Accretion of discount, net of commissions on assumed business	10			20			36
Foreign exchange translation	(31		)	(1		)	13
Consolidation/deconsolidation of FG VIEs	(1		)	—			(5		)
Other adjustments	—			(6		)	(3		)
End of period, December 31 (1)	$	729		$	876		$	1,005

____________________

(1) Excludes $19 million, $21 million and $29 million as of December 31, 2014 , 2013 and 2012, respectively, related to consolidated FG VIEs.

Expected Collections of Gross Premiums Receivable, Net of Ceding Commissions (Undiscounted)

Expected Collections of

Gross Premiums Receivable,

Net of Commissions on Assumed Business

(Undiscounted)

	As of December 31, 2014
	(in millions)
2015 (January 1 – March 31)	$	31
2015 (April 1 – June 30)	26
2015 (July 1 – September 30)	20
2015 (October 1 – December 31)	20
2016	74
2017	69
2018	62
2019	58
2020-2024	242
2025-2029	154
2030-2034	106
After 2034	102
Total(1)	$	964

 ____________________

(1) Excludes expected cash collections on FG VIEs of $25 million.

Schedule of Net Earned Premiums

Scheduled Net Earned Premiums

	As of December 31, 2014
	(in millions)
2015 (January 1 – March 31)	$	93
2015 (April 1 – June 30)	91
2015 (July 1 – September 30)	89
2015 (October 1 – December 31)	86
Subtotal 2015	359
2016	332
2017	295
2018	269
2019	246
2020-2024	968
2025-2029	615
2030-2034	370
After 2034	326
Total present value basis(1)	3,780
Discount	208
Total future value	$	3,988

 ____________________

(1) Excludes scheduled net earned premiums on consolidated FG VIEs of $125 million.

Selected Information for Policies Paid in Installments

Selected Information for Policies Paid in Installments

	As of December 31, 2014			As of December 31, 2013
	(dollars in millions)
Premiums receivable, net of commission payable	$	729		$	876
Gross deferred premium revenue	1,370			1,576
Weighted-average risk-free rate used to discount premiums	3.5		%	3.4		%
Weighted-average period of premiums receivable (in years)	9.4			9.4