Investments (Tables)

9 Months Ended

Sep. 30, 2016

Investment [Line Items]

Realized Investment Gains and Losses

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(In millions)	2016		2015		2016		2015
Fixed maturities	$	7	$	(57)	$	(5)	$	(38)
Equity securities		(1)		28		-		42
Commercial mortgage loans		-		-		4		2
Other investments, including derivatives		69		39		111		98
Realized investment gains before income taxes		75		10		110		104
Less income taxes		27		3		39		36
Net realized investment gains	$	48	$	7	$	71	$	68

Asset write-downs and changes in valuation reserves

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(In millions)	2016		2015		2016		2015
Other-than-temporary impairments on debt securities:
Credit-related	$	-	$	(3)	$	(19)	$	(4)
Non credit-related (1)		(1)		(55)		(12)		(69)
Total other-than-temporary impairments on debt securities		(1)		(58)		(31)		(73)
Other asset write-downs (2)		-		(1)		(13)		(12)
Total	$	(1)	$	(59)	$	(44)	$	(85)
(1) These write-downs pertain to other-than-temporary declines in fair values due to increases in market yields (widening of credit spreads), particularly within the energy sector, for certain below investment grade fixed maturities with an increased probability of sales activity prior to recovery of their amortized cost basis.
(2) Other asset write-downs include other-than-temporary declines in fair values of equity securities, increases in valuation reserves on commercial mortgage loans and asset write-downs related to real estate investments and security partnerships.

Sales of available-for-sale fixed maturities and equity securities

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(In millions)	2016		2015		2016		2015
Proceeds from sales	$	300	$	275	$	1,012	$	1,452
Gross gains on sales	$	9	$	31	$	43	$	82
Gross losses on sales	$	-	$	3	$	6	$	7

Amortized cost and fair value by maturity period for fixed maturities

		Amortized		Fair
(In millions)		Cost		Value
Due in one year or less	$	1,550	$	1,557
Due after one year through five years		6,581		6,928
Due after five years through ten years		7,353		7,881
Due after ten years		3,447		4,379
Mortgage and other asset-backed securities		461		499
Total	$	19,392	$	21,244

Gross unrealized appreciation (depreciation) fixed maturities by type of issuer

				Gross		Gross
				Unrealized		Unrealized
		Amortized		Appre-		Depre-		Fair
		Cost		ciation		ciation		Value
(In millions)	September 30, 2016
Federal government and agency	$	452	$	298	$	-	$	750
State and local government		1,360		148		-		1,508
Foreign government		2,104		221		(3)		2,322
Corporate		15,015		1,192		(42)		16,165
Mortgage-backed		35		2		(1)		36
Other asset-backed		426		40		(3)		463
Total	$	19,392	$	1,901	$	(49)	$	21,244
(In millions)	December 31, 2015
Federal government and agency	$	528	$	251	$	-	$	779
State and local government		1,496		147		(2)		1,641
Foreign government		1,870		147		(3)		2,014
Corporate		14,022		632		(206)		14,448
Mortgage-backed		48		2		(1)		49
Other asset-backed		492		39		(7)		524
Total	$	18,456	$	1,218	$	(219)	$	19,455

Fixed maturities in an unrealized loss position

	September 30, 2016
	Fair		Amortized		Unrealized		Number
(Dollars in millions)	Value		Cost		Depreciation		of Issues
One year or less:
Investment grade	$	784	$	797	$	(13)	329
Below investment grade	$	277	$	283	$	(6)	122
More than one year:
Investment grade	$	331	$	345	$	(14)	58
Below investment grade	$	181	$	197	$	(16)	32

Credit risk profile of commercial mortgage loans

		Debt Service Coverage Ratio
		1.30x or		1.20x to		1.10x to		1.00x to		Less than
Loan-to-Value Ratios		Greater		1.29x		1.19x		1.09x		1.00x		Total
(In millions)				September 30, 2016
Below 50%	$	465	$	15	$	-	$	-	$	-	$	480
50% to 59%		518		24		19		30		-		591
60% to 69%		651		14		-		-		-		665
70% to 79%		-		-		30		-		35		65
80% to 89%		-		-		-		-		-		-
90% to 100%		-		-		-		-		21		21
Total	$	1,634	$	53	$	49	$	30	$	56	$	1,822
		Debt Service Coverage Ratio
		1.30x or		1.20x to		1.10x to		1.00x to		Less than
Loan-to-Value Ratios		Greater		1.29x		1.19x		1.09x		1.00x		Total
(In millions)					December 31, 2015
Below 50%	$	261	$	2	$	-	$	67	$	-	$	330
50% to 59%		683		-		-		24		-		707
60% to 69%		590		14		-		19		-		623
70% to 79%		-		-		-		30		36		66
80% to 89%		40		-		-		-		-		40
90% to 100%		-		-		-		-		98		98
Total	$	1,574	$	16	$	-	$	140	$	134	$	1,864

Impaired commercial mortgage loans and related valuation reserves

(In millions)		September 30, 2016					December 31, 2015
		Gross		Reserves		Net		Gross		Reserves		Net
Impaired commercial mortgage loans with valuation reserves	$	26	$	(5)	$	21	$	113	$	(15)	$	98
Impaired commercial mortgage loans without valuation reserves		-		-		-		-		-		-
Total	$	26	$	(5)	$	21	$	113	$	(15)	$	98