Comprehensive Income

9 Months Ended

Sep. 30, 2015

Equity [Abstract]

Comprehensive Income

5) 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 or loss, 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 postretirement benefit costs not yet recognized in net income and changes in foreign currency translation gains or losses.

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

	Periods Ended September 30, 2015
	Third Quarter									Nine Months
	Before Tax			Income Tax			Net of Tax			Before Tax			Income Tax			Net of Tax
	(in millions)
Net unrealized holding gains (losses) arising during the period	$	2		$	1		$	1		$	(403	)	$	(141	)	$	(262	)
Reclassification adjustment for net realized gains included in net income		31			11			20			36			13			23
Net unrealized losses recognized in other comprehensive loss		(29	)		(10	)		(19	)		(439	)		(154	)		(285	)
Postretirement benefit gain not yet recognized in net income arising during the period		2			—			2			7			2			5
Reclassification adjustment for the amortization of net actuarial loss and prior service cost included in net income (a)		(15	)		(6	)		(9	)		(47	)		(17	)		(30	)
Net change in postretirement benefit costs not yet recognized in net income		17			6			11			54			19			35
Foreign currency translation losses		(58	)		(20	)		(38	)		(305	)		(106	)		(199	)
Total other comprehensive loss	$	(70	)	$	(24	)	$	(46	)	$	(690	)	$	(241	)	$	(449	)
	Periods Ended September 30, 2014
	Third Quarter									Nine Months
	Before Tax			Income Tax			Net of Tax			Before Tax			Income Tax			Net of Tax
	(in millions)
Net unrealized holding gains (losses) arising during the period	$	(6	)	$	(3	)	$	(3	)	$	854		$	298		$	556
Reclassification adjustment for net realized gains included in net income		65			22			43			198			69			129
Net unrealized gains (losses) recognized in other comprehensive income or loss		(71	)		(25	)		(46	)		656			229			427
Postretirement benefit gain not yet recognized in net income arising during the period		1			—			1			1			—			1
Reclassification adjustment for the amortization of net actuarial loss and prior service cost included in net income (a)		(9	)		(4	)		(5	)		(26	)		(10	)		(16	)
Net change in postretirement benefit costs not yet recognized in net income		10			4			6			27			10			17
Foreign currency translation losses		(40	)		(14	)		(26	)		(62	)		(21	)		(41	)
Total other comprehensive income (loss)	$	(101	)	$	(35	)	$	(66	)	$	621		$	218		$	403

(a) Postretirement benefit costs recognized in net income during the period are included among several of the loss and expense components presented in the consolidated statements of income.