Mortgage and other loans receivable include commercial mortgages, life insurance policy loans, commercial loans, and other loans and notes receivable. Commercial mortgages, commercial loans, and other loans and notes receivable are carried at unpaid principal balances less allowance for credit losses and plus or minus adjustments for the accretion or amortization of discount or premium. Interest income on such loans is accrued as earned.

Direct costs of originating commercial mortgages, commercial loans, and other loans and notes receivable, net of nonrefundable points and fees, are deferred and included in the carrying amount of the related receivables. The amount deferred is amortized to income as an adjustment to earnings using the interest method.

Life insurance policy loans are carried at unpaid principal balances. There is no allowance for policy loans because these loans serve to reduce the death benefit paid when the death claim is made and the balances are effectively collateralized by the cash surrender value of the policy.


(in millions)	December 31, 2024		December 31, 2023
Commercial mortgages(a)	$	3,305	$	3,836

Life insurance policy loans	6		7
Commercial loans, other loans and notes receivable(b)	721		738
Total mortgage and other loans receivable(c)	4,032		4,581
Allowance for credit losses(c)(d)	(164)		(140)
Mortgage and other loans receivable, net(c)	$	3,868	$	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 14 percent and 12 percent, respectively, at December 31, 2024 and 13 percent and 10 percent, respectively, at December 31, 2023).

(c)Excludes $37.6 billion at both December 31, 2024 and 2023 of loans receivable from AIGFP, which has a full allowance for credit losses, recognized upon the deconsolidation of AIGFP. For additional information, see Note 1.

(d)Does not include allowance for credit losses of $8 million and $9 million, respectively, at December 31, 2024 and 2023, in relation to off-balance-sheet commitments to fund commercial mortgage loans, which is recorded in Other liabilities.

Interest income is not accrued when payment of contractual principal and interest is not expected. Any cash received on impaired loans is generally recorded as a reduction of the current carrying amount of the loan. Accrual of interest income is generally resumed when delinquent contractual principal and interest is repaid or when a portion of the delinquent contractual payments are made and the ongoing required contractual payments have been made for an appropriate period. As of December 31, 2024 and 2023, $252 million and $73 million, respectively, of commercial mortgage loans were placed on nonaccrual status.

Accrued interest is presented separately and is included in Accrued investment income on the Consolidated Balance Sheets. As of December 31, 2024 and 2023, accrued interest receivable was $15 million and $21 million, respectively, associated with commercial mortgage loans.

A significant majority of commercial mortgages in the portfolio are non-recourse loans and, accordingly, the only guarantees are for specific items that are exceptions to the non-recourse provisions. It is therefore extremely rare for us to have cause to enforce the provisions of a guarantee on a commercial real estate or mortgage loan.

Nonperforming loans are generally those loans where payment of contractual principal or interest is more than 90 days past due. Nonperforming loans were not significant for any of the periods presented.


December 31, 2024		2024		2023		2022		2021		2020		Prior		Total
(in millions)
>1.2X	$	120	$	484	$	185	$	563	$	79	$	1,482	$	2,913
1.00 - 1.20X		26		10		15		17		—		49		117
<1.00X		—		—		—		32		—		243		275
Total commercial mortgages	$	146	$	494	$	200	$	612	$	79	$	1,774	$	3,305


December 31, 2023		2023		2022		2021		2020		2019		Prior		Total
(in millions)
>1.2X	$	398	$	167	$	394	$	135	$	156	$	1,784	$	3,034
1.00 - 1.20X		5		71		254		56		21		298		705
<1.00X		—		11		—		—		—		86		97
Total commercial mortgages	$	403	$	249	$	648	$	191	$	177	$	2,168	$	3,836


December 31, 2024		2024		2023		2022		2021		2020		Prior		Total
(in millions)
Less than 65%	$	107	$	433	$	177	$	485	$	71	$	1,012	$	2,285
65% to 75%		—		40		—		54		—		317		411
76% to 80%		—		—		—		31		—		51		82
Greater than 80%		39		21		23		42		8		394		527
Total commercial mortgages	$	146	$	494	$	200	$	612	$	79	$	1,774	$	3,305

December 31, 2023		2023		2022		2021		2020		2019		Prior		Total
(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 1.8x at both periods ended at December 31, 2024 and December 31, 2023. 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 65 percent and 62 percent at December 31, 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.


	Number of Loans		Class													Percent of Total
(dollars in millions)			Apartments		Offices		Retail		Industrial		Hotel		Others		Total
December 31, 2024
Past Due Status:
In good standing	186	$	1,087	$	971	$	370	$	301	$	258	$	119	$	3,106	94	%

90 days or less delinquent	1		—		25		—		—		—		—		25	1
>90 days delinquent or in process of foreclosure	3		—		112		62		—		—		—		174	5
Total*	190	$	1,087	$	1,108	$	432	$	301	$	258	$	119	$	3,305	100	%
Allowance for credit losses		$	5	$	99	$	34	$	11	$	13	$	1	$	163	5	%


	Number of Loans		Class													Percent of Total
(dollars in millions)			Apartments		Offices		Retail		Industrial		Hotel		Others		Total
December 31, 2023
Past Due Status:
In good standing	211	$	1,267	$	1,212	$	476	$	460	$	247	$	121	$	3,783	99	%

90 days or less delinquent	1		—		11		—		—		—		—		11	—
>90 days delinquent or in process of foreclosure	1		—		—		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	%

At the time of origination or purchase, an allowance for credit losses is established for mortgage and other loan receivables and is updated each reporting period. Changes in the allowance for credit losses are recorded in realized losses. This allowance reflects the risk of loss, even when that risk is remote, that is expected over the remaining contractual life of the loan. The allowance for credit losses considers available relevant information about the collectability of cash flows, including information about past events, current conditions, and reasonable and supportable forecasts of future economic conditions. We revert to historical information when we determine that we can no longer reliably forecast future economic assumptions.

The allowances for the commercial mortgage loans are estimated utilizing a probability of default and loss given default model. Loss rate factors are determined based on historical data and adjusted for current and forecasted information. The loss rates are applied based on individual loan attributes and considering such data points as loan-to-value ratios, Fair Isaac Corporation scores, and debt service coverage.

The estimate of credit losses also reflects management’s assumptions on certain macroeconomic factors that include, but are not limited to, gross domestic product growth, employment, inflation, housing price index, interest rates and credit spreads.

Accrued interest is excluded from the measurement of the allowance for credit losses and accrued interest is reversed through interest income once a loan is placed on nonaccrual.

When all or a portion of a loan is deemed uncollectible, the uncollectible portion of the carrying amount of the loan is charged off against the allowance.


Years Ended December 31,	2024						2023					2022
(in millions)	Commercial Mortgages		Other Loans		Total			Commercial Mortgages		Other Loans			Total		Commercial Mortgages		Other Loans		Total
Allowance, beginning of year	$	138	$	2	$	140		$	109	$	8		$	117	$	123	$	11	$	134
Loans charged off	—		—		—			(2)		—			(2)		(4)		—		(4)

Net charge-offs	—		—		—			(2)		—			(2)		(4)		—		(4)
Addition to (release of) allowance for loan losses	25		(1)		24			31		(6)			25		(10)		(3)		(13)


Allowance, end of year	$	163	$	1	$	164		$	138	$	2		$	140	$	109	$	8	$	117

(a)Does not include allowance for credit losses of $8 million, $9 million and $9 million, respectively, at December 31, 2024, 2023 and 2022 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.

Our expectations and models used to estimate the allowance for losses on commercial mortgage loans are regularly updated to reflect the current economic environment.

The allowance for credit losses incorporates an estimate of lifetime expected credit losses and is recorded on each asset upon asset origination or acquisition. The starting point for the estimate of the allowance for credit losses is historical loss information, which includes losses from modifications of receivables to borrowers experiencing financial difficulty. We use a probability of default/loss given default model to determine the allowance for credit losses for our commercial mortgage loans. An assessment of whether a borrower is experiencing financial difficulty is made on the date of a modification.

Because the effect of most modifications made to borrowers experiencing financial difficulty is already included in the allowance for credit losses utilizing the measurement methodologies used to estimate the allowance, a change to the allowance for credit losses is generally not recorded upon modification.

When modifications are executed, they often will be in the form of principal forgiveness, term extensions, interest rate reductions, or some combination of any of these concessions. When principal is forgiven, the amortized cost basis of the asset is written off against the allowance for credit losses. The amount of the principal forgiveness is deemed to be uncollectible; therefore, that portion of the loan is written off, resulting in a reduction of the amortized cost basis and a corresponding adjustment to the allowance for credit losses.

We assess whether a borrower is experiencing financial difficulty based on a variety of factors, including the borrower’s current default on any of its outstanding debt, the probability of a default on any of its debt in the foreseeable future without the modification, the insufficiency of the borrower’s forecasted cash flows to service any of its outstanding debt (including both principal and interest), and the borrower’s inability to access alternative third party financing at an interest rate that would be reflective of current market conditions for a non-troubled debtor.

During the year ended December 31, 2024, commercial mortgage loans with an amortized cost of $5 million supporting the funds withheld arrangements with Fortitude Re were granted term extensions.

There were no loans that had defaulted during the years ended December 31, 2024 and 2023, that had been previously modified with borrowers experiencing financial difficulties.