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Investments and Derivative Instruments Level 3 (Tables)
 12 Months Ended
Dec. 31, 2014
Dec. 31, 2013
Investments [Abstract]    
Investment Income [Table Text Block]
 
For the years ended December 31,
(Before-tax)
2014
 
2013
 
2012
Fixed maturities [1]
$
1,113

 
$
1,253

 
$
1,953

Equity securities, AFS
14

 
8

 
11

Mortgage loans
156

 
172

 
248

Policy loans
80

 
82

 
116

Limited partnerships and other alternative investments
141

 
119

 
85

Other investments [2]
111

 
125

 
200

Investment expenses
(72
)
 
(76
)
 
(77
)
Total net investment income
$
1,543

 
$
1,683

 
$
2,536

[1]
Includes net investment income on short-term investments.
[2]
Includes income from derivatives that hedge fixed maturities and qualify for hedge accounting.
  
Realized Gain (Loss) on Investments [Table Text Block]
 
For the years ended December 31,
(Before-tax)
2014
2013
2012
Gross gains on sales [1]
$
264

$
2,196

$
478

Gross losses on sales
(235
)
(700
)
(278
)
Net OTTI losses recognized in earnings [2]
(29
)
(45
)
(255
)
Valuation allowances on mortgage loans
(4
)
(1
)
4

Japanese fixed annuity contract hedges, net [3]
(14
)
6

(36
)
Periodic net coupon settlements on credit derivatives/Japan
11

(3
)
(8
)
Results of variable annuity hedge program
 
 

GMWB derivatives, net
5

262

519

Macro hedge program
(11
)
(234
)
(340
)
Total U.S. program
(6
)
28

179

International Program [4]
(126
)
(963
)
(1,145
)
Total results of variable annuity hedge program
(132
)
(935
)
(966
)
GMIB/GMAB/GMWB reinsurance
579

1,107

1,233

Coinsurance and modified coinsurance reinsurance contracts
395

(1,405
)
(1,901
)
Other, net [5]
(258
)
106

248

Net realized capital gains (losses), before-tax
$
577

$
326

$
(1,481
)
[1]
Includes $1.5 billion of gross gains relating to the sales of the Retirement Plans and Individual Life businesses in the year ended December 31, 2013.
[2]
Includes $173 of intent-to-sell impairments relating to the Retirement Plans and Individual Life businesses sold for the year ended December 31, 2012.
[3]
ncludes for the years ended December 31, 2014, 2013 and 2012, the transactional foreign currency re-valuation gains (losses) of $(51), $324, and $245, respectively, related to the Japan fixed annuity product, as well as the change in value related to the derivative hedging instruments and the Japan government FVO securities of $37, $(318), and $(281), respectively.
[4]
Includes $(2), $(55), and $(66) of transactional foreign currency re-valuation for the years ended December 31, 2014, 2013 and 2012, respectively.
[5]
Other, net gains and losses include transactional foreign currency revaluation gains (losses) on the Japan fixed payout annuity liabilities reinsured from HLIKK and gains (losses) on non-qualifying derivatives used to hedge the foreign currency exposure of the liabilities. Gains (losses) from transactional foreign currency revaluation of the reinsured liabilities were $116, $250, and $189, respectively, for the years ended December 31, 2014, 2013 and 2012. Gains (losses) on the instruments used to hedge the foreign currency exposure on the reinsured fixed payout annuities were $(148), $(268), and $(300), respectively, for the years ended December 31, 2014, 2013 and 2012. Includes $71 and $110 of gains relating to the sales of the Retirement Plans and Individual Life businesses for the years ended December 31, 2013 and 2012, respectively, as well as changes in value of non-qualifying derivatives.
  
Available-for-sale Securities [Table Text Block]
 
For the years ended December 31,
 
2014
 
2013
 
2012
Fixed maturities, AFS
 
 
 
 
 
Sale proceeds
$
9,084

 
$
19,190

 
$
23,555

Gross gains [1]
210

 
1,867

 
521

Gross losses
(183
)
 
(421
)
 
(270
)
Equity securities, AFS
 
 

 

Sale proceeds
$
107

 
$
81

 
$
133

Gross gains
9

 
254

 
15

Gross losses
(6
)
 
(263
)
 
(5
)
  
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Table Text Block]
The following table presents a roll-forward of the Company’s cumulative credit impairments on debt securities held as of December 31, 2014, 2013 and 2012.
 
For the years ended December 31,
(Before-tax)
2014
 
2013
 
2012
Balance, beginning of period
$
(410
)
 
$
(813
)
 
$
(1,319
)
Additions for credit impairments recognized on [1]:
 
 
 
 
 
Securities not previously impaired
(7
)
 
(14
)
 
(27
)
Securities previously impaired
(9
)
 
(4
)
 
(15
)
Reductions for credit impairments previously recognized on:
 
 
 
 
 
Securities that matured or were sold during the period
111

 
403

 
543

Securities due to an increase in expected cash flows
19

 
17

 
5

Securities the Company made the decision to sell or more likely than not will be required to sell
—

 
1

 
$
—

Balance, end of period
$
(296
)
 
$
(410
)
 
$
(813
)
[1]
These additions are included in the net OTTI losses recognized in earnings in the Consolidated Statements of Operations.
  
Schedule of Available-for-sale Securities Reconciliation [Table Text Block]
The following table presents the Company’s AFS securities by type.
 
December 31, 2014
 
December 31, 2013
 
Cost or Amortized Cost
 
Gross Unrealized Gains
 
Gross Unrealized Losses
 
Fair Value
 
Non-Credit OTTI [1]
 
Cost or Amortized Cost
 
Gross Unrealized Gains
 
Gross Unrealized Losses
 
Fair Value
 
Non-Credit OTTI [1]
ABS
$
1,181

 
$
20

 
$
(30
)
 
$
1,171

 
$
—

 
$
1,172

 
$
13

 
$
(56
)
 
$
1,129

 
$
(2
)
CDOs [2]
1,083

 
84

 
(20
)
 
1,148

 
—

 
1,392

 
98

 
(41
)
 
1,448

 
—

CMBS
1,797

 
97

 
(7
)
 
1,887

 
(3
)
 
2,275

 
106

 
(34
)
 
2,347

 
(3
)
Corporate
14,166

 
1,685

 
(109
)
 
15,742

 
(3
)
 
15,913

 
1,196

 
(192
)
 
16,917

 
(6
)
Foreign govt./govt. agencies
576

 
35

 
(9
)
 
602

 
—

 
1,267

 
27

 
(117
)
 
1,177

 
—

Municipal
935

 
118

 
(1
)
 
1,052

 
—

 
988

 
26

 
(49
)
 
965

 
—

RMBS
1,805

 
64

 
(12
)
 
1,857

 
—

 
2,419

 
60

 
(48
)
 
2,431

 
(3
)
U.S. Treasuries
1,717

 
261

 
(1
)
 
1,977

 
—

 
1,762

 
1

 
(14
)
 
1,749

 
—

Total fixed maturities, AFS
23,260

 
2,364

 
(189
)
 
25,436

 
(6
)
 
27,188

 
1,527

 
(551
)
 
28,163

 
(14
)
Equity securities, AFS [3]
275

 
10

 
(19
)
 
266

 
—

 
362

 
35

 
(25
)
 
372

 
—

Total AFS securities
$
23,535

 
$
2,374

 
$
(208
)
 
$
25,702

 
$
(6
)
 
$
27,550

 
$
1,562

 
$
(576
)
 
$
28,535

 
$
(14
)
[1]
Represents the amount of cumulative non-credit OTTI losses recognized in OCI on securities that also had credit impairments. These losses are included in gross unrealized losses as of December 31, 2014 and 2013.
[2]
Gross unrealized gains (losses) exclude the fair value of bifurcated embedded derivative features of certain securities. Subsequent changes in value will be recorded in net realized capital gains (losses).
[3]
As of December 31, 2014 excludes equity securities, FVO, with a cost of $250 and fair value of $248 which are included in equity securities, AFS on the Consolidated Balance Sheet.
 
Investments Classified by Contractual Maturity Date [Table Text Block]
The following table presents the Company’s fixed maturities, AFS, by contractual maturity year.
  
December 31, 2014
December 31, 2013
Contractual Maturity
Amortized Cost
 
Fair Value
Amortized Cost
 
Fair Value
One year or less
$
1,031

 
$
1,043

$
1,615

 
$
1,639

Over one year through five years
4,902

 
5,168

5,328

 
5,535

Over five years through ten years
3,345

 
3,501

4,319

 
4,481

Over ten years
8,116

 
9,661

8,668

 
9,153

Subtotal
17,394

 
19,373

19,930

 
20,808

Mortgage-backed and asset-backed securities
5,866

 
6,063

7,258

 
7,355

Total fixed maturities, AFS
$
23,260

 
$
25,436

$
27,188

 
$
28,163

  
Schedule of Unrealized Loss on Investments [Table Text Block]
The following tables present the Company’s unrealized loss aging for AFS securities by type and length of time the security was in a continuous unrealized loss position.
 
December 31, 2014
 
Less Than 12 Months
 
12 Months or More
 
Total
 
Amortized Cost
 
Fair Value
 
Unrealized Losses
 
Amortized Cost
 
Fair Value
 
Unrealized Losses
 
Amortized Cost
 
Fair Value
 
Unrealized Losses
ABS
$
368

 
$
367

 
$
(1
)
 
$
340

 
$
311

 
$
(29
)
 
$
708

 
$
678

 
$
(30
)
CDOs [1]
123

 
122

 
(1
)
 
771

 
753

 
(19
)
 
894

 
875

 
(20
)
CMBS
109

 
108

 
(1
)
 
194

 
188

 
(6
)
 
303

 
296

 
(7
)
Corporate
1,542

 
1,491

 
(51
)
 
661

 
603

 
(58
)
 
2,203

 
2,094

 
(109
)
Foreign govt./govt. agencies
145

 
140

 
(5
)
 
68

 
64

 
(4
)
 
213

 
204

 
(9
)
Municipal
14

 
14

 
—

 
13

 
12

 
(1
)
 
27

 
26

 
(1
)
RMBS
148

 
147

 
(1
)
 
229

 
218

 
(11
)
 
377

 
365

 
(12
)
U.S. Treasuries
184

 
184

 
—

 
18

 
17

 
(1
)
 
202

 
201

 
(1
)
Total fixed maturities, AFS
2,633

 
2,573

 
(60
)
 
2,294

 
2,166

 
(129
)
 
4,927

 
4,739

 
(189
)
Equity securities, AFS
81

 
75

 
(6
)
 
92

 
79

 
(13
)
 
173

 
154

 
(19
)
Total securities in an unrealized loss position
$
2,714

 
$
2,648

 
$
(66
)
 
$
2,386

 
$
2,245

 
$
(142
)
 
$
5,100

 
$
4,893

 
$
(208
)
 
December 31, 2013
 
Less Than 12 Months
 
12 Months or More
 
Total
 
Amortized Cost
 
Fair Value
 
Unrealized Losses
 
Amortized Cost
 
Fair Value
 
Unrealized Losses
 
Amortized Cost
 
Fair Value
 
Unrealized Losses
ABS
$
288

 
$
286

 
$
(2
)
 
$
418

 
$
364

 
$
(54
)
 
$
706

 
$
650

 
$
(56
)
CDOs [1]
64

 
63

 
(1
)
 
1,185

 
1,144

 
(40
)
 
1,249

 
1,207

 
(41
)
CMBS
437

 
423

 
(14
)
 
392

 
372

 
(20
)
 
829

 
795

 
(34
)
Corporate [1]
2,449

 
2,360

 
(89
)
 
799

 
696

 
(103
)
 
3,248

 
3,056

 
(192
)
Foreign govt./govt. agencies
542

 
501

 
(41
)
 
303

 
227

 
(76
)
 
845

 
728

 
(117
)
Municipal
508

 
475

 
(33
)
 
99

 
83

 
(16
)
 
607

 
558

 
(49
)
RMBS
922

 
909

 
(13
)
 
475

 
440

 
(35
)
 
1,397

 
1,349

 
(48
)
U.S. Treasuries
1,456

 
1,442

 
(14
)
 
—

 
—

 
—

 
1,456

 
1,442

 
(14
)
Total fixed maturities, AFS
6,666

 
6,459

 
(207
)
 
3,671

 
3,326

 
(344
)
 
10,337

 
9,785

 
(551
)
Equity securities, AFS
77

 
73

 
(4
)
 
135

 
114

 
(21
)
 
212

 
187

 
(25
)
Total securities in an unrealized loss position
$
6,743

 
$
6,532

 
$
(211
)
 
$
3,806

 
$
3,440

 
$
(365
)
 
$
10,549

 
$
9,972

 
$
(576
)
[1]
Unrealized losses exclude the fair value of bifurcated embedded derivative features of certain securities. Subsequent changes in value will be recorded in net realized capital gains (losses).
  
Mortgage Loans [Table Text Block]
 
December 31, 2014
 
December 31, 2013
 
Amortized Cost [1]
 
Valuation Allowance
 
Carrying Value
 
Amortized Cost [1]
 
Valuation Allowance
 
Carrying Value
Total commercial mortgage loans
$
3,124

 
$
(15
)
 
$
3,109

 
$
3,482

 
$
(12
)
 
$
3,470

[1]
Amortized cost represents carrying value prior to valuation allowances, if any.
  
Valuation Allowance for Mortgage Loans [Table Text Block]
The following table presents the activity within the Company’s valuation allowance for mortgage loans. These loans have been evaluated both individually and collectively for impairment. Loans evaluated collectively for impairment are immaterial.
 
For the years ended December 31,
 
2014
 
2013
 
2012
Balance as of January 1
$
(12
)
 
$
(14
)
 
$
(23
)
(Additions)/Reversals
(4
)
 
(2
)
 
4

Deductions
1

 
4

 
5

Balance as of December 31
$
(15
)
 
$
(12
)
 
$
(14
)
  
Commercial Mortgage Loans Credit Quality [Table Text Block]
The following table presents the carrying value of the Company’s commercial mortgage loans by LTV and DSCR.
Commercial Mortgage Loans Credit Quality
 
December 31, 2014
 
December 31, 2013
Loan-to-value
Carrying Value
 
Avg. Debt-Service Coverage Ratio
 
Carrying Value
 
Avg. Debt-Service Coverage Ratio
Greater than 80%
$
21

 
1.14x
 
$
35

 
1.15x
65% - 80%
452

 
1.71x
 
777

 
1.94x
Less than 65%
2,636

 
2.49x
 
2,658

 
2.34x
Total commercial mortgage loans
$
3,109

 
2.36x
 
$
3,470

 
2.23x
  
Mortgage Loans by Region [Table Text Block]
The following tables present the carrying value of the Company’s mortgage loans by region and property type.
Mortgage Loans by Region
 
December 31, 2014
 
December 31, 2013
 
Carrying Value
 
Percent of Total
 
Carrying Value
 
Percent of Total
East North Central
$
64

 
2.1%
 
$
79

 
2.3%
Middle Atlantic
272

 
8.7%
 
255

 
7.3%
Mountain
35

 
1.1%
 
40

 
1.2%
New England
146

 
4.7%
 
163

 
4.7%
Pacific
905

 
29.1%
 
1,019

 
29.4%
South Atlantic
532

 
17.1%
 
548

 
15.8%
West North Central
15

 
0.5%
 
17

 
0.5%
West South Central
125

 
4.0%
 
144

 
4.1%
Other [1]
1,015

 
32.7%
 
1,205

 
34.7%
Total mortgage loans
$
3,109

 
100%
 
$
3,470

 
100%
[1]
Primarily represents loans collateralized by multiple properties in various regions.
  
Mortgage Loans by Property Type [Table Text Block]
Mortgage Loans by Property Type
 
December 31, 2014
 
December 31, 2013
 
Carrying Value
 
Percent of Total
 
Carrying Value
 
Percent of Total
Commercial
 
 
 
 
 
 
 
Agricultural
$
22

 
0.7
%
 
$
93

 
2.7
%
Industrial
989

 
31.8
%
 
1,182

 
34.1
%
Lodging
26

 
0.8
%
 
27

 
0.8
%
Multifamily
522

 
16.8
%
 
576

 
16.6
%
Office
723

 
23.3
%
 
723

 
20.8
%
Retail
713

 
22.9
%
 
745

 
21.5
%
Other
114

 
3.7
%
 
124

 
3.5
%
Total mortgage loans
$
3,109

 
100
%
 
$
3,470

 
100
%
  
Schedule of Variable Interest Entities [Table Text Block]
 
December 31, 2014
 
December 31, 2013
 
Total Assets
 
Total Liabilities  [1]
 
Maximum Exposure to Loss [2]
 
Total Assets
 
Total Liabilities  [1]
 
Maximum Exposure to Loss [2]
CDOs [3]
$
—

 
$
—

 
$
—

 
$
12

 
$
13

 
$
—

Investment funds [4]
154

 
20

 
138

 
134

 
20

 
119

Limited partnerships and other alternative investments
3

 
2

 
1

 
4

 
2

 
2

Total
$
157

 
$
22

 
$
139

 
$
150

 
$
35

 
$
121

[1]
Included in other liabilities in the Company’s Consolidated Balance Sheets.
[2]
The maximum exposure to loss represents the maximum loss amount that the Company could recognize as a reduction in net investment income or as a realized capital loss and is the cost basis of the Company’s investment.
[3]
Total assets included in fixed maturities, AFS and short-term investments in the Company’s Consolidated Balance Sheets.
[4]
Total assets included in fixed maturities, FVO, short-term investments, and equity, AFS in the Company's Consolidated Balance Sheets.
  
Derivative Instruments [Abstract]    
Notional and Fair Value for GMWB Hedging Instruments [Table Text Block]
 
Notional Amount
 
Fair Value
 
December 31, 2014
 
December 31, 2013
 
December 31, 2014
 
December 31, 2013
Customized swaps
$
7,041

 
$
7,839

 
$
124

 
$
74

Equity swaps, options, and futures
3,761

 
4,237

 
39

 
44

Interest rate swaps and futures
3,640

 
6,615

 
11

 
(77
)
Total
$
14,442

 
$
18,691

 
$
174

 
$
41

  
Notional and Fair Value for Macro Hedge Program [Table Text Block]
The Company utilizes equity options, swaps and foreign currency options to partially hedge against a decline in the equity markets and the resulting statutory surplus and capital impact primarily arising from the guaranteed minimum death benefit ("GMDB") and GMWB obligations. The following table presents notional and fair value for the macro hedge program.
 
Notional Amount
 
Fair Value
 
December 31, 2014
 
December 31, 2013
 
December 31, 2014
 
December 31, 2013
Equity options and swaps
$
5,983

 
$
9,934

 
$
141

 
$
139

Foreign currency options
$
400

 
$
—

 
$
—

 
$
—

Total
$
6,383

 
$
9,934

 
$
141

 
$
139

  
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block]
 
Net Derivatives
 
Asset Derivatives
 
Liability Derivatives
 
Notional Amount
 
Fair Value
 
Fair Value
 
Fair Value
Hedge Designation/ Derivative Type
Dec 31, 2014
 
Dec 31, 2013
 
Dec 31, 2014
 
Dec 31, 2013
 
Dec 31, 2014
 
Dec 31, 2013
 
Dec 31, 2014
 
Dec 31, 2013
Cash flow hedges
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest rate swaps
$
2,242

 
$
3,215

 
$
37

 
$
16

 
$
37

 
$
49

 
$
—

 
$
(33
)
Foreign currency swaps
143

 
143

 
(19
)
 
(5
)
 
3

 
2

 
(22
)
 
(7
)
Total cash flow hedges
2,385

 
3,358

 
18

 
11

 
40

 
51

 
(22
)
 
(40
)
Fair value hedges
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest rate swaps
32

 
1,261

 
—

 
(24
)
 
—

 
2

 
—

 
(26
)
Total fair value hedges
32

 
1,261

 
—

 
(24
)
 
—

 
2

 
—

 
(26
)
Non-qualifying strategies
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest rate contracts
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest rate swaps, swaptions, caps, floors, and futures
4,857

 
4,633

 
(323
)
 
(368
)
 
385

 
123

 
(708
)
 
(491
)
Foreign exchange contracts
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Foreign currency swaps and forwards
60

 
118

 
—

 
(4
)
 
—

 
6

 
—

 
(10
)
Japan fixed payout annuity hedge
1,319

 
1,571

 
(427
)
 
(354
)
 
—

 
—

 
(427
)
 
(354
)
Japanese fixed annuity hedging instruments [1]
—

 
1,436

 
—

 
(6
)
 
—

 
88

 
—

 
(94
)
Credit contracts
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Credit derivatives that purchase credit protection
276

 
243

 
(1
)
 
(4
)
 
4

 
—

 
(5
)
 
(4
)
Credit derivatives that assume credit risk [2]
946

 
1,507

 
7

 
27

 
11

 
28

 
(4
)
 
(1
)
Credit derivatives in offsetting positions
2,175

 
3,501

 
(1
)
 
(3
)
 
21

 
35

 
(22
)
 
(38
)
Equity contracts
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Equity index swaps and options
422

 
131

 
1

 
(2
)
 
30

 
18

 
(29
)
 
(20
)
Variable annuity hedge program
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
GMWB product derivatives [3]
17,908

 
21,512

 
(139
)
 
(36
)
 
—

 
—

 
(139
)
 
(36
)
GMWB reinsurance contracts
3,659

 
4,508

 
56

 
29

 
56

 
29

 
—

 
—

GMWB hedging instruments
14,442

 
18,691

 
174

 
41

 
289

 
333

 
(115
)
 
(292
)
Macro hedge program
6,383

 
9,934

 
141

 
139

 
180

 
178

 
(39
)
 
(39
)
International program hedging instruments [1]
—

 
57,025

 
—

 
(27
)
 
—

 
649

 
—

 
(676
)
Other
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
GMIB, GMAB, and GMWB reinsurance contracts [1]
—

 
11,999

 
—

 
(540
)
 
—

 
—

 
—

 
(540
)
Coinsurance and modified coinsurance reinsurance contracts
974

 
29,423

 
34

 
(427
)
 
34

 
383

 
—

 
(810
)
Total non-qualifying strategies
53,421

 
166,232

 
(478
)
 
(1,535
)
 
1,010

 
1,870

 
(1,488
)
 
(3,405
)
Total cash flow hedges, fair value hedges, and non-qualifying strategies
$
55,838

 
$
170,851

 
$
(460
)
 
$
(1,548
)
 
$
1,050

 
$
1,923

 
$
(1,510
)
 
$
(3,471
)
Balance Sheet Location
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fixed maturities, available-for-sale
$
186

 
$
196

 
$
1

 
$
(1
)
 
$
1

 
$
—

 
$
—

 
$
(1
)
Other investments
13,588

 
40,564

 
339

 
272

 
478

 
721

 
(139
)
 
(449
)
Other liabilities
19,473

 
62,599

 
(725
)
 
(827
)
 
481

 
789

 
(1,206
)
 
(1,616
)
Reinsurance recoverable
4,633

 
33,931

 
90

 
(398
)
 
90

 
413

 
—

 
(811
)
Other policyholder funds and benefits payable
17,958

 
33,561

 
(165
)
 
(594
)
 
—

 
—

 
(165
)
 
(594
)
Total derivatives
$
55,838

 
$
170,851

 
$
(460
)
 
$
(1,548
)
 
$
1,050

 
$
1,923

 
$
(1,510
)
 
$
(3,471
)
[1]
Represents hedge programs formerly associated with the Japan variable and fixed annuity products which were terminated due to the sale of HLIKK during 2014. For further information on the sale, see Note 1 - Basis of Presentation and Significant Accounting Policies of Notes to the Consolidated Financial Statements.
[2]
The derivative instruments related to this strategy are held for other investment purposes.
[3]
These derivatives are embedded within liabilities and are not held for risk management purposes.
  
Offsetting Assets [Table Text Block]
 
(i)
 
(ii)
 
(iii) = (i) - (ii)
(iv)
 
(v) = (iii) - (iv)
 
 
 
 
 
Net Amounts Presented in the Statement of Financial Position
 
Collateral Disallowed for Offset in the Statement of Financial Position
 
 
 
Gross Amounts of Recognized Assets
 
Gross Amounts Offset in the Statement of Financial Position
 
Derivative Assets [1]
 
Accrued Interest and Cash Collateral Received [2]
 
Financial Collateral Received [4]
 
Net Amount
Description
 
 
 
 
 
 
 
 
 
 
 
Other investments
$
959

 
$
801

 
$
339

 
$
(181
)
 
$
83

 
$
75
 
(i)
 
(ii)
 
(iii) = (i) - (ii)
(iv)
 
(v) = (iii) - (iv)
 
 
 
 
 
Net Amounts Presented in the Statement of Financial Position
 
Collateral Disallowed for Offset in the Statement of Financial Position
 
 
 
Gross Amounts of Recognized Assets
 
Gross Amounts Offset in the Statement of Financial Position
 
Derivative Assets [1]
 
Accrued Interest and Cash Collateral Received [2]
 
Financial Collateral Received [4]
 
Net Amount
Description
 
 
 
 
 
 
 
 
 
 
 
Other investments
$
1,510

 
$
1,290

 
$
272

 
$
(52
)
 
$
121

 
$
99
Offsetting Liabilities [Table Text Block]
 
Gross Amounts of Recognized Liabilities
 
Gross Amounts Offset in the Statement of Financial Position
 
Derivative Liabilities [3]
 
Accrued Interest and Cash Collateral Pledged [3]
 
Financial Collateral Pledged [4]
 
Net Amount
Description
 
 
 
 
 
 
 
 
 
 
 
Other liabilities
$
(1,345
)
 
$
(574
)
 
$
(722
)
 
$
(49
)
 
$
(900
)
 
$
129
 
Gross Amounts of Recognized Liabilities
 
Gross Amounts Offset in the Statement of Financial Position
 
Derivative Liabilities [3]
 
Accrued Interest and Cash Collateral Pledged [3]
 
Financial Collateral Pledged [4]
 
Net Amount
Description
 
 
 
 
 
 
 
 
 
 
 
Other liabilities
$
(2,063
)
 
$
(1,308
)
 
$
(825
)
 
$
70

 
$
(826
)
 
$
71
Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block]
Derivatives in Cash Flow Hedging Relationships
 
Gain (Loss) Recognized in OCI on Derivative (Effective  Portion)
 
Net Realized Capital Gains (Losses) Recognized in Income on Derivative (Ineffective Portion)
 
2014
 
2013
 
2012
 
2014
 
2013
 
2012
Interest rate swaps
$
34

 
$
(158
)
 
$
26

 
$
2

 
$
(2
)
 
$
—

Foreign currency swaps
(10
)
 
12

 
(18
)
 
—

 
—

 
—

Total
$
24

 
$
(146
)
 
$
8

 
$
2

 
$
(2
)
 
$
—

Derivatives in Cash Flow Hedging Relationships
 
 
Gain (Loss) Reclassified from AOCI into Income (Effective  Portion)
 
 
2014
 
2013
 
2012
Interest rate swaps
Net realized capital gains (losses)
$
(1
)
 
$
70

 
$
85

Interest rate swaps
Net investment income (loss)
50

 
57

 
97

Foreign currency swaps
Net realized capital gains (losses)
(13
)
 
4

 
(4
)
Total
 
$
36

 
$
131

 
$
178

  
Derivatives in Fair Value Hedging Relationships [Table Text Block]
The Company recognized in income gains (losses) representing the ineffective portion of fair value hedges as follows:  
Derivatives in Fair Value Hedging Relationships
 
Gain (Loss) Recognized in Income [1]
 
2014
 
2013
 
2012
 
Derivative
 
Hedged Item
 
Derivative
 
Hedged Item
 
Derivative
 
Hedged Item
Interest rate swaps
 
 
 
 
 
 
 
 
 
 
 
Net realized capital gains (losses)
$
(2
)
 
$
4

 
$
27

 
$
(24
)
 
$
(3
)
 
$
(3
)
Foreign currency swaps
 
 
 
 
 
 
 
 
 
 
 
Net realized capital gains (losses)
—

 
—

 
1

 
(1
)
 
(7
)
 
7

Benefits, losses and loss adjustment expenses
—

 
—

 
(2
)
 
2

 
(6
)
 
6

Total
$
(2
)
 
$
4

 
$
26

 
$
(23
)
 
$
(16
)
 
$
10

[1]
The amounts presented do not include the periodic net coupon settlements of the derivative or the coupon income (expense) related to the hedged item. The net of the amounts presented represents the ineffective portion of the hedge.
  
Disclosure of Credit Derivatives [Table Text Block]
he following tables present the notional amount, fair value, weighted average years to maturity, underlying referenced credit obligation type and average credit ratings, and offsetting notional amounts and fair value for credit derivatives in which the Company is assuming credit risk as of December 31, 2014 and 2013.
As of December 31, 2014
 
 
 
 
 
 
 
 
Underlying Referenced
Credit Obligation(s) [1]
 
 
 
 
Credit Derivative type by derivative risk exposure
 
Notional
Amount [2]
 
Fair
Value
 
Weighted
Average
Years to
Maturity
 
Type
 
Average
Credit
Rating
 
Offsetting
Notional
Amount [3]
 
Offsetting
Fair Value [3]
Single name credit default swaps
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Investment grade risk exposure
 
$
212

 
$
3

 
3 years
 
Corporate Credit/ Foreign Gov.
 
A-
 
$
163

 
$
(3
)
Below investment grade risk exposure
 
4

 
—

 
1 year
 
Corporate Credit
 
CCC
 
4

 
—

Basket credit default swaps [4]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Investment grade risk exposure
 
1,240

 
14

 
4 years
 
Corporate Credit
 
BBB+
 
667

 
(6
)
Below investment grade risk exposure
 
9

 
(1
)
 
5 years
 
Corporate Credit
 
BBB-
 
—

 
—

Investment grade risk exposure
 
344

 
(4
)
 
5 years
 
CMBS Credit
 
AA
 
179

 
2

Below investment grade risk exposure
 
75

 
(11
)
 
2 years
 
CMBS Credit
 
CCC+
 
75

 
11

Embedded credit derivatives
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Investment grade risk exposure
 
150

 
147

 
2 years
 
Corporate Credit
 
A
 
—

 
—

Total [5]
 
$
2,034

 
$
148

 
 
 
 
 
 
 
$
1,088

 
$
4

As of December 31, 2013
 
 
 
 
 
 
 
 
Underlying Referenced
Credit Obligation(s) [1]
 
 
 
 
Credit Derivative type by derivative risk exposure
 
Notional
Amount
[2]
 
Fair
Value
 
Weighted
Average
Years to
Maturity
 
Type
 
Average
Credit
Rating
 
Offsetting
Notional
Amount
[3]
 
Offsetting
Fair
Value [3]
Single name credit default swaps
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Investment grade risk exposure
 
$
735

 
$
6

 
2 years
 
Corporate Credit/ Foreign Gov.
 
A
 
$
592

 
$
(4
)
Below investment grade risk exposure
 
24

 
—

 
1 year
 
Corporate Credit
 
CCC
 
25

 
—

Basket credit default swaps [4]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Investment grade risk exposure
 
1,912

 
25

 
3 years
 
Corporate Credit
 
BBB+
 
784

 
(10
)
Below investment grade risk exposure
 
87

 
8

 
5 years
 
Corporate Credit
 
BB-
 
—

 
—

Investment grade risk exposure
 
235

 
(5
)
 
3 years
 
CMBS Credit
 
A
 
235

 
5

Below investment grade risk exposure
 
115

 
(18
)
 
3 years
 
CMBS Credit
 
B-
 
115

 
18

Embedded credit derivatives
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Investment grade risk exposure
 
150

 
145

 
3 years
 
Corporate Credit
 
BBB+
 
—

 
—

Total [5]
 
$
3,258

 
$
161

 
 
 
 
 
 
 
$
1,751

 
$
9


[1]
The average credit ratings are based on availability and the midpoint of the applicable ratings among Moody’s, S&P, Fitch, and Morningstar. If no rating is available from a rating agency, then an internally developed rating is used.
[2]
Notional amount is equal to the maximum potential future loss amount. These derivatives are governed by agreements and clearing house rules and applicable law which include collateral posting requirements. There is no additional specific collateral related to these contracts or recourse provisions included in the contracts to offset losses going forward.
[3]
The Company has entered into offsetting credit default swaps to terminate certain existing credit default swaps, thereby offsetting the future changes in value of, or losses paid related to, the original swap.
[4]
Includes $1.7 billion and $2.3 billion as of December 31, 2014 and 2013, respectively, of standard market indices of diversified portfolios of corporate and CMBS issuers referenced through credit default swaps. These swaps are subsequently valued based upon the observable standard market index.
[5]
Excludes investments that contain an embedded credit derivative for which the Company has elected the fair value option. For further discussion, see the Fair Value Option section in Note 3 - Fair Value Measurements.
  
Gain or Loss Recognized with in Net Realized Capital Gains Losses on Non Qualifying Strategies [Table Text Block]
he following table presents the gain or loss recognized in income on non-qualifying strategies:
Non-qualifying Strategies
Gain (Loss) Recognized within Net Realized Capital Gains (Losses)
 
December 31,
 
2014
 
2013
 
2012
Interest rate contracts
 
 
 
 
 
Interest rate swaps, caps, floors, and forwards
$
(6
)
 
$
(5
)
 
$
26

Foreign exchange contracts
 
 
 
 
 
Foreign currency swaps and forwards
4

 
4

 
10

Japan fixed payout annuity hedge [1]
(148
)
 
(268
)
 
(300
)
Japanese fixed annuity hedging instruments [2]
22

 
(207
)
 
(178
)
Credit contracts
 
 
 
 
 
Credit derivatives that purchase credit protection
(6
)
 
(20
)
 
(19
)
Credit derivatives that assume credit risk
10

 
46

 
204

Equity contracts
 
 
 
 
 
Equity index swaps and options
7

 
(22
)
 
(31
)
Variable annuity hedge program
 
 
 
 
 
GMWB product derivatives
(2
)
 
1,306

 
1,430

GMWB reinsurance contracts
4

 
(192
)
 
(280
)
GMWB hedging instruments
3

 
(852
)
 
(631
)
Macro hedge program
(11
)
 
(234
)
 
(340
)
International program hedging instruments
(126
)
 
(963
)
 
(1,145
)
Other
 
 
 
 
 
GMAB, GMWB, and GMIB reinsurance contracts
579

 
1,107

 
1,233

Coinsurance and modified coinsurance reinsurance contracts
395

 
(1,405
)
 
(1,901
)
Derivatives formerly associated with Japan [3]
(2
)
 
—

 
—

Total [4]
$
723

 
$
(1,705
)
 
$
(1,922
)
[1]
The associated liability is adjusted for changes in spot rates through realized capital gains and was $116, $250 and $189 for the years ended December 31, 2014, 2013 and 2012, respectively.
[2]
The associated liability is adjusted for changes in spot rates through realized capital gains and losses and was $(51), $324 and $245 for the years ended December 31, 2014, 2013, and 2012, respectively.
[3]
These amounts relate to the termination of the hedging program associated with the Japan variable annuity product due to the sale of HLIKK.
[4]
Excludes investments that contain an embedded credit derivative for which the Company has elected the fair value option. For further discussion, see the Fair Value Option section in Note 3 - Fair Value Measurements.