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Fair Value Measurements Level 3 (Tables)
 12 Months Ended
Dec. 31, 2014
Fair Value Disclosures [Abstract]  
Assets and (liabilities) carried at fair value by hierarchy level
The following tables present assets and (liabilities) carried at fair value by hierarchy level. These disclosures provide information as to the extent to which the Company uses fair value to measure financial instruments and information about the inputs used to value those financial instruments to allow users to assess the relative reliability of the measurements.
 
December 31, 2014
 
Total
Quoted Prices in Active Markets for Identical Assets (Level 1)
Significant Observable Inputs (Level 2)
Significant Unobservable Inputs (Level 3)
Assets accounted for at fair value on a recurring basis
 
 
 
 
Fixed maturities, AFS
 
 
 
 
Asset backed securities ("ABS")
$
1,171

$
—

$
1,089

$
82

Collateralized debt obligations ("CDOs")
1,148

—

788

360

Commercial mortgage-backed securities ("CMBS")
1,887

—

1,768

119

Corporate
15,742

—

15,096

646

Foreign government/government agencies
602

—

572

30

States, municipalities and political subdivisions (“Municipal”)
1,052

—

998

54

Residential mortgage-backed securities ("RMBS")
1,857

—

1,123

734

U.S. Treasuries
1,977

72

1,905

—

Total fixed maturities
25,436

72

23,339

2,025

Fixed maturities, FVO
280

—

196

84

Equity securities, trading
11

11

—

—

Equity securities, AFS
514

411

55

48

Derivative assets
 
 
 
 
Credit derivatives
3

—

5

(2
)
Equity derivatives
2

—

—

2

Foreign exchange derivatives
(1
)
—

(1
)
—

Interest rate derivatives
123

—

123

—

GMWB hedging instruments
119

—

5

114

Macro hedge program
93

—

—

93

Total derivative assets [1]
339

—

132

207

Short-term investments
2,162

199

1,963

—

Reinsurance recoverable for GMWB
56

—

—

56

Modified coinsurance reinsurance contracts
34

—

34

—

Separate account assets [3]
132,198

91,524

40,096

578

Total assets accounted for at fair value on a recurring basis
$
161,030

$
92,217

$
65,815

$
2,998

Liabilities accounted for at fair value on a recurring basis
 
 
 
 
Other policyholder funds and benefits payable
 
 
 
 
GMWB
$
(139
)
$
—

$
—

$
(139
)
Equity linked notes
(26
)
—

—

(26
)
Total other policyholder funds and benefits payable
(165
)
—

—

(165
)
Derivative liabilities
 
 
 
 
Credit derivatives
—

—

1

(1
)
Equity derivatives
28

—

25

3

Foreign exchange derivatives
(444
)
—

(444
)
—

Interest rate derivatives
(409
)
—

(382
)
(27
)
GMWB hedging instruments
55

—

(1
)
56

Macro hedge program
48

—

—

48

Total derivative liabilities [4]
(722
)
—

(801
)
79

Consumer notes [5]
(3
)
—

—

(3
)
Total liabilities accounted for at fair value on a recurring basis
$
(890
)
$
—

$
(801
)
$
(89
)
 
December 31, 2013
 
Total
Quoted Prices in Active Markets for Identical Assets (Level 1)
Significant Observable Inputs (Level 2)
Significant Unobservable Inputs (Level 3)
Assets accounted for at fair value on a recurring basis
 
 
 
 
Fixed maturities, AFS
 
 
 
 
ABS
$
1,129

$
—

$
1,021

$
108

CDOs
1,448

—

1,020

428

CMBS
2,347

—

1,987

360

Corporate
16,917

—

16,127

790

Foreign government/government agencies
1,177

—

1,139

38

States, municipalities and political subdivisions (“Municipal”)
965

—

916

49

RMBS
2,431

—

1,633

798

U.S. Treasuries
1,749

1,077

672

—

Total fixed maturities
28,163

1,077

24,515

2,571

Fixed maturities, FVO
791

—

613

178

Equity securities, trading
12

12

—

—

Equity securities, AFS
372

207

114

51

Derivative assets
 
 
 
 
Credit derivatives
9

—

11

(2
)
Foreign exchange derivatives
14

—

14

—

Interest rate derivatives
(57
)
—

(57
)
—

U.S. GMWB hedging instruments
26

—

(42
)
68

U.S. macro hedge program
109

—

—

109

International program hedging instruments
171

—

173

(2
)
Total derivative assets [1]
272

—

99

173

Short-term investments
1,952

228

1,724

—

Limited partnerships and other alternative investments [2]
468

—

414

54

Reinsurance recoverable for U.S. GMWB and Japan GMWB, GMIB, and GMAB
(465
)
—

—

(465
)
Modified coinsurance reinsurance contracts
67

—

67

—

Separate account assets [3]
138,482

99,917

37,828

737

Total assets accounted for at fair value on a recurring basis
$
170,114

$
101,441

$
65,374

$
3,299

Liabilities accounted for at fair value on a recurring basis
 
 
 
 
Other policyholder funds and benefits payable
 
 
 
 
Guaranteed living benefits
$
(576
)
$
—

$
—

$
(576
)
Equity linked notes
(18
)
—

—

(18
)
Total other policyholder funds and benefits payable
(594
)
—

—

(594
)
Derivative liabilities
 
 
 
 
Credit derivatives
11

—

7

4

Equity derivatives
18

—

16

2

Foreign exchange derivatives
(382
)
—

(382
)
—

Interest rate derivatives
(319
)
—

(295
)
(24
)
U.S. GMWB hedging instruments
15

—

(63
)
78

U.S. macro hedge program
30

—

—

30

International program hedging instruments
(198
)
—

(139
)
(59
)
Total derivative liabilities [4]
(825
)
—

(856
)
31

Consumer notes [5]
(2
)
—

—

(2
)
Total liabilities accounted for at fair value on a recurring basis
$
(1,421
)
$
—

$
(856
)
$
(565
)
[1]
Includes OTC and OTC-cleared derivative instruments in a net asset value position after consideration of the impact of collateral posting requirements, which may be imposed by agreements, clearinghouse rules, and applicable law. At December 31, 2014 and December 31, 2013, $399 and $120, respectively, was netted against the derivative asset value in the Consolidated Balance Sheet and is excluded from the table above. For further information on derivative liabilities, see footnote 4 below.
[2]
Represents hedge funds where equity method of accounting has been applied to a fund of funds measured at fair value.
[3]
As of December 31, 2014 and 2013, excludes approximately $2.5 billion and $2.4 billion, respectively, of investment sales receivable because they are trade receivables in the ordinary course of business where the carrying amount approximates fair value.
[4]
Includes OTC and OTC-cleared derivative instruments in a net negative market value position (derivative liability). In the Level 3 roll forward table included below in this Note, the sum of the derivative asset and liability positions are referred to as “freestanding derivatives” and are presented on a net basis.
[5]
Represents embedded derivatives associated with non-funding agreement-backed consumer equity-linked notes.
Information about significant unobservable inputs used in Level 3 assets measured at fair value
The following tables present information about significant unobservable inputs used in Level 3 assets measured at fair value. The tables exclude securities such as ABS and CRE CDOs for which fair values are predominately based on broker quotations.
 
As of December 31, 2014
Securities
 
 
 
Unobservable Inputs
 
Assets accounted for at fair value on a recurring basis
Fair Value
Predominant
Valuation
Method
Significant Unobservable Input
Minimum
Maximum
Weighted Average [1]
Impact of Increase in Input on Fair Value [2]
CMBS
$
119

Discounted cash flows
Spread (encompasses
prepayment, default risk and loss severity)
46bps
2,475bps
284bps
Decrease
Corporate [3]
324

Discounted cash flows
Spread
123bps
765bps
267bps
Decrease
Municipal [3]
32

Discounted cash flows
Spread
212bps
212bps
212bps
Decrease
RMBS
734

Discounted cash flows
Spread
23bps
1,904bps
141bps
Decrease
 
 
 
Constant prepayment rate
—
%
7
%
3
%
Decrease [4]
 
 
 
Constant default rate
1
%
14
%
7
%
Decrease
 
 
 
Loss severity
—
%
100
%
78
%
Decrease
 
As of December 31, 2013
Securities
 
 
 
Unobservable Inputs
 
Assets accounted for at fair value on a recurring basis
Fair Value
Predominant
Valuation
Method
Significant Unobservable  Input
Minimum
Maximum
Weighted Average [1]
Impact of Increase in Input on Fair Value [2]
CMBS
$
360

Discounted cash flows
Spread (encompasses
prepayment, default risk and loss severity)
99bps
2,511bps
446bps
Decrease
Corporate [3]
398

Discounted cash flows
Spread
119bps
5,594bps
332bps
Decrease
Municipal [3]
29

Discounted cash flows
Spread
184bps
184bps
184bps
Decrease
RMBS
798

Discounted cash flows
Spread
62bps
1,748bps
245bps
Decrease
 
 
 
Constant prepayment rate
—
%
10
%
3
%
Decrease [4]
 
 
 
Constant default rate
1
%
22
%
8
%
Decrease
 
 
 
Loss severity
—
%
100
%
80
%
Decrease
[1]
The weighted average is determined based on the fair value of the securities.
[2]
Conversely, the impact of a decrease in input would have the opposite impact to the fair value as that presented in the table above.
[3]
Level 3 corporate and municipal securities excludes those for which the Company bases fair value on broker quotations as discussed below.
[4]
Decrease for above market rate coupons and increase for below market rate coupons.
Information about significant unobservable inputs used in Level 3 derivative instruments measured at fair value
 
 
As of December 31, 2014
Freestanding Derivatives
 
 
 
Unobservable Inputs
 
  
Fair Value
Predominant Valuation Method
Significant Unobservable Input
Minimum
Maximum
Impact of Increase in Input on Fair Value [1]
Interest rate derivative
 
 
 
 
 
 
Interest rate swaps
(29
)
Discounted  cash flows
Swap curve 
beyond 30 years
3%
3%
Decrease
Interest rate swaptions
2

Option model
Interest rate volatility
1%
1%
Increase
U.S. GMWB hedging instruments
 
 
 
 
 
 
Equity options
46

Option model
Equity volatility
22%
34%
Increase
Customized swaps
124

Discounted  cash flows
Equity volatility
10%
40%
Increase
U.S. macro hedge program
 
 
 
 
 
 
Equity options
141

Option model
Equity volatility
27%
28%
Increase
 
As of December 31, 2013
Freestanding Derivatives
 
 
 
Unobservable Inputs
 
 
Fair Value
Predominant Valuation Method
Significant Unobservable Input
Minimum
Maximum
Impact of Increase in Input on Fair Value [1]
Interest rate derivative
 
 
 
 
 
 
Interest rate swaps
(24
)
Discounted  cash flows
Swap curve 
beyond 30 years
4%
4%
Increase
U.S. GMWB hedging instruments
 
 
 
 
 
 
Equity options
72

Option model
Equity volatility
21%
29%
Increase
Customized swaps
74

Discounted  cash flows
Equity volatility
10%
50%
Increase
U.S. macro hedge program
 
 
 
 
 
 
Equity options
139

Option model
Equity volatility
24%
31%
Increase
International hedging program [2]
 
 
 
 
 
 
Equity options
(66
)
Option model
Equity volatility
29%
37%
Increase
Short interest rate swaptions
(12
)
Option model
Interest rate volatility
—%
1%
Decrease
Long interest rate swaptions
48

Option model
Interest rate volatility
1%
1%
Increase
[1]
Conversely, the impact of a decrease in input would have the opposite impact to the fair value as that presented in the table. Changes are based on long positions, unless otherwise noted. Changes in fair value will be inversely impacted for short positions.
Information about significant unobservable inputs used in Level 3 living benefits measured at fair value
Significant increases in any of the significant unobservable inputs, in isolation, will generally have an increase or decrease correlation with the fair value measurement, as shown in the table.
 
Unobservable Inputs
Significant Unobservable Input
Minimum
Maximum
Impact of Increase in Input
on Fair Value Measurement [1]
Withdrawal Utilization [2]
20%
100%
Increase
Withdrawal Rates [3]
0%
8%
Increase
Lapse Rates [4]
0%
75%
Decrease
Reset Elections [5]
20%
75%
Increase
Equity Volatility [6]
10%
40%
Increase
[1]
Conversely, the impact of a decrease in input would have the opposite impact to the fair value as that presented in the table.
[2]
Range represents assumed cumulative percentages of policyholders taking withdrawals.
[3]
Range represents assumed cumulative annual amount withdrawn by policyholders.
[4]
Range represents assumed annual percentages of full surrender of the underlying variable annuity contracts across all policy durations for in force business.
[5]
Range represents assumed cumulative percentages of policyholders that would elect to reset their guaranteed benefit base.
[6]
Range represents implied market volatilities for equity indices based on multiple pricing sources.
Roll-forward of Financial Instruments Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs (Level 3)
  
Fixed Maturities, AFS
Fixed
Maturities,
FVO
Assets
ABS
CDOs
CMBS
Corporate
Foreign
govt./govt.
agencies
Municipal
RMBS
Total Fixed
Maturities,
AFS
Fair value as of January 1, 2014
$
108

$
428

$
360

$
790

$
38

$
49

$
798

$
2,571

$
178

Total realized/unrealized gains (losses)
 
 
 
 
 
 
 
 
 
Included in net income [1], [2]
—

11

6

(10
)
(1
)
—

11

17

17

Included in OCI [3]
2

(7
)
(6
)
16

5

6

4

20

—

Purchases
32

6

26

62

6

—

230

362

14

Settlements
(1
)
(44
)
(175
)
(36
)
(4
)
—

(127
)
(387
)
(121
)
Sales
(11
)
(21
)
(34
)
(96
)
(14
)
(1
)
(150
)
(327
)
(4
)
Transfers into Level 3 [4]
71

48

7

146

—

—

—

272

—

Transfers out of Level 3 [4]
(119
)
(61
)
(65
)
(226
)
—

—

(32
)
(503
)


Fair value as of December 31, 2014
$
82

$
360

$
119

$
646

$
30

$
54

$
734

$
2,025

$
84

Changes in unrealized gains (losses) included in net income related to financial instruments still held at December 31, 2014 [2] [7]
$
—

$
—

$
(2
)
$
(4
)
$
(2
)
$
—

$
(1
)
$
(9
)
$
14

 
 
Freestanding Derivatives [5]
 
Assets (Liabilities)
Equity
Securities
AFS
Credit
Foreign Exchange Contracts
Equity
Interest
Rate
U.S.
GMWB
Hedging
U.S.
Macro
Hedge
Program
Intl.
Program
Hedging
Total Free-
Standing
Derivatives
[5]
Fair value as of January 1, 2014
$
51

$
2

$
—

$
2

$
(24
)
$
146

$
139

$
(61
)
$
204

Total realized/unrealized gains (losses)
 
 
 
 
 
 
 
 
 
Included in net income [1], [2]
4

(2
)
2

3

(5
)
13

(12
)
24

23

Included in OCI [3]
1

—

—

—

—

—

—

—

—

Purchases
6

(2
)
—

—

4

4

14

9

29

Settlements
—

—

—

—

—

7

—

(5
)
2

Sales
(14
)
—

—

—

—

—

—

—

—

Transfers into Level 3 [4]
—

—

(2
)
—

—

—

—

—

(2
)
Transfers out of Level 3 [4]
—

(1
)
—

—

(2
)
—

—

33

30

Fair value as of December 31, 2014
$
48

$
(3
)
$
—

$
5

$
(27
)
$
170

$
141

$
—

$
286

Changes in unrealized gains (losses) included in net income related to financial instruments still held at December 31, 2014 [2] [7]
$
(1
)
$
(3
)
$
—

$
—

$
(5
)
$
1

$
(11
)
$
17

$
(1
)
Assets
Limited Partnerships and Other Alternative Investments
Reinsurance 
Recoverable
for GMWB
Separate
Accounts
Fair value as of January 1, 2014
$
54

$
(465
)
$
737

Total realized/unrealized gains (losses)
 
 
 
Included in net income [1] [2]
—

441

13

Purchases
—

—

339

Settlements
—

80

(3
)
Sales
—

—

(201
)
Transfers into Level 3 [4]
—

—

37

Transfers out of Level 3 [4]
(54
)
—

(344
)
Fair value as of December 31, 2014
$
—

$
56

$
578

Changes in unrealized gains (losses) included in net income related to financial instruments still held at December 31, 2014 [2] [7]
$
—

$
441

$
8

 
Other Policyholder Funds and Benefits Payable
 
Liabilities
Guaranteed
Withdrawal
Benefits [7]
Equity Linked
Notes
Total Other
Policyholder Funds
and Benefits Payable
Consumer
Notes
Fair value as of January 1, 2014
$
(576
)
$
(18
)
$
(594
)
$
(2
)
Total realized/unrealized gains (losses)
 
 
 
 
Included in net income [1] [2]
577

(8
)
569

(1
)
Settlements
(140
)
—

(140
)
—

Fair value as of December 31, 2014
$
(139
)
$
(26
)
$
(165
)
$
(3
)
Changes in unrealized gains (losses) included in net income related to financial instruments still held at December 31, 2014 [2] [7]
$
167

$
(8
)
$
159

$
(1
)
The tables below provide a fair value roll forward for the year ended December 31, 2013, for the Level 3 financial instruments.
 
Fixed Maturities, AFS
 
Assets
ABS
CDOs
CMBS
Corporate
Foreign
govt./govt.
agencies
Municipal
RMBS
Total Fixed
Maturities,
AFS
Fixed
Maturities,
FVO
Fair value as of January 1, 2013
$
238

$
723

$
532

$
1,340

$
34

$
169

$
1,133

$
4,169

$
199

Total realized/unrealized gains (losses)
 
 
 
 
 
 
 
 
 
Included in net income [1], [2]
(12
)
18

(14
)
6

(1
)
—

39

36

61

Included in OCI [3]
32

110

53

(4
)
(3
)
(10
)
42

220

—

Purchases
25

37

37

75

27

—

74

275

14

Settlements
(6
)
(113
)
(89
)
(112
)
(4
)
—

(134
)
(458
)
(2
)
Sales
(127
)
(341
)
(152
)
(333
)
(13
)
(110
)
(355
)
(1,431
)
(94
)
Transfers into Level 3 [4]
3

23

36

99

—

—

—

161

3

Transfers out of Level 3 [4]
(45
)
(29
)
(43
)
(281
)
(2
)
—

(1
)
(401
)
(3
)
Fair value as of December 31, 2013
$
108

$
428

$
360

$
790

$
38

$
49

$
798

$
2,571

$
178

Changes in unrealized gains (losses) included in net income related to financial instruments still held at December 31, 2013 [2] [7]
$
(7
)
$
—

$
(2
)
$
(7
)
$
—

$
—

$
(1
)
$
(17
)
$
44

 
 
Freestanding Derivatives [5]
Assets (Liabilities)
Equity Securities, AFS
Credit
Equity
Interest Rate
U.S. GMWB Hedging
U.S. Macro Hedge Program
Intl. Program Hedging
Other Derivative Contracts
Total Free-Standing Derivatives [5]
Fair value as of January 1, 2013
$
55

$
4

$
45

$
(57
)
$
519

$
286

$
(75
)
$
—

$
722

Total realized/unrealized gains (losses)
 
 
 
 
 
 
 
 
 
Included in net income [1], [2]
(10
)
(1
)
(26
)
7

(372
)
(191
)
24

—

(559
)
Included in OCI [3]
6

—

—

—

—

—

—

—

—

Purchases
7

—

1

—

—

44

(25
)
—

20

Settlements
—

(1
)
(7
)
—

(4
)
—

(9
)
—

(21
)
Sales
(2
)
—

—

—

—

—

—

—

—

Transfers into Level 3 [4]
—

—

—

—

—

—

(8
)
(20
)
(28
)
Transfers out of Level 3 [4]
(5
)
—

(11
)
26

3

—

32

20

70

Fair value as of December 31, 2013
$
51

$
2

$
2

$
(24
)
$
146

$
139

$
(61
)
$
—

$
204

Changes in unrealized gains (losses) included in net income related to financial instruments still held at December 31, 2013 [2] [7]
$
(9
)
$
(1
)
$
(15
)
$
2

$
(390
)
$
(187
)
$
(170
)
$
—

$
(761
)
 
Assets
Limited Partnerships and Other Alternative Investments
Reinsurance Recoverable for U.S. GMWB
and Japan
GMWB, GMIB, 
and GMAB [6]
Separate Accounts
Fair value as of January 1, 2013
$
150

$
1,081

$
583

Total realized/unrealized gains (losses)
 
 
 
Included in net income [1] [2]
(5
)
(1,856
)
23

Purchases
64

—

250

Settlements
—

310

(2
)
Sales
(9
)
—

(88
)
Transfers into Level 3 [4]
—

—

45

Transfers out of Level 3 [4]
(146
)
—

(74
)
Fair value as of December 31, 2013
$
54

$
(465
)
$
737

Changes in unrealized gains (losses) included in net income related to financial instruments still held at December 31, 2013 [2] [7]
$
(5
)
$
(1,856
)
$
21

 
Other Policyholder Funds and Benefits Payable [1]
 
Liabilities
Guaranteed
Living
Benefits [7]
Equity Linked
Notes
Total Other
Policyholder Funds
and Benefits Payable
Consumer
Notes
Fair value as of January 1, 2013
$
(3,119
)
$
(8
)
$
(3,127
)
$
(2
)
Total realized/unrealized gains (losses)
 
 
 
 
Included in net income [1] [2]
2,653

(10
)
2,643

—

Settlements
(110
)
—

(110
)
—

Fair value as of December 31, 2013
$
(576
)
$
(18
)
$
(594
)
$
(2
)
Changes in unrealized gains (losses) included in net income related to financial instruments still held at December 31, 2013 [2] [7]
$
2,653

$
(10
)
$
2,643

$
—

[1]
The Company classifies gains and losses on GMWB reinsurance derivatives and GMWB embedded derivatives as unrealized gains (losses) for purposes of disclosure in this table because it is impracticable to track on a contract-by-contract basis the realized gains (losses) for these derivatives and embedded derivatives.
[2]
All amounts in these rows are reported in net realized capital gains (losses). The realized/unrealized gains (losses) included in net income for separate account assets are offset by an equal amount for separate account liabilities, which results in a net zero impact on net income for the Company. All amounts are before income taxes and amortization of DAC.
[3]
All amounts are before income taxes and amortization of DAC.
[4]
Transfers in and/or (out) of Level 3 are primarily attributable to the availability of market observable information and the re-evaluation of the observability of pricing inputs.
[5]
Derivative instruments are reported in this table on a net basis for asset (liability) positions and reported in the Consolidated Balance Sheet in other investments and other liabilities.
[6]
Includes fair value of reinsurance recoverables of approximately $495 as of December 31, 2013, respectively, related to a transaction entered into with an affiliated captive reinsurer. See Note 12 - Transactions with Affiliates of Notes to Consolidated Financial Statements for more information.
[7]
Includes both market and non-market impacts in deriving realized and unrealized gains (losses).
[8]
Settlements of other liabilities reflect the removal of liabilities carried at fair value upon the deconsolidation of a variable interest entity. See Note 4 - Investments and Derivative Instruments of Notes to Consolidated Financial Statements for additional information.
F
Fair value of assets and liabilities accounted for using the fair value option
The following table presents the changes in fair value of those assets and liabilities accounted for using the fair value option reported in net realized capital gains and losses in the Company's Consolidated Statements of Operations.
 
Year Ended December 31,
 
2014
2013
Assets
 
 
Fixed maturities, FVO
 
 
Corporate
$
(3
)
$
(12
)
CRE CDOs
21

14

CMBS
—

—

Foreign government
16

(112
)
RMBS
—

—

Total fixed maturities, FVO
$
34

$
(110
)
Equity, FVO
(2
)
—

Total realized capital gains (losses)
$
32

$
(110
)
Fair value of assets and liabilities accounted for using the fair value option
The following table presents the fair value of assets and liabilities accounted for using the fair value option included in the Company's Consolidated Balance Sheets.
 
Year Ended December 31,
 
2014
2013
Assets
 
 
Fixed maturities, FVO
 
 
ABS
$
13

$
3

Corporate
96

84

CRE CDOs
67

167

CMBS
15

8

Foreign government
3

494

Municipals
2

1

RMBS
82

9

U.S. government
2

25

Total fixed maturities, FVO
$
280

$
791

Equity, FVO [1]
$
248

$
—

[1]
Included in equity securities, AFS on the Consolidated Balance Sheets.
Fi
Financial Instruments Not Carried at Fair Value
e following presents carrying amounts and fair values of the Company's financial instruments not carried at fair value, and not included in the above fair value discussion as of December 31, 2014 and December 31, 2013 were as follows:
 
 
December 31, 2014
December 31, 2013
 
Fair Value Hierarchy Level
Carrying Amount
Fair Value
Carrying Amount
Fair Value
Assets
 
 
 
 
 
Policy loans
Level 3
$
1,430

$
1,430

$
1,416

$
1,476

Mortgage loans
Level 3
3,109

3,280

3,470

3,519

Liabilities
 
 
 
 
 
Other policyholder funds and benefits payable [1]
Level 3
7,134

7,353

8,955

9,153

Consumer notes [2] [3]
Level 3
68

68

82

82

Assumed investment contracts [3]
Level 3
763

851

—

—

[1]
Excludes group accident and health and universal life insurance contracts, including corporate owned life insurance.
[2]
Excludes amounts carried at fair value and included in disclosures above.
[3]
Included in other liabilities in the Consolidated Balance Sheets.