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Investments (Tables)
 3 Months Ended
Mar. 31, 2023
Investments, Debt and Equity Securities [Abstract]  
Amortized Cost and Fair Values of Securities by Security Type
At March 31, 2023 and December 31, 2022, all fixed maturity securities were classified as available-for-sale. The amortized cost and fair values of securities by security type are shown as follows:

 March 31, 2023
 
Amortized
Cost, Gross of ACL1
ACL1
Gross
Unrealized
Gain		Gross
Unrealized
Loss		Fair
Value
(in millions of dollars)
United States Government and Government Agencies and Authorities $529.9 $— $28.8 $17.4 $541.3 
States, Municipalities, and Political Subdivisions4,012.1 — 132.1 503.0 3,641.2 
Foreign Governments935.1 — 46.4 105.5 876.0 
Public Utilities5,301.5 — 227.9 285.0 5,244.4 
Mortgage/Asset-Backed Securities586.7 — 9.9 20.3 576.3 
All Other Corporate Bonds26,732.5 — 639.9 2,095.0 25,277.4 
Redeemable Preferred Stocks4.0 — — 0.4 3.6 
Total Fixed Maturity Securities$38,101.8 $— $1,085.0 $3,026.6 $36,160.2 


December 31, 2022
 
Amortized
Cost, Gross of ACL1
ACL1
Gross
Unrealized
Gain		Gross
Unrealized
Loss		Fair
Value
(in millions of dollars)
United States Government and Government Agencies and Authorities$503.8 $— $20.3 $25.9 $498.2 
States, Municipalities, and Political Subdivisions4,006.0 — 87.1 635.9 3,457.2 
Foreign Governments908.1 — 34.9 115.9 827.1 
Public Utilities5,170.9 — 141.0 355.0 4,956.9 
Mortgage/Asset-Backed Securities592.1 — 8.2 27.0 573.3 
All Other Corporate Bonds26,640.3 — 452.1 2,567.8 24,524.6 
Redeemable Preferred Stocks4.0 — — 0.5 3.5 
Total Fixed Maturity Securities$37,825.2 $— $743.6 $3,728.0 $34,840.8 
1Allowance for Credit Losses
Schedule of Unrealized Loss on Investments
The following charts indicate the length of time our fixed maturity securities have been in a gross unrealized loss position.

 March 31, 2023
 Less Than 12 Months12 Months or Greater
 Fair
Value		Gross
Unrealized
Loss		Fair
Value		Gross
Unrealized
Loss
(in millions of dollars)
United States Government and Government Agencies and Authorities$132.2 $6.6 $101.1 $10.8 
States, Municipalities, and Political Subdivisions574.0 31.7 1,657.5 471.3 
Foreign Governments130.2 34.9 207.4 70.6 
Public Utilities1,341.2 92.5 808.0 192.5 
Mortgage/Asset-Backed Securities320.0 13.4 73.3 6.9 
All Other Corporate Bonds10,031.0 573.6 7,168.4 1,521.4 
Redeemable Preferred Stocks— — 3.6 0.4 
Total Fixed Maturity Securities$12,528.6 $752.7 $10,019.3 $2,273.9 

 December 31, 2022
 Less Than 12 Months12 Months or Greater
 Fair
Value		Gross
Unrealized
Loss		Fair
Value		Gross
Unrealized
Loss
(in millions of dollars)
United States Government and Government Agencies and Authorities$246.6 $22.6 $12.2 $3.3 
States, Municipalities, and Political Subdivisions1,920.1 476.1 346.6 159.8 
Foreign Governments160.1 47.9 176.9 68.0 
Public Utilities2,242.2 252.0 255.2 103.0 
Mortgage/Asset-Backed Securities386.6 27.0 0.1 — 
All Other Corporate Bonds15,865.6 1,799.7 2,194.1 768.1 
Redeemable Preferred Stocks3.5 0.5 — — 
Total Fixed Maturity Securities$20,824.7 $2,625.8 $2,985.1 $1,102.2 
Distribution of the Maturity Dates for Fixed Maturity Securities
The following is a distribution of the maturity dates for fixed maturity securities. The maturity dates have not been adjusted for possible calls or prepayments.
 March 31, 2023
 
Amortized Cost, Net of ACL1
Unrealized Gain PositionUnrealized Loss Position
 Gross GainFair ValueGross LossFair Value
(in millions of dollars)
1 year or less$1,211.7 $3.0 $315.2 $5.3 $894.2 
Over 1 year through 5 years7,335.7 107.8 2,235.8 209.6 4,998.1 
Over 5 years through 10 years9,835.9 385.0 4,069.5 697.3 5,454.1 
Over 10 years19,131.8 579.3 6,808.8 2,094.1 10,808.2 
37,515.1 1,075.1 13,429.3 3,006.3 22,154.6 
Mortgage/Asset-Backed Securities586.7 9.9 183.0 20.3 393.3 
Total Fixed Maturity Securities$38,101.8 $1,085.0 $13,612.3 $3,026.6 $22,547.9 
 December 31, 2022
 
Amortized Cost, Net of ACL1
Unrealized Gain PositionUnrealized Loss Position
 Gross GainFair ValueGross LossFair Value
(in millions of dollars)
1 year or less$1,133.5 $2.9 $339.1 $5.7 $791.6 
Over 1 year through 5 years7,090.8 86.7 1,953.2 238.4 4,985.9 
Over 5 years through 10 years10,096.7 294.8 3,538.9 863.8 5,988.8 
Over 10 years18,912.1 351.0 5,013.2 2,593.1 11,656.8 
37,233.1 735.4 10,844.4 3,701.0 23,423.1 
Mortgage/Asset-Backed Securities592.1 8.2 186.6 27.0 386.7 
Total Fixed Maturity Securities$37,825.2 $743.6 $11,031.0 $3,728.0 $23,809.8 
1Allowance for Credit Losses
Distribution by External Credit Rating for Fixed Maturity Securities
The following chart depicts an analysis of our fixed maturity security portfolio between investment-grade and below-investment-grade categories as of March 31, 2023:

Gross Unrealized Loss
Fair ValueGross Unrealized GainAmountPercent of Total Gross Unrealized Loss
(in millions of dollars)
Investment-Grade$34,194.2 $1,070.5 $2,876.7 95.0 %
Below-Investment-Grade1,966.0 14.5 149.9 5.0 
Total Fixed Maturity Securities$36,160.2 $1,085.0 $3,026.6 100.0 %
Debt Securities, Available-for-sale, Allowance for Credit Loss
The following table presents a rollforward of the allowance for credit losses on available-for-sale fixed maturity securities at March 31, 2022:

Three Months Ended March 31
20232022
(in millions of dollars)
Balance, beginning of period$— $— 
Credit losses on securities for which credit losses were not previously recorded— 4.1 
Balance, end of period$— $4.1 
Mortgage Loans by Property Type and Geographic Region
The carrying amount of mortgage loans by property type and geographic region are presented below.

March 31, 2023December 31, 2022
(in millions of dollars)
Carrying AmountPercent of TotalCarrying AmountPercent of Total
Property Type
Apartment$683.8 28.6 %$688.6 28.3 %
Industrial709.7 29.7 745.3 30.6 
Office423.3 17.7 423.0 17.4 
Retail529.6 22.2 534.5 21.9 
Other43.6 1.8 44.0 1.8 
Total$2,390.0 100.0 %$2,435.4 100.0 %
Region
New England$56.8 2.4 %$52.4 2.2 %
Mid-Atlantic190.3 8.0 192.4 7.9 
East North Central303.8 12.7 313.0 12.9 
West North Central179.5 7.5 181.4 7.4 
South Atlantic547.5 22.9 539.3 22.1 
East South Central100.9 4.2 101.8 4.2 
West South Central210.5 8.8 212.6 8.7 
Mountain296.6 12.4 298.7 12.3 
Pacific504.1 21.1 543.8 22.3 
Total$2,390.0 100.0 %$2,435.4 100.0 %
Schedule of Participating Mortgage Loans by Internal Credit Rating and Loan to Value
The following tables present information about mortgage loans by the applicable internal quality indicators:
March 31, 2023December 31, 2022
(in millions of dollars)
Carrying AmountPercent of TotalCarrying AmountPercent of Total
Internal Mortgage Rating
AA$80.2 3.4 %$92.3 3.8 %
A803.7 33.6 843.9 34.6 
BBB1,465.2 61.3 1,458.0 59.9 
BB40.9 1.7 41.2 1.7 
Total$2,390.0 100.0 %$2,435.4 100.0 %
Loan-to-Value Ratio1
<= 65%$1,352.1 56.6 %$1,389.6 57.0 %
> 65% <= 75%917.8 38.4 937.2 38.5 
> 75% <= 85%91.5 3.8 75.0 3.1 
> 85%28.6 1.2 33.6 1.4 
Total$2,390.0 100.0 %$2,435.4 100.0 %
1Loan-to-Value Ratio utilizes the most recent internal valuation of the property
Mortgage Loans by Credit Quality Indicators The following tables present the amortized cost of our mortgage loans by year of origination and internal quality indicators at March 31, 2023 and December 31, 2022, respectively:
March 31, 2023
Prior to 201920192020202120222023Total
(in millions of dollars)
Internal Mortgage Rating
AA$69.3 $11.0 $— $— $— $— $80.3 
A569.6 96.0 35.7 80.3 23.8 — 805.4 
BBB752.4 235.6 133.1 274.1 64.6 13.2 1,473.0 
BB41.3 — — — — — 41.3 
Total Amortized Cost1,432.6 342.6 168.8 354.4 88.4 13.2 2,400.0 
Allowance for credit losses(6.2)(1.4)(0.6)(1.1)(0.6)(0.1)(10.0)
Carrying Amount$1,426.4 $341.2 $168.2 $353.3 $87.8 $13.1 $2,390.0 
Loan-to-Value Ratio1
<=65%$932.6 $197.0 $80.8 $128.0 $16.7 $— $1,355.1 
>65<=75%386.6 145.6 79.6 226.4 71.7 13.2 923.1 
>75%<=85%84.3 — 8.4 — — — 92.7 
>85%29.1 — — — — — 29.1 
Total Amortized Cost1,432.6 342.6 168.8 354.4 88.4 13.2 2,400.0 
Allowance for credit losses(6.2)(1.4)(0.6)(1.1)(0.6)(0.1)(10.0)
Carrying Amount$1,426.4 $341.2 $168.2 $353.3 $87.8 $13.1 $2,390.0 
1Loan-to-Value Ratio utilizes the most recent internal valuation of the property
December 31, 2022
Prior to 201820182019202020212022Total
(in millions of dollars)
Internal Mortgage Rating
AA$53.8 $27.5 $11.1 $— $— $— $92.4 
A485.0 123.3 96.8 35.9 80.6 24.0 845.6 
BBB534.0 219.8 236.9 134.0 275.8 64.6 1,465.1 
BB35.7 5.9 — — — — 41.6 
Total Amortized Cost1,108.5 376.5 344.8 169.9 356.4 88.6 2,444.7 
Allowance for credit losses(4.3)(1.8)(1.3)(0.6)(0.8)(0.5)(9.3)
Carrying Amount$1,104.2 $374.7 $343.5 $169.3 $355.6 $88.1 $2,435.4 
Loan-to-Value Ratio1
<=65%$782.6 $189.0 $193.9 $81.3 $128.9 $16.9 $1,392.6 
>65<=75%230.2 181.6 150.9 80.1 227.5 71.7 942.0 
>75%<=85%67.5 — — 8.5 — — 76.0 
>85%28.2 5.9 — — — — 34.1 
Total Amortized Cost1,108.5 376.5 344.8 169.9 356.4 88.6 2,444.7 
Allowance for credit losses(4.3)(1.8)(1.3)(0.6)(0.8)(0.5)(9.3)
Carrying Amount$1,104.2 $374.7 $343.5 $169.3 $355.6 $88.1 $2,435.4 
1Loan-to-Value Ratio utilizes the most recent internal valuation of the property
Financing Receivable, Allowance for Credit Loss
The following table presents a roll-forward of allowance for expected credit losses by loan-to-value ratio for the three months ended March 31, 2023 and 2022:
Three Months Ended March 31, 2023
Beginning of YearCurrent Period ProvisionsWrite-OffsRecoveriesEnd of Period
(in millions of dollars)
Loan-to-Value Ratio1
<=65%$3.0 $— $— $— $3.0 
>65<=75%4.7 0.6 — — 5.3 
>75%<=85%1.1 0.1 — — 1.2 
>85%0.5 — — — 0.5 
Total$9.3 $0.7 $— $— $10.0 
Three Months Ended March 31, 2022
Beginning of YearCurrent Period ProvisionsWrite-OffsRecoveriesEnd of Period
(in millions of dollars)
Loan-to-Value Ratio1
<=65%$2.6 $(0.2)$— $— $2.4 
>65<=75%4.7 (0.2)— — 4.5 
>75%<=85%0.7 — — — 0.7 
>85%0.3 — — — 0.3 
Total $8.3 $(0.4)$— $— $7.9 
1Loan-to-Value Ratio utilizes the most recent internal valuation of the property
Remaining Contractual Maturity of Securities Lending Agreements
The remaining contractual maturities of our securities lending agreements disaggregated by class of collateral pledged are as
follows:

March 31, 2023December 31, 2022
Overnight and Continuous
(in millions of dollars)
Borrowings
United States Government and Government Agencies and Authorities$— $0.3 
State, Municipalities, and Political Subdivisions— — 
Public Utilities6.5 6.3 
All Other Corporate Bonds50.1 81.9 
Total Borrowings$56.6 $88.5 
Gross Amount of Recognized Liability for Securities Lending Transactions56.6 88.5 
Amounts Related to Agreements Not Included in Offsetting Disclosure Contained Herein$— $— 
Federal Home Loan Bank Common Stock Carrying Amounts, Amounts Posted, and Advances Received The carrying value of common stock owned, collateral posted, and advances received are as follows:
March 31, 2023December 31, 2022
(in millions of dollars)
Carrying Value of FHLB Common Stock$15.7 $17.1 
Advances from FHLB68.0 99.1 
Carrying Value of Collateral Posted to FHLB
Fixed Maturity Securities$420.2 $527.1 
Commercial Mortgage Loans783.9 801.9 
Total Carrying Value of Collateral Posted to FHLB$1,204.1 $1,329.0 
Schedule of Financial Instrument and Derivative Offsetting
Shown below are our financial instruments that either meet the accounting requirements that allow them to be offset in our balance sheets or that are subject to an enforceable master netting arrangement or similar agreement. Our accounting policy is to not offset these financial instruments in our balance sheets. Net amounts disclosed below have been reduced by the amount of collateral pledged to or received from our counterparties.

March 31, 2023
Gross AmountGross Amount Not
of RecognizedGross AmountNet AmountOffset in Balance Sheet
FinancialOffset inPresented inFinancialCashNet
InstrumentsBalance SheetBalance SheetInstrumentsCollateralAmount
(in millions of dollars)
Financial Assets:
Derivatives$95.1 $— $95.1 $(36.0)$(51.2)$7.9 
Securities Lending89.3 — 89.3 (32.7)(56.6)— 
Total$184.4 $— $184.4 $(68.7)$(107.8)$7.9 
Financial Liabilities:
Derivatives$49.3 $— $49.3 $(49.1)$— $0.2 
Securities Lending56.6 — 56.6 (56.6)— — 
Total$105.9 $— $105.9 $(105.7)$— $0.2 

December 31, 2022
Gross AmountGross Amount Not
of RecognizedGross AmountNet AmountOffset in Balance Sheet
FinancialOffset inPresented inFinancialCashNet
InstrumentsBalance SheetBalance SheetInstrumentsCollateralAmount
(in millions of dollars)
Financial Assets:
Derivatives$89.1 $— $89.1 $(38.0)$(49.4)$1.7 
Securities Lending152.4 — 152.4 (63.9)(88.5)— 
Total$241.5 $— $241.5 $(101.9)$(137.9)$1.7 
Financial Liabilities:
Derivatives$74.0 $— $74.0 $(73.2)$— $0.8 
Securities Lending88.5 — 88.5 (88.5)— — 
Total$162.5 $— $162.5 $(161.7)$— $0.8 
Net Investment Income
Net investment income reported in our consolidated statements of income is presented below.

 Three Months Ended March 31
 20232022
 (in millions of dollars)
Fixed Maturity Securities$455.1 $455.5 
Derivatives11.9 14.4 
Mortgage Loans23.4 27.0 
Policy Loans5.0 4.7 
Other Long-term Investments
Perpetual Preferred Securities1
0.9 2.9 
Private Equity Partnerships2
14.3 32.4 
Other1.8 2.1 
Short-term Investments14.1 0.8 
Gross Investment Income526.5 539.8 
Less Investment Expenses14.7 9.6 
Less Investment Income on Participation Fund Account Assets3.0 3.0 
Net Investment Income$508.8 $527.2 

1The net unrealized gain (loss) recognized in net investment income for the three months ended March 31, 2023 related to perpetual preferred securities still held at March 31, 2023 was $0.7 million. The net unrealized gain (loss) recognized in net investment income for the three months ended March 31, 2022 related to perpetual preferred securities still held at March 31, 2022 was $2.4 million.
2The net unrealized gain (loss) recognized in net investment income for the three months ended March 31, 2023 related to private equity partnerships still held at March 31, 2023 was $17.8 million, reduced by net management fees and partnership expenses of $(3.5) million. The net unrealized gain (loss) recognized in net investment income for the three months ended March 31, 2022 related to private equity partnerships still held at March 31, 2022 was $36.2 million, reduced by net management fees and partnership expense of $(3.8) million. See Note 3 for further discussion of private equity partnerships.
Investment Gains and Losses Reported in Consolidated Statements of Income
Investment gains and losses are as follows:

 Three Months Ended March 31
 20232022
 (in millions of dollars)
Fixed Maturity Securities
Gross Gains on Sales$0.5 $0.3 
Gross Losses on Sales(0.2)(8.8)
Credit Losses— (4.1)
Mortgage Loans and Other Invested Assets
Gross Gains on Sales0.2 1.4 
Gross Losses on Sales— — 
Change in Allowance for Credit Losses(0.7)0.5 
Embedded Derivative in Modified Coinsurance Arrangement0.3 (3.4)
All Other Derivatives(0.6)1.8 
Foreign Currency Transactions0.6 (1.5)
Net Investment Gain (Loss)$0.1 $(13.8)