Comprehensive Income

12 Months Ended

Dec. 31, 2012

Comprehensive Income

(12)  Comprehensive Income

Comprehensive income is defined as all changes in shareholders’ equity, except those arising from transactions with shareholders. Comprehensive income includes net income and other comprehensive income, which for the Corporation consists of changes in unrealized appreciation or depreciation of investments carried at fair value, changes in unrealized other-than-temporary impairment losses of fixed maturities, changes in foreign currency translation gains or losses and changes in postretirement benefit costs not yet recognized in net income.

The components of other comprehensive income or loss were as follows:

	Years Ended December 31
	2012									2011									2010
	Before Tax			Income Tax			Net			Before Tax			Income Tax			Net			Before Tax			Income Tax			Net
	(in millions)
Unrealized holding gains arising during the year	$	556		$	195		$	361		$	1,029		$	359		$	670		$	230		$	81		$	149
Unrealized other-than-temporary impairment losses arising during the year		(2	)		(1	)		(1	)		(1	)		—			(1	)		(3	)		(1	)		(2	)
Reclassification adjustment for realized gains included in net income		127			44			83			81			28			53			110			39			71
Net unrealized gains recognized in other comprehensive income or loss		427			150			277			947			331			616			117			41			76
Foreign currency translation gains (losses)		(16	)		(5	)		(11	)		6			2			4			(28	)		(10	)		(18	)
Change in postretirement benefit costs not yet recognized in net income		(45	)		(15	)		(30	)		(329	)		(114	)		(215	)		20			8			12
Total other comprehensive income	$	366		$	130		$	236		$	624		$	219		$	405		$	109		$	39		$	70