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Lending Activities (Tables)
 9 Months Ended
Sep. 30, 2024
Receivables [Abstract]  
Composition of Mortgages and Other Loans Receivable
The following table presents the composition of Mortgage and other loans receivable, net:
(in millions)September 30, 2024December 31, 2023
Commercial mortgages(a)
$3,696 $3,836 
Life insurance policy loans6 7 
Commercial loans, other loans and notes receivable(b)
751 738 
Total mortgage and other loans receivable(c)
4,453 4,581 
Allowance for credit losses(c)(d)
(167)(140)
Mortgage and other loans receivable, net(c)
$4,286 $4,441 
(a)Commercial mortgages primarily represent loans for apartments, offices and retail properties, with exposures in California and New York representing the largest geographic concentrations (aggregating approximately 12 percent and 10 percent, respectively, at September 30, 2024 and 13 percent and 10 percent, respectively, at December 31, 2023).
(b)There were no loans that were held-for-sale carried at lower of cost or market as of September 30, 2024 and December 31, 2023.
(c)Excludes $37.6 billion at both September 30, 2024 and December 31, 2023 of loans receivable from AIG Financial Products Corp. (AIGFP), which has a full allowance for credit losses, recognized upon the deconsolidation of AIGFP. For additional information, see Note 1 to the Consolidated Financial Statements in the 2023 Annual Report.
(d)Does not include allowance for credit losses of $5 million and $9 million, respectively, at September 30, 2024 and December 31, 2023, in relation to off-balance-sheet commitments to fund commercial mortgage loans, which is recorded in Other liabilities.
Credit Quality
The following table presents debt service coverage ratios(a) for commercial mortgages by year of vintage:
September 30, 202420242023202220212020PriorTotal
(in millions)
>1.2X$34 $500 $246 $559 $164 $1,766 $3,269 
1.00 - 1.20X20 10 15 14 — 80 139 
<1.00X— — — 32 — 256 288 
Total commercial mortgages$54 $510 $261 $605 $164 $2,102 $3,696 
December 31, 202320232022202120202019PriorTotal
(in millions)
>1.2X$398 $167 $394 $135 $156 $1,784 $3,034 
1.00 - 1.20X5 71 254 56 21 298 705 
<1.00X— 11 — — — 86 97 
Total commercial mortgages$403 $249 $648 $191 $177 $2,168 $3,836 
The following table presents loan-to-value ratios(b) for commercial mortgages by year of vintage:
September 30, 202420242023202220212020PriorTotal
(in millions)
Less than 65%$34 $411 $169 $493 $156 $1,368 $2,631 
65% to 75%13 42 48 77 — 302 482 
76% to 80%— — — 35 — 113 148 
Greater than 80%7 57 44 — 8 319 435 
Total commercial mortgages$54 $510 $261 $605 $164 $2,102 $3,696 
December 31, 202320232022202120202019PriorTotal
(in millions)
Less than 65%$359 $159 $492 $177 $156 $1,385 $2,728 
65% to 75%10 15 137 — 21 367 550 
76% to 80%— 32 10 — — — 42 
Greater than 80%34 43 9 14 — 416 516 
Total commercial mortgages$403 $249 $648 $191 $177 $2,168 $3,836 
(a)The debt service coverage ratio compares a property’s net operating income to its debt service payments, including principal and interest. Our weighted average debt service coverage ratio was 1.9x and 1.8x at September 30, 2024 and December 31, 2023, respectively. The debt service coverage ratios are updated when additional relevant information becomes available.
(b)The loan-to-value ratio compares the current unpaid principal balance of the loan to the estimated fair value of the underlying property collateralizing the loan. Our weighted average loan-to-value ratio was 64 percent and 62 percent at September 30, 2024 and December 31, 2023, respectively. The loan-to-value ratios have been updated within the last three months to reflect the current carrying values of the loans. We update the valuations of collateral properties by obtaining independent appraisals, generally at least once per year.
The following table presents supplementary credit quality information related to commercial mortgages:
Number
of
Loans		ClassPercent
of
Total
(dollars in millions)ApartmentsOfficesRetailIndustrialHotelOthersTotal
September 30, 2024
Past Due Status:
In good standing197$1,198 $1,057 $361 $444 $272 $127 $3,459 94 %
90 days or less delinquent
3— — 36 — — — 36 1 
>90 days delinquent or in process of foreclosure4— 137 64 — — — 201 5 
Total*
204$1,198 $1,194 $461 $444 $272 $127 $3,696 100 %
Allowance for credit losses$5 $102 $35 $9 $13 $1 $165 4 %
Number
of
Loans		ClassPercent
of
Total
(dollars in millions)ApartmentsOfficesRetailIndustrialHotelOthersTotal
December 31, 2023
Past Due Status:
In good standing211$1,267 $1,212 $476 $460 $247 $121 $3,783 99 %
90 days or less delinquent1— 11 — — — — 11 — 
>90 days delinquent or in process of foreclosure1— — 42 — — — 42 1 
Total*
213$1,267 $1,223 $518 $460 $247 $121 $3,836 100 %
Allowance for credit losses$9 $75 $36 $7 $9 $2 $138 4 %
*Does not reflect allowance for credit losses.
Allowance for Credit Loss
The following table presents a rollforward of the changes in the allowance for credit losses on Mortgage and other loans receivable(a)(b):
Three Months Ended September 30,
2024
2023
(in millions)Commercial
Mortgages		Other
Loans		TotalCommercial
Mortgages		Other
Loans		Total
Allowance, beginning of period$162 $1 $163 $116 $3 $119 
Addition to (release of) allowance for loan losses3 1 4 17 — 17 
Allowance, end of period$165 $2 $167 $133 $3 $136 
Nine Months Ended September 30,
2024
2023
(in millions)Commercial
Mortgages		Other
Loans		TotalCommercial
Mortgages		Other
Loans		Total
Allowance, beginning of year$138 $2 $140 $109 $8 $117 
Loans charged off— — — (2)— (2)
Net charge-offs— — — (2)— (2)
Addition to (release of) allowance for loan losses27 — 27 26 (5)21 
Allowance, end of period
$165 $2 $167 $133 $3 $136 
(a)Does not include allowance for credit losses of $5 million and $9 million at September 30, 2024 and 2023, respectively, in relation to off-balance-sheet commitments to fund commercial mortgage loans, which is recorded in Other liabilities.
(b)Excludes $37.6 billion of loan receivable from AIGFP, which has a full allowance for credit losses, recognized upon the deconsolidation of AIGFP. For additional information, see Note 1 to the Consolidated Financial Statements in the 2023 Annual Report.