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INVESTMENTS (Tables)
 12 Months Ended
Dec. 31, 2024
Schedule Of Net Investment Income
The components of net investment income for the years ended December 31 were as follows:
(In millions)202420232022
Fixed maturity securities$2,894 $2,873 $2,926 
Equity securities24 28 31 
Commercial mortgage and other loans1,046 1,002 716 
Other investments (1)
130 (70)131 
Short-term investments and cash equivalents258 213 78 
Gross investment income4,352 4,046 3,882 
Less investment expenses236 235 226 
Net investment income$4,116 $3,811 $3,656 
(1) The change in value of federal historic rehabilitation and solar investments in partnerships of $165, $343 and $91 in 2024, 2023, and 2022, respectively, is included as a reduction to net investment income. Tax credits on these investments of $164, $334, and $83 in 2024, 2023, and 2022, respectively, have been recorded as an income tax benefit in the consolidated statement of earnings.
Available-for-Sale Debt Securities
The amortized cost and allowance for credit losses for the Company's investments in fixed maturity securities and the fair values of these investments as well as the fair value of the Company's investments in equity securities are shown in the following tables.
  2024
(In millions)
Amortized
Cost		Allowance
 for Credit
Losses		Gross
Unrealized
Gains		Gross
Unrealized
Losses		  Fair
  Value
Securities available-for-sale, carried at fair
  value through other comprehensive income:
Fixed maturity securities:
  Yen-denominated:
Japan government and agencies$19,409 $0 $465 $2,234 $17,640 
Municipalities869 0 65 79 855 
Mortgage- and asset-backed securities327 0 4 23 308 
Public utilities2,746 0 202 108 2,840 
Sovereign and supranational330 0 16 8 338 
Banks/financial institutions5,376 0 267 342 5,301 
Other corporate5,329 0 568 305 5,592 
Total yen-denominated34,386 0 1,587 3,099 32,874 
  U.S. dollar-denominated:
U.S. government and agencies208 0 1 3 206 
Municipalities1,167 0 65 53 1,179 
Mortgage- and asset-backed securities2,987 0 302 34 3,255 
Public utilities3,938 0 418 151 4,205 
Sovereign and supranational57 0 21 0 78 
Banks/financial institutions3,271 0 420 36 3,655 
Other corporate18,050 0 2,493 752 19,791 
Total U.S. dollar-denominated29,678 0 3,720 1,029 32,369 
  Other currencies:
Other corporate
25 0 1 0 26 
Total other currencies
25 0 1 0 26 
Total securities available-for-sale$64,089 $0 $5,308 $4,128 $65,269 

 
2023
(In millions)Amortized
Cost		Allowance
for Credit
Losses		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Fair
  Value
Securities available-for-sale, carried at fair
  value through other comprehensive income:
Fixed maturity securities:
  Yen-denominated:
Japan government and agencies$23,067 $0 $1,040 $1,696 $22,411 
Municipalities968 0 115 58 1,025 
Mortgage- and asset-backed securities215 0 6 11 210 
Public utilities3,757 0 325 82 4,000 
Sovereign and supranational373 0 24 7 390 
Banks/financial institutions5,896 0 320 365 5,851 
Other corporate5,898 0 699 294 6,303 
Total yen-denominated40,174 0 2,529 2,513 40,190 
  U.S. dollar-denominated:
U.S. government and agencies191 0 2 4 189 
Municipalities1,246 0 65 38 1,273 
Mortgage- and asset-backed securities2,748 0 184 56 2,876 
Public utilities3,346 0 360 114 3,592 
Sovereign and supranational122 0 33 8 147 
Banks/financial institutions2,676 0 359 51 2,984 
Other corporate20,186 0 2,518 665 22,039 
Total U.S. dollar-denominated30,515 0 3,521 936 33,100 
Total securities available-for-sale$70,689 $0 $6,050 $3,449 $73,290 
Held-to-Maturity Securities
  2024
(In millions)Amortized
Cost		Allowance
for Credit
Losses		Net
Carrying
Amount		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Fair  
Value  
Securities held-to-maturity, carried at
  amortized cost:
Fixed maturity securities:
  Yen-denominated:
Japan government and agencies$15,311 $2 $15,309 $759 $9 $16,059 
Municipalities235 0 235 22 0 257 
Public utilities32 0 32 1 0 33 
Sovereign and supranational377 3 374 31 0 405 
Other corporate16 0 16 2 0 18 
Total yen-denominated15,971 5 15,966 815 9 16,772 
Total securities held-to-maturity$15,971 $5 $15,966 $815 $9 $16,772 
  2023
(In millions)Amortized
Cost		Allowance
for Credit
Losses		Net
Carrying
Amount		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Fair  
Value
Securities held-to-maturity, carried at
  amortized cost:
Fixed maturity securities:
  Yen-denominated:
Japan government and agencies$17,085 $2 $17,083 $1,746 $0 $18,829 
Municipalities266 0 266 41 0 307 
Public utilities34 0 34 4 0 38 
Sovereign and supranational421 3 418 44 0 462 
Other corporate18 0 18 3 0 21 
Total yen-denominated17,824 5 17,819 1,838 0 19,657 
Total securities held-to-maturity$17,824 $5 $17,819 $1,838 $0 $19,657 
Equity Securities, FV-NI
  
20242023
(In millions)Fair ValueFair Value
Equity securities, carried at fair value through
  net earnings:
Equity securities:
Yen-denominated$484 $751 
U.S. dollar-denominated312 252 
Other currencies0 85 
Total equity securities$796 $1,088 
Investments Classified by Contractual Maturity Date
The contractual and economic maturities of the Company's investments in fixed maturity securities at December 31, 2024, were as follows:
(In millions)
Amortized
Cost (1)
Fair
Value
Available-for-sale:
Due in one year or less$1,369 $1,536 
Due after one year through five years7,522 8,424 
Due after five years through 10 years17,302 18,495 
Due after 10 years34,582 33,251 
Mortgage- and asset-backed securities3,314 3,563 
Total fixed maturity securities available-for-sale$64,089 $65,269 
Held-to-maturity:
Due in one year or less$0 $0 
Due after one year through five years34 34 
Due after five years through 10 years8,516 9,045 
Due after 10 years7,416 7,693 
Total fixed maturity securities held-to-maturity$15,966 $16,772 
(1) Net of allowance for credit losses
Investment Exposures Exceeding 10 Percent Shareholders Equity
Investment exposures that individually exceeded 10% of shareholders' equity as of December 31 were as follows:
20242023
(In millions)Credit
Rating		Amortized
Cost		Fair
Value		Credit
Rating		Amortized
Cost		Fair
Value
Japan National Government(1)
A+$33,822$32,844A+$39,151$40,222
(1) Japan Government Bonds (JGBs) or JGB-backed securities
Gain (Loss) on Investments
Information regarding pretax net gains and losses from investments for the years ended December 31 follows:
(In millions)202420232022
Net investment gains (losses):
Sales and redemptions:
Fixed maturity securities available-for-sale:
Gross gains from sales$80 $24 $93 
Gross losses from sales(634)(61)(78)
Foreign currency gains (losses)806 204 442 
Other investments:
Gross gains (losses) from sales and redemptions7 33 10 
Total sales and redemptions259 200 467 
Equity securities140 88 

(341)
Credit losses:
Fixed maturity securities held-to-maturity0 1 0 
Commercial mortgage and other loans(207)(146)(18)
Impairment losses(55)0 (25)
Loan commitments1 9 9 
Reinsurance recoverables and other5 (3)(2)
Total credit losses(256)(139)(36)
Derivatives and other:
Derivative gains (losses)(363)(531)(1,151)
Foreign currency gains (losses)1,491 972 1,424 
Total derivatives and other1,128 441 273 
Total net investment gains (losses)$1,271 $590 $363 
Unrealized Gain (Loss) on Investments
Information regarding changes in unrealized gains and losses from investments recorded in AOCI for the years ended December 31 follows:
(In millions)202420232022
Changes in unrealized gains (losses):
Fixed maturity securities, available-for-sale$(1,421)$2,327 $(13,056)
Total change in unrealized gains (losses)$(1,421)$2,327 $(13,056)
Net Effect on Shareholders' Equity of Unrealized Gains and Losses from Investment Securities
The net effect on shareholders' equity of unrealized gains and losses from fixed maturity securities at December 31 was as follows:
(In millions)20242023
Unrealized gains (losses) on securities available-for-sale$1,180 $2,601 
Deferred income taxes(1,156)(1,462)
Shareholders’ equity, unrealized gains (losses) on fixed maturity securities$24 $1,139 
Investments Gross Unrealized Loss Aging
The following tables show the fair values and gross unrealized losses of the Company's available-for-sale investments, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at December 31.
  2024
  TotalLess than 12 months12 months or longer
(In millions)Fair
Value		Unrealized
Losses		Fair
Value		Unrealized
Losses		Fair
Value		Unrealized
Losses
Fixed maturity securities available-
   for-sale:
U.S. government and
    agencies:
U.S. dollar-denominated$106 $3 $59 $1 $47 $2 
Japan government and
    agencies:
Yen-denominated8,136 2,234 2,070 57 6,066 2,177 
Municipalities:
U.S. dollar-denominated666 53 67 3 599 50 
Yen-denominated341 79 96 2 245 77 
Mortgage- and asset-
    backed securities:
U.S. dollar-denominated567 34 173 2 394 32 
Yen-denominated196 23 12 0 184 23 
Public utilities:
U.S. dollar-denominated1,570 151 699 19 871 132 
Yen-denominated1,020 108 368 11 652 97 
Sovereign and supranational:
Yen-denominated47 8 0 0 47 8 
Banks/financial institutions:
U.S. dollar-denominated625 36 376 7 249 29 
Yen-denominated3,197 342 471 22 2,726 320 
Other corporate:
U.S. dollar-denominated6,097 752 2,036 59 4,061 693 
Yen-denominated 1,733 305 289 14 1,444 291 
Total$24,301 $4,128 $6,716 $197 $17,585 $3,931 
  2023
  TotalLess than 12 months12 months or longer
(In millions)Fair
Value		Unrealized
Losses		Fair
Value		Unrealized
Losses		Fair
Value		Unrealized
Losses
Fixed maturity securities available-
   for-sale:
U.S. government and
    agencies:
U.S. dollar-denominated$123 $4 $53 $1 $70 $3 
Japan government and
    agencies:
Yen-denominated8,393 1,696 1,657 303 6,736 1,393 
Municipalities:
U.S. dollar-denominated703 38 31 1 672 37 
Yen-denominated301 58 34 0 267 58 
Mortgage- and asset-
    backed securities:
U.S. dollar-denominated925 56 340 6 585 50 
Yen-denominated58 11 0 0 58 11 
Public utilities:
U.S. dollar-denominated1,120 114 228 4 892 110 
Yen-denominated1,028 82 444 13 584 69 
Sovereign and supranational:
U.S. dollar-denominated35 8 0 0 35 8 
Yen-denominated60 7 0 0 60 7 
Banks/financial institutions:
U.S. dollar-denominated655 51 159 4 496 47 
Yen-denominated3,673 365 186 4 3,487 361 
Other corporate:
U.S. dollar-denominated6,380 665 799 19 5,581 646 
Yen-denominated1,948 294 308 9 1,640 285 
Total$25,402 $3,449 $4,239 $364 $21,163 $3,085 
Commercial Mortgage and Other Loans by Property Type
The following table reflects the composition of the carrying value for commercial mortgage and other loans by property type as of December 31.
20242023
(In millions)Amortized
Cost		% of
Total		Amortized
Cost		% of
Total
Commercial Mortgage and other loans:
Transitional real estate loans:
Office$1,361 12.1 %$1,807 14.1 %
Retail349 3.1 473 3.7 
Apartments/Multi-Family2,201 19.6 2,608 20.4 
Industrial117 1.1 157 1.2 
Hospitality556 5.0 814 6.4 
Other318 2.8 255 2.0 
Total transitional real estate loans4,902 43.7 6,114 47.8 
Commercial mortgage loans:
Office300 2.7 359 2.8 
Retail214 1.9 301 2.4 
Apartments/Multi-Family572 5.1 586 4.6 
Industrial436 3.9 463 3.6 
Other15 .1 0 .0 
Total commercial mortgage loans1,537 13.7 1,709 13.4 
Middle market loans4,423 39.4 4,677 36.5 
Other loans362 3.2 301 2.3 
Total commercial mortgage and other loans$11,224 100.0 %$12,801 100.0 %
Allowance for credit losses(355)(274)
Total net commercial mortgage and other loans$10,869 $12,527 
Financing Receivable Nonaccrual
The following tables present an aging of past due and nonaccrual loans at amortized cost, before allowance for credit losses, as of December 31.
2024
(In millions)Current Less Than
90 Days
Past Due
90 Days
or More
 Past Due(1)
Total Past
Due		Total
Loans		Nonaccrual
Status
Transitional real estate loans$4,364 $195 $343 $538 $4,902 $378 
Commercial mortgage loans1,537 0 0 0 1,537 0 
Middle market loans4,295 63 65 128 4,423 108 
Other loans362 0 0 0 362 0 
Total$10,558 $258 $408 $666 $11,224 $486 
(1) As of December 31, 2024, there were no loans that were 90 days or more past due that continued to accrue interest.
2023
(In millions)Current Less Than
90 Days
Past Due
90 Days
or More
 Past Due(1)
Total Past
Due		Total
Loans		Nonaccrual
Status
Transitional real estate loans$5,481 $108 $525 $633 $6,114 $633 
Commercial mortgage loans1,676 33 0 33 1,709 0 
Middle market loans4,592 0 85 85 4,677 85 
Other loans301 0 0 0 301 0 
Total$12,050 $141 $610 $751 $12,801 $718 
(1) As of December 31, 2023, there were no loans that were 90 days or more past due that continued to accrue interest.
Effect of Loan Modifications
The following table presents the amortized cost basis of modified loans to borrowers experiencing financial difficulty and the financial effect of the modifications, disaggregated by loan classification and type of modification, for the year ended December 31.
2024
(In millions)
Amortized
Cost (1)
% of
Total		Financial Effect
Transitional Real Estate Loans:
Other-than-insignificant payment
  delays		$125 2.7 %
Delay in payments of 24 months on average
Other-than-insignificant payment
  delays and interest rate
  reduction
278 5.9 
Delay in payments of 44 months on average and reduction in the weighted-average contractual interest rate from 8.0% to 6.6%
Other-than-insignificant payment
  delays, principal forgiveness and
  interest rate reduction
81 1.7 
Delay in payments of 33 months on average, $1.3 million of principal forgiven, and reduction in the weighted-average contractual interest rate from 8.2% to 7.3%
(1) Net of allowance for credit losses
Loan Performance After Modifications
The following table presents an aging of loans that received modifications in the 12 months preceding the period presented, at amortized cost.
December 31, 2024
(In millions)Current Less Than
90 Days
Past Due		90 Days
or More
 Past Due
Transitional real estate loans$403 $81 $0 
Middle market loans15 0 0 
Total$418 $81 $0 
Allowance for Loan Losses by Portfolio Segment
The following table presents the roll forward of the allowance for credit losses by portfolio segment for loans and by accounting classification for securities.
(In millions)Transitional
Real Estate
Loans		Commercial
Mortgage
Loans		Middle
Market
Loans		Other Loans
and Loan
Commitments		Held-to-
Maturity
Securities		Available-
for-Sale
Securities		Total
Balance at December 31, 2021
$(68)$(10)$(96)$(31)$(8)$0 $(213)
(Addition to) release of allowance for credit losses14 1 (39)7 0 0 (17)
Writeoffs, net of recoveries0 0 6 0 0 0 6 
Change in foreign exchange0 0 0 0 1 0 1 
Balance at December 31, 2022
(54)(9)(129)(24)(7)0 (223)
(Addition to) release of allowance for credit losses (1)
(124)(7)(17)8 1 0 (139)
Writeoffs, net of recoveries66 0 0 0 0 0 66 
Change in foreign exchange0 0 0 0 1 0 1 
Balance at December 31, 2023
(112)(16)(146)(16)(5)0 (295)
(Addition to) release of allowance for credit losses(148)(17)(44)(1)0 0 (210)
Writeoffs, net of recoveries61 19 50 0 0 0 130 
Change in foreign exchange0 0 0 0 0 0 0 
Balance at December 31, 2024
$(199)$(14)$(140)$(17)$(5)$0 $(375)
(1) Includes an allowance for credit losses of $4 recognized on financial assets accounted for as purchased financial assets with credit deterioration that is not recorded in earnings upon recognition.
Other Investments
The table below reflects the composition of the carrying value for other investments as of December 31.
(In millions)20242023
Other investments:
Policy loans$203 $214 
Short-term investments (1)
1,599 1,304 
Limited partnerships (2)
3,435 2,750 
Real estate owned682 227 
Other39 35 
Total other investments$5,958 $4,530 
(1) Includes securities lending collateral
(2) Includes tax credit investments and asset classes such as private equity and real estate funds
Securities Lending Transactions Accounted for as Secured Borrowings
Details of collateral by loaned security type and remaining maturity of the agreements as of December 31 were as follows:
Securities Lending Transactions Accounted for as Secured Borrowings
Remaining Contractual Maturity of the Agreements
20242023
(In millions)
Overnight
and
Continuous(1)
Up to 30
days		Total
Overnight
and
Continuous(1)
Up to 30
days		Total
Securities lending
  transactions:
Fixed maturity securities:
Japan government and agencies$0 $1,027 $1,027 $0 $737 $737 
Public utilities34 0 34 19 0 19 
Banks/financial institutions193 0 193 72 0 72 
Other corporate783 0 783 675 0 675 
          Total borrowings$1,010 $1,027 $2,037 $766 $737 $1,503 
Gross amount of recognized liabilities for securities
   lending transactions		$2,037 $1,503 
(1) The related loaned security, under the Company's U.S. securities lending program, can be returned to the Company at the transferee's discretion; therefore, they are classified as Overnight and Continuous.
Variable Interest Entity, Consolidated  
Investments in Variable Interest Entities
The following table presents carrying value and balance sheet caption in which the assets and liabilities of consolidated VIEs are reported as of December 31.

Investments in Consolidated Variable Interest Entities
(In millions)20242023
Assets:
Fixed maturity securities, available-for-sale$3,428 $3,712 
Commercial mortgage and other loans8,693 10,150 
Other investments (1)
2,176 2,381 
Other assets (2)
53 55 
Total assets of consolidated VIEs$14,350 $16,298 
Liabilities:
Other liabilities (2)
$604 $507 
Total liabilities of consolidated VIEs$604 $507 
(1) Consists entirely of alternative investments in limited partnerships, which represent VIEs where the Company is not the primary beneficiary and, therefore, are not consolidated
(2) Consists entirely of derivatives
Variable Interest Entity, Not Consolidated  
Investments in Variable Interest Entities
The table below reflects the carrying value and balance sheet caption in which the Company's investments in VIEs that are not consolidated are reported as of December 31.

Investments in Variable Interest Entities Not Consolidated
(In millions)20242023
Assets:
Fixed maturity securities, available-for-sale$6,243 $6,424 
Other investments (1)
1,124 369 
Total investments in VIEs not consolidated$7,367 $6,793 
(1) Consists entirely of alternative investments in limited partnerships
Transitional real estate loans  
Financing Receivable Credit Quality Indicators
The following tables present as of December 31, 2024 the amortized cost basis of TREs, CMLs, MMLs, and other loans by year of origination and credit quality indicator.
Transitional Real Estate Loans
(In millions)20242023202220212020PriorTotal
Loan-to-Value Ratio:
0%-59.99%$0 $0 $314 $357 $36 $11 $718 
60%-69.99%0 116 500 599 18 390 1,623 
70%-79.99%0 14 903 660 24 58 1,659 
80% or greater0 0 259 271 104 268 902 
Total$0 $130 $1,976 $1,887 $182 $727 $4,902 
Current-period gross writeoffs:$0 $0 $0 $5 $0 $57 $62 
Commercial mortgage loans  
Financing Receivable Credit Quality Indicators
Commercial Mortgage Loans
(In millions)20242023202220212020PriorTotalWeighted-Average DSCR
Loan-to-Value Ratio:
0%-59.99%$0 $32 $0 $266 $58 $920 $1,276 2.78
60%-69.99%0 0 0 25 0 47 72 2.11
70%-79.99%13 0 0 0 0 87 100 1.19
80% or greater0 0 0 0 0 89 89 0.57
Total$13 $32 $0 $291 $58 $1,143 $1,537 2.52
Weighted Average DSCR1.212.620.003.162.522.37
Current-period gross writeoffs:$0 $0 $0 $0 $0 $19 $19 
Middle market loans  
Financing Receivable Credit Quality Indicators
Middle Market Loans
(In millions)20242023202220212020PriorRevolving LoansTotal
Credit Ratings:
BBB$12 $27 $4 $84 $43 $95 $11 $276 
BB394 45 413 396 282 339 68 1,937 
B220 41 238 486 264 501 41 1,791 
CCC0 0 5 61 74 142 17 299 
CC0 0 13 0 0 24 5 42 
C and lower0 0 0 6 0 68 4 78 
Total$626 $113 $673 $1,033 $663 $1,169 $146 $4,423 
Current-period gross writeoffs:$0 $0 $0 $27 $0 $23 $0 $50 
Other loans  
Financing Receivable Credit Quality Indicators
Other Loans
(In millions)20242023202220212020PriorRevolving LoansTotal
Credit Ratings:
A$0 $0 $82 $0 $0 $0 $0 $82 
AA0 0 8 3 0 0 0 11 
BBB130 66 0 0 0 0 0 196 
BB0 0 73 0 0 0 0 73 
Total$130 $66 $163 $3 $0 $0 $0 $362 
Current-period gross writeoffs:$0 $0 $0 $0 $0 $0 $0 $0